There are two major categories of need-based financial aid awards: gift aid and self-help aid. The gift aid is given to the student in the form of grants and scholarships, and does not need to be repaid. The self-help aid needs to be either earned (work-study), or repaid (student loans).

Gift Aid

Gift-aid includes grants and scholarships. At Carleton, there is no difference to the student whether they have received a grant or scholarship from the college. Any student who applies for financial aid is checked to see if they have the appropriate characteristics for one of many Carleton scholarships. These characteristics may be geography, major, or talents the student has that were named by the donor of the scholarship. However, if a student did not qualify for one of the scholarships, their need is still fully met through a Carleton grant. All students are also checked to see if they are eligible for federal and state grants. A list and brief description of the major types of gift aid given at Carleton are shown below:

• Pell Grants
  A federally funded grant program awarded directly to students from low-income families; maximum award is currently $4,731 per year, exact amount is determined by the Department of Education using FAFSA data.
• SEOG (Supplemental Educational Opportunity Grant)
  Another federally funded grant program administered by the College that goes to high need families, especially if they received a Pell grant. Maximum award is $4,000 per year, amount determined by Carleton.
• Carleton Grants and Carleton Scholarships
  Gift aid funded by Carleton College. These funds are made available from endowment earnings, gifts to the College, and the current year operating budget. Highly variable ($1,500 to $25,000+), the amount awarded by the college depends on the student’s need. No separate application is necessary to apply for Carleton grants or scholarships including the Carleton Access Scholarship which helps to reduce loans for students with incomes below $75,000. The Carleton Access Scholarship is for students enrolling in Fall 2008 and beyond. A complete list of scholarships is available in the Carleton College Academic Catalog.
• Minnesota State Grant
  A state funded grant program that can be used for Minnesota residents attending Minnesota colleges. Maximum award is $8,660 per year, exact amount is determined primarily by the FAFSA calculations.
• Outside Aid
  Outside aid is a broad category of gift-aid that is given to the student from sources other than Carleton or government programs. Most outside aid is in the form of scholarships that students have been awarded from local, state, or national organizations or businesses. To stay within a student’s calculated need, it is Carleton’s policy that outside aid be used to reduce the student’s self help, first by reducing the loan, second by reducing the work-study if all the loan has been previously reduced.

Self-help Aid

Self-help aid comes in two forms. The first is student employment. Students receiving need-based financial aid are awarded student employment, with first-year students authorized to work 8 hours per week and returning students 10 hours per week. Students are usually assigned campus jobs although some students are assigned off-campus jobs at non-profit organizations. The students are paid for the hours worked at the rate of $9.28 per hour. The second form of self-help aid is student loans. These must be repaid after the student has graduated. The major categories of self-help aid given at Carleton College are shown below.

For more detailed information on loan programs, including eligibility, annual loan limits, current interest rates, and repayment terms, go to Types of Loans at Carleton College.

• Student Employment
  Student employment is awarded as need based and non-need based aid. The funding may come from federal programs, state programs, or Carleton funds. The amount awarded represents the maximum a student may earn during the school year. The actual earnings will be dependent on the number of hours worked. The Student Financial Services Office makes job assignments; students and their supervisors arrange a work schedule to fit the student’s class schedule. Students awarded student employment as part of their financial aid package are not guaranteed a work study position or a certain number of hours.
• Perkins Loan
  This is a federal loan program that goes to high need families. The College determines the exact amount awarded, with the maximum being $5,500 per year.
• Stafford Loan
  This is a federal loan program available to all students if they meet eligibility criteria as determined by the FAFSA calculations. Funds for the loan program are made available through private lenders. It may come in the form of a subsidized loan, where the interest is paid by the federal government while the student is in college, or in the form of an unsubsidized loan, where the interest needs to be paid or be allowed to accrue. Award amounts are determined by Carleton and loan maximums are dependent on the class of the student.
• SELF (Student Educational Loan Fund) Loan
  This loan is a state-funded loan program available to students attending Minnesota colleges. Awards vary depending on the family situation when used to supplement need based aid.  It can also be applied for separately to assit with education expense with the maximum being $7,500.
• PLUS (Parent Loans for Undergraduate Students) Loan
  These loans are through private lenders for credit worthy parents to help assist them in paying for college expenses. Amounts vary greatly, depending on other aid and cost of attendance. Need is not a criteria for this loan program.