Financial Aid : What you REALLY need to Know Student Financial Aid Prince George’s Community College

Topics We Will Discuss What is Financial Aid? Types and sources of financial aid How to Apply: FAFSA FSA ID IRS Data Retrieval Tool Expected Family Contribution (EFC) Cost of Attendance (COA) What is financial need? Deadlines

It’s money to help students pay for college. What is Financial Aid? It’s money to help students pay for college.

What are the Types of Financial Aid? Scholarships Grants Loans Employment Scholarships- Money that does not have to be paid back. Awarded on the basis of merit, skill or unique characteristic Grants- Also money that does not have to be paid back. Usually awarded on the basis of financial need Loans- Money students and parents borrow to help pay college expenses. Repayment usually begins after education is finished. Only borrow what is really needed Employment-Allows students to earn money to help pay educational costs

What are the Sources of Aid? Federal government States Private sources Civic organizations and churches Federal Government- Largest sources of financial aid. Aid is awarded primarily on the basis of financial need. Must apply every year using the Free Application for Federal student Aid (FAFSA) State-Residency requirements. Award aid on the basis of merit and need. Use information from the FAFSA. Deadlines vary by state Private Sources- Foundations, business, charitable organizations. Deadlines and application procedures vary. Begin researching private aid sources early Civic organizations and churches- Check with organizations and churches you and your family belong to. Application process usually begins in the spring of senior year. Small scholarships add up

How to Apply? Create an FSA ID Complete the Free Application For Federal Student Aid (FAFSA) Review your Student Aid Report (SAR) Contact the schools you might attend FAFSA completion time averages 32 minutes. Students should NEVER assume they will not be eligible to receive federal student aid! This application provides access to largest source of college funding, and schools will also use it to determine eligibility for institution-based financial aid.

Before You Get Started Gather this information: Social Security Numbers Alien Registration Number Federal Tax Information or Tax Returns Cash, Savings and Checking Account Balances Investments other than the home in which you reside Records of Untaxed Income

How do students get a FSA ID? fsaid.ed.gov How is the FSA ID used? What is the FSA ID ? How do students get a FSA ID? fsaid.ed.gov How is the FSA ID used? The FAFSA process is quicker and easier when you have a username and password called an FSA ID.

What is the FAFSA? www.fafsa.gov Federal Student Aid provides financial aid in the form of loans, grants, and federal work study funds. Completing the Free Application for Federal Student Aid (FAFSA) is the first step in applying for federal grants, and loans. Remember, the first word in FAFSA is “FREE” – there’s no need to pay anyone for help to complete the FAFSA. Look for free FAFSA completion workshops offered by area high schools, colleges and community organizations to get help completing the FAFSA. www.fafsa.gov

What is the IRS Data Retrieval Tool? This tool allows applicants who have already filed their federal tax return to prefill the answers to some questions on the FAFSA by transferring data from their federal income tax return that is stored in the Internal Revenue Service (IRS) database. This is the fastest and most accurate way to enter your tax return information on the FAFSA

What is the Expected Family Contribution (EFC)? Amount families can reasonably be expected to contribute towards the cost of college Calculated using data from the FAFSA Stays the same regardless of the college Two components: - Parent contribution -Student contribution

What is the Cost of Attendance (COA)? Direct and indirect cost combined is the cost of attendance (ex. tuition, fees, books, transportation, room and board) Varies widely from college to college

What is Financial Need? Cost of Attendance (COA) - Expected Family Contribution (EFC) ______________________________ = Financial Need

Common Mistakes Entering parental information on the student section of the FAFSA Forgetting to electronically sign the FAFSA Missing Important Deadlines Using the website www.fafsa.com

Important Things to Remember Apply for aid as soon as possible after October 1st of every year Priority deadline for Maryland residents to submit FAFSA - March 1st PGCC Institutional Scholarship deadline - April 15th

Questions