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Federally funded educational loans are exempt for all students (undergraduate and graduate) for all programs. They include the following: • Federal Direct Student Loan Programs (FDSLP) (formerly GSL and FFELP) • Federal Direct Supplemental Loan Program (provides loans to students) • Federal Direct PLUS Program (provides loans to parents) • Federal Direct Stafford Loan Program • Federal Consolidated Loan Program.

Direct loans to students in institutions of higher education (Perkins Loans, formerly NDSL). 2860.10.00 NON-EXEMPT EDUCATIONAL INCOME (MED 1, 2, 4) Student financial assistance received from a source not listed in IHCPPM 2860.05.00 is considered as non-exempt income. However, it is not necessarily budgeted as income to the AG. Non-exempt educational income is included only to the extent that it is accessible for meeting the AG's general living expenses. When educational income is inaccessible (received directly by the school in an amount less than or equal to the student's educational expenses as verified by the financial aid office), it is excluded from budgeting. Non-exempt educational income sent directly to the student or refunded by the school after tuition and fees have been paid is budgeted. However, any remaining allowable educational expenses are deducted from it. This applies to undergraduate and graduate students alike. Non- exempt educational income includes assistance provided under the Carl D. Perkins Vocational Educational Act. Programs under this Act include the following: • Indian Vocational Education Program • Native Hawaiian Vocational Education Program • State Vocational and Applied Technology Education Program which contains: o State Program and State Leadership Activities. o Program for Single Parents, Displaced Homemakers, and Single Pregnant Women. o Sex Equity Program. o Programs for Criminal Offenders. o Secondary School Vocational Education Program. o Post-secondary and Adult Vocational Education Program. o State Assistance for Vocational Education Support Programs by Community Based Organizations. o Consumer and Homemaking Education Program. o Comprehensive Career Guidance and Counseling Program.