<p>Hi! Sorry, this is probably such a dumb question, but can someone explain to me how Pell Grants work? Is it based off the FAFSA? What are the eligibility reqs for it? I know I'm probably eligible - on the Federal Free/Reduced Lunch program and family income is like under $50000, I think.</p>
<p>I have an automatic full tuition scholarship at the college I want to go to, but I would need help paying for housing. If I were to get a Pell Grant, could I apply it towards that?</p>
<p>I’m in high school, not college just trying to figure it out for next year (2015). I’ll ask my potential college the next time I’m on campus, but I see it is based off the FAFSA? Thanks!</p>
<p>You need to file FAFSA. If you qualify for F/RL program you might have an automatic zero EFC in which case you’d be eligible for full Pell, about $5600 a year.</p>
<p>As to stacking that on top of your academic scholarship - yes, you usually can but check with the college directly to be sure.</p>
<p>I’ve heard about that “automatic zero EFC” before, and a “simplified FAFSA”, too - are they the same thing? Maybe this whole thing will make more sense when I can actually start filling out the FAFSA and all. Thanks!</p>
<p>Thanks for the explanation @thumper1, that clears up a lot! If I end up going where I think I am, I’d have tuition and the meal plan covered automatically, but would still need to pay for housing/books/etc, so it’s good to know that Pell is completely separate from college merit.</p>
<p>Here is the 2014-15 fafsa formula. It explains all about auto 0 and the simplified formula. You can manually calculate your EFC and going through the questions will give you a great idea of how it works.</p>
<p>Automatic zero EFC and simplified needs test are not the same thing. The automatic zero EFC requires a very low AGI - in the low $20k region. The simplified needs test ignores assets - it has a higher cut off of $50k, but does give you an automatic zero EFC.</p>
<p>Also, since you may be getting such large awards, I’ll point out that some of that may be taxable income to you. IRS Pub 970, chapter 1 has the details.</p>
<p>Basically scholarships/grants above the charges for tuition, mandatory fees and required books and supplies(QEE) are taxable income to the student. Room and board are not qualified education expenses for this purpose. It’s good to be aware of this ahead of time so you can plan for it. </p>
<p>IF it helps any. my DS has an EFC of $3500 (this was the same amount that he had for his freshman year). As a freshman his PELL Grant was $2000/year and this year it’s $2000/ year as well.</p>
<p>The simplified needs test does NOT give you an auto $0 EFC. </p>
<p>OP…your Pell grant amount will be based in your EFC per FAFSA. I believe the max Pell is now $5600 for the full year for a full time student. If your EFC is $0, you would get the full Pell. If your EFC is more than $0, your Pell would be reduced. As noted above…if your EFC is $2000, your Pell would be reduced by that amount. </p>
<p>I would suggest you run the Net Price Calculator for your college choice and see what you get. That would be a good start.</p>
<p>Annoyingdad is correct about taxable income for things that are not considered qualified expenses (room and board fall into this). But you also have an amount you can earn without tax implications. Plus any taxes you pay will be less than the amount you “earned” with money towards room/board…by a lot.</p>
<p>Thanks @annoyingdad, I’m definitely bookmarking those links, since they were really helpful in clearing things up, and I imagine I’m going to need to refer to them in the coming months.</p>
<p>I finally get the difference between the automatic zero EFC and simplified FAFSA - I’m eligible for the latter, but not the former. Thankfully, it seems like the simplified FAFSA will help reduce my EFC (correct?).</p>
<p>I also see (on the chart annoyingdad posted) that the Pell is dependent on the EFC which is determined by the FAFSA - and for a newbie like me, that’s a lot to wrap my head around, so I’m glad I finally got it! :)</p>
<p>Re: Net Price for my college, all I have to pay for at the college I want to go to, at this point, is room/board and books/fees, so I got the majority paid for with the automatic scholarships. </p>
<p>I’m thinking (mostly assuming) that with automatic scholarships + Pell grant + (potential, though likely) competitive scholarships from aforementioned school + financial aid (which I still have to check on re: that school’s policies. I’m touring campus again next month, and have many many questions to get answered), I should be in good shape! :)</p>
<p>Oh, and thanks @thumper1 and all others, your responses were very helpful! :)</p>
<p>[If I messed up on something or anyone have anything else to add, please do! I’m quite new to all of this, and help is more than welcome!]</p>
<p>Definitely ask. The school may not offer need-based aid beyond the Pell, though there might be SEOG or state money, or they may stack their own institutional need-based aid if they have any. Also be aware that they MIGHT reduce your scholarship or other aid if you earn outside scholarships. I’d ask carefully how all that works there.</p>
<p>You will be eligible for $550 in loans which would probably cover the rest of room and board after Pell. </p>
<p>So, I went ahead and looked at our tax forms for the past year to fill out the FAFSA4caster and Auburn’s Net Price calc and well, it turns out our income is significantly lower than I thought it was… </p>
<p>BUT, it does mean I am now eligible for an automatic 0 EFC and the full Pell grant amount, which will be a big relief :)</p>
<p>If you will be a senior, your family income for 2014 will be THE income you will be using. </p>
<p>If you get full tuition and fees paid…a full Pell would be $5600, and the full direct Loan would be $5500. Add some earnings from a job, and it sounds like you will be very close to having costs covered! </p>
just trying to figure it out for next year (2015). I’ll ask my potential college the next time I’m on campus, but I see it is based off the FAFSA? Thanks!</p>