The Effects of Losing Postsecondary Student Grant Aid: Results From a Systematic Review

Abstract

With the goal of informing federal and state policy makers in a time of budget constraints, we used a systematic review methodology to identify and summarize findings from studies that examined the effects of losing grant aid due to policy changes and students’ failure to meet renewal requirements. Studies reviewed in this policy brief show negative effects on student outcomes when grant aid is reduced or eliminated. While results vary, this general conclusion applies when grant aid is reduced or eliminated from programs that differ in scope (federal and state), eligibility requirements (merit and need), and award amounts. This brief illuminates the importance of maintaining grant aid funding for college student enrollment, persistence, achievement, and completion. Especially in context of other pandemic-related stressors, reducing need-based grant aid will likely exacerbate declines in college enrollment, progression through college, and degree completion for vulnerable students.