Funding your studies at the Learning Institute 2019/20 David Taylor Money Advice Service

Full-time students 2019/20 There are two main costs associated with Higher Education. Tuition Fees Living & Study Costs Tuition Fee Loan Maintenance Loan Parents Learning Allowance Child Care Grant Adult Dependants Grant Disabled Students Allowance

Full-time students 2019/20 TUITION FEES Loans to pay tuition fees are available through appropriate national funding body. SFE, SFW, SAAS, SFNI Up to £9,250 available each year Not based on income Paid directly to the University or Institute Previous H.E. study may reduce entitlement Student Finance England (SFE) Student Finance Wales (SFW) Student Awards Agency for Scotland (SAAS) Student Finance Northern Ireland (SFNI) Institutions with an Access Agreement from the Office for Fair Access (OFFA) achieving a Teaching Excellence Framework (TEF) rating of Meets Expectations in Year One will be able to charge above £9,000 in fees for a full-time course up to a maximum of £9,250

Full-time students 2019/20 LIVING AND STUDY COSTS Maintenance Loan (separate rules for over 60s) Loans to help with living & study costs available. Student Finance England (SFE) for those who are ordinarily resident in England. Amount received will depend upon: household income living at parental home or away from home living in London receiving certain benefits length of course * Wales, Scotland, Northern Ireland still have grants – different figures used to calculate loans

SFE Maintenance Loan 2019/20 Maintenance Loan for Living costs £25,000 Household Residual Income Tuition Fees Loan Maintenance Loan for Living costs £25,000 £30,000 £35,000 £40,000 £45,000 £50,000 £55,000 £60,000 £65,000 £70,000 Paid to University £9,250 Living at parental home £7,529 £6,895 £6,260 £5,626 £4,991 £4,357 £3,722 £3,314 Living away from parental home Outside London £8,944 £8,303 £7,661 £7,019 £6,377 £5,735 £5,093 £4,452 £4,168 Living away from parental home London based £11,672 £11,020 £10,367 £9,714 £9,062 £8,409 £7,756 £7,103 £6,451 £5,812

Maintenance Loan 2019/20 If more than the basic loan is applied for a financial assessment of household income will be required. Tax Year 2017/18 used to calculate household income. But study year income can be used if more than 15% change. Students income normally ignored, partners income taken into account. Parents income used if aged less than 25 years and not classed as independent. Independent = over 25, or married, or has dependant child, or self-supporting for 3 years prior to course start date, or, Estranged from parents – supporting evidence required

Taxable Income used to identify household income Interest from UK banks, building society or unit trusts Income from UK life insurance gains, securities and partnerships; Interest from National Savings (except the first £70 of National Savings Ordinary Account interest); Interest distributions from authorised unit trusts and open-ended investment companies; Income from UK investments and dividends; Income from foreign investments and dividends Income from taxable benefits in kind; Private pensions, i.e. pensions from previous employers, personal pensions, retirement annuities; Income from an overseas pension; Other overseas income and gains; Earning from salary/wages; Earnings from self-employment after deduction of allowable expenses; Income from a state retirement pension; Income from savings and investments; Other income and lump sums (for example - pensions lump sums or redundancy payments); Income from property lettings; Income from UK trusts; Chargeable event gains from life insurance policies; Foreign income; Share of joint income.

Taxable State benefits Bereavement Allowance – or Widows Pension if still paid; Carer’s Allowance Contribution based Employment and Support Allowance Graduated retirement benefit Income Support when paid to strikers or people involved in a trade dispute; Incapacity Benefit after 28 weeks of incapacity; Pensions payable under the Industrial Death Benefit Scheme; Jobseeker's Allowance; Statutory Adoption Pay Statutory Sick Pay; Statutory Maternity Pay; Statutory Paternity Pay Widowed Parent’s Allowance. Industrial Death Benefit Adult Dependants Grant – the only student payment that is taxable.

