Nearly three-quarters of full-time, first-time undergraduates received a student loan or grant in 2006-07. The percentage receiving financial aid was higher at not-for-profit institutions (85 percent) than at public institutions (70 percent) and for-profit institutions (69 percent).

This indicator examines the types and amounts of financial aid received by full-time, first-time degree/certificate-seeking undergraduates at 2- and 4-year colleges. In 2006-07, about 73 percent of these undergraduates participated in some type of financial aid program, including federal, state/local, and institutional grants, and student loans (see table A-45-1). The percentage of undergraduates receiving financial aid was higher at private not-for-profit institutions (85 percent) than at public institutions (70 percent) and at private for-profit institutions (69 percent). Among undergraduates at public institutions, the percentage receiving aid was lower at 2-year institutions (61 percent) than at public 4-year institutions (75 percent). In contrast, 55 percent of undergraduates at for-profit 4-year institutions received financial aid, compared with 89 percent at for-profit 2-year institutions.

In addition to the differences in the overall percentages of full-time, first-time undergraduates receiving financial aid at public, not-for-profit, and for-profit institutions, there were differences in the types of financial aid they received. About 74 percent of full-time, first-time undergraduates at private not-for-profit institutions received an institutional grant in 2006-07, compared with 25 percent of those at public institutions and 8 percent of those at for-profit institutions. About 35 percent of undergraduates at public institutions received a state/local government grant, compared to 30 percent of undergraduates at not-for-profit institutions and 9 percent of undergraduates at for-profit institutions. About 45 percent of undergraduates at for-profit institutions received a federal grant compared with undergraduates at public institutions (31 percent) and undergraduates at not-for-profit institutions (26 percent). Also, higher percentages of undergraduates received a student loan at for-profit institutions (62 percent) and not-for-profit institutions (59 percent) than undergraduates at public institutions (34 percent).

Average financial aid awards for full-time, first-time undergraduates were higher at not-for-profit institutions than at public institutions. In 2006-07, the average federal grant was $3,841 (in 2007-08 dollars) at not-for-profit institutions, compared with $3,214 at public institutions and $2,878 at for-profit institutions (see figure 45-2). Similarly, the average award for state/local grants was higher at not-for-profit institutions ($3,444) than at public institutions ($2,404) and at for-profit institutions ($2,565). When comparing the size of financial aid awards, the institutions differed most in institutional grants, where the average award at not-for-profit institutions was $11,122, compared with $3,439 at public institutions and $1,602 at for-profit institutions. The average award for student loans at for-profit institutions ($6,747) was higher than the average award at both not-for-profit institutions ($5,750) and public institutions ($4,232).

Average financial aid awards for full-time, first-time undergraduates were higher in 2006-07 than in 2000-01, after adjustment for inflation. The average award for institutional aid was 19 percent higher in 2006-07 than in 2000-01, compared with the smaller increases of 8 percent for federal grants and 65 percent for state grants (see table A-45-2). The average student loan amount was 14 percent higher in 2006-07 than in 2000-01.

Technical Notes

All measures in this indicator include only data for full-time, first-time degree/certificate-seeking undergraduates enrolled at 2- and 4-year institutions that grant associate's or higher degrees and participate in Title IV federal financial aid programs. Average amounts awarded are for students receiving the indicated type of aid. The data for loans include all Title IV subsidized and unsubsidized loans made directly to students, as well as institutionally and privately sponsored student loans. The data for loans do not include Parent Loans for Undergraduate Students (PLUS) and other loans made directly to parents. For more information on tuition and fees, room, and board rates for public institutions and private for-profit and not-for-profit institutions, see NCES 2009-020, table 331. For more information about the Integrated Postsecondary Education Data System (IPEDS), see supplemental note 3.