Finding Money for College Basics of Financial Aid and the FAFSA

We will talk about: Federal student aid State student aid Student aid from colleges Scholarships from other sources Here you can briefly state the main topics of the presentation.

We will answer: What is financial aid? Who can get it? How much can I get? How do I apply? What happens next? Where can I get more info? Here you can briefly list the questions that will be answered during the presentation.

What is financial aid? Money for education expenses for college or career school Grants: do not have to be repaid (often called “gift aid”). Work-study: money earned by the student at a job (often on campus) that helps the student pay his/her education expenses. This money does not have to be repaid and is not taken into account in assessing a student’s eligibility for financial aid the following year. Loans: must be repaid with interest. Scholarships: funds that do not have to be repaid. Scholarships are usually based on academic merit but can be based on a student’s interests, hobbies, religion, ethnicity, and/or financial need. Financial aid is money for education expenses for college or career school. Grants do not have to be repaid (they are often called “gift aid”). Work-study is money earned by the student at a job (often on campus) that helps the student pay his or her education expenses. This money does not have to be repaid and is not taken into account in assessing a student’s eligibility for financial aid the following year. Loans have to be repaid with interest. Scholarships are funds that do not have to be repaid. Scholarships are usually based on academic merit but can be based on a student’s interests, hobbies, religion, ethnicity, and/or financial need.

Who can get federal student aid? Basic eligibility criteria for federal student aid: Anyone who can prove they have financial need U.S. citizen or permanent resident - (there are some additional categories of eligible noncitizen, but they’re relatively rare) High school graduate/GED holder (or other state certificate holder): or homeschooler who has completed his/her home-school education as recognized by the state government; or enrolling in an eligible career pathway program and meeting one of the “ability-to-benefit” alternatives described at StudentAid.gov/eligibility/basic-criteria Student enrolled as a regular student in a degree/certificate program that is eligible to be paid for by federal student aid funds **This is not a comprehensive list of eligibility criteria for federal student aid. For complete details, visit ifap.ed.gov and go to the Student Eligibility chapter of the Federal Student Aid Handbook. (Students should visit StudentAid.gov/eligibility.)** Basic eligibility criteria for federal student aid: Demonstrate financial need (for most programs) US citizen/permanent resident (there are some additional categories of eligible noncitizen, but they’re relatively rare) High school graduate; GED (or other state certificate) holder; or homeschooler who has completed his/her home-school education as recognized by the state government; or enrolling in an eligible career pathway program and meeting one of the “ability-to-benefit” alternatives described at StudentAid.gov/eligibility/basic-criteria Student enrolled as a regular student in a degree or certificate program that is eligible to be paid for by federal student aid funds; student also must be attending a college or career school that participates in the federal student aid programs SSN: the exception here is students from the Republic of the Marshall Islands, the Federated States of Micronesia, or the Republic of Palau Males must register for Selective Service within 30 days of their 18th birthday (within 30 days before or 30 days after, for a total window of 60 days). If you are working with a male student who did not meet the 60-day timeframe, direct him to register immediately at www.sss.gov. Late registrations are accepted until the age of 26. If you are working with a male student aged 26 or older who did not register, you should direct him to the financial aid office at the college he plans to attend. Before he can receive federal student aid, he will have to prove that he did not “knowingly and willfully” fail to register. The financial aid administrator will tell him what documentation he needs in order to do so. In broad terms, a student making satisfactory academic progress (SAP) is moving toward receiving his or her degree or certificate at a pace that is acceptable to his or her school. Each school sets its own SAP policy.

