OHIO WESLEYAN UNIVERSITY High School Presentation November 8, 2018 Kevin Paskvan Director of Financial Aid

Contact Us for Help Our financial aid office is your best source for FREE financial aid information and assistance Assist students with the application process. Determine eligibility for financial aid. Provide a balance of free aid, employment and student loans. Notify students of their awards. Develop a working relationship with students and their families. Contact Information: http://choose.owu.edu/financialAidAndScholarships

Application Process

The Financial Aid Process Apply for admission Research and apply for private scholarships File the appropriate aid applications FAFSA/PROFILE/ Institutional Aid Application Receive Merit Scholarship Letters Review your comprehensive Financial Aid Award Notices Submit your Enrollment Deposit to finalize your awards Complete any required financial aid forms over the summer

Applying For Aid Resources Most colleges use the Free Application for Federal Student Aid (FAFSA) as an application for most financial aid programs. The FASFA can be completed after January 1st each year. To receive full consideration for all institutional/federal financial aid programs your FAFSA should be submitted by February 15th. Many colleges also require an institutional aid application or the CSS/Financial Aid PROFILE.

FAFSA on the Web fafsa.ed.gov Benefits to completing the FAFSA online: Built-in edits to prevent costly errors Skip logic allows student and/or parent to skip unnecessary questions Option to use Internal Revenue Service (IRS) Data Retrieval Tool More timely submission of original application and any necessary corrections More detailed instructions and “help” for common questions Ability to check application status on-line Simplified application process in the future

CSS/Financial Aid PROFILE profileonline.collegeboard.com Colleges use the PROFILE to determine eligibility for institutional aid. The PROFILE asks for information not requested on the FAFSA. There is a cost for completing the PROFILE. The PROFILE can be completed starting October 1st each year.

Why Complete the FAFSA? OWU requires the FAFSA for federal or institutional need-based aid and student employment program. You will need to complete it for any Federal Direct Student Loans and the Federal Direct Parent PLUS Loan. It may help if …. You have more than one student in college. Your parents are divorced. Your financial situation changes

Frequent FAFSA Errors Signatures – Remember to sign your FAFSA. Social Security Numbers Divorced/remarried parental information Income earned by stepparents Untaxed income U.S. income taxes paid Household size Number of household members in college Real estate and investment net worth

Tips for Completing the FAFSA Apply Early: Estimate your 2014 income (use your 2013 taxes or 2014 W2’s). Complete All Items: Indicate (0) zero for items that do not pertain to you. Divorced Parents: Use parent with whom the student resided with the majority of the previous year. If remarried, the stepparent household income is included. Claimed on taxes, does not matter Do not include ex-spouses income Untaxed Income: For Pre-taxed 401K and IRA withholdings, report only the amount saved in 2014. Investment Income: Report current value minus debt only. Sign the FAFSA Electronically: Use your federal PIN.

Register for a PIN pin.ed.gov You can register for a Federal PIN at: http://pin.ed.gov Benefits Sign FAFSA electronically. Sign student loan promissory notes electronically. PIN are automatically created by Federal Student Aid. Each student has a PIN and one parent has a PIN.

FAFSA on the Web Worksheet Useful guide to help prepare and then complete the FAFSA Available to download at: https://fafsa.ed.gov/fotw1415/pdf/fafsaws14c.pdf

Verification (other forms required only if requested) A small percentage of applicants are selected for review by the school and/or the federal government Process to review data reported on the FAFSA with information on official IRS tax transcripts (if possible use IRS Data Retrieval Tool to retrieve tax data and update the FAFSA) The process also confirms family household members and a few other data elements if necessary If required, the Office of Financial Aid will request worksheet(s) along with a request for official IRS tax transcripts by mail and/or by email. Financial aid offers are not finalized until all requested documents have been submitted

Eligibility and Awards

How Eligibility for Financial Aid is Determined Federal Methodology is the formula created by Congress to determine the Expected Family Contribution (EFC). This measurement of the family’s financial strength is comprised from many components including number of family members in household and college, age of oldest parent, and income and assets. Colleges use the EFC and other factors to determine need for aid. Determination of Need: Cost of Attendance (COA) – Expected Family Contribution (EFC) = Financial Need

Special Circumstances Many times students and parents can appeal to have their EFC decreased, COA increased, or for additional institutional aid if they have valid, documented circumstances. - Job loss or reduction in pay - Excessive medical expenses paid - One time rollover or capital gain - Private elementary or high school costs paid - Loss of income sources - Many others… Please note that consumer related expenses do not apply

Types Of Financial Aid Financial aid consists of two distinct types: Need Based Non-Need Based

Need Based Financial Aid Need based aid is offered in the form of grants, loans, and student employment programs. Grants are funds that do not need to be repaid (free dollars). Student Loans have to be paid back either during or after enrollment ends. Student Employment programs allow students to earn wages during college.

