[82lsju]

[quote author=BigEasyCard link=topic=18685.msg223250#msg223250 date=1517941031]
A recent analysis projects Stanford's liability for the new tax on endowment income at $40 million:

https://www.marketwatch.com/story/hit-to...2018-01-16

That's potentially a significant negative impact against a scholarship budget of $177 million annually.

The impact of the tax law is estimated to be $40mm, but just to clarify for myself, the size of the impact should be measured against its total net income.  That is quite a bit larger than $177mm I presume which mean that the scholarship budget is not b.earing the burden of this cost by itself.  May be obvious, but the wording seemed to lead one to connect $40mm tax to the $177mm scholarship budget.
[/quote]

correct, a tax of $40m, the endowment distributed $1.2b last year......

The value of the university’s endowment itself was $24.8 billion on August 31, 2017, the end of the university’s fiscal year. The endowment disbursed $1.2 billion to support academic programs and financial aid during the fiscal year, equal to 5.2 percent of the endowment’s value at the beginning of the fiscal year.

https://news.stanford.edu/2017/10/05/ann...endowment/

[82lsju]

[quote author=BigEasyCard link=topic=18685.msg223250#msg223250 date=1517941031]
A recent analysis projects Stanford's liability for the new tax on endowment income at $40 million:

https://www.marketwatch.com/story/hit-to...2018-01-16

That's potentially a significant negative impact against a scholarship budget of $177 million annually.

The impact of the tax law is estimated to be $40mm, but just to clarify for myself, the size of the impact should be measured against its total net income.  That is quite a bit larger than $177mm I presume which mean that the scholarship budget is not b.earing the burden of this cost by itself.  May be obvious, but the wording seemed to lead one to connect $40mm tax to the $177mm scholarship budget.
[/quote]

correct, a tax of $40m, the endowment distributed $1.2b last year......

The value of the university’s endowment itself was $24.8 billion on August 31, 2017, the end of the university’s fiscal year. The endowment disbursed $1.2 billion to support academic programs and financial aid during the fiscal year, equal to 5.2 percent of the endowment’s value at the beginning of the fiscal year.

https://news.stanford.edu/2017/10/05/ann...endowment/