FAFSA showing outrageous 6-figure SAI but still offers small Pell Grant - how is this possible?

This is actually a common issue with the new FAFSA system. The SAI (Student Aid Index) calculation heavily weighs savings/assets but still has thresholds for Pell Grant eligibility based on income. Your family's modest annual income is why you're seeing that small Pell Grant offer despite the high SAI. Colleges will see both figures and many have experience interpreting one-time financial events. I'd recommend: 1. Contact each college's financial aid office directly to explain the inheritance situation 2. Prepare documentation showing this was a one-time event 3. Ask about their Professional Judgment process (some call it Special Circumstances review) 4. Be ready to provide documentation about what the inheritance is being used for The fact that you qualified for any Pell Grant is actually helpful - it signals to schools that your income meets certain thresholds.

omg the same exact thing happened to my brother last year!!! his SAI was like $180k because my grandpa gave him money for college but he still got a small pell grant. colleges totally get that this happens, dont stress. just make sure u tell them about it

The system is RIGGED against families who save ANYTHING!! We had a similar issue because we sold our small business right before FAFSA filing. Our SAI was through the roof even though that money is literally our retirement fund since we have no pension. The whole system punishes responsibility while rewarding families who spend every penny they make. It's DISGUSTING!

The Pell Grant eligibility and the SAI are calculated differently under the new FAFSA system. The simplified Pell Grant formula primarily looks at your household size and income, while the SAI formula also heavily weighs assets. That's why you're seeing this contradiction. I'd suggest writing a brief financial circumstances letter for each school explaining the inheritance situation. Be specific about how those funds are earmarked for specific purposes (medical, home repair, etc) and not actually available for education. Most colleges have a process for this. Have you actually received any financial aid packages from schools yet? The SAI is just one factor they consider.

I'm a financial aid counselor, and I can tell you with certainty that most colleges understand these situations well. The high SAI combined with Pell eligibility is exactly the pattern we see with one-time financial events. For your reference, the FAFSA asset protection allowance is quite low now (around $10,900 for a two-parent household), so any savings above that gets factored into the SAI calculation heavily. However, Pell Grant eligibility is primarily determined by income bands and household size. I recommend reaching out to the financial aid offices now, before decisions. Many schools have a special form specifically for reporting one-time financial events. This won't affect admissions decisions at most schools (admissions and financial aid are separate departments), but it will help them prepare a more accurate aid package if your daughter is admitted.

Hey there - ran into something similar last year. Spent DAYS trying to get through to someone at Federal Student Aid to explain our situation and get advice. Their phone system is a nightmare - kept disconnecting after 45+ minutes on hold. I finally used this service called Claimyr (claimyr.com) that held my place in line and had an agent call ME when they reached a human. Saved hours of frustration and actually got to speak to someone who helped explain why my daughter's SAI was so high despite qualifying for some Pell. They have a demo video at https://youtu.be/TbC8dZQWYNQ The FSA agent walked me through exactly what to say to colleges in our appeal. Made a huge difference - my daughter ended up getting decent aid packages at 3 out of 5 schools.

wait wait wait...u can get a pell grant with a 6 figure SAI??? my cousins SAI was like 97k and he got nothing. this makes no sense lol

One more thing to consider: make sure the FAFSA information was entered correctly. I've seen cases where decimal points were entered in the wrong place or where savings were double-counted accidentally. It might be worth reviewing the actual submission to verify all the numbers were entered correctly, especially since the new FAFSA system had so many glitches this year. If you do find an error, you can submit a correction through studentaid.gov.

Just to clarify for everyone reading this thread - the Pell Grant eligibility is now determined primarily by a table based on family size and income, while the SAI is a more comprehensive calculation that heavily factors in assets. This is why the original poster's family can have a very high SAI (due to one-time inheritance/savings) but still qualify for a small Pell Grant (due to their modest annual income). For the 2025-2026 award year, a family of 4 with income under $60,000 would typically qualify for at least some Pell Grant regardless of assets, which explains what the original poster is seeing.

I just want to know WHO THOUGHT IT WAS A GOOD IDEA to design a system where you can have a $245,000 SAI but still qualify for a Pell Grant???????? Make it make sense! This is exactly why nobody trusts the government to run anything efficiently.

Update: I checked our FAFSA submission and all the numbers were entered correctly. I also called three of the colleges where my daughter applied and they were actually really understanding! Two of them sent me their Special Circumstances forms specifically for reporting one-time financial events, and the third one asked me to wait until we receive the aid package and then appeal if needed. Thanks everyone for the advice and reassurance. I feel much better knowing this isn't as unusual as I thought!

As someone who just went through this process with my son, I can confirm that what you're experiencing is actually pretty normal with the new FAFSA system! The key thing to remember is that colleges use both numbers - they see your Pell eligibility (which shows your income situation) AND your SAI (which reflects the temporary asset bump from the inheritance). Most schools I dealt with were very understanding about one-time events like inheritances, especially when families are transparent about what the money is being used for. Since you mentioned it's for medical bills and home repairs, that's exactly the kind of situation financial aid offices are equipped to handle. One tip: when you fill out those Special Circumstances forms, be specific about dollar amounts being allocated to medical expenses and repairs. Documentation really helps, but don't overwhelm them with paperwork upfront - just mention you have it available if needed. The fact that you still qualify for Pell actually works in your favor because it signals to schools that your family's day-to-day financial reality is different from what that big SAI number suggests. Good luck with the process!