Phillips Academy Andover Assets Surpass $2 Billion and Spends $109,814 Per Student as $1.47B Endowment Funds 45% of Operating Budget
By Data Team | Published October 16, 2026
Phillips Academy Andover's total assets reached $2.08 billion in fiscal year 2025, powered by a $1.47 billion endowment that covers 45.3% of the boarding school's operating budget, according to the school's latest IRS filing. That investment engine allows Andover to spend $109,814 per student annually—far above its published tuition rate—while awarding $29.7 million in financial aid.
For prospective families and education policymakers, Andover's finances illustrates how university-scale wealth shapes admissions access and student outcomes at the nation's top-ranked private boarding schools. While published tuition and fees bring in roughly $74,843 per student, endowment payouts subsidize every enrolled student by more than $35,000 annually and fund comprehensive financial aid for 46.7% of the student body—a financial buffer that directly supports the academic infrastructure behind Andover's performance in the Elite College Placement Index (ECPI).
This level of independent capitalization fundamentally alters the institution's operational model. Rather than relying on annual tuition increases to balance its books, Andover draws on perpetual investment returns to fund global admissions recruiting, need-blind financial aid, and specialized academic programs regardless of domestic economic cycles.
Institutional & Governance Profile
Operating under its formal legal title, the Trustees of Phillips Academy, the institution functions with the organizational complexity of a private liberal arts college in Andover, Massachusetts. Its corporate governance balances centuries-old charter traditions with modern fiduciary oversight, pairing a professional executive cabinet with an independent board of trustees to steward its multi-billion-dollar balance sheet.
Institutional Scale and Board Structure
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Founding & Workforce Scale: Founded in 1778, the academy issued 1,238 Form W-2s in calendar year 2024 and engaged 1,493 documented volunteers across its operations and alumni network.
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Executive Leadership: Head of School Raynard S. Kington leads the academy alongside Assistant Head of School for Finance and Operations (CFO) Fernando R. Alonso.
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Governing Board (Schedule O): The board comprises 25 voting trustees, including 24 independent members and Dr. Kington as the sole non-independent voting member.
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Voting Dynamics: Nineteen Charter Trustees hold full voting privileges, while 6 Alumni Trustees vote on all corporate matters except electing corporation members, officers, and the Head of School.
Top-Line Financials
Phillips Academy's balance sheet mirrors the financial architecture of a mid-sized university rather than a traditional secondary school. Crossing the $2.08 billion asset threshold in FY25 (covering July 1, 2024 through June 30, 2025), the academy expanded its net assets while simultaneously trimming total liabilities, insulating its academic operations from short-term market volatility.
Balance Sheet Strength
- Total Assets $2,082,564,322 (+3.7%)
- Total Liabilities $206,455,680 (-2.7%)
- Total Net Assets $1,876,108,642 (+4.5%)
- Donor-Restricted Net Assets $1,253,599,139 (66.8% of Total Net Assets)
- Unrestricted Net Assets $622,509,503 (33.2% of Total Net Assets)
Operating Performance
- Total Revenue $207,674,447 (-0.1%)
- Total Expenses $172,225,804 (+6.4%)
- Operating Surplus $35,448,643 (-23.0%)
- Unrealized Gains (Excluded) $46,985,074
Note: The $35.4 million reported operating surplus reflects standard Form 990 accounting parameters; adding the $47.0 million in unrealized investment gains captures the full scope of Andover's FY25 net asset expansion.
Revenue Breakdown
A defining feature of Phillips Academy's financial model is its revenue diversification. Whereas most private day schools depend on tuition for 80% or more of their annual inflows, Andover generates over half of its $207.7 million in revenue from realized investment income and alumni philanthropy, shielding the operating budget from demographic or enrollment shifts.
Primary Revenue Streams
FY25 Revenue Distribution
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Program Service Revenue Up 7.2% YoY$93,307,459 (44.9%)
- Tuition & Fees $87,416,720
- Course Programs & Materials $3,229,341
- Hockey Rink $1,172,774
- All Other (Events, Food, etc.) $1,488,624
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Investment Income Down 13.7% YoY$79,009,751 (38.0%)
- Realized Capital Gains $66,207,093
- Dividends & Interest $12,802,658
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Contributions & Grants Up 18.8% YoY$34,746,955 (16.7%)
- Noncash Stock Gifts $10,847,681
- Art Donations 866 Works
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Other Revenue$610,282 (0.3%)
Endowment Performance and Asset Allocation
Phillips Academy manages its $1.47 billion endowment much like a major research university rather than a traditional high school. The academy allocates more than half of its total investment portfolio to alternative assets—primarily hedge funds, private equity, and venture capital—and deploys substantial capital through offshore investment vehicles in Central America and the Caribbean.