Who can get federal student aid? continued… Anyone with a valid Social Security number Males registered for the Selective Service System within 30 days of their 18th birthday (within 30 days before or 30 days after, for a total window of 60 days). The purpose of the Selective Service System is to provide manpower to the armed forces in an emergency and to run an Alternative Service Program for men classified as conscientious objectors during a draft. Almost all male U.S. citizens and male immigrants, who are 18 through 25, are required to register with Selective Service. It's important to know that even though he is registered, a man will not automatically be inducted into the military. In a crisis requiring a draft, men would be called in a sequence determined by random lottery number and year of birth. Then, they would be examined for mental, physical, and moral fitness by the military before being deferred or exempted from military service or inducted into the Armed Forces. A CHART of who must register is also available in PDF. **This is not a comprehensive list of eligibility criteria for federal student aid. For complete details, visit ifap.ed.gov and go to the Student Eligibility chapter of the Federal Student Aid Handbook. (Students should visit StudentAid.gov/eligibility.)** Basic eligibility criteria for federal student aid: Demonstrate financial need (for most programs) US citizen/permanent resident (there are some additional categories of eligible noncitizen, but they’re relatively rare) High school graduate; GED (or other state certificate) holder; or homeschooler who has completed his/her home-school education as recognized by the state government; or enrolling in an eligible career pathway program and meeting one of the “ability-to-benefit” alternatives described at StudentAid.gov/eligibility/basic-criteria Student enrolled as a regular student in a degree or certificate program that is eligible to be paid for by federal student aid funds; student also must be attending a college or career school that participates in the federal student aid programs SSN: the exception here is students from the Republic of the Marshall Islands, the Federated States of Micronesia, or the Republic of Palau Males must register for Selective Service within 30 days of their 18th birthday (within 30 days before or 30 days after, for a total window of 60 days). If you are working with a male student who did not meet the 60-day timeframe, direct him to register immediately at www.sss.gov. Late registrations are accepted until the age of 26. If you are working with a male student aged 26 or older who did not register, you should direct him to the financial aid office at the college he plans to attend. Before he can receive federal student aid, he will have to prove that he did not “knowingly and willfully” fail to register. The financial aid administrator will tell him what documentation he needs in order to do so. In broad terms, a student making satisfactory academic progress (SAP) is moving toward receiving his or her degree or certificate at a pace that is acceptable to his or her school. Each school sets its own SAP policy.

Who can get other kinds of financial aid? States, colleges, and private scholarships have their own eligibility criteria. Be sure you know what you need to do to qualify. At this point, you might want to share the eligibility criteria for one or two financial aid programs offered by organizations in your area. For instance, for state government funds, common criteria include being a resident of the state. You can find your state grant agency’s contact information (including website address, if any) at ed.gov/sgt. Feel free to edit this slide to present information about your state or local financial aid programs.

How much federal student aid can I get? In general, depends on your financial need. Financial need determined by Expected Family Contribution (EFC) and cost of attendance (COA) EFC comes from what you report on FAFSA® (Free Application for Federal Student Aid) COA is tuition, fees, room and board, transportation, etc. COA – EFC = financial need EFC is determined by a formula that takes into account information such as the student’s and parents’ income and (often) their assets, how many people are in the family household, and how many of those people are in college. For a full explanation of the EFC formula, go to StudentAid.gov/resources#efc. Cost of attendance is determined by the school and may include: Tuition and fees Books, supplies, transportation, personal, miscellaneous Room and board Dependent care Study-abroad expenses Disability expenses Employment expenses for co-op study Loan fees For more information about cost of attendance, see the “Calculating Awards and Packaging” volume of the “Federal Student Aid Handbook” at ifap.ed.gov. Financial need is determined by subtracting the EFC from the COA. Because COA differs from school to school, a student’s financial need will also differ from school to school.

How much federal student aid can I get? Continued… Expected Family Contribution (EFC) is determined by a formula that takes into account information such as the student’s and parents’ income and (often) their assets, how many people are in the family household, and how many of those people are in college. For a full explanation of the EFC formula, go to StudentAid.gov/resources#efc. EFC is determined by a formula that takes into account information such as the student’s and parents’ income and (often) their assets, how many people are in the family household, and how many of those people are in college. For a full explanation of the EFC formula, go to StudentAid.gov/resources#efc. Cost of attendance is determined by the school and may include: Tuition and fees Books, supplies, transportation, personal, miscellaneous Room and board Dependent care Study-abroad expenses Disability expenses Employment expenses for co-op study Loan fees For more information about cost of attendance, see the “Calculating Awards and Packaging” volume of the “Federal Student Aid Handbook” at ifap.ed.gov. Financial need is determined by subtracting the EFC from the COA. Because COA differs from school to school, a student’s financial need will also differ from school to school.

