Is a Low EFC Good for Pell Grants?

College tuition can be offset with the help from a Pell Grant.

According to the United States Department of Education, a Pell Grant is a United States federal grant that does not need to be paid back. Calculations based on income and other factors determine eligibility.

Determining Factors

After applying for federal financial aid, the federal government determines the EFC, or expected family contribution, toward the student's educational need. According to U.S. News & World Report, a low EFC, such as $4,600.00 and below, triggers the eligibility of the Pell Grant for the student's upcoming school year. Having a high EFC makes the student ineligible for this grant program.

Features

Based on the EFC, Pell Grant eligibility factors in both the student's and parents' income, the size of the family, and how many family members are attending post-secondary schools, asserts the U.S. Department of Education.

Interesting Fact

To compete with inflation and rising educational costs, the Pell Grant program is adding more money to the usual amounts, and allowing more students to be eligible in the coming years, says U.S. News & World Report.

References

• U.S. Department of Education: Federal Pell Grant Program
• U.S. News & World Report: Here Are the Bright Spots for Scholarships