In a recent survey conducted by the American Council on Education, college and university presidents identified student mental health as the top pressing issue. With the increasing demands from various campus departments, financial constraints, and federal/state policies, administrators are facing the challenge of prioritizing mental health support for students. Daniel Eisenberg, a professor at UCLA and a principal investigator of the Healthy Minds Network, emphasized the importance of economic evaluations in guiding administrators to make informed decisions about investing in student mental health services. Eisenberg’s research suggests that there is a strong economic case for such investments.
The economic benefits of improved student mental health are significant. Counseling centers have been shown to effectively reduce distress and suicide ideation among students at risk. By providing crisis response services on campus, these centers not only save emotional and financial costs for families and schools but also benefit local communities. Additionally, counseling services contribute to better academic outcomes, with treated students showing improvements in GPA compared to untreated peers. This translates into higher levels of education, greater lifetime earnings, and a more skilled workforce, as highlighted in a report by the United States Federal Reserve System.
Furthermore, student mental health interventions play a crucial role in university retention rates. By addressing depressive symptoms and other mental health concerns, counseling services help prevent students from leaving college before graduating. This results in higher tuition revenue for institutions, as evidenced by a study in the Journal of College Student Mental Health. The retention rate among counseling center clients was found to be higher than the overall campus population, indicating the financial impact of these services on institutional revenue.
To assess the return on investment related to student mental health, Eisenberg collaborated on a report with the American Council on Education in 2019. The report includes an online ROI tool that allows schools to estimate the economic returns from specific mental health investments. Eisenberg emphasized the importance of investing in services with proven effectiveness, citing a 2025 report discussing a statewide agreement with a telehealth provider. Understanding the effectiveness of mental health programs is crucial for improving student wellbeing and achieving positive economic outcomes.
Campus counseling centers are uniquely positioned to provide effective mental health services due to their location, facilities, and access to licensed providers. While financial constraints may lead to considerations of reducing mental health investments, Eisenberg cautioned against the negative economic consequences of such actions. Maintaining and expanding mental health services on campuses can lead to positive outcomes for students, institutions, and communities alike.