Need Based Grant Programs Ohio Wesleyan Grant Based on need but could be offered to lower need students. Priority FAFSA date is usually required. State Financial Aid Based on need and the FAFSA is required. Federal Grants Pell Grant Supplemental Educational Opportunity Grant (SEOG) Private Grants

Need Based Loans Need Based Federal student loans have low-interest rates, and the interest is deferred while attending at a half-time or greater enrollment status. The FAFSA is required for these loans. Perkins Loans are need-based loans made through the financial aid office. Amounts generally range between $1,000 - $5,000. The interest rate is 5%. Subsidized Stafford Loans are need-based loans where the interest is paid while students are attending and during their grace period. The annual amount for first-time freshmen is $3,500. The interest rate is 4.66%.

Student Employment Federal Work-Study (FWS) provides part-time jobs for students demonstrating financial need. This program allows students to earn money to help pay education expenses. The program encourages community service work and work related to students’ discipline. The FAFSA is required for this program. Institutional Student Employment is usually available for students who do not qualify for the federal work study program. This program is usually earned and used in the same way as federal program. Colleges must use portion of FWS funds for community service activities. Students generally use money earned to help pay for their personal expenses. Students are awarded by the financial aid office and employment is arranged through the Student Employment Office within Human Resources when students arrive.

Non-Need Based Aid

Non-Need Based Financial Aid Non-Need based aid is offered in the form of: Loans Scholarships Institutional Private

Non-Need Based Loans The FAFSA is required for these loan programs. Unsubsidized Stafford Loans are non-need-based loans and the interest is not paid for students. The annual amount for first-time freshmen is $2,000-$5,500 (Depending on need). Interest rate is the same as the subsidized: 4.66% Parent PLUS Loans are borrowed by parents of dependent undergraduate students. Complete the application MPN after June 1, 2015. Interest rate is: 7.21%

Merit-based Scholarships Rewarding academic and talent-based achievement with non-need based scholarship programs. Academic-based Talent-based (i.e. music, theater, art) Departmental Awards OWU requires students to be admitted Merit scholarship amounts vary per program Scholarships are renewable each year

Private Resources Private Grants and Scholarships are offered by various organizations, businesses and foundations: - Students must apply separately for each program - Students compete locally, regionally and nationally Apply, Apply, Apply! http://choose.owu.edu/financialAidAndScholarships/externalAwards.php http://saltmoney.org/owu http://www.fastweb.com Private student loans from commercial lenders: - Variable application process and procedures - Various criteria and requirements - Various terms and conditions - Usually requires a co-signer (e.g. parent)

Other Ways to Pay for College Consider Tuition Payment Plans Invest in 529 College Saving Plans Utilize investment income and home equity Select your college dorm and meal plan carefully Budget your money and reduce your expenses Work and save your earning during the summer Buy used text books and books online Ask family members for assistance

Getting Help

Need Help? Websites Contact the schools financial aid office Help for the FAFSA https://fafsa.ed.gov/help.htm 1-800-4FED-AID (1-800-433-3243)  The SmartStudentTM Guide to Financial Aid http://www.finaid.org/ Contact the schools financial aid office Attend a visit program

Eligibility - Net Price Calculator All Title IV institutions enrolling full-time, first-time degree or certificate seeking undergraduate students are required to have an NPC posted on their website. Using both student-entered and institution-provided data, the NPC allows prospective students to calculate their estimated net price at an institution based on the following basic formula: Price of attendance minus financial aid Schools may use ED’s NPC template, create their own template, or purchase a template from a third party.

Net Price Calculator Benefits: Designed to provide accurate and timely information about the net price of a college. Can assist families in comparing colleges based on net price and financial aid. Drawbacks: Inclusion of direct and indirect costs in “price of attendance” component can significantly inflate the price tag. Institution’s flexibility to customize template could make college costs comparisons an extremely complex process.

College Goal Sunday Register on line: www.oasfaa.org February 8, 2015 Receive assistance with completing the 2015-2016 FAFSA form from financial aid professionals. Various locations throughout Ohio Register on line: www.oasfaa.org www.ohiocollegegoalsunday.org

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Summary Apply for admission Research and apply for private scholarships File the Financial Aid Application(s) Free Application for Federal Student Aid (FAFSA) CSS Profile Institutional Aid Application Receive Merit Scholarship Letters Review your comprehensive Financial Aid Award Notices Submit your Enrollment Deposit to finalize your awards Complete any required financial aid forms before the deadlines

Questions? Leann Kendzerski Associate Director of Financial Aid (740) 368-3050 Financialaid@owu.edu