This is true. When you are awarded a ROTC scholarship - the Financial Aid office will re-work your Financial Aid award. They can’t take away federal grants but they can take away university grants. You can’t “make money” off financial aid or scholarships.</p>
<p>procrastinator89 - not all who ‘join’ ROTC will receive a scholarship. IF you get on and it pays for your tuition, fees and books this is counted as a resource.</p>
<p>The ‘real’ benefit comes in that ROTC scholarships and stipends don’t have to be counted as income when you file for financial aid again. This helps the neediest students maintain their pell grants.</p>
The Stafford loans are Federal and will not be affected by a ROTC scholarship. If you receive a full tuition ROTC scholarship your parents will not need $20K in Parent Plus loans, and if they qualified for $20K they will still qualify for less.</p>
<p>Can someone tell me if I apply my ROTC scholarship towards Room and Board, is that considered taxable? Where in the tax pubs does it actually state this?</p>
<p>I don’t believe you can choose how you would like your ROTC scholarship spent.
S had a NROTC scholarship. The govt. sends the funds directly to the college and it is applied to cost of tuition. You don’t get to choose how it is used. </p>
<p>We did not file for FA. S did however receive merit scholarships from his college that paid for his room and board. Having a ROTC scholarship did not preclude him from applying for merit scholarships. His roommate (also NROTC) got merit money too. That’s an avenue to explore for help with the room and board fees.</p>
<p>Army ROTC is the only program that allows its recipients the choice of using their AROTC scholarship for R&B instead of tuition. I believe there is a maximum limit of about $10K (not sure about this $) a year if you use it for R&B. Also using a ROTC scholarship might be taxable if used for R&B.
[FinAid</a> | Scholarships | Taxability of Scholarships](<a href=“Your Guide for College Financial Aid - Finaid”>Taxability of Scholarships - Finaid)</p>
<p>Scholarships that cover the cost of tuition are not taxable. Scholarship $$ used for anything beyond the cost of tuition is taxable (unless something has changed in the last year. S1 grad./commissioned in 2009)</p>