1 Applying for Financial Aid

2 Sponsors/Partners: Presenter:

3 Types of Financial Aid Gift Aid - Grants or scholarships that do not need to be repaid Work - Money earned by the student as payment for a job on or off campus Loans - Borrowed money to be paid back, usually with interest

4 Federal government State government Colleges and universities Private agencies, companies, foundations, and your parents’ employers Sources of Financial Aid

5 Types of Applications FAFSA Deadlines Other applications or forms as required by the college such as: 2009 federal tax returns (along with schedules and W-2s) or other income/asset documentation CSS/Financial Aid PROFILE Institutional scholarship and/or financial aid applications MA State deadline May 1 st College deadlines vary

6 Federal PIN PIN (Personal Identification Number) serves as the electronic signature on ED documents Both student and at least one custodial parent need PIN to sign the FAFSA electronically May be used to: Check on FAFSA status Verify and correct FAFSA data Add additional schools to receive FAFSA data Change home and addresses If an address is provided, PIN will be ed to the PIN applicant within hours Apply for student and parent PINs at

7 Getting Ready Before starting the FAFSA, gather: Student driver’s license Student Alien Registration Card Student and Parent Social Security cards 2009 W-2 Forms and other records of money earned 2009 federal income tax form (even if not completed) Records of untaxed income Current bank statements Business, farm, and other real estate records Records of stocks, bonds, and other investments Create a file for copies of all financial aid documents submitted

8 FAFSA on the Web Worksheet The FAFSA on the Web Worksheet may be used for the January 1, 2010 through June 30, 2011 federal aid application cycle

9 The FOTW Worksheet A Four Section Form Section 1–is about the student Section 2–determines student dependency status Section 3–collects parental information for dependent students Section 4–collects student finances and information about the independent student

10 Section 1 (page 2) STUDENT INFORMATION

11 If U.S. citizen, status will be confirmed by Social Security match If eligible noncitizen, status will be confirmed by Department of Homeland Security (DHS) match. This includes: U.S. permanent residents with I-551 Conditional permanent residents with I-551C Eligible noncitizens with I-94 If neither a citizen or eligible noncitizen, the student is ineligible for federal/state aid, but might still be eligible for institutional funds Section 1 Citizenship Status

12 Section 1 School Selection FAFSA on the Web allows the student to list up to 10 colleges/universities that will receive his/her student and parent information The student should list the schools he/she is most likely to attend, and then list others to which the student is applying for admission An important question NOT on the Worksheet:

13 Section 1 School Selection While in the School Selection Section, the student will be asked to enter the federal school code for each school to which he/she wants information sent If the student does not know the federal school code, enter the state in which the college/university is located and search for the federal school code by the college/university name An important question NOT on the Worksheet:

14 Section 1 School Information List those schools with the earliest financial aid deadlines If the student is applying to more than ten schools, wait for the processed Student Aid Report (SAR) and add additional schools via the Web or by phone using the student PIN Strategies for Listing Colleges

15 Section 2 (page 2) STUDENT DEPENDENCY STATUS

16 Section 2 Determination of Student Dependency Status

17 Section 3 (page 3) PARENT INFORMATION

18 Section 3 Who is Considered a Parent See Page 3 of FAFSA on the Web Worksheet about who is considered a parent Biological or adoptive parent(s) Stepparent (regardless of any prenuptial agreement) In case of divorce or separation, provide information about the parent and/or stepparent the student lived with more in the last 12 months

19 Section 3 Who is Not a Parent Do not provide information on: Foster parents or legal guardians If the student is in foster care or has a legal guardian, he/she is automatically considered an independent student Grandparents or other relatives The student must attempt to get biological parental information Colleges may use Professional Judgment to allow the student to file as independent

20 Section 3 Parent Information, 0 If the answer to any question is zero or the question does not apply, enter 0: Report whole dollar figures: Recommendation: If the parents have not filed their 2009 federal tax return, use 2009 W-2 forms and/or other 2009 employment records - such as final pay check stubs - to estimate total taxable income Remember, rather than miss any filing deadline, use estimated 2009 income information 1 2 $ (no cents), $

21 Section 3 Dislocated Worker The student will be asked to check if the father/stepfather and/or mother/stepmother is a dislocated worker A person may be considered a dislocated worker if he/she: is receiving unemployment benefits due to being laid off or losing a job and is unlikely to return to a previous occupation has been laid off or received a lay-off notice from a job was self-employed but is now unemployed due to economic conditions or natural disaster is a displaced homemaker

22 Section 3 Parents’ Tax Return Filing Status for 2009 The student will be asked to provide information about parent tax filing status for 2009: If his/her parents have completed their 2009 federal income tax return, mark the first box If they have not as yet filed, but plan to file a 2009 federal income tax return, mark the second box If they have not, nor will not, file a 2009 federal income tax return and are not required to do so, mark the third box

23 Section 3 Parent 2009 Adjusted Gross Income Reminder: If the answer is zero or the question does not apply, enter 0 If the student’s parents have not yet filed their 2009 federal tax return, use estimated information for this question If the student’s parents have completed their 2009 federal tax return, use actual 2009 tax return information to complete this item. $$$$$$

