Scholarships & Grants
A scholarship is an award of money that does not need to be repaid or earned through employment. Some scholarships are awarded on the basis of a student’s athletic or other special merits. Others are given solely on the basis of academic excellence. Generally, scholarships based on academic achievement are called merit scholarships.
Other scholarships, awarded through the Division of Financial Aid (DFA), are based on the student’s academic qualifications and demonstrated financial need. Purdue University scholarships are funded by donations to the University from a wide variety of sources. Included are foundations, trusts, and bequests, as well as scholarships provided by businesses, industries, and individuals interested in supporting students.
Purdue alumni scholarships demonstrate the generosity of alumni and friends who have made gifts to the Purdue Alumni Foundation for scholarships.
Grants are similar to scholarships because they are not repaid or earned through employment. Eligibility for grants requires only that students demonstrate need and make satisfactory academic progress.
A private outside award is money given to students by persons or organizations outside the University. Such awards may range from a few hundred dollars given by a local service club to several thousand dollars awarded by a large corporation. Normally, the donor of the award selects the recipients. Donors also set eligibility and method of payment, as well as award amounts.
REPORTING TAXABLE INCOME
A portion or all of the scholarships and grants students receive may be considered taxable income. Consult a tax preparer or refer to the IRS website to determine whether scholarships and grants need to be reported as taxable income.