Types of Financial Aid There are four basic types of aid: grants, scholarships, Work-Study, and loans. GRANTS Grants are a highly desirable type of aid because they do not need to be repaid. To be eligible for most grants you must submit the FAFSA. The most common grants awarded to Pennsylvania residents include: Federal Pell Grants are awarded based on financial need. The maximum Pell Grant for the 2026-2027 academic year is $7,395. Federal Supplemental Educational Opportunity Grants (FSEOGs) are awarded to students with the greatest financial need. The maximum grant is $4,000 a year. The amount you are awarded depends upon other aid you receive and your financial need. Schools have limited FSEOG funds, so submit your FAFSA early. Pennsylvania State Grants are awarded by PHEAA (Pennsylvania Higher Education Assistance Agency) and are based on financial need. To qualify, you must submit your FAFSA by May 1. To learn more, visit www.pheaa.org/grants/state-grant-program/ apply-renew.shtml. Institutional Grants are offered by many colleges based on academic merit, area of study, and/or financial need. The amount of these grants and the criteria for receiving them will vary by school. SCHOLARSHIPS Scholarships are given to reward special talents, celebrate academic achievement, and support individuals with financial need. Like grants, scholarships are highly desirable, because they do not have to be repaid. Strategies for researching scholarships include: •Begin your research early, so you understand the grades and attributes you will need to be a strong candidate; see p. 52. •Seek scholarships that match your strengths, whether they are academic, athletic, creative, or based on community service. •Ask your parents or guardians if their workplace offers scholarships to the children of employees. •Look into organizations in which you and your family are involved, such as faith-based organizations, civic associations, and unions. FEDERAL WORK-STUDY Federal Work-Study helps students with financial need pay for their indirect costs by providing a part-time job on or off campus. Work-Study is awarded as part of your financial aid package, so you must fill out the FAFSA to qualify. It is available to full-time and part-time students. You will be responsible for accessing your school’s database of jobs and interviewing for those that interest you. Most schools offer a wide range of options. Students are guaranteed to earn at least the federal minimum wage and are paid directly by their school. 44 Net Price Calculators “Net price” is the amount paid for college after subtracting financial aid. College websites offer net price calculators that allow you to enter information about yourself and estimate what you will pay, based on what students with similar financial situations paid, on average. Pathways to Prosperity
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