All About College Grants for 2025

Grants are similar to scholarships in that they do not have to be repaid. The most common grants are made available through federal government and state agencies, and not private funds. The Federal Pell Grant, Federal Supplemental Educational Opportunity Grant, and National SMART Grant are among the most common grants available for college. To apply for all Federal Grants, you must complete a FAFSA.

The Federal Pell Grant

The Federal Pell Grant is one of the most well-known financial aid programs in the U.S., aimed at helping students with demonstrated financial need achieve their academic goals without the burden of repayment. Unlike loans, grants are essentially free money for college, and the Pell Grant stands out as the largest federal grant program available. Best of all, it’s purely need-based, meaning you don’t have to stress over GPA requirements or other academic hurdles beyond attending an eligible school. In order to find out if your school is eligible for the Federal Pell Grant, contact your school’s financial aid department.

Here are the basic eligibility criteria for a Federal Pell Grant:

• Are pursuing your first undergraduate degree
• Are a U.S. citizen or eligible non-citizen
• Have a high school diploma, GED, or demonstrate the ability to benefit from the program offered
• Are not incarcerated
• Do not owe a refund on a Title IV grant
• Are not in default on a Title IV loan
• Have registered with the Selective Service (if applicable)

Pro Tip: Not sure if your school is eligible for the Federal Pell Grant? Reach out to your school’s financial aid office. They’ll confirm eligibility and guide you on how to include their information on your FAFSA (Free Application for Federal Student Aid) application.

Can Part-Time Students Receive a Pell Grant?

Good news! Part-time students can qualify for a Federal Pell Grant, though the amount awarded may be adjusted based on your enrollment status. For example, if you’re attending school half-time or three-quarters time, you might receive a smaller portion of the maximum grant amount. However, students who drop below half-time status typically become ineligible for Pell Grant funds. It’s important to maintain consistent enrollment and meet your school’s criteria to keep the grant.

Pro Tip: Planning to start part-time and gradually increase your course load? Talk to your financial aid advisor about how this could impact your Pell Grant eligibility. They can help you strategize to maximize your funding while balancing your personal commitments.

How Much Money Can I Get From a Pell Grant?

Maximum Federal Pell Grant award amounts can change yearly. The amount a student is awarded in Pell Grant funds will depend on a number of factors including the students EFC, cost of attendance, and the amount of time a student attends or is enrolled in school. Some schools may pay the student their federal Pell Grant award directly, while others may apply the Pell Grant award as a credit to the students account. Schools are required to disburse a students Pell Grant award once per term (semester, trimmest, or quarter, depending on which the students school uses). The school will notify any and all students receiving a Pell Grant about the method of disbursement/payment, and the schedule for payments. The Federal Pell Grant award amounts can vary each year based on federal funding and changes to program guidelines. The maximum grant amount for the academic year is set by Congress and is subject to change. Several factors will determine how much you receive:

• Your Expected Family Contribution (EFC): This is calculated based on the information you provide in your FAFSA application, such as family income, assets, and household size.
• Cost of Attendance (COA): This includes tuition, fees, and other educational expenses like books, housing, and transportation.
• Your Enrollment Status: Full-time students generally receive more than part-time students.
• Duration of Enrollment: If you’re enrolled for a full academic year, you’ll likely receive the maximum amount you qualify for. If you only attend for part of the year, your grant will be prorated accordingly.

The disbursement process varies by school:

• Some schools apply your Pell Grant funds directly to your tuition and fees.
• Others disburse the funds directly to you in the form of a check or direct deposit.
• Schools are required to distribute funds at least once per term (semester, trimester, or quarter, depending on your school’s academic calendar).

Pro Tip: Keep an eye on your school’s financial aid portal for updates on your Pell Grant disbursement schedule. Knowing when the funds will be applied or paid out can help you budget effectively for tuition and other expenses.

Additional Insights:

Here are some frequently overlooked aspects of the Federal Pell Grant:

• Lifetime Eligibility: Pell Grant funds are limited to 12 semesters (roughly six years) of eligibility. If you’re pursuing a longer undergraduate degree or need to switch majors, keep track of how much funding you’ve already used.
• Summer Sessions: Pell Grants can sometimes be applied to summer classes if you haven’t reached your yearly or lifetime limit. This can be a great way to speed up your degree progress.
• Special Circumstances: If your family’s financial situation changes drastically (e.g., job loss, medical expenses), you can appeal your FAFSA information for a potential increase in grant funding. Speak with your financial aid office about a “professional judgment” review.

