Key Points
- The maximum Pell Grant is $7,395 for the 2026-27 school year, and the minimum award is $740.
- New rules that started July 1, 2026, bar students with an SAI of 14,790 or higher and students whose other grants cover their full cost of attendance.
- The 2027-28 maximum isn’t set yet. A stopgap spending law keeps Pell funded at current levels through December 11, 2026.
A Pell Grant is free federal money for undergraduate students with financial need. Awards for the 2026-27 school year range from $740 to $7,395, according to the Department of Education’s award announcement. You apply by filing the FAFSA, and there is no separate Pell application.
Pell matters more each year that the award stays flat. The College Board puts average in-state tuition and fees at a public four-year college at $11,950 for 2025-26. A maximum Pell Grant covers about 62% of that bill, so it belongs at the top of any plan to pay for college.
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What Is The Pell Grant?
A Pell Grant is a need-based federal grant for undergraduate students. Unlike a loan, a Pell Grant generally doesn’t have to be repaid. The exceptions are covered in our breakdown of when you have to pay back grants.
Pell is one of several federal grant programs run by the Department of Education, and the money flows through your school. Your school applies the Pell Grant to its own charges first. Any leftover credit balance goes to you for books, housing and other cost of attendance items.
Pell is one piece of a financial aid offer. Your offer may also include Federal Work-Study and federal loans. You can accept the Pell Grant and turn down the loans.
How Much Is The Pell Grant For 2026-27?
The maximum Pell Grant for 2026-27 is $7,395, and the minimum is $740. The 2026-27 award year runs from July 1, 2026, to June 30, 2027, and the 2026-27 FAFSA deadlines follow that window. The minimum is set at 10% of the maximum, according to the Department of Education.
Pell Grant Award Amounts By Year 2024-2028
Award YearMinimum AwardMaximum AwardStatus 2024-25$740$7,395Final 2025-26$740$7,395Final 2026-27$740$7,395Current year 2027-28Not setNot setPending Congress
Source: U.S. Department of Education. The College Investor.
The maximum hasn’t changed since 2024-25. Most students get less than the maximum, because the award depends on your Student Aid Index, your school’s cost of attendance and how many credits you take. Students who enroll year-round can receive up to 150% of their scheduled award in one award year.
The value of a Pell Grant depends on where you enroll. Using College Board’s 2025-26 tuition averages, a maximum award covers all of the $4,150 average community college bill with $3,245 left for books and living costs. At a private nonprofit college charging $45,000, it covers about 16%. Private colleges fill more of that gap with their own aid, so watch for front-loaded aid offers.
What Are The Qualification Criteria?
To qualify for a Pell Grant, you need exceptional financial need and enrollment in an eligible undergraduate program. You also need to meet the general federal aid rules in the FSA Handbook’s Pell eligibility chapter. File the FAFSA before your state and school FAFSA deadlines to be considered.
What Does It Mean To Demonstrate Financial Need?
Exceptional financial need for Pell comes down to your Student Aid Index and your family’s income compared with the federal federal poverty level. Some students qualify for the maximum or minimum award automatically based on adjusted gross income, according to the 2026-27 SAI and Pell eligibility rules. The federal poverty level used depends on family size and state of residence.
Automatic Pell Eligibility By Income 2026-27
CategoryTwo-Parent Or Non-Parent AGI LimitSingle-Parent AGI Limit Maximum Pell, Dependent Student175% of federal poverty level, or parents not required to file taxes225% of federal poverty level Maximum Pell, Independent Student175% of federal poverty level, or not required to file taxes225% of federal poverty level Minimum Pell, Dependent Student275% of federal poverty level325% of federal poverty level Minimum Pell, Independent Parent350% of federal poverty level400% of federal poverty level Minimum Pell, Independent Non-Parent275% of federal poverty levelDoes not apply
Source: U.S. Department of Education. The College Investor.
Students who miss those thresholds can still get a calculated award based on SAI. The Federal Student Aid Estimator previews your SAI before you file. Families who assume they earn too much should still read our take on why higher earners should file the FAFSA.
What Changed For Pell Grants In 2026-27?
Four Pell rules changed on July 1, 2026, under the One Big Beautiful Bill Act. NASFAA’s summary of the Pell changes (PDF File) says few students are affected, but the hit to each one is large. The same law rewrote federal loan limits, which our breakdown of how much a student can borrow for college covers.
