A sweeping simplification of the federal financial aid application process has resulted in 1.7 million additional students qualifying for maximum Pell Grants in the 2025-26 cycle, representing a 27% increase over pre-simplification levels, according to new data released by the National College Attainment Network.
The dramatic uptick in eligibility stems from changes implemented through the bipartisan FAFSA Simplification Act, which President Donald Trump signed into law during his first term. The legislation streamlined both the Free Application for Federal Student Aid form and the criteria used to determine grant eligibility.
NCAN's analysis of data provided by the Office of Federal Student Aid reveals consistent positive trends across multiple metrics, including increases in total FAFSA applicants, recent high school graduate numbers, and significant growth in students eligible for both maximum and minimum Pell Grants.
Recent high school graduates account for more than 215,000 of the newly eligible students, with five months remaining in the current FAFSA cycle that could push those numbers even higher. The organization has documented steady growth throughout the application period, suggesting the simplified process is successfully reaching students who might have been discouraged by previous versions of the form.
"We are finally seeing the promise of a better and simpler FAFSA made real," said Kim Cook, CEO of NCAN. "This year's smoother process is helping to rebuild trust in the financial aid system with the students and families that NCAN member organizations serve every day, ensuring that more students will gain access to the Pell Grants that help make postsecondary education more affordable."
The increase in Pell-eligible students comes as overall college enrollment reaches historic highs. Notably, students from ZIP codes with the lowest median incomes are enrolling at higher rates than other demographic groups, according to the National Student Clearinghouse's fall enrollment report. These are precisely the students whose enrollment decisions often hinge on understanding their financial aid eligibility, making the timing of the FAFSA improvements particularly significant.
Aaron Lemon-Strauss, executive director of the FAFSA Program at the U.S. Department of Education, attributed the results to both the improved application experience and the work of college access organizations nationwide.
"College remains one of the most powerful engines of economic mobility we have, and financial aid access makes that opportunity real for students and families," he said. "These results reflect not only improvements to the FAFSA experience, but also the extraordinary work of NCAN and college access professionals nationwide, who help students navigate the financial aid process to reach their higher education goals."
The data represents a victory for NCAN and its member organizations, which have spent more than a decade advocating for a simplified financial aid process. Their argument centered on the premise that easier applications would lead to more students applying for aid, more qualifying for assistance, and ultimately more students believing college was financially attainable.
However, advocates warn that the gains could be undermined by stagnant funding. The Pell Grant program is expected to receive level funding of $7,395 for the third consecutive year under fiscal year 2026 budget proposals currently moving through Congress.
"A third year of level funding at $7,395 effectively erodes the grant's value for students," said Louisa Woodhouse, a policy analyst at NCAN. While tuition and fees have remained relatively stable and even decreased on a net basis in recent years, students face increasing costs for housing and food, making the flat maximum grant amount a cut in real terms.
Moving forward, NCAN officials say increased Pell Grant eligibility must be combined with continued outreach efforts to encourage high school students to apply for and enroll in college. They argue the task should be easier when students can clearly see financial support awaiting them upon acceptance.
Cook added that sustained funding increases will be necessary to maintain the program's effectiveness.
"The new data from FSA represents a real triumph for students and NCAN members alike," she said. "Our collective work means that millions more students are already benefiting from the decade-plus long project of simplifying and expanding the Pell Grant."