Pro Tip: Keep copies of all correspondence with your financial aid office, including award letters and any documents related to changes in your financial status. These can be invaluable if you need to resolve issues or appeal decisions.

The Federal Pell Grant is a powerful tool to make college more affordable. By understanding the eligibility criteria, application process, and how funds are disbursed, you’ll be well-equipped to take full advantage of this financial aid program.

Federal Supplemental Educational Opportunity Grant

A Federal SEOG Grant or Federal Supplemental Educational Opportunity Grant, provides need-based grants to low-income undergraduate college students with exceptional financial need. Not every college student is eligible for these type of federal grants since they are based on your financial need and income level. Funding for the Federal SEOG Grant (Federal Supplemental Educational Opportunity Grant) is provided to postsecondary instructions by the U.S. Department of Education, and the amount awarded by the grant ranges.

Who is Eligible for the Federal SEOG Grant?

The Federal Supplemental Educational Opportunity Grant (FSEOG) is a need-based financial aid program designed to assist students with the most significant financial challenges. Unlike the Pell Grant, the SEOG is not guaranteed to every eligible student—funds are limited, and priority is given to those with the greatest financial need. Here’s a closer look at how eligibility is determined:

• Pell Grant Recipients: Priority is given to students who have already qualified for a Federal Pell Grant. This ensures that SEOG funds go to those with demonstrated financial need.
• Lowest Expected Family Contribution (EFC): Students with the lowest EFCs are prioritized. Your EFC is calculated when you complete the FAFSA (Free Application for Federal Student Aid) and depends on several factors, including:
• Student’s Income and Assets: If you’re an independent student, your personal finances will be evaluated to determine your ability to contribute to your education.
• Parents’ Income and Assets: For dependent students, the financial situation of your parents plays a critical role in calculating your EFC.
• Family Household Size: Larger households may qualify for a lower EFC, as resources are spread among more members.
• Number of Family Members in Postsecondary Education: If multiple family members (excluding parents) are attending college simultaneously, your EFC may be reduced.

Pro Tip: SEOG funds are distributed directly by your school’s financial aid office, and funding is limited. Submit your FAFSA as early as possible to increase your chances of receiving SEOG assistance!

It’s important to note that each school receives a set amount of SEOG funds from the federal government each year. Once the funds are distributed, no additional grants can be awarded, so timeliness is crucial.

National SMART Grant

The National Science and Mathematics Access to Retain Talent (SMART) Grant is specifically tailored for students pursuing degrees in high-demand fields, such as science, technology, engineering, and mathematics (STEM), as well as critical foreign languages. This grant provides up to $4,000 for full-time students in their third or fourth year of undergraduate study. Let’s dive into the details:

Eligibility Criteria:

To qualify for the National SMART Grant, you must meet the following requirements:

• Cumulative GPA of at least 3.0: You need to maintain a solid academic record in coursework required for your major. This ensures that grant recipients are excelling in their chosen fields.
• U.S. Citizenship: Only U.S. citizens are eligible for the SMART Grant, aligning with the program’s goals to support domestic talent in critical fields.
• Pell Grant Eligibility: Since the SMART Grant is supplemental, you must first qualify for a Federal Pell Grant to be considered.
• Full-Time Enrollment: You must be enrolled as a full-time student in your third or fourth year of an undergraduate program. The grant is specifically designed to support students as they complete their degrees.
• Eligible Major: Your major must be in a qualifying field, such as physical sciences, life sciences, computer sciences, mathematics, technology, engineering, or a critical foreign language as determined by national security needs.

Pro Tip: Considering a STEM or critical foreign language major? Look into the SMART Grant early in your college career. Planning your coursework and GPA strategy from the start can help you meet eligibility requirements by your junior year.

How Much Can You Receive?

The National SMART Grant provides up to $4,000 per year during your third and fourth years of undergraduate study. However, the actual amount you receive may depend on the following factors:

• Financial Need: Like other federal grants, the SMART Grant is awarded based on financial need. It’s meant to supplement other forms of aid, such as the Pell Grant.
• Cost of Attendance: The total cost of your education, including tuition, fees, and living expenses, can influence how much grant funding you receive.
• Availability of Funds: As with the SEOG, SMART Grant funds are limited, so applying early and meeting all eligibility requirements is essential.

