What is Non-Need-Based College Financial Aid?
More About EFC
Expected Family Contribution compares total family income, assets, and size to the tuition cost of the institution a student plans to attend. EFC also considers the length a student will attend the institution, and whether he or she will be a full- or part-time student.
To calculate EFC, applicants must fill out a Free Application for Federal Student Aid (FAFSA). This application determines ones eligibility for various types of financial aid.
Need-Based Financial Aid
There are three main ways to receive need-based financial aid for college. Applicants must fill out a FAFSA to determine eligibility for each of these programs.
- Federal Pell Grant - A Federal Pell Grant is a need-based scholarship program in which recipients are not required to repay funds. A majority of Pell Grant recipients have an EFC less than $30,000.
- Federal Work Study Program - Students who qualify for a work study program must attend school and work at an approved job on or off campus. Income cannot exceed the amount provided by the Work Study Program. Like a Pell Grant, funds afforded by Work Study do not have to be repaid.
- Federal Perkins Loan - This program is a federal loan given to students with the greatest financial need. Perkins loans offer longer grace period and fewer fees than other student loans. Principal payments are deferred until 9 months after graduation.