This institutional asset allocation mirrors the "Yale Model" popularized by Ivy+ university endowments, prioritizing illiquidity premiums and long-horizon capital appreciation over conventional fixed-income yields. Crucially, because Andover qualifies as a secondary school under federal tax law, the academy remains exempt from the IRC Section 4968 endowment excise tax on net investment income that applies to wealthy colleges and universities.
Portfolio Performance & Asset Allocation ($1.49B Total Holdings)
Schedule D, Part VII Allocation
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Endowment Balance (EOY): $1,472,334,551 (up 4.1% YoY), representing $1,260,560 per regular-session student.
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Net Investment Gains: $116,509,209 (including $66.2M in realized gains and $47.0M in unrealized gains).
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Alternative & Offshore Capital: 56.5% of the $1.49B portfolio sits in hedge funds and private equity/venture capital, with $633.5M deployed via Central American and Caribbean structures.
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Total Payout: $79,379,661 ($56.3M to operations; $23.1M to financial aid).
Detailed Asset Mix
5-Year Endowment History
Our data team examined the five-year trajectory of Andover's endowment across its Schedule A and Schedule D, Part V disclosures. Starting from a $1.12 billion beginning balance in FY21, the endowment absorbed $92.4 million in direct endowment contributions alongside $574.7 million in cumulative net investment gains—including a $344.8 million surge in FY21 and a resilient recovery following a $74.7 million market contraction in FY22. Across this five-year window, the endowment distributed $318.7 million toward scholarships, facilities, and academic programs while expanding its ending balance to a record $1.47 billion (comprising 76.58% permanent endowment and 23.42% board-designated quasi-endowment).
FY25 Endowment Waterfall (Schedule D, Part V)
Visualizing the bridge from Beginning of Year (1a) to End of Year (1g) in millions.
5-Year Historical Endowment Balances (Line 1g)
End of year balance progression in millions (FY21 - FY25).
| IRS Line Item | FY25 (Current) | FY24 (Prior) | FY23 (2 Yrs Back) | FY22 (3 Yrs Back) | FY21 (4 Yrs Back) |
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| 1a. Beginning of year | $1,414,616,511 | $1,326,015,489 | $1,292,180,600 | $1,431,381,335 | $1,123,899,696 |
| 1b. Contributions | $20,588,492 | $14,986,950 | $13,029,357 | $28,958,372 | $14,854,974 |
| 1c. Net investment earnings | $116,509,209 | $129,627,628 | $58,524,976 | ($74,734,725) | $344,812,750 |
| 1d. Grants or scholarships | ($23,084,110) | ($19,860,248) | ($17,316,403) | ($31,386,879) | ($16,933,713) |
| 1e. Other expenditures | ($56,295,551) | ($36,153,308) | ($20,403,041) | ($62,037,503) | ($35,252,372) |
| 1f. Administrative expenses | $0 | $0 | $0 | $0 | $0 |
| 1g. End of year balance | $1,472,334,551 | $1,414,616,511 | $1,326,015,489 | $1,292,180,600 | $1,431,381,335 |
Per-Student Spending and True Cost
Comparing tuition revenue against total instructional expenditure reveals the underlying economics of an Andover education. Even for families paying full sticker price, tuition and fees cover only 68.2% of what the academy actually spends per pupil during the regular academic year.
When a secondary school outspends its baseline tuition revenue by nearly $35,000 per student, the resulting resources resemble a residential college campus. That structural subsidy finances small seminar-style classes, two non-capitalized on-campus museums—the Addison Gallery of American Art and the Peabody Institute of Archaeology—and dedicated off-campus study-abroad programs.
Operations vs. Revenue
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Regular Session Program Spend: $128,262,863 across 1,168 students in Grades 9–12 and post-graduate studies ($109,814 gross spend per student; $84,740 net excluding financial aid grants).
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Tuition & Fee Revenue: $87,416,720 ($74,843 per student before financial aid discounts). Annual endowment distributions cover the remaining $34,971 per-student gap.
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Campus Museums & Off-Campus Study: Supported by a $601.8 million physical plant, two academic museums, and $376,606 dedicated to international off-campus learning programs.
