Financial Aid
A crucial form of financial assistance at Berea College is available through the Student Labor Program. All students enrolled in an academic term (Fall, Spring, Summer) or working a summer practicum earn a work scholarship, in which a portion, the Labor Grant, is applied directly to the cost of education (“tuition”) each term or summer period. The amount applied is: $4,500 (Fall); $4,500 (Spring); and $4,000 during the summer for taking classes or working 8 week or more. The final portion of the work scholarship is the primary source of direct aid, providing $2,050 to $3,000 per year to assist in covering educational costs and personal expenses. The direct aid portion received (based on hours worked), in combination with the student’s earnings on and off campus during the summer months, are used to pay a portion of the student’s room, board, fees, and other educational expenses incurred during the academic year.
Note: The direct scholarship payments received are not subject to withholding or FICA. However, a scholarship tax liability might apply and is dependent on the total amount of non-qualified aid received during the year. The Financial Aid office provides students annually with a tax letter that assists the student in determining the amount of taxable aid income received.
Berea College expects every student to save approximately $1,000 from summer earnings to assist with costs associated with attendance for the next academic year. While the College does not bill students for an additional $1,000 as a result of the summer savings expectation, some students choose to use their savings to assist with their Term Bill. Ideally, when the Term Bill obligation is met through the family’s contribution, the summer savings can be used to assist with indirect college expenses like transportation, books, supplies, and personal and miscellaneous expenses.