On average, a master's degree costs $62,820. This can seem like an astronomical sum, but from scholarships to loans, there are several ways you can pay for grad school. We break down some options below and provide advice on how to apply for each.
6 Ways to help pay for grad school
You can potentially pay for grad school using scholarships, grants, fellowships, employer tuition reimbursement benefits, loans and more.
1. Scholarships and grants
Gift aid, such as scholarships and grants, is money that can be used towards tuition and related expenses. You typically don't have to pay it back, unless the aid comes with a requirement you need to meet, such as working in a specific area for a set period after graduation, and you fail to meet it.
Grants are often need-based, while scholarships tend to be merit-based (though, this isn't written in stone). Some are both. You can receive gift aid from your school, state or outside sources, such as businesses, nonprofits, individuals or other organizations.
Scholarship databases can help you identify potential awards, but you should be sure to check your state's education website, school's financial aid department and local community for more opportunities.
2. Fellowships
Fellowships are another form of gift aid. Often merit-based cost-of-living stipends, they're for students who show promise in their field and can cover tuition, living expenses, health insurance, specialty training or other costs. The funding can last a few weeks or years.
Fellowships are highly competitive. Your professors, advisors and financial aid department can help you locate and apply for fellowships, but you should also research programs in your field online.
3. Work-study
Institutions that participate in the Federal Work-Study Program offer part-time employment on-campus or off-campus through school partners for qualified graduates. You need to complete the Free Application for Federal Student Aid (FAFSA) and check the box that states you're interested in the program to apply. Some states also offer work-study.
Need-based and paying at least minimum wage, job availability is highly limited. Many of the best positions are gone quickly. However, graduates have more experience than undergraduates and may qualify for more advanced positions with higher pay.
4. Employer tuition reimbursement
Some employers offer tuition reimbursement as an employee benefit, though availability, requirements and funding vary. Even if your employer doesn't officially offer the benefit, they may be willing to discuss helping pay for additional training or education.
However, your employer may only offer tuition reimbursement if you pursue a program related to their field or your current position. If you don't meet the requirements, they could ask you to repay the funds.
Review your employee handbook to see whether your company offers tuition reimbursement and what terms apply. If it doesn't, contact your HR department to ask whether the benefit may be available.
5. Federal student loans
Many graduate students are eligible for Federal Direct Unsubsidized Loans through the U.S. Department of Education. Your school determines the amount you can borrow, and the amount may not exceed your financial need. Effective July 1, 2026, there will be a $100,000 aggregate limit for graduate students who borrow a Federal Direct Unsubsidized loan and a $200,000 aggregate limit for professional students.
Direct unsubsidized loans have a fixed interest rate, begin accruing interest immediately, and have repayment, deferment and forbearance options. You need to complete the FAFSA to apply.
| Direct Unsubsidized Loan | |
| Also known as... | Stafford Loan |
| Type of interest rate | Fixed only* |
| Credit check at application? | No |
| To qualify... | Must be enrolled at least half-time at eligible school in graduate program |
| Deferment? | No |
Federal Direct Subsidized Loans (where the government covers interest while you're in school) aren't available to graduate students, and Graduate PLUS loans are discontinued as of July 1, 2026.
6. Private student loans
Graduate students can also apply for private student loans, which come from private financial institutions.† Your interest rates and loan terms depend on the lender, your credit history and income. If you don't have steady income or a strong credit history, you will likely need a cosigner to apply with you.
Private student loans may have higher interest rates and fewer repayment options than federal student loans, but you might qualify for a better interest rate if you have strong credit.
You are on your way to a bright future and we can help
Graduate school can be expensive, but the right resources can help make your goals more manageable. If you need help funding your pursuit for your master's or doctorate, explore our Graduate Student Loans† and resources that could support your next step, including Multi-Year Approval† (apply once and you're good until graduation).