Facts of the Month

Inconsistencies in Federal Aid Usage by the Colleges

Federal Supplemental Education Opportunity Grants (SEOG), Perkins Loans and Federal Work Study (FWS) jobs are supposed to go to students with the highest financial needs and lowest Expected Family Contributions (EFC) under the federal financial aid formula. However, while 99% of SEOG dollars go to federal Pell Grant eligible students (currently an EFC of $4,617 or less), only 61% of Perkins loan and 46% of FWS recipients are Pell Grant eligible. Other interesting statistics indicate that 28% of athletic scholarship and 36% of total institutional (college) grants go to Pell Grant eligible students.
Source: 2007-2008 National Postsecondary Student Aid Study (NPSAS) conducted every four years by the National Center for Education Statistics at the U.S. Department of Education

Publication Date: May 2009