SAI Cap At Twice The Maximum Award
Students with an SAI of 14,790 or more can’t receive a Pell Grant in 2026-27. That number is twice the $7,395 maximum. The cap closes a gap where low-income families with high assets still qualified for the minimum award, so asset-heavy families should review how a 529 plan affects the FAFSA.
No Pell When Other Grants Cover The Full Cost
Students whose non-federal grants and scholarships cover their entire cost of attendance are no longer eligible for Pell. This rule hits many full-ride athletes. Schools can trim their own aid below the cost of attendance to keep a student Pell eligible, so students stacking private scholarships should ask the aid office how it handles the overlap.
Foreign Income Now Counts
Foreign earned income now gets added to adjusted gross income when schools test for maximum and minimum Pell. The change applies to the income thresholds, not the SAI formula, according to the FSA Handbook’s Pell calculation rules. Report it accurately on the FAFSA to avoid a later correction.
Workforce Pell Launched
The fourth change opens Pell to short job training programs. The Workforce Pell section below covers who qualifies and how much it pays, and our full Workforce Pell eligibility breakdown tracks program approvals.
How Pell Grants Are Calculated
Your school calculates a Pell Grant by subtracting your SAI from the $7,395 maximum and rounding to the nearest $5. The award can’t exceed your school’s cost of attendance, and results below $740 don’t qualify for a calculated award. These rules come from the FSA Handbook, and they assume full-time enrollment for a full year.
Pell Grant Calculation Examples 2026-27
ScenarioSAICost Of AttendanceFull-Time Award Maximum Award0 or less$10,000$7,395 SAI Below The Maximum1,004$10,000$6,390 Cost Of Attendance Caps It1,004$6,000$6,000 Below The $740 Minimum7,004$10,000$0 unless Min Pell At Or Above Twice The Max15,000$10,000$0
Source: U.S. Department of Education. The College Investor.
Maximum Pell Grant Award (SAI Of 0 Or Less)
An SAI of 0 or less earns the full $7,395, as long as your cost of attendance is at least that high. A negative SAI, which can go as low as -1,500, doesn’t raise the award above the maximum. Check where your family lands on our SAI chart.
SAI Less Than The Maximum Award
A student with an SAI of 1,004 and a $10,000 cost of attendance gets $6,390. The math is $7,395 minus 1,004, which equals $6,391, rounded to the nearest $5. That is the full-time amount listed in your financial aid offer.
Cost Of Attendance Less Than The Award
The same student at a school with a $6,000 cost of attendance gets $6,000. Pell can’t pay more than the school’s total cost of attendance, so the $6,390 result is capped.
Ineligible For A Calculated Pell Grant
A student with an SAI of 7,004 calculates to $391, which is below the $740 minimum. That student gets no calculated award. The student can still receive the $740 minimum if family income falls under the Minimum Pell thresholds in the income table above. If income dropped since the tax year the FAFSA used, a financial aid appeal letter can help.
SAI Of 14,790 Or Higher
An SAI of 14,790 or more ends Pell eligibility in 2026-27. That’s true even when family income would otherwise qualify for the minimum award. Students in this range should focus on other grants to pay for college and scholarships.
Can You Get A Pell Grant With A Bachelor’s Degree?
Most students who already hold a bachelor’s degree can’t get a Pell Grant. The FSA Handbook’s eligibility rules allow two exceptions: postbaccalaureate teacher certification programs and eligible workforce programs. Students with a graduate or professional degree are ineligible, and graduate students need other funding.
The teacher certification exception requires all of the following:
- Enrollment of at least half time.
- A program that doesn’t lead to a graduate degree.
- Offered by a school that doesn’t also grant a bachelor’s degree in education.
- State-required coursework for an initial teaching credential.
Future teachers should also look at TEACH Grants. Those grants can turn into loans if you miss the teaching service requirement.
What Is Workforce Pell?
Workforce Pell extends Pell Grants to job training programs that run at least 8 weeks but fewer than 15 weeks. The program started July 1, 2026, under a final rule from the Department of Education. Eligible programs run 150 to 600 clock hours, and our Workforce Pell eligibility breakdown lists the details.
Programs need a governor’s approval as aligned with in-demand jobs. They also need at least a 70% completion rate and a 70% job placement rate within 180 days. Approvals are moving slowly, and North Carolina’s workforce board approved 43 programs in August 2026 that still needed federal sign-off. Check your state’s options in our list of financial aid programs by state.
Workforce Pell awards are prorated by program length, so expect far less than $7,395. Bachelor’s degree holders can use Workforce Pell, but students with a graduate credential can’t. Students can’t mark workforce enrollment themselves, so the aid office sets that flag after you file the FAFSA.
