Understanding the National Merit Scholarship Program and Award Amounts

The National Merit Scholarship Program (NMSP) is a prestigious academic competition in the United States that recognizes and provides scholarships to high-achieving high school students. Administered by the National Merit Scholarship Corporation (NMSC) in cooperation with the College Board, the NMSP aims to identify and honor academically talented students. The process involves several stages, beginning with the Preliminary SAT/National Merit Scholarship Qualifying Test (PSAT/NMSQT) and culminating in the selection of National Merit Scholars.

The National Merit Scholarship Program

Each year, the NMSC conducts a competition open to students who meet the entry requirements. High performers are recognized as National Merit Scholars. Finalists and Semifinalists also receive recognition for their academic and extracurricular achievements. Commended Students are selected based on a nationally applied Selection Index score, which is typically below the level required for Semifinalist status in their respective states.

Entry Requirements and PSAT/NMSQT

To enter the National Merit Scholarship Program, students typically take the Preliminary SAT/National Merit Scholarship Qualifying Test (PSAT/NMSQT) during their junior year of high school. The NMSC uses the PSAT/NMSQT as an initial screening tool for over 1.5 million program entrants.

Recognition Levels: Commended Students, Semifinalists, and Finalists

The NMSC recognizes students at various levels based on their PSAT/NMSQT performance and other qualifications:

Commended Students: In the spring of the junior year, NMSC determines a national Selection Index qualifying score for "Commended" recognition. This score is calculated each year to include students at approximately the 96th percentile (top 50,000 highest scorers).
Semifinalists: In early September of the senior year, NMSC determines Selection Index qualifying scores for Semifinalist standing by state (including Washington, D.C., U.S. Territories and Commonwealths, and students enrolled in schools outside the U.S.) and U.S. boarding schools (by geographic region). Approximately 16,000 of the 50,000 recognized students are named National Merit Semifinalists.
Finalists: Semifinalists must fulfill additional requirements to advance to the Finalist level of the competition. About 15,000 of the 16,000 Semifinalists advance to Finalist standing by submitting SAT scores that confirm their earlier PSAT/NMSQT performance, demonstrating an outstanding academic record, and receiving endorsement and recommendation from a high school official. They must also submit an application that includes high school courses and grades, extracurricular and volunteer activities, and a self-descriptive essay.

Selection Index

The Selection Index is a composite score used to determine eligibility for recognition in the National Merit Scholarship Program. It is calculated from the PSAT/NMSQT scores.

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To determine the Selection Index, double your Reading & Writing (RW) score, add your Math score, and then divide the sum by 10. Alternatively, drop the last zero on your section scores, double the RW score, and add the Math score. For example, a student with scores of 690 RW and 720 M would have a Selection Index of 69 x 2 + 72 = 210.

For students entering the competition with an SAT score through Alternate Entry, each SAT section is capped at 760 when calculating a Selection Index.

Semifinalist Qualification

The Selection Index qualifying scores for Semifinalist standing vary from state to state and from year to year. Each state is allocated a percentage of Semifinalists based on the percentage of that state's graduating seniors out of the nation's total. The National Merit Scholarship Corporation does not release the minimum qualifying score required per state to the public.

Two factors that impact cutoffs are participation rates and demographics. Some states have large pockets of extremely qualified students and are particularly competitive.

Homeschoolers and students studying abroad will have to meet the highest state cutoff in the country. Boarding school cutoffs are determined regionally.

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Alternate Entry

Every year students miss the PSAT for legitimate reasons such as illness. To allow those students the opportunity to compete in National Merit, NMSC has a process known as Alternate Entry. Students must make a written request to NMSC for an Alternate Entry application form.

Confirming Score

Semifinalists must achieve a confirming score on the SAT or ACT to advance to the Finalist level. The confirming score is determined each year by NMSC and is calculated in the same way as the PSAT Selection Index. The confirming score is set nationally, so it does not matter what Semifinalist cutoff you met.

The easiest calculation of the SAT Selection Index (SSI) is from your section scores. Drop a zero, double your RW, and add your Math score.

NMSC wants to have a level playing field, so it converts components of the ACT score into an SAT Selection Index using official concordance tables published by ACT/College Board.

Students can use any SAT or ACT score from the fall of their sophomore year to December of their senior year.

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NMSC does not automatically know your SAT and ACT scores. You must submit them just as you would to a college. The College Board code for NMSC is 0085. The ACT code is 7984.

National Merit Scholarship Awards

Of the 15,000 Finalists, about 8,000 receive Merit Scholarship awards. All Finalists are considered for one of the 2,500 National Merit $2,500 Scholarships. These Scholars are selected by a committee of college admissions officers and high school counselors, who appraise the academic record, standardized test scores, contributions and leadership in school and community activities, an essay written by the finalist, and a recommendation written by a high school official.

