A Guide to Getting Financial Aid for Graduate School

Can You Get Financial Aid for Graduate School?

Yes, graduate students may qualify for financial aid through federal student loans, scholarships, grants, assistantships, employer tuition assistance and private student loans. Even with the new federal borrowing changes, there are still multiple ways to pay for graduate school.

Beginning July 1, 2026, new graduate and professional students who have not already taken out federal student loans are not eligible for grad PLUS loans. Direct unsubsidized loans remain available, with updated annual and aggregate limits. Some existing borrowers may qualify for a limited legacy exception if they borrowed before July 1, 2026, and remain continuously enrolled in the same academic program.

Learn more: PLUS Loan Changes in 2026: What Borrowers Need to Know

Types of Financial Aid for Graduate School

Financial aid for graduate school comes in many forms. While some programs are based on need, others are based on merit or enrollment status. Completing the Free Application for Federal Student Aid (FAFSA) is typically the first step in qualifying for financial aid.

Direct Unsubsidized Loans

Under the new borrowing rules, eligible graduate students can borrow up to $20,500 per year through direct unsubsidized loans, with an aggregate $100,000 limit. Professional students—those enrolled in a professional degree program—can borrow up to $50,000 each year, with a $200,000 aggregate limit. Because these loans are unsubsidized, interest starts accruing as soon as funds are disbursed.

Grad PLUS Loans

Although grad PLUS loans are no longer an option for new borrowers, you may qualify under a limited exception if you:

• Were enrolled as of June 30, 2026, in your graduate program
• Borrowed a direct loan for the same program before July 1, 2026
• Have been continuously enrolled

If you're eligible, you still must meet credit qualifications and federal student aid requirements.

Grants and Scholarships

Grants and scholarships can lower your education costs and usually do not have to be repaid.

While graduate students have fewer federal grant opportunities, some programs still offer funding:

• Teacher Education Assistance for College and Higher Education (TEACH) Grant: Graduate students pursuing a teaching career can receive up to $4,000 per year by taking specific courses and committing to teach in a high-need field in a low-income school.
• Federal Pell Grant: Graduate students enrolled in a teacher certification program may qualify for Pell Grants. The grant amount varies each year.
• Federal Supplemental Educational Opportunity Grant (FSEOG): Undergraduate students who have exceptional financial need and who haven't earned a bachelor's, graduate or professional degree can receive up to $4,000 per year.

Other merit- and need-based scholarships and grants may be available through your school or a private organization. For example, the American Psychological Association offers grants to help cover research costs for eligible doctoral students writing a dissertation.

Fellowships and Assistantships

Fellowships and assistantships from the college or university you plan to attend can significantly reduce graduate school costs while providing valuable professional experience. These award programs usually include a stipend, tuition scholarship, health coverage and support for certain fees.

Here's how they differ:

• Fellowships are typically merit-based and may or may not have a service requirement.
• Assistantships generally require teaching, research or other university service in exchange for financial support.

Benefits and eligibility for fellowships and assistantships vary by institution.

Work-Study Programs

Federal work-study programs provide part-time employment opportunities that allow students to earn money for education-related expenses. Jobs may be on or off campus and are often related to your field of study.

As a graduate student, you'll be paid either hourly or with a salary. You'll earn at least the federal minimum wage, with the potential to earn more depending on the job and your skills.

Employer Tuition Assistance

Many employers offer tuition assistance or reimbursement programs to help employees pay for approved graduate programs. Some employers cover tuition, fees and books up to a certain limit.

In many cases, up to $5,250 in employer-provided educational assistance each year can be excluded from your taxable income. Ask your employer about eligibility requirements and whether payments are made directly to the school or reimbursed.

Tip: If your employer doesn't offer tuition assistance for graduate programs, check whether your university offers employer partnership discounts.

Learn more: How to Get Your Employer to Pay for College

Military or Public Service Benefits

Eligible service members, veterans and their families may qualify for education benefits that help cover graduate school costs, including:

• Post-9/11 GI Bill: Covers eligible tuition and fees and may also provide money for housing and books. In some cases, benefits can be transferred to a spouse or dependent.
• Military Tuition Assistance: Offered by each military branch, the Coast Guard and the National Guard to help pay for voluntary, off-duty education programs.
• Tuition Assistance Top-Up Program: Helps eligible service members cover tuition costs that exceed their Tuition Assistance benefits.
• Edith Nourse Rogers Science Technology Engineering Math (STEM) Scholarship: Provides up to $30,000 in education expenses for eligible veterans or dependents pursuing a qualifying STEM degree or teaching certification.

Private Student Loans

Private student loans are credit-based loans offered by banks, credit unions and private student loan lenders. You can often borrow up to your cost of attendance and receive a disbursement from your school after tuition and fees are covered. Private student loan options aren't standardized. Instead, interest rates, terms and repayment options vary by lender (more on private loans below).

Learn more: Can I Apply for FAFSA With Bad Credit?

How to Get Financial Aid for Graduate School

Completing the FAFSA is crucial for securing financial aid for graduate school. This is how you'll receive need-based financial aid offers and access federal student loans.

1. Estimate your costs. Add up tuition, room and board, books and other education expenses, then subtract savings to estimate how much financial aid you'll need.
2. Complete the FAFSA. Submit your application early since some types of aid are awarded on a first come, first served basis.
3. Contact your school's financial aid office. Ask about specific requirements and deadlines that your school requires.
4. Review your financial aid offers. If you're accepted and eligible, your graduate school will send you a financial aid offer, including your expected contribution.
5. Fill any funding gaps. After receiving your financial aid package, consider scholarships, employer assistance, part-time work or private student loans to cover the remaining costs.

Private Student Loans for Graduate School

If you've exhausted other financial aid options and still have costs to cover, private student loans may help bridge the gap.

Unlike federal student loans, private loans are primarily based on your credit rather than financial need. If your credit history isn't strong, you can apply with a creditworthy cosigner, who could also help you secure a lower interest rate.

Pros and Cons of Private Student Loans

Private student loans can help you supplement other financial aid, but they come with their own set of pros and cons.

What to Do if Financial Aid Isn't Enough

If you can't cover graduate school with financial aid, and are trying to avoid taking out private student loans, there are other options for affording your education.

• Appeal your aid offer. Writing an appeal letter could help you get more financial aid, especially if your family's finances have changed.
• Change your plans. Some graduate school tuition rates vary based on residency and enrollment. You may be able to lower your tuition by attending class in person instead of online, enrolling in an in-state school or choosing a different program.
• Spread out your coursework. Graduate school tuition is often paid by the credit hour. Taking fewer courses each semester may lower your tuition, though it could extend the time it takes to earn your degree.
• Ask about tuition discounts. Some universities offer discounts or reduced tuition rates for employees and their family members, service members and veterans, employees of certain companies, educators, alumni or students who meet other criteria. Keep in mind that tuition discounts may be temporary.
• Consider an installment plan. If you can't pay your full tuition upfront, you may be able to make interest-free installment payments or defer payment until the end of the semester. This gives you more flexibility to pay over time. Many plans require a down payment followed by two to four equal installment payments.

The Bottom Line

Financial aid can make graduate school more affordable, especially if you explore all your options before considering private loans. Even with multiple options, it's smart to maintain good credit in case you need to borrow money to cover remaining expenses. Before applying for credit-based loans, you can check your FICO^® Score^Θ for free to see where you stand and look for opportunities to improve your credit score before applying.