Billionaire Jeff Yass donates $100 million to the University of Austin as the school moves toward a tuition-free model

Students considering the University of Austin, a young private school founded by critics of mainstream higher education, are now being promised something many college applicants only dream about: a bachelor’s degree without tuition costs, permanently.Billionaire trader Jeff Yass has committed $100 million to the institution. He says he wants to show that student opportunity and free expression can be supported by private philanthropy instead of government funding. The University of Austin confirmed the donation this week after initially declining to identify the donor, according to The Texas Tribune.The school was founded in 2021 and enrolled its first freshman class in 2024.

Its mission is to build a campus culture where open debate is encouraged and where students feel confident questioning ideas from any direction.

Why this $100 million donation matters for students

The University of Austin, also known as UATX, says it will now cover full tuition for every undergraduate. Housing, meals and other living costs are not included, but the goal is to cut out student loans entirely. For many young people choosing colleges, this could significantly change the financial equation.

According to the Texas Tribune, Yass’ donation will support a broader $300 million campaign designed to secure the tuition-free model for future classes. The university has already received the first $50 million and expects the rest in installments over four years.University President Carlos Carvalho said the financial structure relies partly on future alumni support. He said he wants students to see the university as a long term partner in their success.

Jeff Yass and the politics shaping education choice in Texas

Yass is the co-founder of Susquehanna International Group, a major trading firm. In Texas, he has become closely tied to the push for school vouchers, which allow state funds to support private schooling. The Texas Tribune has reported that he gave $10 million to Gov. Greg Abbott to support efforts to remove Republican lawmakers who opposed vouchers. State leaders later approved a $1 billion voucher program earlier this year.With this donation to UATX, higher education may now face similar political pressures. Supporters frame it as expanding choice for families. Critics say it risks shifting resources and attention away from public universities.

What students can study and how admissions work

UATX currently offers a single undergraduate program: a four year Bachelor of Arts in liberal studies. Admission is guaranteed for students who achieve high standardized test scores, an approach that contrasts sharply with many universities that have become test optional.Carvalho said the school plans to remain in downtown Austin instead of building a traditional campus. Leadership argues that staying near local employers gives students faster access to internships and career pipelines.Enrollment targets remain relatively small. University leaders believe that a tight knit student community supports stronger mentoring and academic growth.

What this means for families planning college

If the model succeeds, UATX could become one of the only universities in the United States offering a four year degree with no tuition bill.

The approach could help many graduates begin careers without loan obligations and may open the door for more first-generation students.Student advocates welcome the financial relief, but they also note that private donors often shape a university’s priorities. They say prospective students should understand how a campus that does not rely on government oversight might develop over time.For now, the school’s message to applicants is simple: the chance to earn a degree without tuition could be here to stay, as long as private donors continue to invest in the institution’s vision.