How Does Part-Time Enrollment Affect A Pell Grant?
Part-time students can get a Pell Grant, but the award shrinks with the number of credits you take. A student taking 6 credits in a term where 12 is full time gets roughly half the full-time amount. Pell pays by term, so dropping a class can lower that term’s disbursement. The full-time amount in your financial aid offer assumes a full course load.
Part-time terms also use less of your lifetime limit. Pell eligibility caps out at the equivalent of 12 full-time semesters, and part-time terms count proportionally. Talk with the aid office before you drop below your planned load, and factor the change into your plan to pay for college.
What Happens To Your Pell Grant If You Withdraw?
If you withdraw before finishing 60% of a payment period, your school must figure out how much federal aid you earned. Under the Return of Title IV Funds rules, you’ve earned all of it after the 60% point. Any unearned portion goes back to the Department of Education, which can leave you owing the school for tuition and fees.
You may owe part of that unearned grant yourself if it was refunded to you as a credit balance. Read our breakdown of when grants have to be paid back before you leave a term early.
Will The Pell Grant Go Up For 2027-28?
The 2027-28 maximum Pell Grant isn’t set yet. In September 2026, President Trump signed a stopgap spending law that keeps Pell level-funded through December 11, 2026. NCAN expects Pell decisions to wait until after the midterms, and the 2027-28 FAFSA is already open.
The House Appropriations Committee bill would lift the maximum to $7,445 and close the Pell shortfall by eliminating subsidized loans. The White House budget request keeps the maximum at $7,395 and would eliminate the Federal Supplemental Educational Opportunity Grant. Neither proposal is law yet. Students who count on FSEOG should line up backups from our list of grants to pay for college.
The program is also short on money. The Congressional Budget Office projected a Pell shortfall of nearly $11.5 billion for fiscal 2027. TCI’s planning advice is to budget on $7,395 for 2027-28 until Congress acts, and to treat any increase as a bonus in your college savings plan.
How To Apply For A Pell Grant
You apply for a Pell Grant by filing the FAFSA, and there’s no separate Pell form. Schools use your FAFSA results to decide your award, so filing early gives you the most time to compare offers. Check the FAFSA deadlines for your state and each school on your list.
- Create a StudentAid.gov account for the student and one for each contributor, such as a parent.
- Complete the FAFSA and list every school you’re considering.
- Review your FAFSA Submission Summary for your SAI and estimated Pell eligibility.
- Compare each school’s financial aid offer side by side.
- Accept the Pell Grant, and decline any loans you don’t need.
If your family’s finances changed since the tax year the FAFSA uses, ask the aid office for a professional judgment review. Our financial aid appeal letter template shows what to include.
Final Thoughts
A Pell Grant is the first dollar to claim when paying for college, because it’s free money that never accrues interest. Fill any remaining gap with grants for college, scholarships and work-study before you borrow.
Federal student loans come next. TCI’s view is that federal loan limits are enough for an undergraduate degree, so families shouldn’t borrow past them. If you still need to compare student loan rates, do it only after every grant is on the table.
Pell Grant FAQs
Do You Have To Pay Back A Pell Grant?
A Pell Grant usually doesn’t have to be repaid. You may owe money back if you withdraw early, drop enrollment after a disbursement or receive an overpayment, as our grant repayment breakdown explains.
Can You Get A Pell Grant And Student Loans At The Same Time?
Yes, you can receive a Pell Grant and federal student loans in the same year. Your school stacks them in one offer, and you can accept the Pell Grant while declining some or all of the federal student loans.
How Many Years Can You Get A Pell Grant?
You can receive Pell for the equivalent of 12 full-time semesters, or about six years. Part-time terms use up eligibility proportionally, so a half-time semester counts as half of one. Your StudentAid.gov dashboard shows how much you’ve used, and you need a new FAFSA each year.
Can You Get A Pell Grant At Community College?
Yes, Pell Grants work at community colleges and other eligible schools. A maximum award covers the $4,150 average community college tuition with money left over, and that leftover can pay for books and other college costs.
Does A Pell Grant Affect Other Scholarships?
A Pell Grant can interact with other aid. Starting in 2026-27, you lose Pell if non-federal grants and scholarships cover your full cost of attendance, so tell your aid office about every outside scholarship you win.
Can Incarcerated Students Get A Pell Grant?
Yes, incarcerated students can get a Pell Grant when they enroll in an eligible Prison Education Program. The Second Chance Pell experiment ended June 30, 2026. Students in approved programs still apply through the FAFSA.