Special Support Element. Maximum of £3783 disregarded by DWP. Maintenance Loan 2019/20 An increased Maintenance Loan is available for students who can answer yes to one of these questions. Known as the Special Support Element. Maximum of £3783 disregarded by DWP.

SFE Maintenance Loan 2019/20 Maintenance Loan for Living costs Household Residual Income Tuition Fees Loan Maintenance Loan for Living costs £25,000 £30,000 £35,000 £40,000 £45,000 £50,000 £55,000 £60,000 £65,000 £70,000 Paid direct to University/College £9,250 Living away from parental home Outside London (Special Support Element) £10,194 (£3,783) £9,203 (£2,792) £8,212 (£1,801) £7,220 (£809) £6,378 (£0) £5,736 (£0) £5,094 (£0) £4,452 (£0) £4,168 (£0) Living away from parental home London (Special Support Element) £12,729 (£3,783) £11,781 (£2,835) £10,833 (£1,877) £9,884 (£938) £9,062 (£116) £8,409 (£0) £7,757 (£0) £7,104 (£0) £6,451 (£0) £5,812 (£0) Special Support Element (in brackets above) not treated as income by most DWP Benefits (Lower awards if living with parents)

Repayment of Loans Tuition Fee loan and Maintenance loan repaid together. But only if earning more than £25,000 annually. 9% of earnings above £25,000 deducted to repay loans. Written off after 30 years. Interest charged at different rates but based on Retail Price Index (RPI). The RPI figure updated in September based on the RPI figure in March of that year. March 2018 = 3.3% Student Circumstances Interest While studying on course RPI +3% From April after graduation or left course and earning less than £25,000 RPI Earning between £25,000 & £45,000 RPI + % based on salary up to 3% Earning over £45,000

Annual income before tax Repayment of Loans Monthly Repayment examples Annual income before tax Monthly Earnings Approx. monthly repayment £24,000 £2,000 £0 £30,000 £2,500 £37 £35,000 £3,000 £75 £40,000 £3,333 £113 £50,000 £4,166 £187 £55,000 £4,583 £225 Special rules for those working abroad

Extra Help for Full-time students 2019/20 Parents Learning Allowance – up to £1,716 per year Must have main responsibility for a dependant Does not have to be repaid Disregarded for Tax Credits and benefits Depends upon household income and circumstances Adult Dependants Grant – up to £3,007 per year Awarded where the student has another adult who is financially dependant upon them Does not have to be paid back – but is taxable income Must be eligible for student finance

Extra Help for Full-time students 2019/20 Child Care Grant - up to 85% of child care charges £169.31 cap per week for one child £290.27 cap per week for two or more children Helps with registered child care costs for children under 15, or 17, if they have special educational needs Does not have to be repaid Must be eligible for student finance Depends upon household income New system from 2019/20 for new and continuing students. Payments will be made direct to child care provider via a company called Wider Plan.

Universal Credit Replacing the income based versions of Job Seekers Allowance and Employment Support Allowance, Housing Benefit and Tax Credits. The main student types who can apply are those: Responsible for a child under 16 or 16-19 and in FT Further education, Who have limited capability for work and also get Disability Living Allowance or Personal Independence Payment, Who have a partner who is not a student. https://www.gov.uk/guidance/universal-credit-and-students

Housing Benefit Most full-time students cannot receive Housing Benefit and new claims will be to Universal Credit. But can apply if; a lone parent, both partners are FT students and have dependant child, or receive certain disability benefits Non-student partner can also apply. Disregarded student Income Up to £3,783 of the Special Support Element and all of the Parents Learning Allowance and Childcare Grant Disregarded from maintenance loan: £303 for travel and £390 for books and £10 per week.

