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Accountability in Higher Education and Access Through Demand-Driven Workforce Pell: Pell Grant Exclusion Relating to Other Grant Aid; and Workforce Pell Grants
Plain English Summary
The Secretary of Education has updated the rules for the Federal Pell Grant Program, which helps students pay for college. These changes, part of a new law called the Working Families Tax Cuts Act, affect who can receive Pell Grants and introduce a new type of grant called Workforce Pell Grants. These grants are for students in short-term programs designed to meet job market demands. Insurance agents should stay informed about these changes as they may impact clients seeking financial aid for education.
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The Secretary of Education (Secretary) amends the regulations governing institutional eligibility, general provisions, and the Federal Pell Grant (Pell Grant) Program under title IV of the Higher Education Act (HEA) of 1965, as amended (the title IV, HEA programs). The final regulations implement statutory changes to the title IV, HEA programs included in the Working Families Tax Cuts Act (WFTCA), signed into law by President Trump on July 4, 2025. In the NPRM, we referenced the WFTCA as the "One Big Beautiful Bill"; however, for clarity and consistency in this final rule, we will instead use WFTCA. The WFTCA made numerous changes to the HEA, including changes to student eligibility requirements for the Pell Grant Program and the establishment of Workforce Pell Grants for students who enroll in a new type of eligible program called an "eligible workforce program," intended to be a high-quality, performance-based, short-term program that supports America's workforce needs.