Editor’s Note: This post has been updated to include new information.

Washington University has set undergraduate tuition for the 2011-2012 academic year at $40,950, a 3.9 percent increase from the $39,400 tuition rate this academic year. Barbara Feiner, vice chancellor for finance, made the announcement in a news release on Thursday.

“Tuition is by far the largest source of revenue for all the schools on the Danforth Campus,” Feiner wrote in an e-mail to Student Life. “For the schools with undergraduate programs, tuition pays for more than 60% of the budget, with the remaining coming from gifts, spending from the endowment, research grants and some other minor sources. Many of the costs of providing a high-quality education and experience continue to rise.”

The required student health fee will jump to $410, and the maximum fee for comprehensive coverage will not exceed $632.

The tuition hike, however, is the lowest percentage rise in tuition in the past six years. Tuition rose by 4.2 percent last year and by 5.5 percent in 2006.

“We have worked to implement efficiencies and reduce administrative costs where possible so that the tuition increase is somewhat less than in prior years,” Feiner said.

Housing and meal fees will also rise by 4.9 percent and 4.4 percent respectively. The charge for a double-occupancy room for 2011-2012 will range from $8,374 to $9,264, compared to this year’s rate of $7,982 to $8,828, depending on whether students live in modern or traditional dormitories. On-campus meal plans, which currently cost between $3,498 and $4,788, will now range from $3,600 to $5000.

In a letter sent to parents, Provost Edward Macias attributed the 3.9 percent hike in tuition—down from 4.2 percent the previous year—to a recovering economy

“The national and global economy is beginning to show small signs of recovery and the University, like all of us, is optimistic of better days ahead. And yet, we are ever mindful that we must continue to plan carefully and prudently for the coming years. Most importantly, despite these difficult times, we must continue to strengthen the University and allow it to live up to the high standards that you and your sons and daughters have come to expect. We take that obligation extremely seriously.

We have seen some improvement in our endowment during the past year, but the overall value of the endowment and its income-producing potential is still significantly below where it stood in 2007-08. Nevertheless, throughout this difficult time, the University has placed the highest priority on the financial needs of our students and has once again increased funds that are available to help families that qualify for need-based financial aid,” Macias wrote.

The tuition increase will be considered when determining financial aid packages for students, according to Feiner.

Students were not surprised by the tuition increase.

“It makes sense to me given the economy right now…I guess they have to pay for everything somehow,” junior Don McCurdy said. “I’m lucky that I’m on financial aid to cover it.”

“Because the tuition is so expensive, I never live on campus,” said junior Sophia Cui, who transferred to the University from Bard College at Simon’s Rock.

Tuition will also rise between 3.8 and 4.2 percent for students pursing graduate and professional degrees.

Tuition for the Graduate School of Arts & Sciences, the Graduate School of Architecture and Urban Design, and graduate programs in the School of Engineering will be $40,950 for the 2011-2012 academic year. The Graduate School of Art will raise tuition to $33,350, and the George Warren Brown School of Social Work tuition will be $32,760 for a Master of Social Work and $25,116 for a Master in Public Health. Tuition for the Olin Business School’s Master of Business Administration program will be $46,000.

The law and medical schools will announce tuition for the upcoming academic year in March.

The charge per credit hour will also increase in the University College and the Summer School in Arts & Sciences.

University College classes will now cost $585 per credit hour for undergraduates and between $585 and $765 for graduate students, up from $555 to $765 this year.

Summer school tuition is now set at $905 per undergraduate credit hour and $1,095 per graduate credit hour, increases from $865 and $1,030 respectively.