Federal Grants

Teacher Education Assistance for College and Higher Education (TEACH) Grant

The TEACH Grant is a merit-based grant awarded to students that are interested in pursuing teaching as their careers and become full-time teachers. TEACH grant is a need based grant therefore the student applicant must demonstrate financial need while applying for the grant. Do keep in mind that there is a mandatory stipulation to teach full-time for four years at a public or private elementary or secondary, low-income school. These four years of compulsory service must be completed within eight calendar years after graduation.

In the event of failure to fulfill this stipulation the TEACH grant would be converted to Direct Unsubsidized Stafford Loan with interest accrued from the date the grant was disbursed. This loan would be payable to the United States Department of Education (U.S ED). There is a grace period of 6 months prior to entering repayment if the TEACH Grant is converted to a Direct Unsubsidized Loan. In addition to the above four year stipulation there is a requirement that the low-income school shall belong to a ‘high-need field’, namely mathematics, science, foreign language, bilingual education, special education or reading.

How much TEACH grant is awarded to a student?

A student can receive an amount ranging anywhere from $25 -$4,000. However the amount of TEACH grant and other financial aid shall not exceed the student`s financial need.

During the fiscal year 2010 a sum of $10,880,000 was awarded by the USDE. The average sum awarded amounted to a student was $2,500.

What is the eligibility criteria for being awarded the TEACH grant?

The following are the requirements/criteria that will be considered for eligibility to receive a TEACH grant. Also listed are some of the conditions that a student applicant must agree to receive the grant

• The student must be a U.S. citizen or eligible non-citizen
• The student must be enrolled as an undergraduate, graduate or post baccalaureate
• The student must be enrolled in a post secondary institution that is currently enrolled in the TEACH Grant Program
• The student must enroll in course work that is required to begin a career in teaching or plan to complete such course work. Such course work may include subject area courses (e.g., math courses for a student who intends to be a math teacher)
• The student has to meet academic achievement requirements where he or she must have scored above the 75th percentile on a standardized test such as SAT or ACT for undergraduate students or GRE for graduate students.
• The student must have scored a cumulative GPA of at least 3.2 on the latest college term
• The student must be willing to to sign the TEACH Grant Agreement that requires the student to serve in high-need low-income schools after graduation
• The student must serve as a full-time teacher for at least four academic years within eight calendar years after you completed or withdrew from the academic program for which you received the TEACH Grant

How do you apply for a TEACH Grant?

As with all federal grants, application for a TEACH grant starts with the applicant filing a Free Application for Federal Student Aid (FAFSA). Do keep in mind the eligibility criteria and also if your educational institution participation in the TEACH grant program. For a list of participating institutions visit the Department of Education’s Student Aid website. This list is as of September 2010.

References

• http://ifap.ed.gov/eannouncements/090310TEACHGrant.html

In our last article about SMART grants we gave an overview of National SMART grants, eligibility criteria for the National SMART grant, how much money is usually awarded and how the disbursement of the grant money takes place. One of the eligibility criteria for being considered for a SMART grant is that the student applicant must be in an approved field of study. SMART grants are only for those students currently in their third or fourth year of undergraduate studies in programs considered to be important to national security, important enough to warrant grants like the SMART grant to encourage students to graduate and help the United States maintain it’s dominance in the respective science and technology related fields.

Let us now take a look at the eligible majors for the current year (2010 – 2011) Do note that the SMART grant will not be available going forward. 2010 academic year is the last year that students can apply for a SMART grant.

The following are the majors and the associated CIP code

• Computer Science (CIP Code: 11.xxxx)

  All programs that deal with computer engineering, software, hardware, information systems and robotics are eligible for SMART grant.

• Engineering (CIP Code: 14.xxxx)

  All programs and fields of study such as chemical engineering, industrial engineering, mechanical engineering, materials engineering, aeronautical engineering, civil engineering and electrical engineering.

• Foreign Language (CIP Code: 16.xxxx)

  All programs that focus on the study of foreign literature, linguistics, interpretation and translation of foreign languages are approved for SMART grants.

• Life Sciences (CIP Code: 26.xxxx, 01.xxxx)

  All programs and fields of study that deal with biochemistry, microbiology, biology, behavioral biology, physiology, biophysics, botony, ecology and zoology

• Liberal Arts and Sciences (CIP Code: 24.xxxx)

  To qualify under a liberal arts and Sciences program the education institution must have submitted a request to the Department of Education and must be approved. For the year 2010, the following are the only liberal studies that are approved by the department of education for SMART grants

  • 24.0101 – Liberal Arts and Science program at St. Johns College in Annapolis and Santa Fe as well as Thomas Aquinas College.

