Financial Aid Updates
5 Financial Aid Updates You Need to Know
Paying for college just got a little more complicated—but knowing what’s changing can help you make smarter decisions before you enroll. If you would like to read more about how financial aid regulations have changed, please reference the One Big Beautiful Bill Act (OBBA).
1. The FAFSA Is Easier Than It Used to Be
The U.S. Department of Education has continued improving the FAFSA after last year’s rollout challenges.
Recent updates include:
- A simpler application with clearer questions
- Immediate FAFSA Submission Summaries
- The ability to quickly correct certain errors without restarting the application
2. Pell Grants Are Staying Strong
Good news for students who qualify for Pell Grants through their FAFSA: Congress provided additional funding to help preserve the program and maintain award levels. Pell Grants remain one of the best forms of financial aid because they typically do not have to be repaid.
Your Pell Grant eligibility is determined by your Student Aid Index (SAI), a formula-based index number ranging from –1500 to 999999 that the federal government determines using your FAFSA information. All students are encouraged to submit their FAFSA, and they will be notified of their eligibility.
Beginning with the 2026-2027 award year:
- Students whose Student Aid Index (SAI) is equal to or exceeds twice the maximum Federal Pell Grant amount for the award year are not eligible for the grant, even if they otherwise meet the minimum Pell eligibility requirements. For example, if the maximum Pell award for 2026–27 is $7,395 and a student has an SAI index of 14,790 or higher (determined by the federal government), the student will not be eligible for a Federal Pell Grant.
- The foreign earned income exclusion amount reported on the FAFSA will be added to the adjusted gross income when determining Federal Pell Grant eligibility.
Even if you think any of these three things might impact you, please submit your FAFSA to determine your eligibility for financial aid assistance.
3. Student Loan Repayment Options
Repayment options will be streamlined into two plans: a new tiered standard repayment plan and a new income-driven repayment plan called the Repayment Assistance Plan (RAP).
- EMCC recommends borrowers contact their loan servicer or review information available from the Department of Education concerning Federal Loan Repayment Options.
4. Annual Loan Limits Based on Enrollment
- Beginning in 2026-2027, federal law requires schools to prorate (or adjust/or set) a student’s annual Direct Subsidized and Unsubsidized Loan limits based on a student’s financial-aid-eligible enrolled credits.
- “Full-time enrollment” is defined as 12 or more credits per term (a semester); at this level of enrollment, students may be eligible for an amount equal to the annual loan limit.
- Full-Time Enrollment Example: You are a first-time, first-year student enrolled in 12 credits for the fall term and expect to also enroll in 12 credits for the spring term. At 12 credits each term, you are eligible for 100% of the annual loan limit of a subsidized loan of $3500 as a first-time, first-year student. This would be offered to you as $1750 for fall and $1750 for spring ($3500 for the academic year)
- Full-Time Enrollment Example: You are a first-time, first-year student enrolled in 12 credits for the fall term and expect to also enroll in 12 credits for the spring term. At 12 credits each term, you are eligible for 100% of the annual loan limit of a subsidized loan of $3500 as a first-time, first-year student. This would be offered to you as $1750 for fall and $1750 for spring ($3500 for the academic year)
- Students enrolled less than full-time, but at least half-time (6 or more credits per term) will only qualify for a portion of the annual loan limit. Students must be enrolled in a minimum of 6 credit hours per semester to be eligible for loan funds. Those enrolled less than full-time would only be eligible for a portion of the annual loan limit.
- Part-Time Enrollment Example: You are a student enrolled in 6 credits for the fall term and expect to also enroll in 6 credits for the spring term. At 6 credits each term, you would be eligible for 50% of the annual subsidized loan limit of $3500 as a first-time, first-year student. This would be offered to you at $875 for fall and $875 for spring ($1,750 for the academic year).
- Part-Time Enrollment Example: You are a student enrolled in 6 credits for the fall term and expect to also enroll in 6 credits for the spring term. At 6 credits each term, you would be eligible for 50% of the annual subsidized loan limit of $3500 as a first-time, first-year student. This would be offered to you at $875 for fall and $875 for spring ($1,750 for the academic year).
- The amount of Direct Loans a student is eligible to receive may decrease based on changes in the student’s enrollment or successful course completion for the academic year. EMCC will notify students of any changes in student loan eligibility through their Maricopa email.
5. Lifetime Loan Limits
- Except in narrow circumstances, there is now a lifetime maximum loan limit for students starting July 1, 2026.
- Borrowers will be limited to taking out loans totaling $257,500 over their lifetime. Read more about lifetime loan limits.
Important Reminders:
Financial aid continues to evolve, but one thing hasn’t changed: applying for aid early and enrolling in classes gives you the best chance to receive the aid you’re eligible for.
If you’re planning to attend college this fall:
- Enroll in classes.
- Complete your FAFSA.
- Watch your Maricopa email for financial aid updates.
- Check your My Student Portal and financial aid to-do list regularly
- Review award packages carefully.
- Stay informed: Watch for official updates from the U.S. Department of Education and from Maricopa County Community Colleges District.
A little preparation now can help you start the semester with confidence—and avoid surprises when tuition bills arrive.
The information shared on this page is currently evolving. Information on this page reflects the most current guidance available. Information may change as federal rules and guidelines are established. The U.S. Department of Education may issue additional updates.