Education Dept. Labels Hundreds of Colleges as ‘Lower Earnings’

Katherine Knott December 09, 2025 1 min read

Katherine Knott
Inside Higher Ed

First-time undergraduates applying for federal student aid will now receive a warning if they indicate interest in an institution where graduates don’t earn more than an adult with a high school diploma.

The new earnings indicator on the Free Application for Federal Student Aid is aimed at ensuring students have more information about their postsecondary options, Education Department officials said in a news release Monday. Consumer protection advocates generally praised the department’s move, while institutional groups criticized it.

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