Earnings on the FAFSA

[JulianCrane]

Are scholarships from like summer research programs considering part of what one earns for the year? This is really confusing.

---

Members don't see this ad.

 

[mpp]

If they called it a 'scholarship' or a 'fellowship' and not a 'stipend' and you used the money to pay for qualified educational expenses (tuition, room, board, books, fees, or supplies) while in a degree-granting program then it is tax free. Stipends or money you received while not in a degree program or not used for qualified educational expenses are taxable.

 

[mpp]

I should add that 'scholarship prizes' such as ones that you would win by entering a contest is taxable.