UT Austin Financial Aid for Out-of-State Students

The two-bucket financial aid system at UT Austin

Financial aid at UT Austin breaks cleanly into two buckets that work differently for in-state and out-of-state students:

Step 1: File FAFSA

The Free Application for Federal Student Aid (FAFSA) is the gateway to federal aid and the data UT uses to evaluate need-based institutional aid where eligible.

• FAFSA opens: October 1 for the following academic year
• UT Austin priority deadline: January 15
• UT Austin school code: 003658
• What you need: Social Security numbers, federal tax returns (parent and student), W-2s, current bank statements, investment records, business and farm records (if applicable)
• File at: studentaid.gov

The 2024-25 academic year saw the rollout of the simplified FAFSA (FAFSA Simplification Act). It now takes 20-40 minutes for most families (vs the 60-90 minutes of the previous version). Re-file FAFSA every year your student is in college.

Step 2: Understand what aid your student actually qualifies for as a non-resident

Federal Pell Grant

Maximum award for 2025-26: $7,395. Eligibility based on Student Aid Index (SAI) calculated from FAFSA. Rough threshold: families with AGI under approximately $60,000 qualify for some Pell; full Pell typically requires AGI under $40,000 with variation by family size. Pell is portable and applies to UT Austin at full value regardless of residency. Renewable annually.

Federal Direct Subsidized Loans

Up to $3,500 (freshman), $4,500 (sophomore), $5,500 (junior/senior) per year for dependent undergraduates with demonstrated need. Subsidized means the federal government pays interest during enrollment. Eligibility is income-based via FAFSA.

Federal Direct Unsubsidized Loans

Up to an additional $2,000 (freshman), $2,000 (sophomore), $2,000 (junior/senior) per year for dependent undergraduates regardless of income. Unsubsidized means interest accrues during enrollment. Available to most filers.

Federal Direct Parent PLUS Loan

Available to creditworthy parents up to the full cost of attendance minus other aid received. Higher interest rate than Subsidized/Unsubsidized; fixed at the federal PLUS rate (currently ~9%). Eligibility is credit-based, not income-based. Many out-of-state families lean heavily on PLUS to bridge the cost gap.

Federal Work-Study

Income-based program providing part-time on-campus or off-campus jobs, typically 10-15 hours/week earning $2,500-$5,000/year. Funds are not credited to the bill; they are wages paid to the student. Available to qualifying out-of-state students.

UT institutional merit scholarships

See the scholarships for out-of-state students page for the full landscape. Typical range for high-academic non-residents: $2,000-$15,000/year. Forty Acres Scholars Program is the flagship full-ride (rare, very competitive).

Step 3: Understand what aid your student does not qualify for as a non-resident

Texas Advance Commitment

UT's flagship in-state need-based commitment: covers full tuition and required fees ($11,688/year) for Texas residents with family AGI under $100,000 who file FAFSA. Worth roughly $40,000-$45,000 over four years for qualifying in-state families. Not available to non-residents. Becomes available after residency reclassification.

Texas Empowerment

UT's flagship in-state need-based commitment for lowest-income Texas families: covers tuition, required fees, AND housing assistance for Texas residents under $65,000 AGI. Worth roughly $60,000-$80,000 over four years for qualifying in-state families. Not available to non-residents.

State of Texas Grant Programs

TEXAS Grant, Tuition Equalization Grant, and Towards EXcellence, Access, and Success Grant are state-funded need grants restricted to Texas residents. Not available to non-residents under any pathway except residency reclassification.

The residency pathway: the largest single net-price lever

Typical four-year net price scenarios

Scenario A: $200K AGI, out-of-state, no residency pathway

• Sticker tuition (4 years): $179,632
• Federal Pell: $0 (income too high)
• Federal subsidized loan: $0 (income too high)
• Federal unsubsidized loan: ~$31,000 total available (taken at family discretion)
• UT merit scholarship: $0-$10,000/year (varies)
• Net tuition cost: ~$149,632 (taking $7,500/yr scholarship)
• Total net price (with housing/fees/books): ~$340,000 over four years

Scenario B: $200K AGI, out-of-state, with residency pathway approved year 2

• Year 1 tuition: $44,908 (out-of-state) minus $7,500 scholarship = $37,408
• Years 2-4 tuition: $11,688/yr (in-state) minus $7,500 scholarship = $4,188/yr
• Texas Advance Commitment: not applicable at this income level (over $100K AGI threshold)
• Net tuition cost (4 years): $49,972
• Savings vs Scenario A: approximately $99,660

Scenario C: $80K AGI, out-of-state, with residency pathway approved year 2

• Year 1 tuition: $44,908 (out-of-state) minus partial Pell ~$4,000 minus $7,500 scholarship = ~$33,408
• Years 2-4 tuition: covered by Texas Advance Commitment (resident, under $100K AGI) = $0/yr
• Net tuition cost (4 years): ~$33,408
• Savings vs Scenario A: dramatically larger; residency unlocks Texas Advance Commitment

How to optimize aid at UT as an out-of-state family

1. File FAFSA early (October to January 15 priority deadline)
2. Complete the UT Honors and Scholarship Application in MyStatus for institutional scholarship consideration
3. Apply to Forty Acres Scholars Program by November 1 if academic profile supports it
4. Pursue outside scholarships (Coca-Cola, Gates, state-of-origin foundations, corporate, etc.) starting October of senior year
5. Run the residency pathway analysis in parallel with the aid analysis
6. If residency pathway is viable, the year 2 reclassification unlocks Texas Advance Commitment for qualifying middle-income families
7. Re-file FAFSA every year and check for renewable scholarship eligibility

Frequently asked questions