<p>"The University of California, Berkeley, announced Wednesday that it would offer far more financial aid to middle-class students starting next fall, with families earning up to $140,000 a year expected to contribute no more than 15 percent of their annual income, in what experts described as the most significant such move by a public institution. </p>
<p>At Berkeley, officials said, the number of low-income and wealthy students has grown over the last several years, while the number from middle-class families has remained flat. That has raised concerns that some of the state’s best and brightest are choosing private schools whose generous financial aid can erase differentials in sticker price or not enrolling at all. The cost of a year at Berkeley has risen sharply to $32,000.</p>
<p>Berkeley’s definition of middle-class in creating its new financial aid program is a family with income between $80,000 and $140,000 a year. On top of the parental contribution of 15 percent of income, students would also have to pay about $8,000 per year — generally a combination of loans, work-study and private scholarships. At the bottom end of the spectrum, that would make for a total payment of $20,000, a 37.5 percent discount off the $32,000 total of tuition, room and board for California residents. On the upper end, it would be about $29,000, or a 10 percent discount.</p>
<p>(Out-of-state students, who make up 30 percent of Berkeley’s freshman class this year, will get comparable discounts on the first $32,000 of tuition and fees, but still have to pay an additional $23,000.) </p>
<p>Berkeley officials said the program was expected to cost $12 million a year and would be paid for from out-of-state and international student tuition, as well as private donations. Officials said they had recently received an $8 million donation for financial aid and expect to raise more.</p>
<p>Fewer than 2,000 students from families with incomes over $80,000 received financial aid this year, officials said. They estimated that under the new policy, an additional 4,000 middle-class students would receive grants ranging from $3,600 to $16,000 next year. Officials said that the program was devised so that they could increase aid — most likely reducing the 15 percent contribution — if they raised more money, but acknowledged that they could also end up changing in the other direction if money fell short.
<a href="http://www.nytimes.com/2011/12/15/education/berkeley-increasing-aid-to-middle-class-students.html?hp%5B/url%5D">http://www.nytimes.com/2011/12/15/education/berkeley-increasing-aid-to-middle-class-students.html?hp</a></p>