These are the public and private colleges with the most generous financial aid packages in 2025, according to The Princeton Review

The top private and public colleges for financial aid — 5 offer average scholarships of more than $50,000

These are the public and private colleges with the most generous financial aid packages in 2025, according to The Princeton Review

The federal student loan system is facing a massive overhaul, which could result in less college aid. But higher education is only getting more expensive.

To bridge the gap, some schools are offering substantial financial aid packages, according to The Princeton Review.

College tuition has surged by 5.6% a year, on average, since 1983, significantly outpacing other household expenses, a recent study by J.P. Morgan Asset Management found.

For the 2024-25 school year, tuition and fees plus room and board for a four-year private college averaged $58,600, up from $56,390 a year earlier, according to the College Board. At four-year, in-state public colleges, it was $24,920, up from $24,080.

And yet, the Trump administration's budget proposal for fiscal 2026 calls for scaling back financial aid, including reducing the maximum federal Pell Grant award to $5,710 a year from $7,395, as well as curbing the federal work-study program. The proposed cuts would help pay for the landmark tax and spending bill Republicans in the U.S. Congress hope to enact.

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"Inflation and cuts in federal and state spending are causing schools to increase tuition, in some cases dramatically," said Robert Franek, editor in chief of The Princeton Review.

However, "it's really not what colleges are charging that matters, it is what actual students and families are paying after scholarships and grants are deducted — that's what students and their parents need to focus on," Franek said.

Grants are considered the most desirable kind of financial assistance because they typically do not need to be repaid. "Grants are the magic word," Franek said.

This year, there are added concerns about the economy and dwindling federal loan forgiveness options. As a result, price is now a bigger consideration among students and parents when choosing a college, other reports also show. 

To that end, The Princeton Review ranked colleges by how much financial aid is awarded and how satisfied students are with their packages. The 2025 report is based on data from its surveys of administrators and students at more than 650 colleges in the 2024-25 school year.

Top 5 private colleges for financial aid

Among the top five private schools on The Princeton Review's list, the average sticker price — including tuition and fees plus room and board — was around $90,000 in 2024-25. The average scholarship grant awarded to students with need was more than $66,000. 

1. Williams College
Location: Williamstown, Massachusetts
Sticker price: $90,750
Average need-based scholarship: $74,113
Average total out-of-pocket cost: $16,637

2. California Institute of Technology
Location: Pasadena, California
Sticker price: $86,181
Average need-based scholarship: $71,378
Average total out-of-pocket cost: $14,803

3. Yale University
Location: New Haven, Connecticut
Sticker price: $87,150
Average need-based scholarship: $69,164
Average total out-of-pocket cost: $17,986

4. Reed College
Location: Portland, Oregon
Sticker price: $87,010
Average need-based scholarship: $50,413
Average total out-of-pocket cost: $36,597

5. Pomona College
Location: Claremont, California
Sticker price: $91,134
Average need-based scholarship: $67,027
Average total out-of-pocket cost: $24,107

Top 5 public colleges for financial aid

Among the five public schools on this list, the average scholarship grant awarded in 2023-24 to students with need was more than $20,000.  

1. University of North Carolina at Chapel Hill
Location: Chapel Hill, North Carolina
Sticker price (in-state): $24,134
Average need-based scholarship: $19,921
Average total out-of-pocket cost: $4,213

2. New College of Florida
Location: Sarasota, Florida
Sticker price (in-state): $20,271
Average need-based scholarship: $16,483
Average total out-of-pocket cost: $3,788

3. University of Michigan, Ann Arbor
Location: Ann Arbor, Michigan
Sticker price (in-state): $34,176
Average need-based scholarship: $26,860
Average total out-of-pocket cost: $7,316

4. University of Virginia
Location: Charlottesville, Virginia
Sticker price (in-state): $40,313
Average need-based scholarship: $27,233
Average total out-of-pocket cost: $13,080

5. Truman State University
Location: Kirksville, Missouri
Sticker price (in-state): $23,076
Average need-based scholarship: $10,889
Average total out-of-pocket cost: $12,187

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This story originally appeared on: CNBC - Author:Jessica Dickler