Ruth Gottesman's $1B Donation Makes Med School Free
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Let's say that the $1B is invested and reliably earns 8% when inflation is 3%, therefore leaving 5% to distribute as tuition. That's $50M for the first year, allowing for each following year to distribute 3% more than the previous year to account for inflation.
Tuition is $59K and there are 1,258 students [1], so the cost is $74M a year.
With my assumptions the endowment would slowly bleed away, but it would fund students for a long time. Perhaps less time, if the school added capacity. Or perhaps more time if there is some other endowment money or other funds from somewhere, or if not all 1,258 students get the benefit for whatever reason.
Whenever I read something like this, my jaded mind wants to think that the benefit being claimed is clearly not matched by the amount of money contributed. But in this case, the amount of money contributed is approximately the required amount of money needed to achieve the claimed benefit. So, good for Ms. Gottesman! She will have a good and achievable result.
[1] https://en.wikipedia.org/wiki/Albert_Einstein_College_of_Med...