1. What You Need to Know About Financial Aid at Prince George HS
Presented by: Jeanne Holmes - SunTrust Bank
October 11, 2016

2. Most families are facing this as their student prepares for college:

3. So, will this be your household????

4. Or this? Let’s hope not, so it’s time to prepare . . .
So, hopefully, after this presentation, you will feel a “little” better about the process.
Let’s get started!

5. Why is the process starting earlier?
Benefit #1: Alignment – with admissions application deadlines
Benefit #2: Certainty – tax information is already on hand
Benefit #3: Less Pressure – more time to process before state and school deadlines; and more time to compare schools before making a commitment

6. What is Financial Aid?
Financial aid consists of funds provided to students and families to help pay for postsecondary educational expenses

7. Sources of Financial Aid
Federal government
States
Colleges and universities
Private sources
Civic organizations and churches
Employers

8. Types of Financial Aid Scholarships Grants Gift Aid Loans Employment
Self-Help Aid

9. Categories of Financial Aid
Need-based aid
Non-need-based aid

10. What is Cost of Attendance (COA)?
Direct costs
Indirect costs
Direct and indirect costs combined into cost of attendance
Varies widely from college to college

11. What makes up Cost of Attendance
Room & Board
Books, supplies, transportation and miscellaneous personal expenses, including documented costs for a personal computer;
Loan fees
Study abroad costs
Dependent care expenses
Disability related expenses

12. What is Expected Family Contribution (EFC)?
Amount family can reasonably be expected to contribute
Stays the same regardless of college
Two components
Parent contribution
Student contribution
Calculated using data from a federal application form and a federal formula

13. What is Financial Need? - Expected Family Contribution
Cost of Attendance
- Expected Family Contribution
-Any Scholarship or Financial Aid already awarded
= Financial Need

14. Free Application for Federal Student Aid (FAFSA)- A “Needs Analysis” Document
A standardized form that collects demographic and financial information about the student and family to calculate the family’s EFC
Beginning with the academic year, you will use the “prior-prior” tax year – (2015) and processing began October 1, 2016.
May be filed electronically or using paper form (not encouraged)
Available in English and Spanish

15. FSA ID
This is your electronic passport to to federal student aid online!
This replaced the FSA PIN as of May 10, 2015
Why: because the use of a username and password is much more secure than the PIN
1-3 days to get because of needed confirmation with the Social Security Administration
Only 1 addressed can be used with the assigned FSA ID (parents and students cannot share the same address when applying for the FSA ID)

16. FAFSA on the Web (FOTW) Reasons to file electronically:
Website:
FAFSA on the Web Worksheet is a “pre-application: worksheet that follows the questions in order of the FOTW
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 to import tax data

17. Starting your FOTW application

18. IRS Data Retrieval Tool
While completing FOTW, applicant should submit real-time request to IRS for tax data
IRS will authenticate taxpayer’s identity
If match found, IRS sends real-time results to applicant in new browser window
Applicant chooses whether or not to transfer data to FOTW

19. IRS Data Retrieval Tool
Available NOW because of the use of 2015 tax data
Participation is voluntary (but strongly recommended)
Reduces documents requested by financial aid office

20. Signatures Required Format for submitting signatures Student
One parent (dependent students)
Format for submitting signatures
Electronic using FSA ID
Signature page
Paper FAFSA

21. Frequent FAFSA Errors Social Security Numbers
Divorced/remarried/co-habitating legal parental information
Income earned by parents/stepparents
Untaxed income
U.S. income taxes paid
Household size
Number of household members in college
Real estate and investment net worth

22. Student Aid Report Review data for accuracy and correct any errors
Update estimated tax information when actual figures become available

23. Special Circumstances
Cannot be documented using FAFSA
Send written explanation and documentation to financial aid office at each college
College will review and request additional information if necessary
Decisions are final and cannot be appealed to U.S. Department of Education

24. Good Luck!
Questions????
My contact info: