Why should I support this new method of tuition payment? As a student?
The implementation of this proposal would alleviate the financial burden of college on students and their families. Students are not expected to pay for their education at at time in their life when they are not making significant income.
Why should I support this new method of tuition payment? As a parent?
This proposal eliminates the financial burden that college puts on parents. Students are responsible for funding their education after graduation, and parents are not expected to make a significant financial contribution to their student’s education.
Why should I support this new method of tuition payment? As a UC faculty member?
Over time, this new system will generate nearly three times the amount of revenue than the current system. This drastic increase in revenue will ultimately allow each campus to grow and thrive, making the UC a better place to work and teach.
Why is it called the UC Student Investment Proposal?
Under the proposal, the University of California would invest in its students to attend the university with no up-front costs, with the expectation that they will graduate and financially contribute once they enter a career.
Is the UC Student Investment Proposal an effort to privatize the UC?
No. In fact, the plan will bolster relations between the UC and the State of California. Not only does the proposal institute a funding floor of 2% of the state’s budget, but it opens the door to new connections with the state and a sharing of certain resources.
For how long will I have to make payments?
You will make payments for 20 years of employment.
When I’m unemployed, how much will I have to pay?
If you are unemployed, you will not be expected to pay.
What if I can’t find a job?
One of the added benefits of this system is the inclusion of an extensive system-wide alumni network with generous benefits. For what you pay into the system, you receive an education as well as employment support, which is invaluable in our current tumultuous job market.
Is there an option to pay up front?
No. An option to pay an up front fee would run contrary to one of the core concepts behind the proposal. Graduates of the UC will maintain a connection with their university not just for the time they spend there, but for a lifetime. A UC education is not a product, and its value is a complex one. The proposal requires a rethinking of the role of education in people’s lives, not simply as a product in the form of a degree… In addition, an up-front option opens the door to students taking out loans on the fee, thus incurring debt upon graduation, which the proposal aims to eliminate.
How will this affect financial aid?
Because students will not be required to pay for their education until they themselves are making income, the current financial aid system will be replaced entirely by the UC Student Investment Plan.
What about loans that current students have already taken out?
Students who are currently in the UC will complete their degree under the normal funding system. The UC Student Investment Plan can only go into effect for incoming classes.
How is this different from an income contingent loan?
The contribution system in the UC Student Investment Plan is fundamentally different from income contingent loan programs. There are no loans involved and no interest accrued on contributions. The only similarity is that contributions through the UC Student Investment Plan are based on a percentage of income earned.
What percentage would I pay if I graduate in 3 years? 5 years?
If you entered the UC as a freshman, your contribution percentage will be the same regardless of whether you graduate in three, four or five years.
Will I be paying while I attend graduate school?
No. Contributions begin once a UC graduate is employed.
Will I have to take out any loans to pay for tuition?
One of the benefits of this proposal is that it will virtually wipe out loans taken on by UC students.