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International Admissions Recruiting: $102,198 spent abroad, with 69.7% ($71,213) concentrated in East Asia and the Pacific.
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Summer Session Surplus: $6,053,139 in revenue against $4,690,448 in expenses across 618 summer students, yielding a $1.36 million net surplus to support academic operations.
Financial Aid: How Andover Spends $29.7M on Access
Andover backs its founding constitutional mandate to educate "Youth from Every Quarter" through detailed financial aid disclosures on Schedule I. Beyond discounting tuition for 546 regular-session students, the academy funds $2.46 million in supplemental noncash assistance and direct cash stipends so aided students can participate fully in campus life. That wraparound funding covers private music lessons, specialized tutoring, laptops, medical care, laundry, clothing, and college application fees.
By pairing tuition grants with everyday living and extracurricular stipends, the academy reduces socioeconomic barriers inside its residential boarding community. Beyond its own student body, Andover commits $2.55 million annually to tuition-free public educational outreach, anchoring summer STEM pipelines and educator training initiatives that serve neighboring Lawrence, Massachusetts public schools and underrepresented students nationwide.
Internal Student Support
- Aided Student Share 46.7% (546 students)
- 9-Month Tuition Grants $26,854,426
- Average Grant per Student $49,184
- Wraparound Noncash Aid $2,258,635
- Direct Cash Stipends $205,950
Public Outreach Programs
- (MS)² STEM Program ($930,500) Free 5-week residential STEM program over three consecutive summers for 108 underrepresented public high schoolers.
- IRT, ABL & PALS ($1,620,899) Combined outlay for the Institute for Recruitment of Teachers, Andover Bread Loaf, and PALS, supporting public educators and middle school pipelines.
Executive and Investment Team Compensation
In a telling reflection of its financial structure, Andover’s highest-paid employee is not Head of School Raynard S. Kington, but Chief Investment Officer Kirsten A. Glantz. Four of the academy's top eight earners work on its internal endowment management team, illustrating how Andover uses Wall Street-style performance incentives to retain specialized asset managers in-house.
Crossing the million-dollar compensation threshold triggers federal IRC Section 4960 excise taxes—a regulatory provision rarely encountered by secondary schools. From an institutional perspective, however, paying Glantz a $621,039 performance bonus represents a small fraction of the $116.5 million net investment gain generated by the portfolio under her oversight.
Payroll Scale and Compensation Governance
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Total Institutional Payroll: Andover paid $79.4 million in total employee compensation in FY25 (accounting for 46.1% of all institutional expenses) across 1,238 W-2 employees, with 146 staff members earning over $100,000.
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Top Executive Packages: Chief Investment Officer Kirsten A. Glantz earned $1,205,089 in total compensation (including a $621,039 bonus), while Head of School Raynard S. Kington received $1,154,625.
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On-Campus Housing Valuation: Six senior administrators received tax-free on-campus housing as a condition of employment, valued internally at 5% of the Town of Andover's appraised real estate value.
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Form 990, Schedule J, Part II: Compensation Breakdown (FY25)
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| Name & Title (A) | Base Comp (B-i) | Bonus (B-ii) | Other (B-iii) | Retirement & Deferred (C) | Nontaxable Benefits (D) | Total (E) | Prior Deferred (F) |
| Amy PatelChief Medical Officer | $258,839 | $0 | $0 | $30,278 | $175,273 | $464,390 | $0 |
| Andrew JaffoniAssoc. Dir. Investments | $272,395 | $110,000 | $0 | $30,692 | $14,999 | $428,086 | $0 |
| Christian A. ReuscheAssoc. Dir. Investments | $284,800 | $150,000 | $0 | $38,550 | $15,094 | $488,444 | $0 |
| Fernando R. AlonsoAsst. Head / CFO | $366,856 | $0 | $0 | $39,792 | $86,130 | $492,778 | $0 |
| James F. VentreAsst. Head for Admission | $221,112 | $0 | $0 | $24,892 | $132,230 | $378,234 | $0 |
| Jessica L. HerbsterGeneral Counsel | $252,686 | $0 | $0 | $25,732 | $101,381 | $379,799 | $0 |
| Kirsten A. GlantzChief Investment Officer | $497,123 | $621,039 | $0 | $39,792 | $47,135 | $1,205,089 | $0 |
| Merrilee MardonDeputy Head / Int. Dean | $299,928 | $0 | $0 | $31,534 | $174,272 | $505,734 | $0 |
| Raynard S. KingtonHead of School | $732,895 | $0 | $175,000 | $69,792 | $176,938 | $1,154,625 | $153,125 |
| Thomas P. LockerbySecretary of the Academy | $443,311 | $0 | $100,000 | $78,542 | $42,945 | $664,798 | $32,083 |
| Xue YangAssoc. Dir. Investments | $312,353 | $60,000 | $0 | $39,792 | $15,538 | $427,683 | $0 |
| Jeffrey C. DominaDean of Faculty | $129,793 | $0 | $0 | $13,564 | $134,228 | $277,585 | $0 |
Facilities, Debt, and Municipal Relations
Andover maintains a historic New England campus whose scale rivals that of a residential college. Rather than liquidating endowment holdings to pay for major building renovations, the academy actively taps the tax-exempt municipal bond market to optimize its capital structure.
