1. For High School Students, Parents and Counselors
Pre-College Overview
For High School Students, Parents and Counselors
New York State Financial Aid Administrators Association
12/9/2018
Presented by NYSFAAA 2002

2. Introduction What is Financial Aid? Grants Scholarships Loans
Employment Opportunities
12/9/2018
Presented by NYSFAAA 2002

3. Two Categories of Aid Merit-Based Aid Need Based Aid 12/9/2018
Presented by NYSFAAA 2002

4. You May be Eligible for Financial Aid. First, you must apply.
If eligible, an award letter is sent to the student offering
Grants (gift aid)
Loans (must be repaid)
Work Programs
12/9/2018
Presented by NYSFAAA 2002

5. To receive aid, you first must . . .
Have a high school diploma or General Education Equivalent (GED) Certificate
Be enrolled or accepted for enrollment as a regular student working toward a degree or certificate in an eligible program
Be a U.S. Citizen or eligible non-citizen
12/9/2018
Presented by NYSFAAA 2002

6. You must also . . . Have a valid Social Security number
Show a valid form of identification (Driver’s License Or State I.D.)
Register with Selective Service
Complete the Free Application for Federal Student Aid (FAFSA)
12/9/2018
Presented by NYSFAAA 2002

7. The Financial Aid System is a Partnership Between . . .
The funding source
The school
The student & family
12/9/2018
Presented by NYSFAAA 2002

8. What This Means
It is assumed that parents will help students pay for their college education expenses to the extent that they are able to
It is further assumed that students will contribute through savings and part-time job earnings
12/9/2018
Presented by NYSFAAA 2002

9. Eligibility for Aid
Based upon an analysis of the student (and parent) financial need from data supplied on the Free Application for Federal Student Aid (FAFSA)
12/9/2018
Presented by NYSFAAA 2002

10. Definition of “Need” Cost of Attendance (COA)
- Expected Family Contribution (EFC)
= Financial Need
12/9/2018
Presented by NYSFAAA 2002

11. Cost of Attendance Includes:
Tuition and fees
Books and supplies
Room and Board
Transportation
Miscellaneous personal expenses
Loan Fees
Expenses Associated with Disability
Dependent or Elder Care Expenses
Expenses for Study Abroad or Cooperative Education Programs
12/9/2018
Presented by NYSFAAA 2002

12. Other Resources
If you have other resources, they will reduce your need. Other resources include:
Private Scholarships
Employee Benefits
High School/Community Awards
After your need is determined, the school tries to meet that need with financial aid.
12/9/2018
Presented by NYSFAAA 2002

13. Principles of Need Analysis
To the extent possible, parents have the primary responsibility to pay for their dependent child's education.
Students also have a responsibility to contribute to the educational costs from savings and employment.
Families should be evaluated in their current financial condition.
12/9/2018
Presented by NYSFAAA 2002

14. Principles of Need Analysis
A family’s ability to pay must be evaluated in an equitable and consistent manner, recognizing that special circumstances can and do affect the family’s ability to pay.
12/9/2018
Presented by NYSFAAA 2002

15. Types of Need-Based Aid
Gift Aid
Self-Help
12/9/2018
Presented by NYSFAAA 2002

16. Types of Gift Aid Federal Grants New York State Grants
Pell Grant
FSEOG
New York State Grants
Tuition Assistance Program
NYS World Trade Center Relief Fund
Institutional Grants
Private Grants
12/9/2018
Presented by NYSFAAA 2002

17. Types of Gift Aid (continued)
Federal Scholarships
State Scholarships
Institutional Scholarships
Private Scholarships
12/9/2018
Presented by NYSFAAA 2002

18. Types of Self-Help Aid Loans: Federal Perkins Loan
Federal Family Education Loan Program (FFELP)
William D. Ford Direct Loan Program
Institutional Loans
Private Loans
12/9/2018
Presented by NYSFAAA 2002

19. Types of Self-Help Aid (continued)
Employment
Federal Work Study Program
Institutional Employment
Off Campus Employment
12/9/2018
Presented by NYSFAAA 2002

