Registration opens Wednesday, April 1, 2026 for the 43rd Annual Student Financial Aid Research Network (SFARN) Conference—an essential gathering of researchers, policymakers, and advocates committed to advancing educational equity through data and evidence-based research. The purpose of this series of blog posts is to highlight two seminal panels that occurred at the last conference that highlights key challenges for the research community that continue today and will likely lead to further discussions, and possibly lead to solutions, at the next conference. This second blog post provides highlights from the panel on using non-federal data sources for high education and financial aid research.
Non-federal Data Sources
With a reduction in federal funding for data-driven studies centered on critical aspects of higher education, there has been a growing reliance on nonfederal data sources to inform education policy. In the second special panel, entitled “Exploring Non-Federal Data for Higher Education Policymaking: National student Clearinghouse, The Federal Reserve System, Trellis Strategies’ Student Financial Wellness Survey, and FINRA Foundation’s National Financial Capability Study”, organizations cite notable strides in addressing gaps where federally funded research has fallen short.
The National Student Clearinghouse Research Center, a nonprofit and nongovernmental organization, plays a crucial role in alleviating administrative burdens and costs associated with student data reporting and exchange. Its mission is to serve educational institutions, workforce stakeholders, and learners by providing reliable data, services, and insights. Recent publications from the Clearinghouse cover topics including:
- Current Term Enrollment
- Persistence & Retention
- Transfer Enrollment & Pathways
- Some College No Credential
- Undergraduate Degree Earners
- Yearly Progress & Completion
- High School Benchmarks
This longitudinal data allows researchers to track individual students across institutions, states, enrollment gaps, transfers, and degree completions, thereby offering a comprehensive picture of the higher education landscape. Much like federally funded studies, these data are instrumental for professionals involved in policy development, institutional planning, and legislative decision-making.
Trellis Strategies, a strategic research and consulting firm, focuses on improving postsecondary outcomes and workforce development through both qualitative and quantitative research. One of their key initiatives is the Student Financial Wellness Survey (SFWS)—a self-reported online survey that captures insights into students’ financial health and overall well-being. Launched in 2018, the SFWS explores how financial stress, mental health, and perceptions of institutional support impact student success and long-term outcomes. The findings are compiled into customized reports for participating institutions, helping them assess and improve their student support programs, fundraising efforts, and retention strategies. Feedback from SFWS found that only 5% of respondents were able to solely rely on personal saving and/or current wages to pay for school. The SFWS also found that 58% of individuals experience one or more forms of basic needs insecurity. Although these insights are useful in helping us gain an overall sense of student wellness as it relates to financing education, its scope is limited. The survey currently reaches only approximately 300 institutions across 37 states, representing around 3.8 million students, demonstrating its relatively narrow scope compared to nationally sponsored studies.
The Federal Reserve’s Survey of Household Economic Decision-making (SHED), initiated in 2013, examines topics such as household income, emergency savings, banking access, employment, and overall financial well-being. Notably, SHED has analyzed the long-term impact of Parent PLUS loans, finding that parents who borrow for their child’s education often experience diminished financial health over time. The SHED covers key topics including:
- Household income and expenses
- Emergency savings, banking access
- Higher education and student loans
- Employment, caregiving, housing
- Financial Well-being
The Federal Reserve’s research adds an important macroeconomic perspective to the financial dynamics of higher education financing.
Implications
While these nonfederal studies provide valuable insights and cover critical aspects of the higher education experience, they are not without limitations. The lack of federal funding means that financial resources for research can be inconsistent and unpredictable. Additionally, these studies often have a narrower scope and more limited reach compared to federally supported research efforts.
One of the most compelling aspects of government-sponsored studies is their longitudinal design. Studies like the BPS (Beginning Postsecondary Students) and B&B (Baccalaureate and Beyond) track the same cohort of individuals over time. By keeping the respondent group consistent, researchers can more effectively analyze changes across other variables, leading to richer and more reliable insights. In contrast, non-federal datasets often rely on cross-sectional data, collecting responses from a new group of individuals each year, as is the case with SFWS. This not only limits the overall sample size but also makes it more difficult to isolate the cause of observed trends. When the respondent group changes with each cycle, it’s harder to determine whether variations in results are due to actual shifts in policy or practice, or simply differences in the sample population.
Ultimately, the shift away from government-funded research toward reliance on nonprofit and private entities raises concerns about the long-term prioritization of transparency, accountability, and systemic improvement in higher education. Without robust and consistent federal investment in data infrastructure, the ability to fully understand and respond to national educational challenges remains constrained.