1 OCAN Advisor Training, August 8, 2012 Lawrence Matthews Director of Financial Aid Bluffton University Financial Aid 101.

Slides:



Advertisements
Similar presentations
Financial Aid 101 Hal J. Wilkinson K-12 School Representative Georgia Student Finance Commission.
Advertisements

Michele Rizzo (716) Assistant Director of Student Financial Aid Canisius College Canisius High School Financial Aid Presentation.
Understanding the Financial Aid Process Northside College Preparatory High School December 6, 2010 Mary Stonis & Brian Drabik Office of Undergraduate Financial.
2015 Counselor Training Paying For College Strategies after all of the student’s “free” money has been exhausted.
Financial Assistance Overview Presented by Joanne Graziano Executive Director for Enrollment Services LIU Post.
Paul Calme Director of Scholarships Xavier University FINANCIAL AID INFORMATION SESSION
An Overview of Federal Student Aid.  Federal Student Aid (FSA) is provided by the US Department of Education and helps students pay for expenses at post-secondary.
Help students pay for college Achieved by: - Evaluating family's ability to pay for educational costs - Distributing limited resources in a fair and equitable.
Understanding Financial Aid Grafton High School Margaret Zitzer December 12, 2011.
Avon and Avon Lake High School Night Wednesday, December 9, 2009 Karen Tijanich Lorain County Community College Ginny Biada Stautzenberger College.
What You Need to Know about Financial Aid
National Association of Student Financial Aid Administrators © NASFAA 2011 What You Need to Know about Financial Aid.
Michele Rizzo Asst. Director of Student Financial Aid Canisius College Iroquois High School Financial Aid Presentation.
Financial Aid Flow Chart Information is sent to the Office of Student Financial Aid Federal Processor Calculates EFC (Expected Family Contribution) Student.
Paul Calme Xavier University
Provided by Discussion Topics  Types of Aid  How to Apply  How aid is awarded.
Financial Aid University of Akron Wayne College. What is financial aid? Any assistance used to reduce the amount you must pay Grants Loans Work-Study.
National Association of Student Financial Aid Administrators © NASFAA 2010 What You Need to Know about Financial Aid.
Top 10 Things to Know About Financial Aid for College Jerry Cebrzynski Lake Forest College.
N EXT S TEPS TO C OMPLETE THE F INANCIAL A ID P ROCESS 2012 Parent Programs.
Financial Aid Cindy Griffin Assistant Director Rollins College.
Financial Aid Discussion December 13, Discussion Topics Forms and Deadlines Net Price Calculator IRS Data Retrieval Expected Family Contribution.
National Association of Student Financial Aid Administrators Presents … © 2014 NASFAA Financial Aid Basics.
 Principles of Financial Aid  Key Concepts  Completing the FAFSA  Types of Aid Available  Comparing Aid Offers & Net Price Calculators.
1 What College Bound Students Need to Know After They File the FAFSA 2013.
All YOU NEED TO KNOW ABOUT APPLYING FOR FINANCIAL AID.
Financial Aid 101 Valerie Jensen Coordinator, New Students and Outreach Office of Student Financial Services.
FINANCIAL AID 101… Ann Marie Gruber Associate Director of Financial Aid Lakeland Community College
Financial Aid Flow Chart Information is sent to the Office of Student Financial Aid Federal Processor Calculates EFC (Expected Family Contribution) Student.
FINANCIAL AID WORKSHOP Kimber Decker | November 2012.
Articulations Federal and State Update September 11-14, 2012.
2014 Counselor Training Paying For College Strategies after all of the student’s “free” money has been exhausted.
Financial Aid 101 EVERYTHING YOU NEED TO KNOW ABOUT FINANCIAL AID.
Financing Students’ Dreams Beyond High School
Financing Your Education Paul Calme Director of Financial Aid Xavier University www.xavier.edu/financial-aid.
Scholarships & Financial Aid Whitney Hall Office of Financial Aid,UAB INFORMATION IN THIS PRESENTATION IS TIME-SENSITIVE Please note that the websites,
Scholarships and Financial Aid Paying for College.
Financial Aid Goals of Financial Aid Access to Post-Secondary Education Choice among Post-Secondary Institutions.
Georgia Student Finance Commission
Understanding Financial Aid Grafton High School Margaret Zitzer Monday, January 13, 2014.
Hal J. Wilkinson Financial Aid 101. Agenda Basic Information: What, Who and How How is Financial Need Calculated Federal Programs State Programs Filling.
Student Financial Aid Kent State University 103 Schwartz Center
Financial Aid Presentation Academic Year.
AVID 3/4 Financial Aid Basics The Big Picture. 5 Major Steps 1. Complete FAFSA Application (Student/Parent) 2. Documents /File Review (College) 3. Packaging.
Financial Aid Hal J. Wilkinson Outreach Representative.
Andrew Reddington Assistant Director of Financial Aid Illinois Wesleyan University.
 What is goal of financial aid?  How do I apply?  How is financial need determined?  What aid is available?  What is the role of the financial aid.
1 Texas Association of Student Financial Aid Administrators and National Association of Student Financial Aid Administrators Financing Education Beyond.
Financial Aid Profile Day Spring 
National Association of Student Financial Aid Administrators © NASFAA 2008 What You Need to Know About Financial Aid.
What You Need to Know About Financial Aid FAFSA – for US Citizens Dream Act Application – for non-US Citizens CSS Profile – for many Private Institutions.
College Cost UNDERSTANDING THE FINANCIAL AID PROCESS.
Paying for College – the Basics of Financial Aid Mark Hill Director of Financial Aid SUNY College of Environmental Science and Forestry Wednesday, November.
Financial Aid 101 Sharon Harper Director of University Scholarships University of Colorado Denver.
FINDING MONEY FOR COLLEGE Financial Aid High School Night At Eastwood High School Eric Bucks Student Financial Aid Bowling Green State University.
FINANCIAL AID 3 EASY STEPS Amy Gooden- Muskingum University.
THE FINANCIAL AID PROCESS PRESENTED BY MIKE MCGINN OF UNIVERSITY OF CHICAGO.
Financial Aid Basics Ric Dwenger Student Services Coordinator January 21, 2016.
Advisor Training Federal and State Update Chad Foust Associate Director, Student Financial Aid, OSU Southeast Regional Representative,
Gives you access to Federal Student Aid online systems Create a username and password to sign and access your FAFSA at
WELCOME PARENTS Financial Aid Meeting January 30, 2012.
Rochester Institute of Technology Financial Aid and Scholarships: Planning for your Child’s Educational Expenses Renee Dann & Denise Hampton, Assistant.
1 OCAN Advisor Training, August 10, 2011 Lawrence Matthews Director of Financial Aid Bluffton University Financial Aid 101 Jeff.
Financial Aid Benjamin Meadows Outreach Representative.
Financial Aid 101 Valerie Jensen Assistant Director, Counseling and Outreach Office of Student Financial Services.
College 101… for Parents! Glenn Dillard Assistant VP for Enrollment Management Harding University
2011 Advisor Training Federal and State Update
Sources of Financial Aid
Student Aid Report (SAR)
Office of Student Financial Services
Presentation transcript:

