Beginning in 1955, each year the National Merit Scholarship Corporation holds an academic competition for high school students residing in the U.S. planning on entering college. Students who take the preliminary SAT/ National Merit Scholarship Qualifying Test are automatically entered into the competition. Out of the approximately 1.5 million high school students who enter annually, 50,000 test takers are identified as high scorers. These students then progress on to a series of finalist evaluations that rate their academic performance based on high school grades, test scores, school curriculum and other related academic areas. About 15,000 finalists are chosen, and only 8,200 winners are named. Winners are selected not only on their test scores, but also on abilities and accomplishments. Three types of National Merit Scholarships are awarded to winners. These include the $2,500 National Merit Scholarship, corporate-sponsored monetary awards and college-sponsored scholarships.
Community colleges or junior colleges typically offer two-year associate or transfer preparation degrees or diplomas in technical and vocational fields. Students attending a community college who demonstrate above-average abilities in post-secondary course work may be eligible for a merit-based scholarship. Each community college has its own set of scholarships based on donors and funds available. Funds may come directly from the school itself, from a private donor or another organization or agency.
For example, Arapahoe Community College in Littleton, Colorado, offers a variety of merit-based scholarships based on the student's specific major as well as awards from private donors. These include scholarships for maintaining a 3.0 grade point average in accounting or computer based electronics technology. The Community College of Allegheny County in Pittsburgh, Pennsylvania, offers educational foundation scholarships to students who demonstrate academic merit (minimum 3.0 grade point average) and financial need. Edmonds Community College in Lynnwood, Washington, also offers merit-based scholarships requiring a 3.0 total grade point average or better.
Many universities throughout the United States offer merit-based scholarships. Funding for these awards comes from a variety of sources, and scholarships may have different names depending on the school. For example, the public Buffalo State College offers many different merit-based scholarships that include the All College Honors Scholarship; the Presidential Scholarship, for students with a 90 grade average in high school and 1200 or above SAT score; the Miss Buffalo/Miss NY Scholarship, for runners-up and winners of those pageants; and many more.
Private colleges also offer merit-based scholarships. Davidson College, a private liberal arts college in North Carolina, grants merit-based scholarships to approximately 10 percent of entering freshmen. These awards may be renewed for all four years and are valued from $500 to full tuition.