Part-time Students Tuition Fee Loan Loan of up to £6,935 available – not based on income Must be at least 25% intensity Paid directly to the University or College Maintenance Loan Must be at lest 25% intensity - new courses only Based on % of full-time rates – same eligibility rules Bands of study intensity set the rate to be paid. Must lead to Bachelor degree or integrated Masters, or Healthcare course at level 4,5 or 6 No dependants grants available Full-time Undergraduate degree normally 120 credits per year

SFE Part-time Maintenance Loan 2019/20 Intensity of study Less than 25% 25% to less than 33% 33% to less than 50% 50% to less than 66% 66% to less than 75% 75% to less than 100% Intensity band Nil 25% 33% 50% 66% 75% Maximum Living at parental home £0 £1,882 £2,485 £3,765 £4,969 £5,647 Maximum Living away from parental home £0 £2,236 £2,871 £4,472 £5,903 £6,708 Online application portal should open in May 2019 Same repayment rules as FT - but recovery can start four years after course start date if earning more than £25,000.

Part-time Students Previous H.E. study may reduce entitlement but previous Full-Time study that did not lead to a qualification will not be counted. Equivalent level qualification exceptions Course codes that begin with: B – Subjects allied to medicine C – Biological sciences D – Veterinary sciences, agricultural and related subjects F – Physical sciences G – Mathematical sciences H – Engineering I – Technology J – Computer science

Self-funding students If you are not eligible for a tuition fee loan or choose to fund your studies yourself there are several payment options. Pay the full tuition fees on-line at registration or on receipt of an invoice. Pay in six instalments in line with the University’s instalment plan.(Only available via Direct Debit or recurring Credit Card debit) Part-time students who do not have a tuition fee loan in place are required to pay in full 30 days after date of invoice.

Student Finance Sickness Absence – student finance can continue to be paid automatically for up to 60 days if you have to suspend your studies due to illness. For any further extension hardship would need to be demonstrated. Student finance is paid in three instalments; September, January and April. Student Maintenance Loans are slightly reduced in the final year of the course. About 5.5% reduction.

Postgraduate Funding 2019/20 Loans available from SFE and SFW. SFE Non-Income related loan of up to £10,906 But must be: under 60 years of age on a post-graduate taught masters course Repaid along with undergraduate loans, but at 6% of earnings above £21,000. No current information that the threshold will increase in line with undergraduate proposal!

Postgraduate Funding 2019/20 Intention to fund PhD and research courses was included in the 2015 budget statement. Non-Income related loan of up to £25,700 But must be: under 60 years of age on a PhD or DPhil course and not receiving Research Council funding Course can last for up to 8 years. Repaid along with Postgraduate loans, but at 6% of earnings above £21,000. English resident UK nationals - discussion over EU citizens

Postgraduate Funding 2019/20 Teacher Training – PGCE Same funding as undergraduates: Tuition fee loan Maintenance Loan Parents Learning Allowance Adult Dependants Grant Child Care Grant Previous study normally ignored. Extra funding for some subjects and/or qualification already obtained.

Post-Graduate Teacher Funding 2019/20   Eligibility 2019/2020 Scholarships  Bursaries Trainee with 1st,2:1,2:2 PhD or Master’s Maths* £22,000 £20,000 Physics £28,000 £26,000 Chemistry  Languages Computing  Geography Biology   - Classics English £15,000 D&T, History £12,000 Music, RE  £9,000 Primary Maths  £6,000 * Maths also attracts £10,000 Early Career Payment https://getintoteaching.education.gov.uk/bursaries-and-funding

Extra Help for students 2019/20 Disabled Students Allowance Non-means tested support to help with learning related expenses. Awards can help with: Specialist equipment Non-medical helpers Extra travel costs Other disability related costs of studying Dedicated team to help with applications and arrange support and other reasonable adjustments.

Extra Help for students 2019/20 Disability Students Allowance Available to full-time, part-time and post-graduate students. The equipment allowance is for the duration of the course. Allowance Full-time Maximum Amount Part-time Maximum Amount Non-medical personal helper £22,603 £16,951 Major items of specialist equipment £5,684 Other disability related expenditure £1,899 £1,424 Allowance Maximum Amount Post-graduate Student £10,993

Log in and complete the application form Create an account https://www.gov.uk/student-finance-register-login Include details of your household income and get your parents to support your application if needed Log in and complete the application form Send in any proof of identity or evidence as requested Wait up to 6 weeks for a response

Applying for student finance Apply for funding before course starts. Don’t wait for offers – enter first choice and then change this if needed. Paper forms also available. https://www.gov.uk/student-finance-forms Website available from February/March 2019. New students advised to complete application by May 2019 to be sure of funds at start of course. Have 9 months from start of academic year to apply.

