Last updated on November 17, 2024 by College Financial Aid Advice.
University of California, Berkeley
A Pell Grant does not need to be repaid, so is truly free money for college. The Pell Grant eligibility requirements changed for 2024 - 25, and it is estimated that an additional 15% of students will qualify.
Federal Pell grants for college students average around $2500 per year, and will be reduced if you reduce your units below 12 units, which is considered full-time. You also must make satisfactory academic progress to remain eligible for your grant.
For 2024 - 2025, the federal Pell Grant maximum award is $7395. Students are limited to only 12 semesters, and some awards will be less than prior years. You may also be able to get a "year-round Pell" if you also attend summer school.
Minimum Pell Grants will be guaranteed to students from households below 275%, 325%, 350%, or 400% of the federal poverty level, depending on household structure.
Pell Grant awards between the maximum and minimum amounts (Pell Max and Pell Min) will be determined by the Student Aid Index. This means other students may qualify, including those who don't file tax returns. Also, children of certain deceased U.S. armed forces or public safety officers may be eligible.
The basic Pell Grant requirements still apply:
High school diploma or GED
U.S. Citizen (some non-citizens are qualified)
Enrolled in accredited college or university undergraduate program
Must not have certain types of criminal convictions, although you may be eligible if you participate in an approved Prison Education Program.
Low to moderate income (Typically less than $40,000 per year).
The number of students in college at the same time is no longer a consideration.
The Pell Grant award cannot exceed the Cost of Attendance for the school the student will attend.
Half of the Federal Pell Grant award will be offered in each semester, and if the student is not attending full-time, it will be prorated based upon the Enrollment Intensity, or number of units/credits.
You might be asked to repay a grant if you reduce your enrollment from full-time to part-time, withdraw from classes, receive outside aid that covers your needs, received a TEACH Grant but did not fulfill the obligation, or received a Pell Grant from more than one school at a time.
Starting in 2024-25 academic year, the Pell Grant Award for each student is calculated as follows.
1. Max Pell - Start with the automatic Maximum Pell Grant Award.
2. Subtract SAI - Subtract the student’s Student Aid Index (SAI) from the Annual Max Pell.
or
3.Min Pell - The award will amount won't be lower than the Minimum Pell Grant Award.
Here is an example, which assumes the Max Pell is $7400 and the Min Pell in $700. You can obtain your estimated Pell Grant from your FAFSA Submission Summary form.
Example Student | Max Pell | SAI | Max Pell - SAI | Min Pell | Scheduled Pell Award |
---|---|---|---|---|---|
Jose | $7400 | $300 | $7100 | $740 | $7100 | Michelle | $7400 | $3400 | $4000 | $740 | $4000 | Raj | $7400 | $7000 | $400 | $740 | $0 |
Here is an example of how the Pell Grant amount is reduced based upon Enrollment Intensity.
Credit Hours | Enrollment Intensity |
---|---|
12 or more | 100% |
11 | 92% |
10 | 83% |
9 | 75% |
8 | 67% |
7 | 58% |
6 | 50% |
5 | 42% |
4 | 33% |
3 | 25% |
2 | 17% |
1 | 8% |
You may also be eligible for state grants and scholarships based upon your Pell Grant eligibility, or some private scholarships such as the Bill Gates Scholarships.
The Federal Pell Grants program is moving toward requiring Pell Grant applicants to use tax data from the IRS to report their income section, based upon their federal tax return. This will be done by using the Direct Data Exchange (DDX) during the FAFSA online application process. This is required even for non-filers to confirm their status.
Your FAFSA information will determine your SAI or Student Aid Index. Students qualifying for a Maximum Pell Grant will have a Student Aid Index (SAI) between negative $1,500 (-$,1500) and $0. The lower your SAI means you are more likely to meet the Pell Grant requirements. Note: The SAI replaced the Expected Family Contribution (EFC) in 2024-25.
Recipients are also eligible for other grants for college students that may be awarded based upon their FAFSA financial need, and outside scholarships, making college much more affordable.
Scholarships for 2025 - 2026 - It is never too early or too late to work on your scholarship searches. If you are part of the high school class of 2025, you should work on your scholarship and college search now. See our list of Scholarships for High School Seniors
FAFSA - The official 2024 - 2025 FAFSA is available now. The 2025 - 2026 FAFSA will be available on or before December 1. FAFSA.
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