• Mathematics (CIP Code: 27.xxxx)

  All programs that study relationships between forms, figures and symbolic quantities as well as operations research, applied math and statistics

• Natural Resources and Conservation (CIP Code: 03.xxxx)

  All programs that study natural resources and conservation of natural resources.

• Physical Sciences (CIP Code: 40.xxxx)

  All programs that study earth science, ocean science, planetary science, atmospheric science, astronomy and physics qualify for SMART grants.

• Psychology (CIP Code: 42.xxxx)

  Programs and fields of study that focus on individual and group behavior as well as the study of emotional and neurological activity qualify for SMART grants.

• Technology (CIP Code: 41.xxxx, 29.xxxx, 15.xxxx)

  All programs and fields of study that deal with or focus on the application of scientific and mechanical knowledge such as applied science.

• Multidisciplinary Studies (30.xxxx)

  Quite a few multidisciplinary studies are also eligible for SMART grants.

It is important to note that simply being classified under the 2 digit CIP code is not enough. Your current undergraduate major must be classified by the college under the approved 6 digit CIP code.

References

• http://ifap.ed.gov/ifap/
• http://www.ed.gov

The National Science and Mathematics Access to Retain Talent (SMART) Grant are provided to qualifying undergraduate students who are in their third or fourth year of post secondary education majoring in qualifying undergraduate programs and who are in need of financial assistance. The rational behind this grant is to help and encourage students graduate in areas that are recognized as important to national security.

History of National SMART Grant

The National SMART Grant award was proposed by Senator Bill Frist, former chief resident of cardiac transplant surgery at Standford and Faculty member at Vanderbilt University Medical Center. The SMART grant was established as part of the Higher Education Reconciliation Act of 2005, the aim was to ensure that America maintained it’s competitive advantage over developing countries like India and China when it came to leadership and advances in technology and sciences.

Between 2005 and 2010 it is estimated that close to 600,000 students have benefited from the National SMART award program.

What are the eligibility criteria for National SMART Grant?

To be eligible for National SMART grant award, a potential student applicant must meet the following criteria

• The student must be in his or her third or fourth year of undergraduate study. (fifth year in a five year undergraduate program)
• The student must be majoring in an approved program of study. Get the complete list of eligible majors for SMART grant here. A sample listing of approved programs are below
  • Computer Science
  • Engineering
  • Foreign language
  • Liberal Arts and Sciences
  • Mathematics
  • Technology
  • Life Sciences

• The student must be a U.S. citizen or eligible permanent resident.
• The student must have become eligible for the Pell Grant during the same award year.
• The student must be enrolled at least half time, majoring in any of the fields of studies mentioned above.
• The student must have at least a 3.0 GPA on a 4.0 scale at the end of the second award year and continue to maintain a 3.0 GPA that must be verified before the beginning of each semester.

How do you apply for the National SMART grant?

As with all federal aid, your application for a SMART grant begins with filing your Free Application for Federal Student Aid. Eligible students will be identified by the Colleges themselves based on their GPA, major and eligibility for a Pell Grant. There is no separate application that a student must file for being considered for the SMART grant. The college will notify all potentially eligible students regarding their eligibility and award for a SMART grant.

How much money is awarded as SMART grant?

A student typically is awarded funds ranging from $750 – $4000 for each of the third and fourth years of undergraduate study. The amount awarded as part of SMART grant and Pell grant combined together cannot exceed the cost of attendance. In case the number of eligible students for SMART Grants are more than the amount allocated then the amount awarded to each eligible student is correspondingly reduced.

During the fiscal year 2010 a sum of $1,336,000,000 was awarded to the eligible students. The average amount awarded to each student came to about $2560.

How is SMART Grant funding disbursed?

if you are awarded the SMART grant, the money from the grant will be applied to any outstanding tuition, room and boarding, supplies and other institutional fees. If you have funds left over, the balance will be mailed to you or deposited into your bank account.

References

• http://studentaid.ed.gov/PORTALSWebApp/students/english/SmartGrants.jsp
• http://www2.ed.gov/about/offices/list/ope/ac-smart.html

In our previous article we gave a brief overview of the Federal Work Study (FWS) program and how it can help students pay a portion of their education costs. A student applicant that is approved for the work study program gets paid to work a certain number of hours in a field and position closest to his chosen degree. The work study program have over the years helped a number of students and has been in operation for nearly 50 years. Close to 3400 colleges in the United States participate in the work study program

How to apply to the Federal Work-Study (FWS) Grant Program?

As with all federal aid, your application for Work Study starts with filing your FAFSA. Remember, FWS grant programs are for students that demonstrate financial need and this is determined by the information you fill out in your FAFSA.

