1. collegezone.com The trusted source for college information. Paying for College The Financial Aid Process

2. Financing College “Can I afford college?” “How much will it cost?” “What is financial aid?” Ask questions… “ What is the FAFSA?” “When and how do I apply?” “Where can I get help?”

3. Sources of Financial Aid Financial aid comes from a variety of sources.

4. These funds may be merit-based, need-based, or non need-based. There are two basic types of financial aid: Types of Financial Aid gift aid self-help aid Grants Scholarships Work-Study Loans

5. How to Apply for Financial Aid Submit All Forms Required by the College FAFSA Institutional Forms Other Note: Communicate with each college to inquire about steps to a complete application.

6. FAFSA on the Web www.FAFSA.ed.gov PDF FAFSA www.Federal StudentAid.ed.gov Paper FAFSA 1-800-4-FED-AID Three Ways to Access the Free Application for Federal Student Aid

7. How to Apply for Financial Aid Other Things to Know About the Process Apply early. Information reported on the FAFSA is confidential and is used ONLY to determine financial aid eligibility. You may be asked to submit documentation to the financial aid office for verification purposes. Supplemental applications or forms may be required. Keep track of application DEADLINES! Keep a copy of everything you submit. Reapply every year.

8. Dependency Status INDEPENDENT students fit into at least one of the following categories: Born before January 1, 1986 (for the 2009-10 academic year) Married Graduate or professional student Veteran or currently serving on active duty for other than training purposes Have legal dependents other than a spouse, for whom more than 50% of the support is provided through June 30, 2010 Orphan, ward of the court, or in foster care when student was 13 or older Emancipated minor or in legal guardianship as determined by a court in the legal state of residence Unaccompanied youth who was homeless or self-supporting and at risk of being homeless on or after July 1, 2008 ** DEPENDENT students must report personal and parental income and assets New!

9. Determining Financial Need A need analysis formula established by Congress determines the student’s Expected Family Contribution (EFC). A comparative measure of how much a family can be expected to contribute. Used to determine a student’s eligibility for most federal and state assistance. Shown on the Student Aid Report (SAR) and Institutional Student Information Record (ISIR).

10. Tuition & Fees Room & Board Transportation Books & Supplies Miscellaneous Living Expenses Cost of Attendance (COA) + What are the costs?

11. To Determine Financial Need

12. To Determine Financial Need (examples) Option A Option B COAEFC Financial Need $3,000$10,000$7,000 $3,000$20,000$17,000 - - = = Option C $3,000$35,000$32,000 - =

13. Federal Pell Grant* – up to $4,731 Federal Supplemental Education Opportunity Grant (FSEOG)* – up to $4,000 Federal Academic Competitiveness Grant (ACG)* – up to $750 first-year or $1,300 second-year students Federal Science & Mathematics Access to Retain Talent (SMART) Grant*– up to $4,000 for 3 rd & 4 th year Federal TEACH Grant Program - up to $4,000 U. S. Department of Education Federal Financial Aid Programs * FAFSA Required** Program Application Required

14. Federal Work-Study Need-based employment program providing on- and off-campus jobs to undergraduate and graduate students Compensation is at least the current federal minimum wage Student is paid by the college The availability of funds is limited; Financial Aid Offices may establish priority deadlines * FAFSA Required** Program Application Required

15. Source of Loan Repayment ~ Grace Period Interest Rate Loan Programs When evaluating loan options, consider… Know … what you’re signing; what you promised; where your money goes; your loan limits; your rights and responsibilities; loan repayment, deferment & forbearance options; how to manage debt; “Entrance & Exit Counseling” requirements; the consequences of default; and who to contact. Subsidized vs. Unsubsidized

16. Federal Loan Programs (for Undergraduate) Program * FAFSA Required** Program Application Required TypeGraceRate Perkins Subsidized5% Fixed 9 Months Stafford (2008-09) Subsidized6% Fixed 6 Months Unsubsidized6.8% fixed 6 Months PLUS Credit-based8.5% fixed Within first 60 days Note: Stafford Loans (both subsidized and unsubsidized) for Graduate students have a fixed interest rate of 6.8% through 2013.

17. College Affordability Financial aid helps make up the difference between what you can afford to pay and the cost of college. Don’t underestimate your options. Never assume that you’re too poor to attend college or too rich to receive some type of financial aid. Don’t become overwhelmed by college cost, it may not be what it seems. Consider: private vs. public, in-state vs. out-of-state, community college.

18. Financial Aid Awards The financial aid administrator at the college will package all available aid and send an award letter for consideration. What is the total cost of attendance? What is the Expected Family Contribution? What is your financial aid eligibility? What types of financial aid are included? Was your financial need met? What is the out-of-pocket cost?

19. Financial Aid Award You too should have ‘Selection Criteria’ A few points to consider before you commit to a school: Type of Institution Available Financial Aid Cost of Education vs. Earning Potential Academic Program Ranking Residential vs. Commuter

20. Avoid Scholarship Scams View with caution any service that requires you to pay. While most scholarship services are legitimate, some may be fraudulent and might charge a lot of money for little information. Report scams to: Better Business Bureau High School Counselor Financial Aid Office Friends

21. Steps to Remember 1.Start planning for the future 2.Complete the application process 3.Receive, revise and edit the Student Aid Report 4.Consider award letters 5.Respond to college offers 6.Advise school(s) of outside scholarships 7.Renew the FAFSA every year!