The Awarding of Graduate Financial Aid

Cover all Semester Costs

Once the aid officer has calculated the financial need, the goal is to create a package of financial aid awards that together add up to need amount.

There are three main "types" of graduate student financial aid.

  • Grants and Scholarships - funds that do not have to be repaid by the student
  • Loans - money lent to the student to pay for graduate school
  • Work - funds a student earns through a campus sponsored work program such as work study or teaching assistantships

In addition to these main categories of financial aid, specific aid programs can be need based or non-need based.

  • Need based financial aid programs require a student to demonstrate financial need
  • Non-need based programs can be awarded to students even when there is no calculated need - i.e., the student's EFC (or combination of EFC and awarded financial aid) exceeds the cost of attendance

The amount of each award is based on a number of factors including: institutional or regulatory policies for minimum and maximum amounts, amount of funds available to the institution, and eligibility of the applicant.

Sample Situations:

Private Graduate School:

Cost Amount
Tuition & Fees $22,500
Room and Board $7,500
Books $2,000
Transportation $2,500
Miscellaneous $1,000
TOTAL $35,500

Public Graduate School:

Cost Amount
Tuition & Fees $5,000
Room and Board $2,000
Books $750
Transportation $1,250
Miscellaneous $1,000
TOTAL $10,000

COA (Cost of Attendance) minus EFC = Need

Grad Student 1 has $15,000 EFC

  • $35,500 COA -- Grad Student 1 EFC of $15,000 = $20,500 Need for Financial aid at high priced, private grad school
  • 10,000 COA -- Grad Student 1 EFC of $15,000 = NO NEED for financial aid at lower priced, public grad school

Grad Student 2 has $1,000 EFC

  • $35,500 COA -- Grad Student 2 EFC of $1,000 = $34,500 Need for Financial aid at high priced, private grad school
  • 10,000 COA -- Grad Student 2 EFC of $1,000 = 9,000 Need for financial aid at lower priced, public grad school

Finally, sample awards will be shown for the sample needs shown above.

Grad Student 1 - Private Graduate Student:

Aid Program Amount
Institutional Scholarship $10,000
Teaching Assistant $2,000
Federal Subsidized Stafford Loan $8,500
Federal Graduate PLUS or Alternative Loan $5,875
TOTAL $26,375

Grad Student 1 Public Grad School:

Aid Program Amount
Federal Unsubsidized Stafford Loan $10,000
TOTAL $10,000

*The unsubsidized loan can replace some of the family contribution even when there is no need. The graduate PLUS loan is also available to grad students without need to replace some of the EFC you are expected to be able to pay.

Grad Student 2 Private Grad School

id Program Amount
Institutional Scholarship $15,000
State Funded Scholarship $2,000
Private Scholarship $3,000
Work Study $2,000
Federal Subsidized Stafford Loan $8,500
TOTAL $30,500

*A PLUS or alternative loan can be used to make up the difference between the total cost and amount of aid listed above if there are no personal savings available.

Grad Student 2 Public Grad School

Aid Program Amount
State Funded Scholarship $1,500
Federal Subsidized Stafford Loan $8,500
TOTAL $10,000

Based on the examples above, you should have a better understanding of how it all comes together. Now, continue on to our Financial Aid Calendar to learn more about when all this takes place...