On your FAFSA application, you will find an option that asks if you would be interested in Work Study as part of your financial aid package. To be more precise, taking the paper based FAFSA form as an example, on item 31 in the Step 1 section for students in the FAFSA application you are asked if you are interested in being considered for work-study. Make sure you mark that option as “Yes”. That’s pretty much it, you have now signed up to be accepted into the FWS program.

Below is a screenshot of the option

Select Work-Study option on your FAFSA form

How much can I earn from the Work-Study Program?

The FWS is a campus based aid program. This means that the awarding and disbursement of aid is managed by the financial ad office on campus. Individual colleges have a certain amount of flexibility in managing the Work Study grant program. Some schools have a limit on the total number of hours a student can work part time in a week and others have restrictions where the work study program hours are curtailed if the student’s GPA falls below a certain number. You are guaranteed however that your hourly pay is above minimum wage set by the federal government. Your total wages will depend on the total number of hours you work or are limited to by the program. Typically a student will work 10 to 20 hours a week in a campus based position or a off campus based position.

Where and who can I work for under the Work-Study Program?

One of the requirements of the FWS program is that participating schools try their best to place students in a part time position that is directly related to his or her course work. For this reason you will find that many work offers are within the school itself. Also institutions must utilize at least 7 percent of their FWS allocation to support students who are working in community service jobs such as tutoring preschool or elementary school children. Typical work study jobs that fall under this category are working as Math tutor or English tutor.

You can also find employment in the following organizations

• Federal, State or local public agency
• A private Non profit organization
• A private For profit organization

Since 93 percent of the funds is left to the discretion of the school, you just might find yourself working on campus doing just about anything.

How will I get paid as part of the FWS program?

Unlike other grants like the Pell grant and FSEOG, you can request your money to be paid directly to you or credited to your bank account or applied to your course fees. The choice is yours to make. The payments take place monthly and is dependent on the number of hours you work during the month.

What is a Federal Work Study Grant?

The Federal Work Study Grant or FWS for short is a federally funded grant program that provides financial aid to students in the form of paid part time work, hence the name work study. The FWS program has been operational for a long time now, close to 50 years. The Federal work study program was started by Congress in 1964 and has helped many students till date alleviate their academic monetary requirements. That said, do keep in mind that the work study program will not pay for your entire cost of education but it will certainly help pay a portion of it

The Federal Work Study Grant is quite unlike other federal grant programs such as the Pell grant and FSEOG. In other federal aid programs such as Pell Grants and Federal Supplemental Education Opportunity Grant, students receive the entire allocated grant money which is then applied to their tuition and other educational expenses by the college financial aid office. In the FWS Grant program, students are required to work part time in a field and position that is in line or closest to their chosen degree. The financial aid office will determine the amount awarded to the student and this is done based on the financial needs of the student in question.

How is the student`s financial need gauged for the FSW Grant program?

The financial status of the student is determined by the information that is filled by the student on their FAFSA. The U.S Department of Education uses the information from the student’s FAFSA and applies a standard formula to determine the Expected Family Contribution(EFC). The formula varies if the student’s status is independent or dependent. If the student is independent then the main factors that are considered as the student’s assets and income. On the other hand, if the student is dependent then the main factors that are considered are the assets and income of the parents along with the size of the family and the number of household members attending post secondary educational institutions.

Funding for the Federal Work Study program is provided to colleges only once per year and is limited. This means it is important to apply early. Students that apply early and are successful in securing a FSW grant must make full use of the entire grant money by working their allotted number of hours. Failure to do so will mean that the allocated grant money will not be used up completely and will deny other deserving candidates from participating in the program. It is for this reason that all students are strongly urged to fulfill their commitments to the FSW grant program.

How much money was awarded as part of the FWS grant program?

During the fiscal year 2010 a sum of $980,492,800 was awarded as FWS grants by the U.S Department of Education. The average sum awarded to each student amounted to $1524

In the next article we will look at how to apply for a Work Study Grant and the possible work options under the work study program.

In our previous article we gave an overview of the Federal Supplemental Education Opportunity Grant or FSEOG in short. This article continues from where we left off. In this article we look at the FSEOG eligibility criteria, how to apply for FSEOG and how the FSEOG funds awarded are disbursed to the student.

What are the eligibility criteria for Federal Supplemental Education Opportunity Grant (FSEOG)?

Since FSEOG is a federal grant, all the rules and eligibility criteria for applying for a need based federal grant that we listed previously apply here as well. Also read more about how to apply for need based financial aid.

In addition to the eligibility criteria for federal funding, the following criteria applies for the Federal Supplemental Education Opportunity Grant(FSEOG).

• The college must be enrolled in the FSEOG program.
• The student must be enrolled in an approved under graduate, bachelor degree program. This must be the applicant’s first bachelor’s degree.
• The applicant must have a minimum GPA score of 2.0.
• The applicant must demonstrate extreme financial need.

FSEOG is awarded to students that show extreme financial difficulties. This is evaluated based on the information submitted by the grant applicant in their FAFSA. Pretty much all federal funding starts with filing a Free application for Federal Student Aid (FAFSA). Since the FSEOG is a campus based program, the college financial aid office will evaluate the information in the applicant’s FAFSA to verify if the student does have and demonstrate extreme financial need.

How To apply for FSEOG?

The first step in any application for federal funding is to file the Free Application for Federal Student Aid (FAFSA) at http://www.fafsa.ed.gov. Remember that the application for federal funding is free. Do ensure that you go to the official website (www.fafsa.ed.gov) to file your FAFSA. Once the student has filed the FAFSA, he/she is automatically evaluated for the FSEOG funding. There is no requirement to file a separate application for FSEOG. The information submitted in the FAFSA is utilized to identify eligible students. The granting process for FSEOG is highly competitive and is not guaranteed. Unlike other federal grants such as the Pell grant, FSEOG funds are limited and not replenished. This means if the funds are exhausted, eligible applicants will not receive any funds as part of FSEOG even if they meet all eligibility criteria. Therefore it is important to file your FAFSA early and keep it updated each year without fail.

Filing your FAFSA online is recommended since it will speed the application and review process. Also as suggested, it is wise to update your FAFSA annually in order to be considered for the FSEOG grant and other federally funded programs.

How will the FSEOG funds be received by a student?

Once a student is awarded FSEOG funding, he/she will be notified through mail or email. The money will be disbursed directly to the student’s school which will apply the amount toward tuition, rooming and other education related expenses.

As far as disbursement of financial aid is concerned, the school’s financial aid office usually disburses funds every term. This could be either every semester, trimester or quarter depending on the school term at the applicant’s school. In the event the school in question does not use semester, trimester, or quarter terms then the financial aid office disburses funds twice per academic year.

What is FSEOG?

Federal Supplemental Education Opportunity Grant or FSEOG in short is a need based federal grant formulated to assist low income undergraduate students to help finance the costs of their post secondary education. Since FSEOG is a grant the beneficiary does not have to repay back the amount that is awarded as part of the grant.

FSEOG is a campus based program. What this means is that the grant is administered by the participating school’s financial aid office. The school’s financial aid office will work with you to determine your funding requirements and disbursement of funds. Since the FSEOG is a need based grant from the government, students with extreme financial difficulties and consequently have some of the lowest expected family contribution (EFC) amount based on their FAFSA application are classified as students with exceptional need. These students are given priority over others for the purpose of this grant. In addition, those students that have been awarded the Pell Grant are also considered for the FSEOG on a priority basis.

Across the United States there are approximately 4000 post secondary participating institutions. These institutions apply to the U.S. Department of Education (ED) by submitting a Fiscal Operations Report and Application to Participate (FISAP). Since the FSEOG is a Formula Grant, the U.S Department of Education allocates the funds based on a statutory formula. The allocation is dependent on the institution’s previous funding level and the overall need of the eligible students attending the institution in the previous year. The USDE funds 75% of the grant money to the institutions. The remaining 25% of the grant money is the responsibility of the institution.

How much grant money is awarded to a student as part of FSEOG?

A student can receive anywhere between $100 – $4000 as funding from the FSEOG grant. The final amount awarded to the student really depends on the demonstrated financial need of the student, the funding awarded to the participating school, the financial aid policy of the participating school and the time at which you apply. Do keep in mind that the FSEOG is not intended to pay for your entire year’s tuition fee, instead supplement other grants and awards. The earlier you apply for an FSEOG the more chances you have to be awarded with a larger sum of money.

Being a campus based grant, certain amount of funds is awarded to each participating school every year. Therefore once the funds for the grant have been utilized no further awards can be granted from that program for that year. It is for this reason that is is advised that applications for the FSEOG grant are made as early as possible. Every school will have its own deadlines for disbursement of campus based funds that they manage and typically the deadlines are much earlier than the U.S Department of Education mandated deadline for filing a FAFSA for consideration for federal aid.

To give an estimate, during the fiscal year 2010 a sum of $757,464,800 was awarded by the FSEOG program. The average sum awarded amounted to a student came to about $736. In our next article we will talk about the eligibility criteria for FSEOG, how to apply for FSEOG and how funds are disbursed to the applicant if awarded the Federal Supplemental Education Opportunity Grant.