Factors Included

• The formula used for Pell Grant qualification includes whether one or both parents work, value of investments, amount of money in the bank, number of persons in the household, age of the older parent and the number of children in college at the time. The Pell Grant website reports that with both parents working and an income of $30,000, a student may not qualify whereas another couple making $40,000 may have a student who qualifies.
  
  

FAFSA

• Completion of the Free Application for Financial Student Aid (FAFSA) is elemental to receiving a Pell Grant or other federal education funds. This form requires answers to questions about family and individual financial condition to determine need. The student completes the form and waits several weeks for calculations in a student aid report establishing an EFC or expected family contribution.
  
  

EFC

• The expected family contribution calculation determines Pell Grant qualification and amount. An EFC of zero results in the highest Pell Grant funding for the student. The attendance costs at the college or university also affect the Pell Grant award. For this reason, a student may receive a larger Pell Grant award at one college than another. The number of hours of attendance affects the Pell Grant award. A student cannot accept Pell Grant funds from more than one college at a time.
  
  

Calculations

• A full-time student with an EFC of zero attending a private school may receive $5,550 a year in 2011. This amounts to $2,775 a semester. Most students receive about half of the maximum, according to Pell Grant Amount website. The amount of the scheduled award is not the final award amount. The scheduled award is the amount the student receives if attending full time and completing the hours. The college or university distributes Pell Grant funds after the drop or add date passes, basing payments on actual registration and hours taken to that point. Some colleges allow a voucher for purchase of books at the beginning of each semester.