Key Takeaways
- Graduate students file the same FAFSA form as undergraduates, but the financial aid programs available to them are different.
- You lose access to Pell Grants at the graduate level, but you gain access to larger federal loan limits and Graduate PLUS loans.
- Your school determines your cost of attendance for grad school, which may be higher or lower than undergraduate costs depending on your program.
- You must be enrolled at least half-time in a graduate degree program to receive federal aid, and some programs have stricter enrollment requirements.
- Income-driven repayment plans available to graduate borrowers can lower monthly payments but extend your repayment timeline significantly.
How Graduate FAFSA Filing Works
When you file the FAFSA for graduate school, you complete the same form you would for undergraduate study. You report your income, assets, family size, and household information. The federal government calculates your Student Aid Index using the same formula. Your graduate school's financial aid office then uses that index to build a financial aid package.
The key difference is that graduate schools set their own cost of attendance figures, which typically include tuition, fees, books, living expenses, and sometimes health insurance. A graduate program in engineering might have a much higher cost of attendance than a master's program in education, even at the same university. Your financial aid package is built around whatever cost of attendance your specific program establishes.
You must be enrolled at least half-time in a graduate degree program to receive federal aid. Some programs, particularly those leading to professional licenses, may require full-time enrollment. Check with your school's financial aid office about the minimum enrollment requirement for your specific program before you register for classes.
Federal Loans Available to Graduate Students
Graduate students can borrow up to $20,500 per year in unsubsidized Direct Loans, compared to the $5,500 to $7,500 annual limit for dependent undergraduates. The interest rate on these loans is set by Congress and changes each year; for loans disbursed in the 2024–2025 academic year, the rate is 6.53 percent. Interest accrues (builds up) while you are in school, meaning you owe more when you graduate than when you borrowed.
Graduate PLUS loans are available only to graduate and professional students. These loans have no annual limit — you can borrow up to your school's cost of attendance minus any other aid you receive. The interest rate is higher than Direct Loans (8.05 percent for 2024–2025), and you must pass a credit check. Graduate PLUS loans accrue interest while you are in school and require you to begin repayment six months after you leave school, unless you request a deferment.
The total amount you can borrow across all federal loans is limited by your school's cost of attendance. If your program costs $50,000 per year and you receive a $10,000 assistantship, you can borrow up to $40,000 in federal loans that year. Your school's financial aid office will tell you the maximum you can borrow once they know your cost of attendance and any other aid you have received.
What Graduate Students Cannot Receive
Graduate students are not may be able to access for Pell Grants, which are reserved for undergraduate students with financial need. You also cannot receive Federal Work-Study through the FAFSA, though your school may offer graduate assistantships or other employment separately from the financial aid process.
Graduate students cannot use Parent PLUS loans, which are available only to parents of dependent undergraduates. However, graduate students can use Graduate PLUS loans, which serve a similar purpose but are borrowed in the student's name rather than the parent's name.
Income-Driven Repayment Plans for Graduate Borrowers
Graduate students who borrow federal loans have access to income-driven repayment plans, which calculate your monthly payment based on your discretionary income rather than the loan amount. The four plans are Income-Based Repayment (IBR), Pay As You Earn (PAYE), Revised Pay As You Earn (REPAYE), and Income-Contingent Repayment (ICR). Each plan has different rules about income calculation and forgiveness timelines.
Income-driven plans can lower your monthly payment significantly, especially if you graduate with high debt and low initial income. However, they extend your repayment timeline — often to 20 or 25 years — which means you pay more interest over the life of the loan. You must recertify your income and family size every year to stay on an income-driven plan, and your payment can increase if your income rises.
Graduate students who work in public service may be may be able to access for Public Service Loan Forgiveness (PSLF), which forgives remaining loan balance after 120 may have access to monthly payments (10 years) if you work full-time for a government agency or nonprofit organization. This program has specific rules about which employers may have access to and which loan types are may be able to access, so verify your situation with your school's financial aid office before relying on it.
Filing Timeline and important date for Graduate School
The FAFSA opens October 1 each year and remains available through June 30 of the following year. Graduate schools typically have financial aid important date between January and March, though some accept FAFSA information through the summer. Check your specific school's website for their important date, because missing it can delay your financial aid package or reduce the amount of aid available.
If you are explore to graduate school for the first time, file the FAFSA after you have been admitted but before your school's financial aid important date. If you are already in graduate school and filing for a subsequent year, file as soon as the FAFSA opens in October to may support your aid is processed before classes begin.
How Graduate School Financial Aid Differs From Undergraduate Aid
Graduate financial aid packages rarely include grants or scholarships from the federal government. Most graduate aid comes from federal loans, school-based scholarships or assistantships, or outside sources like employer tuition reimbursement. Your school's financial aid office will tell you what grants or scholarships they offer to graduate students in your program.
Graduate schools often use a different cost of attendance model than undergraduate programs. Some include health insurance costs, professional licensing exam fees, or research materials in the cost of attendance. Others assume you will live off-campus and build in higher living expense estimates. Ask your school's financial aid office for a detailed breakdown of how they calculated your cost of attendance.
Graduate assistantships, fellowships, and tuition waivers are separate from the FAFSA and are awarded directly by your department or school. These are not federal aid, so they do not appear on your FAFSA form. However, they do reduce your cost of attendance, which in turn reduces the amount you can borrow in federal loans.
Frequently Asked Questions
Do I have to file the FAFSA if I am going to graduate school?
You only need to file the FAFSA if you want to borrow federal loans or receive federal or school-based aid. If you are paying for graduate school entirely with savings, employer reimbursement, or private loans, you do not need to file. However, filing is free and takes about 30 minutes, so most students file even if they are uncertain about needing aid.
Can I use undergraduate FAFSA information if I am explore to graduate school?
No. You must file a new FAFSA for graduate school, even if you filed one as an undergraduate. Graduate school is treated as a separate educational level, and your financial situation may have changed. You will use your current income and assets, not your undergraduate information.
What if I am a graduate student and my parents want to help pay for school?
Your parents cannot borrow Parent PLUS loans for your graduate education. However, they can give you money directly, and you can use it to pay your school bill or to reduce the amount you borrow in federal loans. Alternatively, you can borrow a Graduate PLUS loan in your own name and use it however you choose.
Do graduate students get a grace period before loan repayment starts?
Unsubsidized Direct Loans and Graduate PLUS loans both have a six-month grace period after you leave school, during which you do not have to make payments. However, interest continues to accrue on unsubsidized loans during the grace period. You can choose to pay the interest during the grace period to reduce the amount you owe when repayment begins.
Can I change my repayment plan after I graduate?
Yes. You can switch between income-driven repayment plans and the standard 10-year repayment plan at any time after you graduate. You can also switch back to a different plan if your circumstances change. Contact your loan servicer to request a plan change, or use the Federal Student Aid website to compare plans and see estimated payments under each option.