How big is Harvard's operating budget and what does it usually cover?
I was looking into what makes Harvard so unique compared to other schools, especially in terms of resources, and I found out a bit about its endowment. However, I couldn't really find clear info on what Harvard's annual operating budget is or how they actually spend all that money.
Does anyone know roughly how big Harvard's operating budget is per year? I’m also interested in what kinds of expenses this budget covers—like, does most of it go to salaries, research, student programs, or what? I’m just really curious how a university like Harvard manages such huge amounts and how that might affect students academically or with campus stuff.
If anyone has insights on whether all that money trickles down to undergrad experiences or pretty much stays at the upper administrative levels, I’d appreciate the perspective!
Does anyone know roughly how big Harvard's operating budget is per year? I’m also interested in what kinds of expenses this budget covers—like, does most of it go to salaries, research, student programs, or what? I’m just really curious how a university like Harvard manages such huge amounts and how that might affect students academically or with campus stuff.
If anyone has insights on whether all that money trickles down to undergrad experiences or pretty much stays at the upper administrative levels, I’d appreciate the perspective!
1 week ago
•
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Luis Nario-Malberg
• 1 week ago
Advisor
Harvard University’s annual operating budget is substantial and reflects its scale and prestige. For the 2023 fiscal year, Harvard’s operating budget was about $5.8 billion. This budget is separate from its much-discussed endowment, though some annual budget money does come from endowment payouts.
The biggest portion of this budget usually goes to salaries and benefits for faculty and staff, which is typical for any large university. It’s not just professors—there are thousands of employees supporting everything from libraries to dining halls, security, and facilities maintenance.
Research is another big part of the budget. Harvard spends hundreds of millions annually supporting faculty-led research, graduate fellowships, and the high-tech labs you might associate with a research powerhouse. Much of this is also driven by external grants, especially in science and medical fields.
Student programs and services—like financial aid, counseling, advising, and extracurriculars—are a significant and growing part. Harvard has committed a lot of resources to financial aid to make attendance more accessible. For example, in 2022-2023, Harvard allocated over $400 million to financial aid and scholarships, which is a direct benefit to undergrads.
Facilities and infrastructure also claim a big chunk—everything from building renovations to routine upkeep. Harvard’s campus is enormous and historic, so keeping it both beautiful and functional is an ongoing mega-project.
A portion of the budget covers administrative costs, outreach, and digital initiatives (like online learning platforms). It’s true that some resources go into upper administration, but the majority of spending supports the core academic and student support functions of the school.
To give an example: the new Smith Campus Center, upgraded libraries, and expanded mental health resources are budget items that students can directly experience. Tech upgrades, funding for startups, and broad course offerings are other ways students see the budget in action.
In essence, while not every cent trickles directly into daily student life, a lot of it does make its way into upgraded facilities, expanded academic offerings, generous financial aid, and robust student support systems—all of which deeply impact undergrad experiences.
The biggest portion of this budget usually goes to salaries and benefits for faculty and staff, which is typical for any large university. It’s not just professors—there are thousands of employees supporting everything from libraries to dining halls, security, and facilities maintenance.
Research is another big part of the budget. Harvard spends hundreds of millions annually supporting faculty-led research, graduate fellowships, and the high-tech labs you might associate with a research powerhouse. Much of this is also driven by external grants, especially in science and medical fields.
Student programs and services—like financial aid, counseling, advising, and extracurriculars—are a significant and growing part. Harvard has committed a lot of resources to financial aid to make attendance more accessible. For example, in 2022-2023, Harvard allocated over $400 million to financial aid and scholarships, which is a direct benefit to undergrads.
Facilities and infrastructure also claim a big chunk—everything from building renovations to routine upkeep. Harvard’s campus is enormous and historic, so keeping it both beautiful and functional is an ongoing mega-project.
A portion of the budget covers administrative costs, outreach, and digital initiatives (like online learning platforms). It’s true that some resources go into upper administration, but the majority of spending supports the core academic and student support functions of the school.
To give an example: the new Smith Campus Center, upgraded libraries, and expanded mental health resources are budget items that students can directly experience. Tech upgrades, funding for startups, and broad course offerings are other ways students see the budget in action.
In essence, while not every cent trickles directly into daily student life, a lot of it does make its way into upgraded facilities, expanded academic offerings, generous financial aid, and robust student support systems—all of which deeply impact undergrad experiences.
Luis Nario-Malberg
Mooresville, North Carolina
Harvard College, Class of 2018, A.B. in Philosophy
Experience
5 years