1. Financial Aid Night! Priscilla Salas Financial Aid Counselor Wharton County Junior College

2. Financial Aid. What is it?
Financial Aid is funds provided to
students and families to help pay for postsecondary educational expenses and consists of:
Grants (Federal/State - Pell, SEOG,
TPEG/TEG, Top 10%, Texas Grant)
Loans (Federal and Private)
Scholarships (Merit and Need Based)
Employment (Work Study Program)
State Exemptions
Veterans Benefits

3. General Eligibility Not be enrolled simultaneously in high school
Have a high school diploma or equivalent
Enroll as a regular student in a degree or certificate program
Be a citizen, national or permanent resident of the U.S. or other eligible non-citizen
Provide a valid social security number
Undocumented students are not eligible for federal aid (may apply for state aid through TASFA)
Register with Selective Service if required
Maintain satisfactory academic progress

4. The Application (FAFSA) (Free Application for Federal Student Aid)
Available January 1 at Apply annually. Turn in TASFA directly to institution of choice.
Requires prior year income (i.e based on 2014 income for student and parent). Use Data Retrieval Tool which saves time and reduces the chances of being selected for verification!
Available in English and Spanish
Used to determine eligibility for state and federal aid

5. FAFSA continued
Students are allowed to list up to 10 colleges/universities that will receive his/her student and parent information
Personal Identification Number is needed to electronically sign application (student and one parent)

6. FAFSA continued Determining Dependency Born before January 1, 1992?
Is the student married (at the time of the FAFSA submission)?
Working on a degree beyond a bachelor’s degree?
Active duty in the U.S. Armed Forces?
Is the student a Veteran?
Children for whom you provide more than half the support?
Parents deceased? Foster Care? Ward of Court? Emancipated Minor? Legal Guardianship? Homeless?
Does the student have legal dependents (other than spouse and children) for whom they provide more than half the support?

7. FAFSA continued Dependency Ultimately determined by institution
Use only Biological or Adoptive Parent Information
Not based on who ‘claimed’ the student on the income tax return

10. Completing the process
School contacts student regarding missing/needed information (tax return, asset information)
School reviews student’s file to determine eligibility (based on federal guidelines)
School notifies student of eligibility/offer

11. Factors in determining eligibility
Parent and student income
Family Size
Age of older parent
Number of family members attending college
Parent and student assets

12. What is Cost of Attendance (COA)?
Direct and indirect costs
combined into cost of attendance
(tuition, fees, room & board, books,
supplies, transportation)
Vary widely from college to college

13. What is Expected Family Contribution (EFC)?
Student and school receives Student Aid Report (SAR-response from FAFSA) with 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 FAFSA data and a federal formula

14. What is Financial Need?
Cost of Attendance - Expected Family Contribution ______________________ = Financial Need

15. Grants Money that does not have to be repaid
Awarded on the basis of financial need
Federal/State – Pell, SEOG, TPEG/TEG, Top 10%, Texas Grant

16. Loans
Money students and parents borrow to help pay educational expenses
Federal and Private
Repayment usually begins after education is finished
Only borrow what is really needed
Look at loans as an investment for the future

17. Types of Loans Federal Direct Loan Program (FDLP) Stafford Loans
Subsidized
Unsubsidized
PLUS Loans
Consolidated Loans

18. Loans continued
Subsidized – based on need. Department of Education pays the interest while you’re in school half- time (6 hours), during grace period, during deferment period
Unsubsidized – not need based. You are responsible for the interest during periods of enrollment, grace, deferment, forbearance, and default. Can capitalize interest – added to original balance.

19. Loans continued Stafford Loan Interest Rates
4.66% Subsidized, undergraduate
4.66% Unsubsidized
7.21% PLUS

20. Undergrad ___ sub/unsub _ addt’l unsub_
Loans continued
Stafford Loan Limits 1415
Undergrad ___ sub/unsub _ addt’l unsub_
1st year $3, $2,000 $4,000
2nd year $4, $2,000 $4,000
3rd year $5, $2,000 $5,000
4th year $5, $2,000 $5,000
*undergraduate, independent – additional $4,000

21. Loans continued Repayment Grace Period – set period of time (6 months)
before you must begin repayment on a
Stafford Loan. Period begins after student
graduates, withdraws, or drops below
half-time (6 hours).
Repayment period of 10 to 25 years
Standard
Graduated
Extended
Income-sensitive

22. Loans continued Deferment – period of time during which no
payments are required and interest does
not accrue (subsidized only). Half-time
enrollment, unable to find full-time
employment, economic hardship.
Forbearance – not eligible for a deferment but
are unable to meet repayment schedule.
Servicer agrees to reduce/postpone
payments for a period of time. Interest
continues to accrue (subsidized and
unsubsidized).
Contact servicer for more information about these options.

23. Texas B-On-Time Loan Program
Have completed a FAFSA and be eligible to receive federal aid
Be enrolled full time in an undergraduate degree or certificate program at an eligible institution AND
Be a Texas resident or be entitled to pay resident tuition rates as a dependent child of a member of the U.S. Armed Forces AND
Graduated in or later from a high school operated by U.S. Department of Defense or under the recommended high school program from a public or accredited private high school in Texas
Have earned an associate’s degree from an eligible institution no earlier than May 1, 2005
Can not have earned a bachelor’s degree

24. Scholarships Money that does not have to be paid back
Awarded on the basis of merit, skill, or a unique characteristic
Can be need based
Small scholarships add up!
Some colleges use the FAFSA to find recipients
Opportunities:
Community Organizations, Churches, Employers
Financial Aid Office
High School Counselors

25. Free Scholarship Search www.fastweb.com

26. Adventures in Education www.aie.org

27. Employment Work Study Program
Allows students to earn money to help pay educational costs
A paycheck

28. Veterans Benefits Hazlewood Act Armed Forces Education Plans
Legacy Program
Dependent 25 years or younger
Armed Forces Education Plans

30. Financial Aid TV

31. Federal Student Guide studentaid.ed.gov

33. Important! Check deadlines Admissions, financial aid, & scholarships
Complete the FAFSA as soon after January 1 as possible
Submit all documents requested by the school as soon as possible

34. Questions? Priscilla Salas Financial Aid Counselor Kristie Sulak
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Kristie Sulak
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