Students can often use Pell Grants to pay for bus passes or gas.
The purpose of the Pell Grant program is to help low-income students pay for post-secondary education (associate's degrees, bachelor's degrees and some certificate programs). However, Pell Grant money can be used for any education-related cost, including personal expenses such as groceries.
FAFSA
To be eligible for a Pell Grant, a student must demonstrate financial need. On the Free Application for Federal Student Aid (FAFSA), applicants demonstrate financial need by stating their income and how much their family can contribute towards their education. The FAFSA is then sent to the student's school, where financial aid officers compare the numbers with the average cost of attendance. The average cost takes into account not only tuition and fees, but also local cost of living.
Pell Grant Disbursements
Each school receives and distributes Pell Grant money to its students. Some schools receive Pell Grant money and pass the full amount directly to the students in checks. Others apply all of the money to tuition and fees, while yet others apply a percentage and send students checks for part of the full amount.
Personal Needs
Once a student receives a check with Pell Grant money from their school, they can apply it towards qualifying personal needs. The student must use Pell Grant money for education related costs but different schools have different policies regarding what constitutes an eligible expense. All schools agree that books and other school supplies can be purchased with Pell Grant money, and most agree that students can pay rent, buy groceries and pay for gas or other transportation.
Considerations
Mark Bennet, a financial aid advisor writing for the website Pell Grant Eligibility, advises talking with your school's financial aid office before using Pell Grant money for personal expenses. Bennet especially recommends talking with an advisor and keeping receipts when you make any large or potentially controversial purchase, such as a computer or back-to-school clothes.
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