1 OCAN Advisor Training, August 8, 2012 Lawrence Matthews Director of Financial Aid Bluffton University Financial Aid 101

2 Information: financial aid process  The Key to obtaining Financial Aid is understanding how the system works. Introduction to training NCAN’s Advisor Training Module (ATM) – Chapter 7 (July 2011), The Guide to Federal Student Aid , PowerPoint and handouts

3 OASFAA Disclaimer The Ohio Association of Student Financial Aid Administrators (OASFAA) is a non-profit organization and provides the following information as a free service to access staff and high school counselors. Access staff and high school counselors have permission to copy and distribute these materials to their students and families. Charges may not be assessed for the material or for the information presented. Permission must be granted for other use of this information or these materials. Contact the Outreach Chairperson listed on the OASFAA web site or

4 What is Financial Aid?  Scholarships  Grants  Loans  Employment opportunities Purpose is to provide: Choice and Access NCAN ATM, pg 4

5 Categories of Aid  Merit-based - Scholarships (performance)  Need-based - Grants - Loans - Work-study jobs  Non-Need Based Aid - Loans - VA Benefits

6 u To the extent they are able, Parents have the primary responsibility to pay for their dependent child’s education. Students also have a responsibility to contribute to their educational costs (The Guide pg.15). u Families should be evaluated in their present financial condition. u A family’s ability to pay for educational costs must be evaluated in an equitable and consistent manner, recognizing that special circumstances can and do affect a family’s ability to pay. Principles of Need Analysis NCAN ATM, pg 2

