Understanding university endowments
Essential for excellence
Charitable endowments benefit education and the nation. Endowment payouts are essential to pay for the financial aid, teaching excellence and world-class research that strengthen America’s economy and enhance its security.
Princeton and other universities use their endowments every day, usually spending 5% or more annually. Princeton’s nation-leading undergraduate financial aid program and generous graduate stipends would not be possible without endowment support.