On July 4, 2025, the 2025 Reconciliation Bill (One Big Beautiful Bill Act) was signed into law, which includes several higher education provisions that will take effect July 1, 2026. For students enrolled at the University of North Texas, the July 1, 2026 changes are effective as of the Fall 2026 semester. The Financial Aid Updates webpage details many of these changes. The webpage below provides additional details and examples regarding one of these changes, referred to as the Federal Student Loan Schedule of Reduction (SOR) for less than full-time enrollment.  

As of the Fall 2026 term, federal student loans for students enrolled less than full-time are subject to Schedule of Reduction (SOR) requirements. This means federal student loans for students enrolled less than full-time will be reduced in proportion to a student’s actual enrollment.

At UNT, full-time enrollment is defined as:

  • Undergraduate: 12 or more hours per term
  • Graduate: 9 or more hours per term or 3 or more hours of dissertation or thesis (courses numbered 5950/6950/6954) for doctoral or master’s students

Schedule of Reduction (SOR) requirements apply to all Subsidized and Unsubsidized Federal Direct loans and Graduate PLUS loans offered under legacy provisions. Students must still be enrolled at least half-time to receive a federal direct loan.

Examples of Schedule of Reduction (SOR) Calculations

Example 1 (Undergraduate)

A dependent junior is typically eligible for up to $3,750 per semester in federal direct loans. If the student enrolls in 6 hours:

  • 6 hours ÷ 12 hours = 50%
  • $3,750 × 50% = $1,875
Example 2 (Graduate)

A graduate student is typically eligible for up to $10,250 per semester in unsubsidized loans. If the student enrolls in 6 hours:

  • 6 hours ÷ 9 hours = 66.67% (rounded to 67%)
  • $10,250 × 67% = $6,867

Notes
In this example, the 6 hours are not thesis/dissertation courses (5950/6950/6954). Students enrolled in qualifying thesis/dissertation hours are considered full-time and are not subject to SOR proration. However, enrollment in only thesis/dissertation hours may result in a reduced loan amount due to lower tuition charges.

How Enrollment Is Determined

SOR calculations are based on enrollment in Title IV-eligible courses through the end of the applicable term. 

To be considered a Title IV eligible course:

  • the course must be required toward your course of study,
  • you must actively participate in the course,
  • participation in the course must be documented by the instructor,
  • a previously passed course (D or better) cannot be repeated for a grade more than once

For a course to count toward your enrollment level for SOR calculation purposes, you must maintain enrollment and participation through the end of the term.

Matching Enrollment to Your Financial Aid Offer

Your actual enrollment must match the enrollment level used to award your financial aid for funds to disburse.

Award notices sent to your EagleConnect email indicate the enrollment level used:

Schedule of Reduction Award Notice

Prior to disbursement, the Financial Aid & Scholarships (FAS) Office will confirm if your enrollment status matches your financial aid offer. If there is a mismatch, you will receive:

  • An email to your EagleConnect account with instructions regarding next steps.
  • A Financial Aid Hrs Confirm Form will be added to your To-Do List in myUNT.

Next steps:

  • Review the email carefully
  • Update your registration if needed
  • Confirm your enrolled hours via the Financial Aid Hrs Confirm Form:
    • Log into myUNT
    • Select the “Tasks” tile and click on your “To-Do List”
    • Click on “Financial Aid Hrs Confirm Form”
    • Press the “Proceed to Form” button and follow instructions to complete

Your submitted Financial Aid Hrs Confirm Form will be used to review your financial aid offer and adjust aid offered, if applicable. Notice of any aid adjustments will be sent to your EagleConnect email address.

Please Note: Your confirmed hours must match your actual enrollment for the Financial Aid Hrs Confirm Form to be processed.

Enrollment Changes and Financial Aid Impact

  • If you drop courses prior to or on the full-term census day, your aid (i.e., grants, scholarships, and loans offered) and your Cost of Attendance will be reviewed and adjusted based on your updated enrollment status. A temporary hold will be placed on any pending refunds during the review process to ensure accuracy.
  • If you drop courses after the full-term census day, adjustments to aid offered are reviewed on a case-by-case basis.
  • If a federal student loan has disbursed prior to a change in enrollment, adjustment may be made to a future loan disbursement within the same award year.
  • Notice of any aid adjustments will be sent to your EagleConnect email address.

Additional Important Information

  • Grant aid is based on enrollment as of the end of the full-term census day each term.
  • Federal grants (Pell, SEOG) are based on Title IV-eligible courses enrollment at census.
  • For federal aid, cost of attendance is based on enrolled Title IV-eligible courses at census.
  • Federal loan eligibility is based on enrollment through the end of the term.
  • Post-disbursement drops may affect future loan disbursements within the same award year.

Participation Requirement

You must demonstrate participation in your courses to receive federal aid. If instructors cannot confirm participation (for example, through a graded assignment), your aid may be canceled or reduced.

Withdrawals

If you stop participating and withdraw (officially or unofficially), a portion of your aid may need to be returned under Return of Title IV requirements.

Frequently Asked Questions

What is Schedule of Reduction (SOR)?

Schedule of Reduction (SOR) refers to the federal student aid requirement that federal student loans are reduced based on how many hours you are enrolled in if you are enrolled less than full-time.

When does Schedule of Reduction (SOR) start?

Schedule of Reduction (SOR) applies beginning Fall 2026.

What is considered full-time enrollment?
  • Undergraduate: 12+ hours
  • Graduate: 9+ hours or 3 or more hours of dissertation or thesis (courses numbered 5950/6950/6954) for doctoral or master’s students
Do I have to be full-time to get a loan?

No, but you must be enrolled at least half-time to receive a federal student loan.

How will my loan amount change?

Your loan will be prorated based on your enrolled hours.

Example:

  • Undergraduate at 6 hours → ~50% of your loan
  • Graduate at 6 hours → ~67% of your loan
Are all loans affected by Schedule of Reduction (SOR)?

All federal student loans are subject to Schedule of Reduction (SOR):

  • Subsidized Federal Loan
  • Unsubsidized Federal Loan
  • Graduate PLUS Loan (legacy provisions)

Parent PLUS loans, state loans and private loans are not impacted. All loans are limited by other aid received and total cost of attendance.

Are thesis/dissertation students affected?

If you are enrolled in 3 or more hours of dissertation or thesis (courses numbered 5950/6950/6954) for doctoral or master’s students, you are considered full-time and not subject to SOR.

However, your loan amount may still be lower due to lower tuition charges.

What counts as an eligible course for Schedule of Reduction (SOR) calculations?

Title IV-eligible courses in which you maintain enrollment and participation through the end of the term are considered eligible courses for Schedule of Reduction (SOR) calculations.

To be considered a Title IV eligible course:

  • the course must be required toward your course of study,
  • you must actively participate in the course,
  • participation in the course must be documented by the instructor,
  • a previously passed course (D or better) cannot be repeated for a grade more than once
What happens if my enrollment doesn’t match my aid offer?

You will receive:

  • An email with instructions
  • A “To-Do List” item in myUNT

Action required: Update or confirm your hours to avoid delays.

What if I drop a class before census day?
  • Your financial aid will be reviewed and adjusted
  • Pending refunds (if applicable) will be temporarily held until the review is complete.
  • Notice of any aid adjustments will be sent to your EagleConnect email address.
What if I drop a class after census day?
  • Adjustments to your registration will be reviewed case-by-case.
  • Changes to your enrollment status may affect future loan disbursements.
  • Notice of any aid adjustments or impacts to your aid eligibility will be sent to your EagleConnect email address.