How much federal student aid can I get? Continued… Cost of attendance (tuition, fees, room and board, transportation, etc.) is determined by the school and may include: Books, supplies, miscellaneous Dependent care Study-abroad expenses Disability expenses Employment expenses for co-op study Loan fees COA – EFC = financial need EFC is determined by a formula that takes into account information such as the student’s and parents’ income and (often) their assets, how many people are in the family household, and how many of those people are in college. For a full explanation of the EFC formula, go to StudentAid.gov/resources#efc. Cost of attendance is determined by the school and may include: Tuition and fees Books, supplies, transportation, personal, miscellaneous Room and board Dependent care Study-abroad expenses Disability expenses Employment expenses for co-op study Loan fees For more information about cost of attendance, see the “Calculating Awards and Packaging” volume of the “Federal Student Aid Handbook” at ifap.ed.gov. Financial need is determined by subtracting the EFC from the COA. Because COA differs from school to school, a student’s financial need will also differ from school to school.

How much federal student aid can I get? Continued… Maximum amounts for the major programs for a dependent freshman in 2017-18: Federal Pell Grant: $5,920 Federal Work-Study: depends on funds available at school Direct Subsidized and Unsubsidized Loans: $5,500 total Direct PLUS Loan (for parents): COA minus other aid received Funds from other programs are available; see StudentAid.gov/glance for details. EFC is determined by a formula that takes into account information such as the student’s and parents’ income and (often) their assets, how many people are in the family household, and how many of those people are in college. For a full explanation of the EFC formula, go to StudentAid.gov/resources#efc. Cost of attendance is determined by the school and may include: Tuition and fees Books, supplies, transportation, personal, miscellaneous Room and board Dependent care Study-abroad expenses Disability expenses Employment expenses for co-op study Loan fees For more information about cost of attendance, see the “Calculating Awards and Packaging” volume of the “Federal Student Aid Handbook” at ifap.ed.gov. Financial need is determined by subtracting the EFC from the COA. Because COA differs from school to school, a student’s financial need will also differ from school to school.

How much federal student aid can I get? Continued… For early estimate, use FAFSA4caster: Go to fafsa.gov and find link in “Thinking About College?” section (lower right of home page) Enter some financial information Get an estimate EFC is determined by a formula that takes into account information such as the student’s and parents’ income and (often) their assets, how many people are in the family household, and how many of those people are in college. For a full explanation of the EFC formula, go to StudentAid.gov/resources#efc. Cost of attendance is determined by the school and may include: Tuition and fees Books, supplies, transportation, personal, miscellaneous Room and board Dependent care Study-abroad expenses Disability expenses Employment expenses for co-op study Loan fees For more information about cost of attendance, see the “Calculating Awards and Packaging” volume of the “Federal Student Aid Handbook” at ifap.ed.gov. Financial need is determined by subtracting the EFC from the COA. Because COA differs from school to school, a student’s financial need will also differ from school to school.

How much state, school, and private scholarship money can I get? Depends on the program; do your research! Our state aid: [input URL for state government agency] Ask college financial aid offices for info about aid available at their schools Free scholarship search at StudentAid.gov/scholarships [Fill in URL where students can get information for your state financial aid] It’s important to research early so you don’t miss out on any aid.

How do I apply for aid? Federal student aid: fill out Free Application for Federal Student Aid (FAFSA®) at fafsa.gov State aid: College Foundation of NC https://www.cfnc.org/paying/schol/info_schol.jsp School aid: contact financial aid offices at schools you are considering Scholarships: visit scholarship website or call contact number for information Re the FAFSA, stress that it is a free application. If a student finds him or herself at a website that asks for payment, the student is not at the official U.S. Department of Education FAFSA site. There is no fee to file the FAFSA. [Note to counselor: If you are working with students who don’t have access to the internet and therefore need to fill out the FAFSA on paper, you can download a PDF of the FAFSA at fafsa.gov (click on “FAFSA Filing Options”) and print as many copies as you need. Alternatively, a student may call 1-800-4-FED-AID (1-800-433-3243) to request a print-out of the PDF FAFSA.] If there are specific state, school, or scholarship programs that most or all of your students apply for, you might insert their URLs here, or state where to get applications.

