This study is one part of a two-part inquiry into subsidies for post-secondary education in Canada. Based on a combination of administrative and survey data, the study estimates the distribution of student loans and grants by family income quartile. The estimates suggest that roughly 40 percent of all loans and grants go to students from families with above-median income. Need-based assistance is thus shown to be an inefficient way to help low-income students; more direct income-targeting methods should be adopted if policy-makers wish to use financial assistance programs to help low-income students access post-secondary education. (Contains 10 figures and 12 tables. The following are appended: (1) How Need is Assessed; and (2) CMSF Student Panel.)