{"id":2167,"date":"2025-10-29T17:24:21","date_gmt":"2025-10-29T22:24:21","guid":{"rendered":"https:\/\/myredkite.com\/blog\/?p=2167"},"modified":"2025-11-03T14:19:01","modified_gmt":"2025-11-03T20:19:01","slug":"the-truth-about-need-based-vs-merit-based-aid-and-how-to-qualify-for-both","status":"publish","type":"post","link":"https:\/\/myredkite.com\/blog\/the-truth-about-need-based-vs-merit-based-aid-and-how-to-qualify-for-both\/","title":{"rendered":"\u201cNeed-Based\u201d vs \u201cMerit-Based\u201d Aid, and How to Qualify for Both"},"content":{"rendered":"\n<p>The number one question we hear from parents during application season is, \u201cHow do we pay for college?\u201d Between scholarships, grants, and financial aid offers, the language can get confusing fast, especially when people start talking about \u201cneed-based\u201d versus \u201cmerit-based\u201d aid. These two types of aid work very differently, and understanding both can help you find more money and reduce what your family actually has to pay.<\/p>\n\n\n\n<div class=\"wp-block-group is-vertical is-layout-flex wp-container-core-group-is-layout-8cf370e7 wp-block-group-is-layout-flex\">\n<h4 class=\"wp-block-heading\" id=\"h-what-is-need-based-aid\"><strong>What Is Need-Based Aid?<\/strong><\/h4>\n\n\n\n<p>Need-based aid is financial help based on what your family can realistically afford, not on your student\u2019s GPA or test scores. The goal is to make college more affordable for families who need support.<\/p>\n\n\n\n<p>Colleges and the federal government figure this out using the FAFSA, and in some cases, an additional form called the CSS Profile. The CSS Profile is an online financial aid application from the College Board that gives colleges a more detailed picture of your family\u2019s finances so they can decide if your student qualifies for the school\u2019s own need-based aid, like grants and scholarships. It asks for more in-depth information than the FAFSA and is often required (especially by private colleges and some public programs). Using these forms, schools review things like your income, savings, and family size to estimate how much they believe you can pay.<\/p>\n\n\n\n<p>That estimate is called your Expected Family Contribution (EFC), which is transitioning to a new term, the <a href=\"https:\/\/studentaid.gov\/help-center\/answers\/article\/what-is-sai\"><strong>Student Aid Index (SAI)<\/strong><\/a>. Don\u2019t worry about the jargon \u2014 what matters is this:<\/p>\n\n\n\n<p><strong>If your family shows higher financial need, your student may qualify for:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Federal grants such as the <a href=\"https:\/\/studentaid.gov\/understand-aid\/types\/grants\/pell\"><strong>Pell Grant<\/strong><\/a><\/li>\n\n\n\n<li>State-based grants or scholarships<\/li>\n\n\n\n<li>Need-based aid offered by the college itself<\/li>\n<\/ul>\n<\/div>\n\n\n\n<div class=\"wp-block-columns is-not-stacked-on-mobile has-background is-layout-flex wp-container-core-columns-is-layout-d13b6e79 wp-block-columns-is-layout-flex\" style=\"background-color:#f4f3f2;padding-right:var(--wp--preset--spacing--40);padding-left:var(--wp--preset--spacing--40)\">\n<div class=\"wp-block-column is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:25%\"><div class=\"wp-block-image\">\n<figure class=\"aligncenter size-full\"><img decoding=\"async\" width=\"1024\" height=\"1024\" data-src=\"https:\/\/assets.myredkite.com\/blog\/wp-content\/uploads\/2025\/08\/lightbulb.png\" alt=\"Light Bulb\" class=\"wp-image-1925 lazyload\" data-srcset=\"https:\/\/assets.myredkite.com\/blog\/wp-content\/uploads\/2025\/08\/lightbulb.png 1024w, https:\/\/assets.myredkite.com\/blog\/wp-content\/uploads\/2025\/08\/lightbulb-300x300.png 300w, https:\/\/assets.myredkite.com\/blog\/wp-content\/uploads\/2025\/08\/lightbulb-150x150.png 150w, https:\/\/assets.myredkite.com\/blog\/wp-content\/uploads\/2025\/08\/lightbulb-768x768.png 768w\" data-sizes=\"(max-width: 1024px) 100vw, 1024px\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" style=\"--smush-placeholder-width: 1024px; --smush-placeholder-aspect-ratio: 1024\/1024;\" \/><\/figure>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-column is-vertically-aligned-center is-layout-flow wp-block-column-is-layout-flow\" style=\"flex-basis:75%\">\n<p style=\"font-size:22px\"><strong>Red Kite Pro Tip:<\/strong> Complete the FAFSA as early as you can. Some types of need-based aid are first come, first served, and it\u2019s not just federal aid. Submitting early can help your student qualify for state grants and even need-based aid from the college itself, which is money you don\u2019t have to pay back.<\/p>\n<\/div>\n<\/div>\n\n\n\n<div class=\"wp-block-group is-vertical is-layout-flex wp-container-core-group-is-layout-8cf370e7 wp-block-group-is-layout-flex\">\n<h4 class=\"wp-block-heading\" id=\"h-what-is-merit-based-aid\"><strong>What Is Merit-Based Aid?