24 Section 3 Money Earned from Work by Parent(s) in 2009 Use W-2 forms and other records to list all income earned from work in 2009 (including business income earned from self-employment) for father/stepfather and/or mother/stepmother $$$,$$$

25 Section 3 Parents’ Household 2008 or 2009 Benefits Received Indicate if the student, his/her parents, or anyone in the parents’ household received benefits in 2008 or 2009 from any of the federal programs listed: Supplemental Security Income (SSI) Food Stamps Free or Reduced Price School Lunch TANF WIC

26 Section Additional Financial Information The student will be asked to report if his or her parents received or paid any of the following items in 2009 (check all that apply) - Hope and Lifetime Learning tax credits - Child support paid - Taxable earnings from work-study, assistantships, or fellowships - Grants and scholarship aid reported to the IRS - Combat or special combat pay - Cooperative education program earnings

27 Section Parent Untaxed Income The student will be asked to report if his or her parents had any untaxed income in Check all that apply. Some examples of the most common items are: - Payments to tax-deferred pensions and savings plans such as 401Ks, IRA deductions, and payments to self-employed SEP and Keoghs - Tax exempt interest income - Child support received - Housing, food and other living allowances paid to members of the military and clergy

28 Section 3 Parent Assets Parents may be asked to report the current balances of their cash, savings, and checking accounts as of the day they complete the FAFSA They may also be asked to provide information about the net value of their investments such as real estate, rental property, money market and mutual funds, stocks, bonds and other securities In addition, they may be asked questions about the net value of their businesses and investment farms They should not include the home they live in, the value of life insurance and retirement plans, or the value of a family-owned and controlled small business

29 Section 3 Parent Household Size Parent Number in Household Include in the parents’ household: the student parent(s) parents’ other dependent children, if the parents provide more than half their support or the children could answer “no” to every question in Section 2, regardless of where they live other people, if they now live with the parents and will continue to do so from 7/1/10 through 6/30/11, and if the parents provide more than half their support now, and will continue to provide support from 7/1/10 through 6/30/11 An important question NOT on the Worksheet:

30 Section 3 College Students in the Parent Household NOTE: Some financial aid offices will require proof that other family members are attending college College Students in the Parent Household Always include the student even if he/she will attend college less than half-time in Include other household members only if they will attend at least half-time in in a program that leads to a college degree or certificate Never include the parents An important question NOT on the Worksheet:

31 Section 4 (page 4) STUDENT INFORMATION

32 Section 4 Student Information Questions in Section 4 are identical to the parent financial questions we covered in Section 3 If the student is single, ignore references to “spouse” If the student is married, report spouse’s income and assets The questions in Section 4 ask: Which 2009 Federal income tax return the student filed or will file? The student’s 2009 Adjusted Gross Income, if filing a tax return, and earnings from work as well as untaxed income and assets

33 Section 4 Student Dislocated Worker A person may be considered a dislocated worker if he/she: is receiving unemployment benefits due to being laid off or losing a job and is unlikely to return to a previous occupation has been laid off or received a lay-off notice from a job was self-employed but is now unemployed due to economic conditions or natural disaster is a displaced homemaker

34 Section 4 Student Information (Independent Students) There are questions in Section 4 that the student will be asked only if he/she checked at least one response in Section 2 – Student Dependency Status

35 Section 4 Student Benefits (Independent Students) Indicate if the student, his/her spouse, or anyone in the student’s household received benefits in 2008 or 2009 from any of the federal programs listed: Supplemental Security Income (SSI) Food Stamps Free or Reduced Price School Lunch TANF WIC

36 Section 34 Student Household Size Include in the student’s household: the student and the student’s spouse (if married) the student’s dependent children, if the student provides more than half their support other people, if they now live with the student and will continue to do so from 7/1/10 through 6/30/11, and if the student provides more than half their support now, and will continue to provide support from 7/1/10 through 6/30/11 An important question NOT on the Worksheet:

37 Section 4 Student Number in College (Independent Students) Count the student even if he/she will attend college less that half-time in Include others only if they will attend at least half-time in in a program that leads to a college degree or certificate An important question NOT on the Worksheet:

38 DO NOT MAIL THIS WORKSHEET Go to to complete and submit your application. For more information on federal student aid, visit You can also talk with your college’s financial aid office about other types of student aid that may be available.

39 Special Circumstances Contact the Financial Aid Office if there are circumstances which affect a family’s ability to pay for college such as: Loss or reduction in parent or student income or assets Death or serious illness Natural disasters affecting parent income or assets Unusual medical or dental expenses not covered by insurance Reduction in child support or other untaxed benefits Financial responsibility for elderly grandparents Or any other unusual circumstances that affect a family’s ability to contribute to higher education

40 What Happens Next? Students and the colleges the student listed receive Student Aid Report (SAR) from federal processor  Students and families review SAR for important information and accuracy of data  Colleges match admission records with financial aid applications and determine aid eligibility  Colleges mail notices of financial aid eligibility to admitted students who have completed all required financial aid forms

41 Student Aid Report (SAR) After the student completes the FAFSA on the Web, a SAR will be sent to the student An electronic SAR Acknowledgment will be sent if student provides an address A paper SAR will be mailed if no student address is provided An electronic copy of the data will be sent to each college or university listed by the student in Section 1 Keep a copy of the SAR with other financial aid documents

42 Questions and Answers