Pell Grant Lifetime Eligibility Notice
The U.S. Department of Education recently established new regulations which reduce
the duration of a student’s lifetime eligibility to receive Pell Grant from 18 full-time
semesters (or its equivalent) to 12 full-time semesters (or its equivalent). This
provision applies to all Federal Pell Grant eligible students effective with the 2012-13 year.
What does this mean to you?
An eligible student can receive the Federal Pell Grant until the earliest of a bachelors
degree or until the student has received the Federal Pell Grant for an equivalent
of 12 full-time semesters. This limitation includes the percentage of Federal Pell
Grant the student has received from all post-secondary institutions regardless of when the student began receiving aid. Since
receipt of a full Federal Pell Grant annual award is equivalent to 100% (based on
two (50%) full-time semesters per award year), 12 full-time semesters equates to 600%.
The following is applicable to Collin College:
Each full-time semester (12 or more credits) that the student receives the Federal Pell
Grant represents 50% of an annual award.
Each three-quarter semester (9 to 11 credits) that the student receives the Federal Pell Grant represents 37.5 % of an annual award.
Each half-time semester (6 to 8 credits) that the student receives the Federal Pell Grant represents 25% of an annual award.
Each part-time semester (1 to 5 credits) that the student receives the Federal Pell Grant represents 12.5% of an annual award.
For additional information about the Pell Grant Lifetime Eligibility limits as well
as examples, visit the Dept of Education's website here.
Tracking Your Lifetime Eligibility Used on NSLDS
You can find your Lifetime Eligibility Used (LEU) for the Federal Pell Grant by going to the web site www.nslds.ed.govand creating a student account. The National Student Loan Data System (NSLDS) is the
U.S. Department of Education's (ED's) central database for student aid. NSLDS receives
data from schools, guaranty agencies, the Direct Loan program, and other Department
of ED programs. NSLDS Student Access provides a centralized, integrated view of Title
IV loans and grants so that recipients of Title IV Aid can access and inquire about
their Title IV loans and/or grant data.
The National Student Loan Data System (NSLDS)
• Step 1: Obtain a Personal Identification Number (PIN) from the U.S. Department of
Education at www.pin.ed.govor have the PIN that was used when you applied for your FAFSA. This PIN serves as
your electronic signature and provides access to your personal records with the U.S.
Department of Education systems.
• Step 2: Access NSLDS by going to www.nslds.ed.gov. On the NSLDS screen, click on Financial Aid Review.
• Step 3: Read the privacy statement on this screen. If you agree, click Accept to find your Lifetime Eligibility Used. A security configuration question may or
may not prompt, depending on your browser’s current security configuration If you
are comfortable with your browser’s currently security configuration, click Accept to continue. The Confirming Your Identity screen will appear after you click Accept.
• Step 4: Enter your Social Security number (SSN), the first two letters of your last name, your date of birth, and your PIN to confirm your identity. Keep your PIN safe andsecure.
• Step 5: View the Financial Aid Review screen listing your total Lifetime EligibilityUsed.If this amount equals 600% or more, you have no remaining eligibility for Pell Grant.
• Step 6: Be sure to LOGOFF when your review is complete.
Ability to Benefit
Students who do not have a high school diploma or a recognized equivalent (GED), or
do not meet the home school requirements, and who first enroll in a program of study
on or after July 1, 2012, will not be eligible to receive Title IV student aid.
New Verification Requirements
The U.S. Department of Education instituted some changes to the verification process
beginning with the 2012-13 award year. According to the U.S. Department of Education
Dear Colleague Letter GEN 11-03:
Since most applicants can quickly and easily access IRS data through the FAFSA-IRS Data Retrieval process, we no longer consider it reasonable for an institution to accept anything less reliable than IRS-supplied evidence for verification of income data. Therefore, if an applicant selected for verification, who has not successfully transferred information from the IRS, or one who did transfer the information but then changed it, the Department expects the institution to require the applicant, and if necessary the applicant’s parents, to provide an official IRS transcript of their Federal income tax information.
What This Means
Students and parents can no longer submit a signed copy of their Federal tax returns
as a means of confirming the income reported on the FAFSA. When completing the income
sections of the FAFSA, the applicant is given the option to have this data retrieved
directly from the IRS.
If applicants decide not to use the IRS data retrieval process and the application
is selected for verification, the applicant and the parents will be required to submit
an IRS Tax Transcript. If the IRS tax retrieved information is changed on the FAFSA,
the applicant will be required to submit an IRS Tax Transcript.
However, the IRS data can be retrieved by the applicant when a correction is made to the
FAFSA. If the retrieved data is not changed, then an IRS Tax Transcript will not be
For the current year, the IRS Data Retrieval process began on February 3, 2014. In
order to determine if the applicant is eligible to use the retrieval process, the
applicant must have a 2013 tax return on file with the IRS at the time of FAFSA completion.
Tax Filers with Special Circumstances
The IRS Tax Retrieval may not be available for the applicant in the following circumstances:
• A joint tax return was filed for 2013 and the student or the student’s parents have
filed the FAFSA with a marital status of separated, divorced, or widowed.
• If the tax filer is married to someone other than the individual included on the 2013
joint tax return.
• If the parent or student was not married in 2013 but is married at the time the FAFSA
is filed. The current spouse’s income must be reported on the FAFSA.
• If the parents or the student is married but filed tax returns separately.
• If an amended tax return was filed.
Requesting an IRS Tax Transcript
This can be done free of charge from the IRS one of four ways. Online Request There are two ways to order from the IRS website:
• NEW!!!! Use the IRS's new tool to obtain your Tax Return Transcript on the spot! The new tool, called "Get Transcript" allows tax filers to obtain a pdf copy of their transcripts. Go to www.irs.gov/transcript and follow the instructions.Or, if you prefer
• Have a copy of your Tax Return Transcript mailed to your address on file with the
IRS (the address you used on the last tax return).
If successfully validated, tax filers can expect to receive a paper IRS tax return transcript within 5 to 10 days from the time the online request was successfully transmitted to the IRS.
• Available from the IRS by calling 1-800-908-9946.
Select “Option 2” to request an IRS tax return transcript.
If successfully validated, tax filer can expect to receive a paper IRS tax return transcript at the address that was used in their telephone request within 5 to 10 days from the time the IRS receives the request.
Paper Request Form – IRS Form 4506T-EZ
• Use IRS Form 4506T-EZ to request a Tax Return Transcript.
Download at www.irs.gov
Mail or fax the completed IRS Form 4506T-EZ to the appropriate address (or FAX number) provided on page 2 of Form 4506T-EZ.
Tax filers can expect to receive their transcript within 5 to 10 days from the
time the IRS receives and processes their signed request. NOTE: Processing form 4506T-EZ
means verifying/validating the information provided on the form. If any information
does not match the IRS records, the IRS will notify the tax filer that it was not
able to provide the transcript.
For a more detailed explanation of how to request an IRS Tax Transcript, click here.
Nontax Filers Selected for Verification
For an individual that has not filed and, under IRS rules is not required to file an income tax
return, a copy of IRS Form W-2 for each source of employment income received in tax
year 2013 must be provided.
Qualifying Income for Automatic Zero EFC
Qualifying income for the Automatic Zero EFC determination is $24,000 for the year
2014-15 (the same as it was for 2013-14). Auto-zero applies only to EFC calculations
for dependent students (based on parent income) and independent students with dependents
other than a spouse (based on the combined income of the student and spouse).