There are three types of scholarships for Finalists, each with its own criteria. A student can only receive one type of scholarship:

National Merit $2500 Scholarships: Approximately 2,500 students receive awards of $2,500 directly from National Merit. These awards are highly competitive and are allocated proportionally by state.
Corporate-Sponsored Merit Scholarship Awards: Corporations sponsor approximately 1,000 awards for Finalists each year with a minimum one-time value of $2,500 or a renewable value of $1,000 per year. Most of these awards are for Finalists who are the children of employees, for Finalists living in a particular geographic area, or for Finalists who have career plans the sponsor wishes to encourage.
College-Sponsored Merit Scholarship Awards: Approximately 4,000 Finalists receive scholarships from sponsoring colleges with renewable stipends of $500-$2,500 per year. Students must be accepted by a sponsoring institution and list the college as first choice in order to receive a college-sponsored award. These awards are not transferable to another college.

Additional Awards and Full-Ride Scholarships

Colleges can also choose to provide additional awards to National Merit Finalists. These are not technically National Merit Scholarships, but they can be the most important awards for many students.

Some universities reserve or guarantee additional merit-based funding for students who are National Merit Scholars, Finalists, or Semifinalists.

Full-ride scholarships are the most generous award a student can receive-they cover the total expenses of college, including tuition, housing, meals, fees, and books.

Here are some of the universities which offer full-ride scholarships to National Merit Finalists:

Faulkner University
Florida Atlantic University (FAU)
Florida International University (FIU)
Liberty University
The New College of Florida
Oakwood University
Oklahoma Christian University (OC)
Texas Tech University
The University of Alabama
University of Central Florida (UCF)
University of Idaho
University of Maine
University of Mississippi (Ole Miss)
University of Missouri
University of New Mexico
University of North Texas
University of Southern Mississippi
University of South Florida (USF)
UT Dallas
University of Tulsa (TU)
University of West Florida (UWF)
Virginia Commonwealth University (VCU)

Other Universities that Offer Awards to National Merit Finalists and Semifinalists

Arizona State University (ASU)
Brigham Young University (BYU)
Bryan College
Iowa State University
La Sierra University
New Jersey Institute of Technology (NJIT)
Northern Arizona University
Oklahoma State University (OSU)
The University of Arizona
University of Houston
The University of Oklahoma (OU)

Mississippi State University (MSU)

Awarded to entering freshmen who have been named a National Merit Finalist by the National Merit Scholarship Corporation. The amount is subject to change based on the double-occupancy rate of the student's on-campus housing assignment. National Merit Finalists who are members of the Shackouls Honors College may be eligible for a $2,000 Stewart Bridgforth Honors Scholarship, which may be used for study abroad, internships, or faculty-sponsored undergraduate research support after successful completion of the student's first year at MSU.

Maintaining Scholarship Eligibility at the University of Oklahoma (OU)

To maintain National Merit Scholarship eligibility at the University of Oklahoma (OU), students must meet certain requirements:

Enroll in at least 12 credit hours each semester (full-time enrollment).
Earn 24 hours combined from the prior fall and spring semesters. Students who receive part-time awards for summer must enroll in at least 6 credit hours and must complete a total of at least 30 credit hours during the full academic year (fall, spring, summer).
Maintain a cumulative 2.0 GPA for the current academic year to be eligible for a non-resident tuition waiver.
Submit the required form by April 15 for Summer and Fall Semesters and November 15 for Spring Semesters to receive the stipend.

If a student’s cumulative GPA or enrolled credit hours fall below the GPA or enrolled credit hours requirements for the tuition waiver and/or scholarship stipend, they may be placed on scholarship probation.

Eligible students may take a leave of absence from the program for a period, up to one year, during which they are not enrolled in college courses.

Students can request a one-time research or education abroad stipend by submitting the Research and Study Abroad Stipend Request Application.

Impact of the National Merit Scholarship

While Semifinalist status is a nice award to list on your application, you should not expect it alone to have a significant impact on your admission chances at most colleges. The recognition tells college that you did well on the PSAT. Your SAT and ACT scores are far more important to colleges; your National Merit status does not add much new information. However, having a high number of enrolled Semifinalists is seen as a badge of honor at some colleges and will factor in their admission decisions.

PSAT scores aren’t evaluated in the college admissions process; however, a high PSAT score is a strong indicator that an applicant will earn a high score on the SAT, which impacts your chances significantly.

Standardized test scores and grades are used to calculate an applicant’s Academic Index-a single numerical score that many highly selective colleges use to screen applicants.

Criticism and Concerns

FairTest (National Center for Fair and Open Testing) has voiced concerns about the level of transparency in the National Merit Scholarship Corporation's selection process.

NACAC charged that eliminating 99 percent of test-takers from the National Merit Scholarship competition solely on the basis of a multiple-choice, standardized exam was "at odds with best practices in the use of admissions test scores".

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