Federal Pell Grants are awarded to students that demonstrate the most financial need in higher education. Like Pell, the Texas Tuition Equalization Grant (TEG) program is need-based, providing grants to students at private, nonprofit Texas institutions that demonstrate financial need. Students that demonstrate very high financial need may even qualify for an exceptional need TEG grant, which provides additional funding to students in need.
In fact, nearly 60 percent of TEG recipients also recieve Pell Grants, demonstrating their high financial need. Packaging both grants helps students from low income backgrounds complete a degree from a private, nonprofit Texas college or university. Over the past decade, the percentage of TEG recipients also receiving Pell Grants has increased from 52 to 59 percent.