Issuing tax-exempt municipal bonds allows Andover to secure low-cost capital for campus construction while keeping its endowment compounding in higher-yielding markets. Simultaneously, the academy makes voluntary municipal payments to support local town budgets, maintaining constructive town-gown relations around its substantial tax-exempt real estate footprint.
Capital Debt & Municipal Engagement
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Physical Plant & Campus Operations: Andover holds $601.8 million in gross property and buildings ($408.3 million net book value after depreciation), spending $7.15 million annually on campus operations alongside $11.48 million in depreciation.
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Tax-Exempt Bond Refinancing: The academy holds $109.1 million in tax-exempt bond liabilities. In September 2024, Andover issued $59.9 million via the Massachusetts Development Finance Agency to refund its 2003 bonds, recording $5.23 million in total FY25 interest expense.
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Town-Gown PILOT Payments: Although its $408.3 million net campus real estate is tax-exempt, Andover made $512,390 in voluntary Payment in Lieu of Taxes (PILOT) contributions to local governments ($488,630 to the Town of Andover and $23,760 to the City of Methuen).
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Top Vendors: The largest independent contractor disbursements went to Aramark Campus Services ($3.89M for dining operations) and Consigli Construction ($1.78M for ongoing campus construction).
Editorial Note
All financial figures in this report derive from Phillips Academy's FY25 IRS Form 990 (covering July 1, 2024 through June 30, 2025 across 1,168 regular-session students) and have been reviewed by the Chicardgo School data team.
While Andover spends $109,814 per student, Chicardgo School does not imply that financial expenditure mathematically causes higher placement into Ivy+, Top 25 National University, or Top 15 Liberal Arts College tiers. Rather, these financial resources fund the faculty, need-blind admissions access, and academic programming that operate alongside Andover's historical matriculation outcomes.
Accounting Reconciliation: Readers comparing Andover's audited financial statements to IRS Form 990 will note a difference in total expenses. Form 990 reports $172.23M (which records $27.19M in financial aid grants as an operating expense), whereas GAAP audited financials report $142.84M (which nets financial aid directly against gross tuition revenue).
Frequently Asked Questions: Andover's Form 990 Financials
As of Fiscal Year 2025, Andover's endowment stands at $1.47 billion, operating on the scale of a residential college endowment and funding 45.3% of the school's operating budget.
Andover spends an average of $109,814 per student annually in gross regular-session program expenditures, which exceeds the $74,843 generated per student in baseline tuition and fees. Annual endowment distributions cover the $34,971 per-student difference.
Andover disbursed $29.7 million in total financial aid and outreach grants in FY25, supporting 46.7% of its regular-session student body (546 students). That total includes $2.46 million in wraparound noncash assistance and direct cash stipends for laptops, tutoring, music lessons, medical care, and clothing.
The highest-paid employee is Chief Investment Officer Kirsten A. Glantz, who received $1,205,089 in total compensation in FY25. Four of Andover's top eight earners manage the endowment portfolio in-house.
Yes. Because federal law classifies Andover as a secondary school rather than an institution of higher education, the academy is exempt from the federal IRC Section 4968 excise tax on net investment income, despite holding $1.26 million in endowment assets per student.
Andover's total assets reached $2.08 billion in fiscal year 2025, anchored by its $1.47 billion endowment and $408.3 million in net campus real estate.
Further Reading
High School
October 9, 2026Institutional Might, Historic Endowments, and Global Scale - Phillips Academy Andover Secures #2 in Boston Private High School Elite College Placement Index
Analysis of Phillips Academy Andover's college placement, examining its Ivy League matriculation, need-blind admissions, $1.47B endowment, and its #2 standing in the Boston Private High School Elite College Placement Index.