20. Federal Pell Grants
Used as the foundation of the financial aid package
Awarded to eligible undergraduates pursuing a 1st baccalaureate or professional degree
Aid officer determines actual award amount based on COA, enrollment status, and EFC
12/9/2018
Presented by NYSFAAA 2002

21. Federal Campus Based Programs
Federal Supplemental Educational Opportunity Grant (FSEOG)
Federal Work Study Program (FWS)
Federal Perkins Loan
12/9/2018
Presented by NYSFAAA 2002

22. Federal Supplemental Educational Opportunity Grant (FSEOG)
Eligibility
Undergraduate students pursuing a 1st baccalaureate or professional degree
Awarded first to students with exceptional need
Priority given to Federal Pell Grant recipients
12/9/2018
Presented by NYSFAAA 2002

23. Federal Supplemental Educational Opportunity Grant (FSEOG)
Annual Award Amounts
$ minimum
$ maximum (actual maximum is determined by institution based funding policy)
12/9/2018
Presented by NYSFAAA 2002

24. Federal Work Study Program
Eligibility
Undergraduate and graduate students
Employment can be on or off campus
Eligible employers are:
School
Any public sector agency
Private non-profit organizations offering academically relevant jobs
For profit organizations offering academically relevant jobs
Community Service Activities
12/9/2018
Presented by NYSFAAA 2002

25. Federal Work Study Program (continued)
A Work-Study job may be offered to help meet financial need
Job assignments can provide valuable career experience
Earnings can be used to pay college costs or help with personal expenses
12/9/2018
Presented by NYSFAAA 2002

26. Loan Programs Federal Family Education Loan Program
Stafford Subsidized
Stafford Unsubsidized
Parent Loan for Undergraduate Students (PLUS)
William D. Ford Federal Direct Loan Program
Subsidized and Unsubsidized
12/9/2018
Presented by NYSFAAA 2002

27. Federal Stafford Loans (Subsidized)
First determine Federal Pell Grant eligibility
Annual borrowing limits:
$2625 1st year undergrad
$3500 2nd year undergrad
$5500 remaining undergrad years
$8500 each grad or professional year
12/9/2018
Presented by NYSFAAA 2002

28. Federal Stafford Loans (Subsidized)
Need is considered for subsidized Stafford loans
Independent students may be eligible for additional funds through the unsubsidized Stafford program
12/9/2018
Presented by NYSFAAA 2002

29. Federal Stafford Loans (Unsubsidized)
Need is not a consideration for unsubsidized Stafford loans
Independent students or dependent students whose parents are not eligible for a PLUS loan may be eligible for additional funds through the unsubsidized Stafford program
12/9/2018
Presented by NYSFAAA 2002

30. Federal Stafford Loans (Unsubsidized)
Unsubsidized loan limits are:
$4000 per year for the first two years of undergrad study
$5000 per year for remaining years of undergraduate study
$10,000 per year for graduate and professional study
12/9/2018
Presented by NYSFAAA 2002

31. Federal Stafford Loans (Subsidized and Unsubsidized)
Undergrad Aggregate limits for Stafford loans:
Dependent undergrad students may borrow up to $23,000 of combined subsidized and unsubsidized
Independent undergrad students may borrow up to $23,000 (base) subsidized and unsubsidized & an additional $46,000 unsubsidized
12/9/2018
Presented by NYSFAAA 2002

32. Federal Stafford Loans (Subsidized and Unsubsidized)
Graduate and Professional Aggregate limits for Stafford loans:
$65,000 base subsidized
$138,000 additional unsubsidized less any subsidized amount
12/9/2018
Presented by NYSFAAA 2002

33. Federal Stafford Loans (Subsidized and Unsubsidized)
Even if you are determined to have “no need”, you may be eligible to borrow through the unsubsidized program
Repayment begins when the student falls below half-time, withdraws from school or graduates
12/9/2018
Presented by NYSFAAA 2002

