Has anyone heard of this? My nephew received an outside scholarship of $2k. Instead of taking it off of loans (as we’d hoped), they rescinded his work study. I suppose they can do what they want but has anyone heard of this before?
It is seen as income and increases EFC
Did he ask them to take away loans instead? For some students, they need the loans right away to pay the tuition/r&b&board, and can’t wait to earn the money through work study. Another advantage of ‘losing’ the WS and not the loans is that the student can still get a job and earn that amount. The ‘regular’ job can pay just as well as the WS. My daughter interviewed for a job yesterday she thought was WS (tutoring on campus) but it isn’t. Not a big deal and probably won’t change her FA eligibility.
The schools take away some form of self help aid when you get an outside scholarship. This school chose work study.
Your nephew can apply for jobs that are not work study funded.
It is up to the school to remove WS or loan. It is typical. If you want to earn money, you can still work, just without some benefit of WS.
Happened to my kid. Better than having to work the job, and she can still work a non-WS job.
If cost of attendance - EFC - free money is 0 or less, the FWS has to be removed - and if the school awards sub loans before FWS, COA-EFC-free money-sub loans would have to be > 0 to keep the FWS. Sometimes FWS is only awarded when the remaining need is above a certain level, and the scholarship may have reduced the need enough to prompt removal of the FWS. FWS is limited, so there are rules in place to try to award it to the neediest, and the scholarship may well have put him out of FWS award territory.
Every school handles this differently. My kids school has an amount designated for student summer work and they reduce that first but then after that amount has been reached they reduce grant aid so it’s basically meaningless to get a scholarship more than the few thousand dollars of work commitment.
It happened to my D. As soon as her private scholarship hit the books, she lost her WS job. Luckily, she was able to get a nont WS job on campus.