7 Cost of Attendance - Expected Family Contribution (EFC) = Eligibility Tuition and fees Room and Board Books, supplies, Personal, travel Financial Aid Need Definition of Need The Guide pg.6; ATM pg.2 Student’s + Parent’s Contribution Because most federal student aid funds are limited, the total amount awarded to you might fall short of the amount for which you are eligible. FSA Guide, 07-08

8 Expected Family Contribution u “The EFC is calculated…, according to a formula established by law.” The Guide pg.6,8 The formula does not measure willingness to pay! “ The questions on the FAFSA are required to calculate your Expected Family Contribution (EFC). The EFC measures your family’s financial strength and is used to determine your eligibility for federal student aid. Your state and the colleges you list may also use some of your responses. They will determine if you may be eligible for school or state aid, in addition to federal aid. ” from FAFSA paper instructions, , pg. 10 “The EFC is not the amount of money that your family must provide. Rather, you should think of the EFC as an index that colleges use to determine how much financial aid you would receive if you were to attend their school.” FAFSA4Caster

99  Increased income protection allowance for dependent students: 06-07$2, $3,000 (HERA) 08-09$3, $3,750 (CCRAA) 10-11$4, $5, $6,000 Higher Education Reconciliation Act of 2005 (HERA) College Cost Reduction and Access Act of 2007 (CCRAA) Asset conversion rate for dependent students is 20%

10 Need Comparison Higher Cost Mid Cost Lower Cost Institution Institution Institution Cost of Attendance $40,000 $28,000 $13,000 - EFC $8,000 $ 8,000 $ 8,000 = Need / Eligibility $32,000 $20,000 $ 5,000 The Federal Expected Family Contribution (EFC) is the same at each institution. Handout: Cost comparison worksheetNet Price Calculator ED’s “Shopping Sheet”

Net Price Calculator

12 How/When to file if dealing with early deadlines:  Use a completed tax return if possible Or follow a two-step process (The Guide pg 13, ATM pg 33): Step 1: Apply and estimate your tax information on your application Step 2: Make corrections later if your income or tax information was not accurate. Handout: FAFSA A Word about Deadlines They’re REAL FAFSA priority deadline survey

13  10 page booklet containing: Instructions 103 questions organized into 7 steps Special Circumstances If you or your family has unusual circumstances that might effect your financial situation (such as loss of employment), complete this form to the extent you can, then submit it as instructed and consult with the financial aid office at the college you plan to attend. Deadlines

14 Special Circumstances The Guide, pg.8,15; NCAN ATM pg.41 Examples: reported to the financial aid office  Medical  Parent or student loss of income –Loss of child support  Unusual debt or one-time income  Tuition expenses at an elementary or secondary school  Parent in College u The financial aid administrator must have compelling reasons to use professional judgment. u The financial aid administrator’s decision as to whether you have special circumstances is final and cannot be appealed to us (ED).

15 Special Circumstances (cont’d) What about stepparent’s information?  Paper FAFSA, pg.9, column 2  The Guide, pg.15 What about dependency status?  The Guide, pg (and errata)  NCAN ATM, pg.34, 41  paper FAFSA, pgs.5,9

16 Verification  Selected by the Central Processing System (CPS) or the Institution  Keep copies of 2011 Tax documents (for FAFSA)  If selected, completion is required before aid can be disbursed  Verification materials are sent from the student or family to the financial aid office, not to the federal processor ATM pgs 27-29, 40

17 Verification and IRS Data Retrieval ATM, pgs.27-29, 40  Available now (12-13)  Can be used with initial filing of the FAFSA For and beyond (ATM, pgs.28-29):  Can and should be used when filing the initial FAFSA, making corrections, or when changing estimated tax information to actual tax information

FAFSA Worksheet IRS Data Retrieval tool Beginning February 1, 2012 students and parents who have completed their 2011 IRS tax return will be able to use FAFSA on the Web to electronically view their tax information. With just a few simple steps the tax information can also be securely transferred into the FAFSA.

Verification video of: IRS Data Retrieval Choose Step 5 Verification 7 Easy Steps to the FAFSA On YouTube Produced by UCSB Financial Aid Office

20 Basic Steps for First-Time Filers  Apply for admission.  Complete and transmit (or mail) the FAFSA, The Guide, pgs.13-16; ATM pg.31ff Two ways to file : 1) If you have access to the internet, you are encouraged to file electronically, or…

21  10 page booklet containing: Instructions 103 questions organized into 7 steps If mailing your FAFSA to the processor: Make A Copy 2) File a Paper FAFSA

22  Simplified options  Updated graphics  An updateable announcement section  Access to FAFSA PDF and paper FAFSA information 22 FOTW Homepage

23 FAFSA Filing Options Provides the three options for applying including the PDF FAFSA. 23

changes that were retained ATM pg.31 Real-Time PIN  Issued upon request (FOTW or PIN Site)  Valid for FAFSA unless subsequent SSA match fails Number of School Choices  Increased to ten on FOTW  Remains four on paper PDF FAFSA filing option at:  Print a paper version to complete, sign/date, and mail.

