Below are some of the various federally-funded financial aid programs that students may qualify for, as well as an overview of their eligibility requirements.
Federal Pell Grant
Your eligibility for a Federal Pell Grant is determined after you complete the Free Application for Federal Student Aid (FAFSA). Eligibility is based on federal requirements and the information reported on your FAFSA (more information: Federal Student Aid website).
Federal Pell Grants are available to eligible undergraduate students who have not earned a bachelor's degree or first professional degree. A Federal Pell Grant does not have to be repaid except under limited circumstances required by federal law.
Federal Supplemental Educational Opportunity Grant (FSEOG)
If you are awarded a Federal Supplemental Educational Opportunity Grant (FSEOG), you will be notified on your financial aid offer or by email.
Because funding is limited, LSUS awards FSEOG to independent undergraduate students with one or more dependents who demonstrate exceptional financial need.
FSEOG funds do not have to be repaid.
Teacher Education Assistance for College and Higher Education (TEACH) Grant
Students who agree to teach in designated high-need subject areas at schools serving low-income students may qualify for a TEACH Grant.
Eligible students may receive up to $4,000 annually, subject to federal funding levels. Accelerated online graduate students enrolled in at least three hours per session may receive up to $495.55 per session.
Eligibility requirements include:
- Entering freshmen must have at least a 3.25 high school GPA.
- First-semester graduate students must have at least a 3.25 undergraduate cumulative GPA.
- Continuing undergraduate and graduate students must maintain a 3.25 cumulative GPA.
- TEACH LSUS and Ed.D. students are not eligible.
Recipients agree to complete a four-year teaching service obligation within eight years after completing their program.
Failure to satisfy the service obligation will result in the TEACH Grant being converted to a Federal Direct Unsubsidized Loan with interest charged retroactively from each disbursement date.
For additional information, please visit the LSUS TEACH Grant page.
Federal Work-Study
Federal Work-Study earnings are paid directly to students as wages for work performed in approved on-campus or community service positions.
Students may earn up to the amount listed on their Federal Work-Study award.
To be considered, students must:
- Complete the FAFSA.
- Submit all requested financial aid documents.
- Notify the Financial Aid Office of their interest in Federal Work-Study.
Federal Direct Student Loans
LSUS participates in the William D. Ford Federal Direct Loan Program administered by the U.S. Department of Education.
Students borrowing a Federal Direct Loan at LSUS for the first time must complete Entrance Counseling and sign a Master Promissory Note before loan funds can be disbursed.
Students may reduce or decline all or part of their loan by updating their financial aid offer or submitting an Aid Adjustment Form, which can be found on our Financial Aid Forms webpage.
Federal student loans must be repaid according to the terms of the loan after the borrower graduates, withdraws, or drops below half-time enrollment.
Types of Federal Direct Loans
Direct Subsidized Loan
Available to eligible undergraduate students who demonstrate financial need.
Interest does not accrue while the student is enrolled at least half-time, during the six-month grace period, or during approved deferment periods.
Direct Unsubsidized Loan
Available to eligible undergraduate and graduate students regardless of financial need.
Interest begins accruing when loan funds are disbursed. Students may choose to postpone interest payments while enrolled; however, unpaid interest may capitalize when repayment begins.
Students may borrow the lesser of:
- Cost of attendance minus other financial aid, or
- The applicable annual federal loan limit.
Parent PLUS Loan
Parents of dependent undergraduate students may be eligible to borrow a Federal Direct Parent PLUS Loan to help pay the student's educational expenses. A credit check is required, and parents may apply on the Federal Student Aid website. A credit check is required.
If a parent is denied a PLUS Loan, the dependent student may qualify for additional Federal Direct Unsubsidized Loan eligibility.
For new Parent PLUS borrowers on or after July 1, 2026, the One Big Beautiful Bill Act establishes new federal borrowing limits:
- Annual Limit: Up to $20,000 per dependent student per academic year.
- Aggregate (Lifetime) Limit: Up to $65,000 per dependent student for all Parent PLUS borrowers combined. If more than one parent borrows on behalf of the same student, their combined Parent PLUS borrowing cannot exceed these limits.
Graduate PLUS Loan
The One Big Beautiful Bill Act (OBBBA) phases out the Graduate PLUS Loan Program for new borrowers beginning July 1, 2026.
Students with a Federal Direct Loan (Unsubsidized and/or Graduate Plus) disbursed before July 1, 2026, who remain in the same program of study may continue to borrow under existing Graduate PLUS Loan rules for up to 3 more academic years or until their program ends, whichever comes first. Students must remain continuously enrolled in the same credentialed program to retain legacy borrowing eligibility. A withdrawal, a lapse in enrollment, or change in program/degree level may terminate the legacy provision.
Annual Federal Direct Loan Limits
Undergraduate
Dependent Students
- Freshman: $5,500 (up to $3,500 subsidized)
- Sophomore: $6,500 (up to $4,500 subsidized)
- Junior/Senior: $7,500 (up to $5,500 subsidized)
Maximum total borrowing limit: $31,000 (no more than $23,000 subsidized)
Independent Students
- Freshman: $9,500 (up to $3,500 subsidized)
- Sophomore: $10,500 (up to $4,500 subsidized)
- Junior/Senior: $12,500 (up to $5,500 subsidized)
Maximum total borrowing limit: $57,500 (no more than $23,000 subsidized)
Graduate
| Borrower Classification |
Annual Limit |
Lifetime Limit |
| New Student Borrowing Limits as of 07/01/2026 |
$20,500 |
$100,000 (excludes undergraduate borrowing) |
| Legacy Students Borrowing Limits |
$20,500 |
$138,500 (includes undergraduate and graduate borrowing) |
New Overall Lifetime Borrowing Limit: $257,500 (includes undergraduate and graduate borrowing)
For more information about legacy graduate students, please visit the OBBBA Information webpage.
Graduate students are eligible only for Federal Direct Unsubsidized Loans.
Traditional graduate students may borrow up to $20,500 annually or their cost of attendance, whichever is less.
Students must be enrolled at least half-time (six graduate credit hours during the semester). Students must take nine hours per semester to be considered full-time. Loans are subject to proration if students are enrolled in less than full-time status.
Graduate students enrolled only in undergraduate coursework are not eligible to receive graduate federal student loans.
Accelerated Online Graduate Students
Accelerated online graduate students may borrow up to $20,500 annually or their cost of attendance, whichever is less.
Students must be enrolled at least half-time by taking a minimum of three graduate credit hours each session. Six credit hours per session is considered full-time.
Loans are subject to proration if students are enrolled in less than full-time status.
Optional 500-level foundation coursework does not count toward half-time enrollment for federal financial aid purposes.
Annual loan eligibility is generally divided equally across the six sessions within the academic year. Typically, the annual loan limit of $20,500 is divided by six sessions per academic year ($20,500 ÷ 6 annual sessions) = $3,416 per session.
For the latest information about federal student loan regulations and eligibility requirements, visit the U.S. Department of Education's Federal Student Aid website. On the website, navigate to Announcements & Events and select One Big Beautiful Bill Act Updates for current information.