Pro Tip: Regularly meet with your academic advisor to ensure your course selections align with your major requirements. Falling short in required credits or GPA could disqualify you from receiving SMART Grant funds.

The SMART Grant is a fantastic opportunity for students in high-demand fields to receive additional financial support as they approach graduation. By maintaining a strong GPA and planning your coursework carefully, you can take advantage of this program to reduce the financial burden of your education.

Merit-Based Grants for College

Merit-based grants are a fantastic way to help fund your college education, especially if you’ve been working hard to maintain a strong academic record or excel in specific areas. Unlike income-based grants, merit-based grants don’t focus solely on your financial need. Instead, they reward academic achievements, talents, or other accomplishments, while often considering financial need as a secondary factor. These grants are funded by a variety of sources, including state governments, businesses, and private organizations.

What Are Merit-Based Grants?

Merit-based grants typically require applicants to meet a combination of criteria that go beyond financial need. These might include:

• Academic Excellence: A strong GPA (typically 3.0 or higher) is often a key eligibility requirement.
• Leadership Skills: Demonstrating leadership through extracurricular activities, volunteer work, or holding positions like class president can boost your chances.
• Special Talents: If you’ve excelled in areas like music, sports, or the arts, you may qualify for grants tailored to your skills.
• Community Involvement: Grants often reward students who actively contribute to their community through volunteer work or service projects.

Merit-based grants vary widely in their qualifications and focus areas. Some prioritize academic performance, while others may reward outstanding achievement in specific disciplines, such as STEM, fine arts, or athletics. Many states also offer merit-based grants to their residents to encourage local talent to stay and study in-state.

Pro Tip: Start researching merit-based grants early in your high school career. This gives you time to align your academic and extracurricular efforts with the qualifications of the grants you’re targeting.

How Do Income Requirements Factor In?

While merit-based grants prioritize academic and other achievements, financial need can still play a role in determining eligibility. For example:

• High Achievers: Students with stellar academic records may qualify for grants regardless of income, but if multiple applicants meet the same academic criteria, financial need may be used as a tiebreaker.
• Middle-Income Families: Many merit-based grants aim to fill the gap for students from middle-income families who may not qualify for need-based aid but still face financial challenges.
• State-Specific Grants: States often use a combination of merit and financial need to allocate funds effectively among residents.

Even if income requirements aren’t explicitly stated, submitting a FAFSA (Free Application for Federal Student Aid) is often necessary to determine overall eligibility for many grant programs.

Pro Tip: Don’t overlook smaller, local merit-based grants offered by community organizations, religious institutions, or local businesses. These often have less competition and can still significantly reduce your college costs.

What Are Common Requirements for Merit-Based Grants?

While each grant has its own set of qualifications, here are some general requirements you’ll encounter:

• GPA Standards: Most merit-based grants require a GPA of 3.0 or higher, but more competitive grants might set the bar at 3.5 or above.
• Application Materials: These can include transcripts, personal essays, letters of recommendation, and sometimes a portfolio showcasing your talents or achievements.
• Residency: Some grants are exclusive to residents of a particular state or region. Check your state’s grant programs for details.
• Field of Study: Certain grants are tailored to students pursuing specific majors or career paths, such as healthcare, education, or engineering.

Merit-based grants are designed to reward your hard work, so be sure to highlight your accomplishments when applying. Take the time to carefully tailor your application to the specific criteria of each grant.

Pro Tip: Keep a running list of your academic and extracurricular achievements throughout high school and college. This will make it easier to craft compelling applications for merit-based grants and scholarships.

Examples of Merit-Based Grant Opportunities:

• State Merit Grants: Many states offer grants to residents who excel academically, such as Georgia’s HOPE Scholarship or Florida’s Bright Futures Scholarship Program.
• Corporate Grants: Companies like Coca-Cola and Intel sponsor merit-based grants to support talented students pursuing higher education.
• Specialized Grants: Organizations like the National Merit Scholarship Program award grants to students who perform exceptionally well on standardized tests like the PSAT/NMSQT.

Merit-based grants can significantly reduce the cost of your college education, and the effort you put into maintaining a strong GPA and well-rounded application can pay off in a big way. By understanding the qualifications and planning strategically, you’ll be well on your way to securing this valuable form of financial aid.