25 A parent only needs one PIN to sign for multiple children The PIN, The Guide pg.14; ATM pgs www.pin.ed.gov

26 FOTW Homepage 26 FAFSA worksheet discussion “Completing the FAFSA” completefafsaCompleting the FAFSA

FOTW demo   ID: eddemo  PW: fafsatest Once logged in, scroll to bottom and select FAFSA on the Web Demo System FAFSA submissions by High School  Google: FAFSA submissions by High School

28 Detailed College Info and Comparison when completing FOTW College’s website School type Tuition and fees Net price average Graduation rates Retention rates Transfer rates 28

29  Complete and mail any supplemental forms required by the college or state agency. CSS PROFILE, ATM pg.38, State/Institutional/Access, ATM pg.45  Watch for your financial aid award letter or Financial Aid package or “Shopping Sheet” from the college/university. – Samples: ATM pgs.57ff  Apply for admission.  Complete the FAFSA after January 1.  Review your Student Aid Report (SAR, ATM p.43). Update estimated information, make corrections or contact the Financial Aid Office if corrections needed. Basic Steps for First-Time Filers

30 Scholarship Searches & SCAMS  Free Scholarship searches vs. searches for a fee: ATM pgs.47ff  Protecting Identity 

31

Ohio College Opportunity Grant (OCOG)  Students must file the FAFSA, be Ohio residents and attend an Ohio Public or Private Institution  The Expected Family Contribution (EFC) is the index number for awarding OCOG  EFC eligibility range is from  A part-time student will receive a pro-rated award  Available for continuous enrollment (includes summer)  Other Ohio programs  War Orphans  National Guard  Safety Officer Memorial  Nurse Education Assistance Loan Program (NEALP)  Choose Ohio First

33 Ohio College Opportunity Grant $1872Private Colleges/Universities $ $ 672Four-year public universities $ $ 192Private, For-Profit $ 480

34

35 Federal Pell / SEOG Grants  Pell Grant ( ) EFC of = $5550 maximum Pell EFC of = $ 602 minimum Pell *Need Based *Must file FAFSA *Portable *Part-time eligibility *Life-time eligibility used (LEU): 6 full-time years  Federal SEOG Grant *Exceptional financial need *Lowest EFC’s (Pell Eligible students are priority) *Award ranges from $100 to $4000 FAFSA Priority Deadline for campus based programs Campus Based Handout: FSA at a Glance

36 Federal Work-Study  Undergraduate or graduate students are eligible  Employment can be on or off campus  FWS wages excluded from EFC calculation!!!  Eligible employers School Federal, state, or local public agency Private non-profit organization in academically relevant jobs For-profit organization in academically relevant jobs Community service activities Campus Based Ohio minimum wage in 2012: $7.70 per hour

37 Federal Perkins Loan  Eligible students (priority to exceptional need) Undergraduate or graduate students Must file the FAFSA  Annual and aggregate loan limits up to $5,500 annually for undergraduates (actual awards, if any, will vary between schools) $27,500 aggregate for undergraduates  Interest rate: 5% (fixed) during repayment  Interest subsidized during in-school and nine-month grace period  Deferment and cancellation provisions available Campus Based The Guide, pg. 9, 17-18

38 Budget Control Act of 2011 (August 2, 2011) Consolidated Appropriations Act of 2012 (December 23, 2011)

Takeaway: Student aid is caught up in a much larger political dysfunction & ideological impasse. Takeaway: Student aid changes will likely continue to come through the budget process

Takeaway: Important to keep in mind student aid has already taken a big hit this year: Elimination of Year-Round Pell; Elimination of LEAP; 0.2 percent across the board cut Loss of funding from ACG/SMART Increase in student loan interest rate in

41 Budget Control Act Congress passed on August 2, 2011 DCL: GEN (Aug. 31, 2011) Main provisions for student aid: ◦Eliminate in-school interest subsidy for graduate students ◦Eliminate Direct Loan repayment incentives ◦Provide $17 billion for Pell Grants for FYs 12 and 13

