How Good ACT/SAT Scores Can Help Pay for College

“Our son has been offered a full ride to UT Austin and his ACT score played a big role in earning this honor.”
– Fiona L., Compass parent, North Carolina

Before investing in 1-on-1 test preparation, families should consider the value of ACT and SAT scores in today’s college landscape. While the initial goal may be to improve one’s admission chances, test scores can also enhance a student’s prospects for earning merit money.

To illustrate the range of merit award opportunities, Compass has assembled a sampling of schools that offer scholarships tied to ACT and SAT scores. Dollar amounts vary based on factors beyond grades and test scores. Qualifying criteria may include institutional priorities, intended major, demonstration of service or leadership, a specific status (such as first generation, geography, heritage, or legacy), and—once awarded—maintenance of a certain level of performance in college. Check each college’s website—or call the financial aid office—for the most current and complete information.

Special thanks to Arman Avasia, Compass Program Manager, for compiling this data:

Like the admission process, most merit awards consider or recommend, but do not require, ACT or SAT scores. However, standards for merit money are higher than those for admissions. Not all admitted students receive merit discounts, so you may see a college present a neutral stance for test scores in admissions but encourage submission of scores to win merit aid.  

In fact, some schools that are test optional for admissions require scores for financial merit. Auburn University is an example of a school that is selectively test optional for admissions while requiring tests for certain scholarships. The University of Iowa, too, is test optional for admissions, but suggests some merit scholarships are scarce for those who apply without scores:

“Typically, students who are admitted with test scores above institutional averages (25.7 ACT/1230 SAT) will have more opportunities for merit scholarships compared to students who are admitted without a test score.” 

The most selective institutions tend to offer the least amount of merit funds and to the fewest number of students. At some highly-selective institutions, only 3-5% of an incoming class will receive merit awards. As a result, strong applicants who apply to a sensible range of schools may find themselves choosing between a more selective institution at or near full price and a less selective institution at a meaningful discount.

However, even highly selective schools have been known to pay rewards for stellar test scores. Students with PSAT scores high enough to qualify as National Merit Finalists enjoy a range of merit options from several thousand dollars to full scholarships. In recent years, schools such as University of Chicago, Northeastern University, and the University of Southern California have presented merit awards to a combined 500 students annually. (Special thanks to Les Mathew from The Extra Mile College Admissions for compiling this free and public resource of National Merit Scholarships offered at over 180 colleges.)

 When planning for 1-on-1 or group test preparation, weigh the investment of test preparation against its potential return in discounted tuition value. At some schools, even an additional 1-2 ACT points will save thousands of dollars per year. 

“The tutoring and testing plan developed by Compass resulted in my son increasing his SAT score by 190 points. That was not only crucial for his college admissions but it also earned scholarships from every one of his schools.“
– Dan G, Compass parent, California