Applying for student finance Possible Problem area (1) Residency UK nationals still need to have been living in the UK for three years immediately before the first day of course and not wholly or mainly to get full-time education. Students who have “settled status” from the Home Office or applying under Long term residency rules need to allow extra time. Certain other groups may be eligible for full means tested funding, such as; EU Migrant workers, EU nationals, children of Swiss nationals living in UK, child of a Turkish worker in the UK. Allow extra time for processing and additional evidence requests.

Applying for student finance Possible Problem area (2) Previous Study Funding usually only available for first full degree – any previous higher-education study will impact on funding available. The number of years funding is normally calculated as follows: + - Maintenance Loan may be payable even with previous study as long as an equivalent or higher level qualification has not been achieved. Compelling Personal Reasons However if studies not completed for compelling and compassionate reasons and have evidence, previous study may be disregarded. Write to SFE with medical/other evidence. Length of current course One extra year (Gift Year) Years of previous study

Applying for student finance Possible Problem area (3) Identity All students have to provide identity evidence to receive funding. For UK students preferred evidence: UK passport – must be current at date of application, all on-line. or Birth certificate – must be the original along with a countersigned form. If neither of these is available there is a combination of other documents that can be considered – but this can lead to delays so apply early.

Applying for student finance Problem area (5) Estrangement? Written confirmation from a professional person, not a family member, to confirm estrangement from parents; Social worker, School or College advice worker or personal tutor or teacher, Doctor if medical advice sought regarding breakdown with parents, Letter from Jobcentre if Income Support claimed before aged 18. Student needs to prove that the lack of contact with parents is permanent. SFE now have dedicated team to decide these cases. Help and support available at http://standalone.org.uk/students/ Support available on campus.

Extra Help - Trust Funds & Charities Depends upon: location, what you are studying, parent’s occupation etc. Example of fundraising website : www.turn2us.org.uk Trust Fund examples and sample application letter: http://www.worc.ac.uk/moneyadvice/643.htm

Extra Help – Money Advice Service Range of services to help students Help resolving problems with Student Finance Short-term Loans Budgeting Welfare benefits Access to Learning Fund

Extra Help – Budgets https://www.worc.ac.uk/moneyadvice/resources.htm

Budgeting tips Council Tax Full-time students are exempt unless living with a non-student adult. Where only one adult is liable a discount of 25% should be applied. Local Councils runs support schemes to help people on low income with these costs. Travel costs All full-time students can apply for 16-25 Railcard to get a third off rail tickets (off peak only). Cost is £30 for 12 months. Young Persons Coachcard – 16-26 or are a full-time student gives you third off all Standard and Fully Flexible fares for £10 a year or £25 for three years. Some exceptions apply.

Extra Help - Access to Learning Fund Non-refundable financial help: Administered by the university. Applicants must have taken out the full student finance available to them Amounts awarded range from £100 to £4,000+ Priority given to certain groups Can be paid to third parties, landlords etc. https://www.worc.ac.uk/moneyadvice/accesstolearningfund.htm

Extra Help – Banks & Building Societies Student accounts - offer interest-free overdraft facilities of up to £2,000, if student finance paid into them. Credit checked. Check how much they charge if you go over the agreed amount and how soon you must clear the overdraft when you graduate. Avoid credit and store cards because of the high interest rates charged. http://www.moneysavingexpert.com/students/graduate-bank-accounts

More Information University of Worcester Telephone appointments available with Money Advice Service Tel 01905 542551 or firstpoint@worc.c.uk www.twitter.com/uniworcmoneyadv http://www.worc.ac.uk/moneyadvice/ Student Finance England Tel:0300 100 0607 www.gov.uk/student-finance