42 Consolidated Appropriations Act of 2012 Congress passed on 12/17/11, President signed into law 12/23/11 Main provisions for student aid (GEN-12-01): ◦Saved maximum Pell at $5550 for ◦Minimum Pell is $602 for EFC maximum of 4995 (was 5273) ◦Pell eligibility reduced from 18 FT semesters to 12 FT (prorated for PT) [impact on all students, not just new Pell recipients] ◦Reduce auto-zero-EFC threshold from $32,000 to $23,000 ◦Qualifying for federal aid through an ability-to-benefit test or successfully completing six credit hours is eliminated, eff. 7/1/12 ◦Subsidized loans between 7/1/12 and 6/30/14 will not be eligible for interest benefits during six-month grace period

Direct Loans, Subsidized Unsubsidized Need basedNot based on financial need Interest is fixed at 6.8% for all new undergraduate loans disbursed after July 1, Interest is subsidized while the student is in school and during deferment. Interest is fixed at 6.8% for all new loans disbursed after July 1, Interest accrues from time of disbursement of the funds. Direct Subsidized and Unsubsidized Loans are two separate, unique types of loans that are awarded separately. The Guide, pgs. 9-11, %

44 Direct Loans, Independent Students and Dependent Students whose parents have been denied the PLUS Loan are eligible for additional Unsubsidized Stafford Loans ($4,000 as Freshmen and Sophomores and $5,000 as Juniors and Seniors) Class YearBase Amount Additional Unsubsidized Amount Total Available to Borrow Freshman$3,500$2,000$5,500 Sophomore$4,500$2,000$6,500 Junior$5,500$2,000$7,500 Senior$5,500$2,000$7,500

Cost of Education (COA) - Expected Family Contribution (EFC) = Eligibility Financial Aid Need Definition of Need Unsubsidized Subsidized $2000 more in Unsubsidized

Federal Direct Loan Subsidized or Unsubsidized  Long-term loan; must be repaid (must file FAFSA) 10 year maximum repayment period –additional repayment options are available  Repayment begins 6 months after student graduates or drops below half-time enrollment status  Consolidated Appropriations Act of 2012: For subsidized direct loans between 7/1/12 and 6/30/14, Congress eliminated subsidized interest benefits during six-month grace period after a student graduates or falls below half-time enrollment (The Guide errata). Handout: repayment chart

Direct Parent PLUS, Parent PLUS Loans Loans to parents of dependent students. Loan limits are up to the cost of education minus any financial aid received. Interest rate is 7.9% fixed. Repayment begins within 60 days of full disbursement. –Payments may be deferred while the student is in school. FAFSA completion is required. 47 Private Education Loans are also available The Guide, pg. 9

Direct Loan Fees, Direct Loan Fees for students (sub and unsub) 1% origination fee deducted from the borrowers disbursement so the borrower nets 99% of what is borrowed. Parent PLUS Loan Fees 4% origination fee deducted from the disbursement so the borrower nets 96% of what is borrowed. 48

 File the FAFSA  Complete admission process at the school you plan to attend.  Review the award letter from the school to learn about eligibility.  Go to Sign in using your Federal PIN Student: complete entrance counseling AND MPN (Master Promissory Note). Parent: complete PLUS application AND MPN. How do I apply for Federal Direct Loans?? (Deadline to apply is before the end of enrollment period)

50 u TEACH grants Provides $4,000 per year (prorated for part-time) –Not to exceed $16,000 for undergraduate students and $8,000 for graduate students –Must be used for tuition and fees (but can be used for room & board if institutionally owned housing) Teacher Education Assistance for College and Higher Education (TEACH) ATM pp.14-16; The Guide, pg.8

51 Getting Help  Federal Student Aid Information Center (inside cover of The Guide): 

52

53

54

55

56 Training opportunities Visit  For information on Counselor workshops to be held December 3-7, 2012: Locations TBA  OASFAA/OCAN Winter Conference  December 12-14, 2012, Renaissance Downtown Columbus OACAC Articulation Workshops:  September 11-14, 2012  Tuesday, September 11 – Miami University Wednesday, September 12 – Ohio University Thursday, September 13 – University of Findlay Friday, September 14 – Baldwin-Wallace University

57 OCAN Advisor Training, August 8, 2012 Lawrence Matthews Director of Financial Aid Bluffton University Questions???