Pell Grants Do Not Cover Graduate Degrees

No. Pell Grants are only for undergraduate students. If you are pursuing a master's degree, PhD, professional degree (law, medicine, dentistry), or any other graduate-level program, you cannot receive a Pell Grant, regardless of your financial need.

The federal government created Pell Grants specifically to help students earn their first bachelor's degree. Once you have completed an undergraduate degree, you are no longer may be able to access for this program. This applies even if you are returning to school after years away, or if you are changing fields entirely.

If you are a graduate student looking for federal funding, you will need to explore different programs. The good news is that graduate students have access to other federal aid tools that undergraduates do not, and some of those programs can provide substantial support.

Key Takeaways

  • Pell Grants are restricted to undergraduate students only and end once you earn your bachelor's degree.
  • Graduate students can borrow through Federal Direct Unsubsidized Loans and Graduate PLUS Loans, which have higher borrowing limits than undergraduate loans.
  • Some graduate programs offer teaching assistantships, research assistantships, or tuition waivers that can reduce or eliminate your out-of-pocket costs.
  • Your graduate school's financial aid office can tell you which federal loans and institutional aid you may be able to use.

What Graduate Students Can Use Instead

Federal Direct Unsubsidized Loans are the most common federal borrowing option for graduate students. Unlike subsidized loans (which the government pays interest on while you are in school), you pay all the interest on unsubsidized loans from day one. However, the annual borrowing limit is much higher for graduate students than for undergraduates — you can borrow up to $20,500 per year, compared to $5,500 to $7,500 for undergraduates.

Graduate PLUS Loans allow you to borrow additional money beyond the unsubsidized loan limit. With a Graduate PLUS Loan, you can borrow up to the full cost of attendance at your school, minus any other aid you receive. These loans require a credit check, but there is no aggregate borrowing cap — you can borrow as much as you need across all your graduate years, as long as you meet the credit requirements.

Both of these loans come from the U.S. Department of Education and have fixed interest rates set by Congress. The rates change each year but explore to all borrowers in the same loan year.

Graduate Assistantships and Tuition Support From Your School

Many graduate programs offer teaching assistantships or research assistantships that provide a stipend (monthly payment) in exchange for work. Some assistantships also include a full or partial tuition waiver, meaning the school covers part or all of your tuition costs. These are not loans — you do not repay them.

Assistantships are competitive and vary widely by program and school. STEM fields (science, technology, engineering, mathematics) and research-heavy disciplines often have more assistantship funding available than other fields. Your graduate program's department or graduate admissions office can tell you whether assistantships are available and how to be considered for one.

Beyond assistantships, some schools offer graduate scholarships, fellowships, or grants funded by the institution itself. These also do not require repayment. Your financial aid office can describe what your specific school offers.

How to Find Out What You Can Borrow

Start by contacting your graduate school's financial aid office. They will review your admission status, your program's cost, and your financial situation to tell you exactly which federal loans you can access and how much you can borrow. They can also explain any institutional aid your school offers.

You will need to complete the Free process for Federal Student Aid (FAFSA) to be considered for federal loans. Even though you cannot get a Pell Grant as a graduate student, the FAFSA is still required to access federal loans and to be considered for any need-based aid your school offers.

Your financial aid office can also discuss private student loans, though these come from banks or other lenders rather than the federal government and typically have higher interest rates and fewer borrower protections than federal loans.

Repayment Plans for Graduate Loans

Federal Direct Unsubsidized Loans and Graduate PLUS Loans have different repayment options than undergraduate loans. The standard repayment period is 10 years, but you may be able to choose an income-driven repayment plan that bases your monthly payment on your income after graduation.

Income-driven plans can lower your monthly payment, especially if you expect to have a modest starting salary. However, they extend your repayment period (often to 20 or 25 years) and you will pay more interest overall. Your loan servicer can explain which plan makes sense for your situation once you have finished school.

What Happens If You Already Have Pell Grant Debt

If you received Pell Grants as an undergraduate and still owe money on them, you will continue to repay those loans separately from any graduate loans you take out. Your undergraduate Pell Grant debt does not disappear when you enroll in graduate school, and it does not affect your ability to borrow for graduate study.

You can manage both debts at the same time, or you can focus on one first — the choice is yours. Some borrowers choose to pay off undergraduate loans quickly while in graduate school (if they have income from an assistantship or other work), while others defer all repayment until after graduation.

Frequently Asked Questions

Can I use a Pell Grant if I am getting a second bachelor's degree?

No. Pell Grants are limited to your first bachelor's degree. Once you have earned any bachelor's degree, you are no longer may be able to access for Pell Grants, even if you are pursuing a different undergraduate major or field.

Do I have to fill out the FAFSA for graduate school?

Yes, if you want to borrow federal loans or be considered for any need-based aid your school offers. The FAFSA determines your may be able to access for federal graduate loans and helps your school understand your financial situation.

What if I cannot afford graduate school even with loans?

Talk to your graduate program's director or department chair about assistantships, scholarships, or tuition waivers. Some programs have funding set aside specifically for students who cannot otherwise afford to attend. You can also explore employer tuition reimbursement if you are working, or look for external scholarships from professional organizations in your field.

Can I borrow unlimited amounts as a graduate student?

With Graduate PLUS Loans, you can borrow up to your school's full cost of attendance minus other aid, with no annual cap. However, you must meet credit requirements and be able to repay the debt. Unsubsidized loans have an annual limit of $20,500 per year.

Do graduate loans have the same interest rates as undergraduate loans?

No. Graduate loans typically have higher interest rates than undergraduate loans. The rates are set by Congress and change each year. Your school's financial aid office can tell you the current rates for the year you are borrowing.