<\/strong><\/h4>\n\n\n\n<p>Merit-based aid is based on achievement, not financial need. It rewards your student for what they\u2019ve done \u2014 strong grades, test scores, leadership, sports, arts, community service, and more.<\/p>\n\n\n\n<p><strong>Merit aid can come from:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>Colleges (through automatic scholarships or special applications)<\/li>\n\n\n\n<li>Private organizations<\/li>\n\n\n\n<li>Community foundations or local businesses<\/li>\n<\/ul>\n\n\n\n<p>These awards are often renewable each year if your student keeps up certain requirements, like maintaining a specific GPA or staying involved.<\/p>\n\n\n\n<p>The key takeaway for parents: Encourage your student to highlight what makes them stand out. Academic performance, extracurricular activities, volunteer work, and leadership roles can all lead to merit-based opportunities.<\/p>\n<\/div>\n\n\n\n<h4 class=\"wp-block-heading\" id=\"h-can-you-qualify-for-both\"><strong>Can You Qualify for Both?<\/strong><\/h4>\n\n\n\n<p>Yes! And many families do. Colleges often combine need-based and merit-based aid in the same financial aid package. For example, your student might receive a merit scholarship from the college for their achievements and also get need-based grants from the state.<\/p>\n\n\n\n<p>This is why it\u2019s so important to apply everywhere you\u2019re eligible and meet every deadline. Together, need-based aid and merit-based aid can significantly lower the actual cost your family pays out of pocket.<\/p>\n\n\n\n<figure class=\"wp-block-image size-full\"><img decoding=\"async\" width=\"600\" height=\"350\" data-src=\"https:\/\/assets.myredkite.com\/blog\/wp-content\/uploads\/2025\/10\/students-outside-on-campus.png\" alt=\"\" class=\"wp-image-2181 lazyload\" data-srcset=\"https:\/\/assets.myredkite.com\/blog\/wp-content\/uploads\/2025\/10\/students-outside-on-campus.png 600w, https:\/\/assets.myredkite.com\/blog\/wp-content\/uploads\/2025\/10\/students-outside-on-campus-300x175.png 300w\" data-sizes=\"(max-width: 600px) 100vw, 600px\" src=\"data:image\/svg+xml;base64,PHN2ZyB3aWR0aD0iMSIgaGVpZ2h0PSIxIiB4bWxucz0iaHR0cDovL3d3dy53My5vcmcvMjAwMC9zdmciPjwvc3ZnPg==\" style=\"--smush-placeholder-width: 600px; --smush-placeholder-aspect-ratio: 600\/350;\" \/><\/figure>\n\n\n\n<div class=\"wp-block-group\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<div class=\"wp-block-group is-vertical is-layout-flex wp-container-core-group-is-layout-8cf370e7 wp-block-group-is-layout-flex\">\n<h4 class=\"wp-block-heading\" id=\"h-what-s-next\"><strong>What\u2019s Next<\/strong><\/h4>\n\n\n\n<p>Need-based aid and merit-based aid can work together to make college more affordable, but understanding how to qualify for both doesn\u2019t always feel simple.<\/p>\n\n\n\n<p><strong>In this week\u2019s Red Kite&#8217;s Parent Email, we\u2019ll cover:<\/strong><\/p>\n\n\n\n<ul class=\"wp-block-list\">\n<li>How schools decide what your family can pay<\/li>\n\n\n\n<li>How merit and need can stack<\/li>\n\n\n\n<li>What you can do now to help your student qualify for more<\/li>\n<\/ul>\n\n\n\n<p>We\u2019re here to make this easier so you can feel confident about the next step, not overwhelmed by it.<\/p>\n<\/div>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-group\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<div class=\"wp-block-group\"><div class=\"wp-block-group__inner-container is-layout-constrained wp-block-group-is-layout-constrained\">\n<p>Make sure you\u2019re signed up for Red Kite as a parent to receive bi-weekly emails designed for parents.<\/p>\n\n\n\n<p class=\"has-text-align-center has-medium-font-size\"><strong>Stay informed, not overwhelmed<\/strong><\/p>\n<\/div><\/div>\n\n\n\n<div class=\"wp-block-buttons is-content-justification-center is-layout-flex wp-container-core-buttons-is-layout-16018d1d wp-block-buttons-is-layout-flex\">\n<div class=\"wp-block-button\"><a class=\"wp-block-button__link has-background has-text-align-center wp-element-button\" href=\"https:\/\/myredkite.com\/finaid-profile\/q-user-type\" style=\"background-color:#e31d1a\"><strong>Get Parent Emails<\/strong><\/a><\/div>\n<\/div>\n<\/div><\/div>\n","protected":false},"excerpt":{"rendered":"<p>The number one question we hear from parents during application season is, \u201cHow do we pay for college?\u201d Between scholarships, grants, and financial aid offers, the language can get confusing&hellip;<\/p>\n","protected":false},"author":2,"featured_media":2178,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[156,4],"tags":[62,63,244,245,184,246],"class_list":["post-2167","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-college-application","category-financial-aid","tag-financial-aid","tag-financial-aid-award-letter","tag-merit-based-aid","tag-need-based-aid","tag-paying-for-college","tag-understanding-financial-aid"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - 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