What the New FVT/GE Regulations Mean for Colleges and Students

If you thought Gainful Employment had clocked out for good, think again. While Congress may be easing up on some oversight through pending tax legislation, the Department of Education has stepped in with a new accountability framework that raises the bar for transparency across nearly all Title IV programs.

The Financial Value Transparency and Gainful Employment (FVT/GE) regulations—finalized in October 2023 and effective July 1, 2024—restore outcome-based accountability but with a twist: programs will now be evaluated through Debt-to-Earnings (D/E) and Earnings Premium (EP) metrics. (FSA Knowledge Center)

📉 The 90/10 Rule: Still in Political Flux

While the House tax bill aims to loosen the 90/10 revenue rule for for-profit institutions, the FVT/GE regulations reaffirm that federal dollars still come with strings. Institutions that over-rely on federal aid without strong outcomes may soon face public scrutiny—even if not federal sanctions.

For partner schools:

• Expect more aggressive recruiting from for-profits that can now lean more heavily on Title IV funding.
• Counter by emphasizing trust, transparency, and outcomes—the qualities that federal rules can’t legislate but students increasingly demand.

🏷️ Gainful Employment: Not Gone – Just Rebranded

The phrase may have left some sections of federal law, but its spirit lives on. Under FVT/GE, programs that fail both D/E and EP metrics could lose eligibility for federal aid—a return to accountability through outcomes.

For partner schools:

• Treat these regulations as an opportunity, not a threat.
• Publish clear, contextualized data about career outcomes, median debt, and alumni earnings.
• Your transparency will speak louder than any compliance form ever could.

🧾 Borrower Protections & Institutional Trust

While recent legislative efforts may weaken Borrower Defense and Closed School Discharge rules, the FVT/GE regulations re-center the conversation on prevention: ensuring students don’t end up in those situations in the first place.

For partner schools:

• Focus on proactive communication—help students understand cost, outcomes, and ROI before they enroll.
• Showcase stability and stewardship. When the regulatory spotlight moves, your reputation fills the gap.

⚖️ The Access Equation

Advocates remain concerned that looser legislative guardrails could harm low-income, first-generation, and underrepresented students. The Department’s new rules acknowledge this by making financial transparency a baseline expectation for all students, not just those in GE programs.

For partner schools:

• Integrate equity into your data strategy.
• Highlight how your programs close wage and employment gaps—not just how they meet compliance thresholds.

💡 The Big Picture: From Regulation to Reputation

The higher-ed narrative is shifting again—from compliance to clarity. Federal policy now expects institutions to prove value through transparent metrics, while students expect to see that value reflected in their lives and earnings.

So while “Gainful Employment” may have taken a branding break, Financial Value Transparency is its sharper, data-driven successor. The real story isn’t about what rule is in or out—it’s about who’s ready to lead in the age of evidence.

✳️ Portico Perspective

At Portico, we help partner schools do more than meet reporting deadlines—we help them tell their impact story clearly, credibly, and confidently.

👉 Let’s show your outcomes story. Get in touch → Talk to Sales