34. Federal Stafford Loans (Subsidized and Unsubsidized)
Both subsidized and unsubsidized loans have a variable interest rate set by the government annually on July 1st.
Interest rate will not exceed 8.25%
Up to a 3% origination fee and up to a 1% insurance fee may apply
12/9/2018
Presented by NYSFAAA 2002

35. Federal Parent Loans for Undergraduate Students (PLUS)
Borrowers are parents of undergraduate students
Annual limit is the cost of attendance minus other aid received. No aggregate limit is imposed
Repayment begins 60 days after final disbursement
Interest rate is capped at 9%, set annually on July 1st by government
Fees are the same as Stafford loans: up to 3% origination fee and up to 1% insurance fee
12/9/2018
Presented by NYSFAAA 2002

36. More Loan Programs Perkins Loans
Health, Human Service, Special Circumstance Programs
Alternative or Private Loans
Institutional Loans
12/9/2018
Presented by NYSFAAA 2002

37. Perkins Loan Part of campus-based program 5% interest rate
Must demonstrate exceptional financial need
$3000 per year for undergrad (up to $15,000)
$5000 per year graduate studies (up to $30,000)
No fees
Repayment begins 9 months after graduate, drop below ½ -time or withdraw
12/9/2018
Presented by NYSFAAA 2002

38. Health, Human Service, & Special Circumstances
Check with your institution for additional information on loans and scholarships available for:
Health Professions
Exceptional Need
Disadvantaged Students
Disabled Students
12/9/2018
Presented by NYSFAAA 2002

39. Private Loans
Private loans are made available by private lending institutions to fill the gap between cost of attendance and aid received
Private/alternative loans are not regulated by the federal government
Rates and terms vary greatly by lender and program of study
Research loans before signing a promissory note to be sure the loan is right for your individual circumstance
12/9/2018
Presented by NYSFAAA 2002

40. Institutional Programs
Depends on the funding at each school
School determines eligibility
Varies from school to school. Not all schools offer this type of funding
Ask the financial aid office for details on their available programs
12/9/2018
Presented by NYSFAAA 2002

41. Other Resources Robert C. Boyd Scholarship
Paul Douglas Teacher Scholarship
National Science Scholars Program
National Early Intervention Scholarship & Partnership
National & Community Service
Local Community Groups, organizations, churches, etc.
12/9/2018
Presented by NYSFAAA 2002

42. Other Resources Veterans Benefits Military Service Scholarships
G.I. Bill
Veterans Educational Assistance Program
Montgomery Bill Benefits
Military Service Scholarships
Bureau of Indian Affairs
Vocational Rehabilitation (VESID)
12/9/2018
Presented by NYSFAAA 2002

43. Scholarship Searches Beware of claims: “Guaranteed or your money back”
“You are a finalist” in a contest that you never entered
“Give me your credit card number or bank account number to hold this scholarship”
“You’ve been selected to receive a free “
12/9/2018
Presented by NYSFAAA 2002

44. Scholarship Searches
For a list of reputable sholarship searches, go to:
12/9/2018
Presented by NYSFAAA 2002

45. Scholarship Searches Typical Scholarship questions include:
Contact information
Social characteristics
Demographics
Education and work history
12/9/2018
Presented by NYSFAAA 2002

46. Conclusion Never borrow more than you need
Research all programs and options before you apply
Apply early
Ask questions of the school’s financial aid office, lender or government agencies
12/9/2018
Presented by NYSFAAA 2002

47. Conclusion Make a budget of your income and expenses and stick to it
Be sure to consider allowances for recreation, travel, clothes, etc.
Avoid spontaneous purchases that are unrelated to your education
Seek part-time employment during the academic year if possible
Save money from a summer job
12/9/2018
Presented by NYSFAAA 2002

48. Conclusion
Keep in mind that you must re-apply for financial aid each year
Know what your school’s priority and deadline dates are
Apply in early Spring but not before January 1
12/9/2018
Presented by NYSFAAA 2002

49. We’re here to help you succeed!
The New York State Financial Aid Administrators Association wishes you well in your education, personal, and career goals!
We’re here to help you succeed!
12/9/2018
Presented by NYSFAAA 2002