Financial Aid & the FAFSA
Aid packages are confusing on purpose. Here’s what the pieces actually are, and which ones you have to pay back.
Four kinds of money — and only one of them is a bill later
When a college sends you an aid package, it will mix these together into one friendly-looking number. Pull them apart before you celebrate.
Grants
You keep this. Usually need-based, from the federal government, your state, or the college itself. The Pell Grant is the big federal one. Requires a FAFSA.
Scholarships
You keep this. Merit, talent, service, or circumstance. Some come from the college automatically; many come from outside organizations you have to go find. That is what The Scholarship File is for.
Work-study
You earn this. A federally subsidized campus job. It is real money, but it arrives in paychecks over the year — it does not reduce the tuition bill in August.
Loans
You pay this back, with interest. Subsidized federal loans are the least bad. Unsubsidized accrue interest while you study. Private loans are last resort. A loan in an aid package is not aid — it is a bill with a delay on it.
File it. Even if you think you won’t qualify.
The Free Application for Federal Student Aid is the gate. Miss it and you are locked out of federal grants, federal loans, most state aid, and a great deal of institutional scholarship money — including merit awards that have nothing to do with need.
- It costs nothing. If a site charges you to file, you are on the wrong site.
- File as early as you can each year — some aid is first-come, first-served.
- Many colleges set their own priority deadline well before the federal one. Ask.
- You file it again every year you’re enrolled, not just once.
- Families who assume they earn too much are the ones who most often leave money behind.
File the FAFSA at studentaid.gov — the official site, always free.
Questions worth asking every financial aid office
How much of this package is money I keep?
Ask them to separate grants and scholarships from loans and work-study. Get the number that is genuinely free.
Is this renewable for all four years?
Some awards are first-year only, or drop off if your GPA slips. Find out the exact conditions now.
What is the total cost of attendance, not just tuition?
Housing, meals, fees, books and travel are real. Tuition alone always looks better than the bill.
What happens to my aid if outside scholarships come in?
Some schools reduce their own award when you win outside money. You need to know the policy before you spend a semester applying.
Aid covers part of it. Scholarships cover the rest.
The Scholarship File is where I keep everything I’ve found. It’s free, and it works regardless of where you apply.
Send me the file
Takes about twenty seconds.