Education Department Ties Federal Funding for Programs to Graduate Earnings

The U.S. Department of Education has implemented a new rule, the Student Tuition and Transparency System and Earnings Accountability rule, linking federal funding eligibility to graduates' post-program income. Undergraduate programs must show alumni earn more than high school graduates, while graduate programs need to demonstrate earnings exceeding typical bachelor's degree holders. Programs consistently failing this "earnings premium measure" over three years risk losing Title IV funding, including Pell Grants, aiming to promote economic value and transparency in higher education.