University of Missouri students are unlikely to be affected by new federal loan rules that target low-earning degrees, university officials say.
Under the One Big Beautiful Bill Act, colleges whose graduates consistently earn less than the median income of a high school graduate will lose access to federal student loans and Pell Grants. Some provisions took effect July 1, and others will kick in July 1, 2027.
Mizzou administrators say the university’s existing efforts to track graduate outcomes have already put most, if not all, of its programs above the federal requirements.
The “Do No Harm” provision of the bill requires colleges participating in the federal Direct Loan Program to demonstrate that four years after earning their degrees, undergraduate students earn more than workers whose highest level of education is a high school diploma.
Jim Spain, vice provost for undergraduate studies at Mizzou, said the university has measured graduate employment, salaries and other career outcomes for the past seven to eight years.
About 95% of Mizzou’s programs meet or exceed the requirements, he said.
“Because we’re able to track outcomes with earnings, we’re able to know with great confidence that as an institution across our degree programs our students are able to accomplish standards above the minimum requirements of the ‘Do No Harm’ stipulations,” Spain said.
Mizzou follows best-practice standards from the National Association of Colleges and Employers to assess career outcomes, he said. The university also uses its career center to collect information about employment and salaries by major.
Amanda Nell, senior student services coordinator, oversees the career outcomes survey sent to graduating undergraduate and graduate students. The survey asks students about their plans after graduation and collects salary information.
The university expects little impact from the federal rule, Nell said, because undergraduate programs are measured against the earnings of workers with only a high school diploma. Graduate programs are compared with workers who hold a bachelor’s degree.
The university has an approximately 80% “knowledge rate,” meaning it has information about the post-graduation outcomes of that share of its graduates.
Mizzou has also been reviewing and reorganizing programs to strengthen their outcomes, Spain said.
The new federal requirements were in the pipeline when Missouri lawmakers were considering similar efforts to connect higher education funding with graduate outcomes.
Senate Bill 1617, considered during the 2026 legislative session, would have prohibited state funds from being used for degree programs that did not meet certain earning requirements. The bill did not pass.
Missouri already has a performance-based funding system that considers measures such as freshman retention and graduation rates when determining state support for public universities.
Spain said state and federal efforts share a similar goal — ensuring students, families and taxpayers can see the results of their investment in higher education.
“The federal legislation and policy and the state legislation and policy are really designed to accomplish the same thing: to make sure that there is transparency for students and families, and to protect the funders,” Spain said.
The new federal rules are intended to prevent funding from supporting programs whose graduates do not see a sufficient financial return.
“They don’t want to invest, as a government, thousands of dollars or tens of thousands of dollars when it doesn’t lead to meaningful outcomes for students but also meaningful outcomes as it relates to workforce development and economic benefit,” Spain said.
Mizzou spokesperson Travis Zimpfer said the university is continuing to review the federal rule as the U.S. Department of Education provides additional guidance.
“The university continues to analyze the potential impacts of the newly finalized Student Tuition and Transparency System and Earnings Accountability rule on our students and their ability to secure federal financial aid,” Zimpfer said.
“We will continue to provide students and families with information on federal student loan changes when we have more guidance to share,” he added.
For now, Mizzou officials say the university’s existing system for tracking career outcomes leaves it prepared for the new requirements.
“We are being very good stewards of the investments made by taxpayers and parents and graduates,” Spain said. “When students leave Mizzou they are prepared to have successful careers and make positive contributions to the communities they are living in.”
