How Much the Segal Education Award Pays and What It Covers

What the Segal Education Award pays

The Segal Education Award gives you money to pay down federal student loans or pay for future education after you finish your AmeriCorps service. The amount you receive depends on which AmeriCorps program you served in and how long you served. Most AmeriCorps members receive between $3,000 and $6,500 per year of service, though some programs offer different amounts.

The award comes as a voucher you can use within seven years after your service ends. You do not receive it as cash in your bank account — you direct it toward specific education debts or costs, and the payment goes directly to your loan servicer or school.

Key Takeaways

• Segal Award amounts range from roughly $3,000 to $6,500 per year of service, depending on your AmeriCorps program.
• You can use the award to pay down federal student loans or to pay tuition and fees at a school, training program, or vocational institution.
• The award is a voucher, not cash — you direct it toward a specific loan or school, and the payment goes directly to that institution.
• You have seven years from the end of your service to use the award, and you can split it across multiple loans or schools if you choose.

How award amounts differ by program

AmeriCorps has several tracks — AmeriCorps Seniors, AmeriCorps State and National, AmeriCorps VISTA, and AmeriCorps Disaster Corps — and each one sets its own award structure. AmeriCorps State and National programs, which include most community service roles, typically offer the full award range. AmeriCorps VISTA, which focuses on anti-poverty work, often offers a higher award per year of service.

Within each track, individual programs may offer slightly different amounts. Your program's recruitment materials or your AmeriCorps program officer can tell you the exact award for your position before you start. If you are already serving, your program coordinator has this information in your enrollment paperwork.

What you can use the award for

The Segal Award covers federal student loans — both direct loans and loans made through the Federal Family Education Loan Program. You can use it to pay down principal, which reduces what you owe and can lower your monthly payment.

You can also use the award to pay for education or training after your service ends. This includes tuition and fees at a college, university, graduate school, vocational school, or approved training program. Some members use it to pay for professional certifications or licensing exams. The school or program must be accredited and may be able to access to receive federal student aid.

You cannot use the Segal Award for room and board, books, supplies, or other indirect education costs — only tuition and fees. You also cannot use it to pay private student loans, only federal ones.

How to direct your award after service

After you complete your service term, AmeriCorps sends you information about how to use your award. You will receive a voucher or certificate showing your award amount. To use it, you contact your loan servicer (if paying down loans) or your school's financial aid office (if paying for future education) and provide them with your voucher.

The institution then submits a claim to AmeriCorps, and AmeriCorps pays them directly. This process typically takes a few weeks. You do not handle the money yourself — it flows from AmeriCorps to the loan servicer or school.

If you have multiple federal loans, you can split your award among them. If you want to use part of it for a future degree and part for current loans, you can do that too. You just need to direct each portion separately.

The seven-year window to use your award

You have seven years from the date your service ends to use your Segal Award. If you do not use it within that time, you lose it. This means if you finish service in June 2024, you can use the award anytime through June 2031.

If you are unsure when your seven-year window closes, check your award voucher or contact your AmeriCorps program. Some members use their award right away to pay down loans; others wait until they return to school. Both are common paths. Just keep track of your deadline so you do not miss it.

What happens if you leave service early

If you do not complete your full service term, you may still receive a partial Segal Award based on the time you actually served. The amount is prorated — if you served half your term, you typically receive half the award. Some programs have minimum service requirements (often 12 months) before you become may be able to access for any award at all.

Your program officer can tell you whether you have met the minimum and what partial award you would receive if you leave early. This information is usually in your enrollment agreement.

Frequently Asked Questions

Can I use my Segal Award to pay for a graduate degree?

Yes, as long as the graduate program is accredited and may be able to access for federal student aid. You can use the award for tuition and fees at a master's program, doctoral program, or professional school. You cannot use it for living expenses or books.

What if I have both federal and private student loans?

The Segal Award can only be used for federal student loans. If you have private loans, you would need to pay those separately. You can direct your entire award to federal loans, or split it among multiple federal loans if you have them.

Do I have to use my award all at once?

No. You can use your award in one lump sum or spread it out over time within your seven-year window. Some members use part of it immediately and save the rest for a future degree. You direct each portion when you are ready to use it.

What if I forget to use my award before the seven years are up?

Once the seven-year window closes, the award expires and you cannot use it. There is no extension or exception process. Keep your voucher and set a reminder so you do not miss your deadline.

Does the Segal Award count as income for tax purposes?

The Segal Award itself is not taxable income. However, if you use it to pay student loan interest, you may be able to deduct that interest on your taxes. Consult a tax professional about your specific situation.