How do I apply for federal student aid? Create a username and password called the FSA ID. Learn about the FSA ID and find the link to create one at StudentAid.gov/fsaid. You and your parent must each create your own FSA ID; you can’t share one. If you provide an email address when creating your FSA ID, it must be a unique email address (can’t provide same email address for more than one person’s FSA ID). Don’t tell anyone your FSA ID! Students and parents can create FSA IDs at any time. The student does not have to be ready to fill out a FAFSA. One benefit of creating an FSA ID is that you will be able to use it to sign the FAFSA electronically, thus speeding up the process greatly. Important to note here that student and parent need separate FSA IDs – one each. [Only one parent needs an FSA ID, even if both parents’ info will be provided on the FAFSA.] (To find out whether a parent’s information will be needed on the FAFSA, a student can visit StudentAid.gov/dependency.) It’s strongly encouraged that you provide an email address when you create your FSA ID; this will help if you forget your username or password and need to reset it. It’s important to understand that your email address can be used for only one FSA ID. So if a parent and child share an email address, they’ll need to create a second one so that they’ll each have a unique email address to use when creating an FSA ID. An FSA ID is a signature as well as providing access to private information. To protect themselves from identity theft and other types of fraud, students and parents should not tell anyone their FSA IDs.

How do I apply for federal student aid? Continued… Gather the documents you need to apply. Find checklist of what’s needed on infographic called “The FAFSA Process” at StudentAid.gov/resources#fafsa-process-graphic Optional: Preview some of the FAFSA questions on the FAFSA on the Web Worksheet. (Get worksheet at StudentAid.gov/resources#worksheet) The FAFSA Process infographic provides a visual overview of the process of filling out and submitting a FAFSA, and what happens afterwards. The FAFSA on the Web Worksheet provides an idea of the types of questions on the FAFSA. However, not every question on fafsa.gov appears on the worksheet.

How do I apply for federal student aid? Continued… Fill out your FAFSA at fafsa.gov. Apply on or after October 1 but as early as possible to meet all deadlines. State deadlines are at fafsa.gov. School deadlines are listed on schools’ websites. Need help? Use the help functions within the FAFSA (including live chat) or call 1-800-4-FED-AID. Don’t forget: watch for the confirmation page that says your FAFSA has been submitted. THEN log out. The FAFSA Process infographic provides a visual overview of the process of filling out and submitting a FAFSA, and what happens afterwards. The FAFSA on the Web Worksheet provides an idea of the types of questions on the FAFSA. However, not every question on fafsa.gov appears on the worksheet.

How do I apply for federal student aid? Continued… Watch for response by email or by mail, confirming that your FAFSA was processed. Double-check that your info is correct by logging on at the FAFSA site and reviewing your data. Correct any mistakes and submit the corrected info. Don’t update info that was correct on the day you signed your FAFSA. AND Watch for emails or letters from the schools you are considering. Give the schools any additional paperwork they ask for. Meet all deadlines or you could miss out on aid! The FAFSA Process infographic provides a visual overview of the process of filling out and submitting a FAFSA, and what happens afterwards. The FAFSA on the Web Worksheet provides an idea of the types of questions on the FAFSA. However, not every question on fafsa.gov appears on the worksheet.

What happens next? Each school will tell you how much aid you can get at that school. Once you decide which school to attend, keep in touch with the financial aid office to find out when and how you will get your aid. You might wish to point out to students that affordability is not the most important factor in choosing a school. Ideally, a student should find the school that will best suit his or her educational and training needs, as well as fitting his or her personality. If two or more schools are “tied,” then cost can be a determining factor. Obviously this is a best-case scenario. We understand that many students simply have no choice but to attend the most affordable school. However, we try to remind students that many relatively expensive schools have enough funds available to help out students with great financial need. Therefore, a school with a tuition of $30,000 might end up being more affordable (due to the amount of financial aid it provides the student) than a school of $12,000. In other words, students should go ahead and apply to any schools that they truly believe are a good match for them—then figure out the financial aspects later.

Where can I get more info? StudentAid.gov Info about aid programs Links to free scholarship and college searches 1-800-4-FED-AID Help with FAFSA (go to fafsa.gov )