Operating Budget

2022–23: $2,729,986,000
2023–24 (projected): $2,923,472,000

The total operating budget for 2022–23 included funding for sponsored research at the Princeton Plasma Physics Laboratory (PPPL), which totals $175 million. PPPL operates on a federal fiscal year that ends on Sept. 30, 2023.

Income and Expenditures, 2022–23

All percentages rounded

Income % Amount (in thousands)
Endowment payout and other investment income 59% $1,605,568
Student fees 17% $464,931
Sponsored research 17% $455,497
Auxiliary activities and service income 4% $114,781
Gifts and other income, net of transfers 3% $89,209
Expenditures % Amount (in thousands)
Academic departments 33% $895,145
Physical facilities/strategic initiatives 26% $701,039
Student aid 15% $404,003
Administrative services 12% $327,793
Library/Computing/Museum 6% $181,505
PPPL 6% $175,000
Athletics 1% $45,500

The Endowment

The endowment is the financial foundation that underpins the University’s teaching and research mission and supports Princeton’s exceptional financial aid program, which makes it possible for students from all backgrounds to live and learn at the University without incurring debt.

Princeton’s endowment is the fifth-largest in the country, with a portfolio value of $34.2 billion as of March 31, 2023. The earnings from the endowment cover approximately two-thirds of the University’s annual operating budget and help fund the University’s highest priority strategic initiatives, while preserving real value for future generations. To pursue this goal, the endowment maintains an equity-biased portfolio and seeks to partner with best-in-class investment management firms across diverse asset categories.

The annualized return on Princeton’s endowment—defined as “dividends and interest on portfolio holdings, plus or minus capital appreciation or depreciation”—is estimated to be approximately 11% over the 25-year period ending June 30, 2023.