The Pennsylvania Higher Education Assistance Agency (PHEAA) has announced that its Board of Directors approved an awarding formula for the 2026-27 PA State Grant Program that increases the maximum award to $6,000, up from the $5,750 maximum award that has held steady for the past 4 years.
The PHEAA Board of Directors reviews the PA State Grant awarding formula annually and adopts modifications as needed to maximize available financial resources, while providing the most meaningful benefits to students who have the most financial need. The recently approved awarding formula will be used to calculate 2026-27 “conditional awards.” Early notices of conditional awards are sent to students to allow them to plan, but the awards are subject to change, pending the final Commonwealth budget.
The formula takes into consideration several factors, including family resources, the cost of tuition, the projected number of applicants, and the expected available financial resources.
“As the cost of education continues to rise, it is critical that we continue to find ways to help our students afford it,” said Senator Fontana. “I’m so pleased that my colleagues and I were in agreement regarding the need to create an awarding formula that provides greater aid to students. We are thrilled to be in a position to increase the maximum PA State Grant award to $6,000 for the upcoming academic year. This will be greatly beneficial for many students and reduce the burden for many families.”
The PHEAA Board also approved a $15 million supplement for the PA State Grant Program, bringing the available financial resources for 2026-27 to $445.2 million. PHEAA’s $15 million contribution makes it possible to increase the maximum grant award to $6,000 for next year. PHEAA’s supplement is entirely funded by the Agency’s business operations, at no cost to taxpayers.
“It is our honor to be able to help support the PA State Grant Program,” said James Steeley, PHEAA President and CEO. “Our Agency was built upon a public service mission to create affordable access to higher education. Since the program was signed into legislation in 1963, we have been administering the program for the Commonwealth at no cost to taxpayers, ensuring that every appropriated dollar, including the additional $15 million that PHEAA is supplying, goes directly to the students who need it the most.”
The PA State Grant Program uses the FAFSA form as its primary application point to determine student eligibility for a PA State Grant award. If a student has not yet completed their 2026-27 FAFSA, they are strongly encouraged to do so prior to the May 1 PA State Grant filing deadline. Once the FAFSA is submitted, students needing to complete the PA State Grant application items, or supply any supplemental documentation, will have until the academic year student reconsideration deadline (April 1, 2027, for the 2026-27 award year). Students will be unable to submit their PA State Grant application if they have not submitted their FAFSA.
If a student misses the May 1 filing deadline, for any reason, they are still encouraged to apply. Late applications (other than for the PA State Grant summer term) will be reviewed for the federal student aid programs and possible PA State Grant consideration, if funds are available.
