Rochester Institute of Technology Financial Aid and Scholarships: Planning for your Child’s Educational Expenses Renee Dann & Denise Hampton, Assistant Director/Coordinator Financial Aid and Scholarships October 13, 2015

What are some common financial aid terms? What is financial aid? How does the financial aid process work? What is “need-based” financial aid? How do I know if my student will qualify? What kind of financing options are available? What forms are involved? Where can I get free, reputable information? How do we search for scholarships? Rochester Institute of Technology Goals for Tonight

FAFSA SEOG FSA ID Subsidized SAR Unsubsidized COA PLUS EFC SAP MPN TAP Rochester Institute of Technology Financial Aid Terms

What is Financial Aid? Scholarships (“gift”) Money that does not have to be paid back, awarded on the basis of merit or skill (no FAFSA required). Grants (“gift”) Money that does not have to be paid back, awarded on the basis of financial need. Loans (“self-help”) Money students and parents borrow to help pay educational expenses. Employment (“self-help”) Money students earn to help pay educational costs. Rochester Institute of Technology

Sources of Money for College Federal Government Federal Pell Grant, Direct Loans, Federal Work-Study State Government New York State Tuition Assistance Program, Scholarships for Academic Excellence Colleges & Universities Merit scholarships and need-based grants Private organizations Scholarships Rochester Institute of Technology

Cost of Attendance Tuition and Fees +Room and Board Total Direct Charges Books and Supplies +Transportation and Personal Estimated Personal Expenses Rochester Institute of Technology

Expected Family Contribution The formula used to calculate the Expected Family Contribution is determined by law and includes, among many other data items, the following components: Parent’s prior year income Student’s prior year income Value of parents’ assets Value of student’s assets The number of household members The number of household members (excluding parents) attending college at least half time The age of the older parent Rochester Institute of Technology

Basic Financial Aid Formula $ Cost of Attendance - $ Family Contribution $ Financial Need For Financial Aid Eligibility: ― Family contribution is a constant ― Cost of education is variable Rochester Institute of Technology

Family Contribution the Same State Community Private College College College Cost $25,000 $15,000 $40,000 Family-10, , ,000 ______ _______ ______ Need $15,000 $ 5,000 $30,000 Rochester Institute of Technology

FAFSA on the Web Web site: FAFSA on the Web available on January 1 of senior year/year of attendance** FAFSA on the Web Worksheet: Used as “pre-application” worksheet Questions follow order of FAFSA on the Web Rochester Institute of Technology

Sign FAFSA electronically Takes about 2 minutes to set up Student and parent (if applicable) need their own FSA IDs May be used by students and parents throughout aid process, including subsequent school years FSA ID

Merit Scholarships Offered by colleges and universities; separate from need-based grants Amounts vary– compare to direct charges Ask about: Selection criteria Application process Renewal terms and conditions Rochester Institute of Technology

Special Circumstances  Cannot report on FAFSA – just a processor  Send explanation to financial aid office at each college  College will review ‘appeal’ and may request additional documentation  Examples: Loss of job Care of elderly parent Change in employment status Private school tuition for dependent student Daycare or unusual dependent care expenses Medical/dental expenses not covered by insurance Change in parents’ marital status Rochester Institute of Technology

College Financing Options Federal Direct Parent Loan (PLUS Loan) “Unsubsidized” Direct Student Loan Payment Plans IRS 529 Plans Cooperative Education Military resources

529 Plans Every state offers 529 savings plans Tax-exempt college savings plans with minimal impact to federal financial aid eligibility Guarantees minimum fixed rate of return (typically 3%) Controlled by account owner, not the student Qualified educational expenses (tuition, fees, book, supplies, equipment; room and board for students enrolled at least half-time [6 credits])

New York State Tuition Assistance Program (TAP) Award ranges from $500 - $5,165 annually Administered by the Higher Education Services Corporation (HESC) Eligibility US citizen or eligible non-citizen Legal resident of New York State Graduated from high school, have an earned GED Enrolled full-time each semester (12 hours or more) Matriculated/degree-seeking Meet NYS SAP requirements (different than federal standards) Not in default Meet income criteria

Basic Application Steps Apply for admission Apply for an FSA ID Obtain one FSA ID for each person signing File FAFSA on line at Watch for your Student Aid Report (SAR) via Make any needed corrections after filing taxes Rochester Institute of Technology

More Application Advice File any additional forms College-based, state-based forms Research other sources of aid Free, reputable web-based searches Guidance Counselor for local scholarships Keep photocopies of documents submitted Explain special circumstances Meet deadlines! Rochester Institute of Technology

Aid Information on the Web RIT Office of Financial Aid & Scholarships FinAid! The SmartStudent Guide to Financial Aid FastWeb Free Scholarship Search Dept. of Education - FAFSA on the Web Rochester Institute of Technology

Contact Information Renee Dann & Denise Hampton (585) Rochester Institute of Technology