1. Scholarships and Financial Aid… And Where To Look for Both Presenter: Reilly Johnson Title: Admissions Counselor, UAB Office of Undergraduate Admissions INFORMATION IN THIS PRESENTATION IS TIME-SENSITIVE Please note that the websites, interest rates and data contained within this presentation are applicable for students entering college in fall 2015.

2. What We H ope T o A nswer…  Where do I begin?  Where do I look for scholarships?  What is Federal Aid?  What are the differences in types of aid?  What do some of these acronyms mean?  What do I need to do?  Who can help me?

3. Start By Doing Some Research! Start By Doing Some Research! A LWAYS start with the college or university. E ACH college or university. Know admission criteria! Remember NO ADMISSION = NO AID. Know EACH individual institution’s scholarship criteria. Find out the scholarship deadlines for EACH school you are applying to. Find out the standard Cost of Attendance (COA) for EACH institution. Decide what you think you can afford. KEEP TRACK KEEP TRACK of admission and scholarship application deadlines for EACH school

4. Research (continued)  Research outside scholarships at these sites  FastWeb.com  bigfuture.collegeboard.org/scholarship-search  Petersons.com  CollegeScholarships.org  Research scholarships and loans locally  Always utilize your guidance counselor  Check with student and parent employer(s)  Civic Organizations  Credit Union options (they sometimes have very competitive interest rates on loans)

5. Research (continued)  Research scholarships and loans nationally.  Special Interest Funds (i.e. Diabetes Scholars Fund, Food Allergy and Anaphylaxis Network, Coca-Cola Foundation, Bill & Melinda Gates Foundation)  AmeriCorps– offers funding in exchange for community service  Federal Student Aid  USE GOOGLE (wisely)!! You Should Never pay for scholarship search services!

6. What is the FAFSA? When you fill out and submit the Free Application for Federal Student Aid (FAFSA) at www.fafsa.gov the answers you provide enable the federal government to calculate how much of your family’s financial resources should be available to pay for the cost of college expenses. The FAFSA refers to this calculated number as your “ EFC ” or “ E xpected F amily C ontribution” Colleges then use your calculated EFC to determine your “demonstrated need” for federal aid such as PELL grants, Work - Study, etc.

7. Federal Aid Quick Facts  Three (3) Categories of Federal Student Aid  Grants  Work - Study  Loans  You MUST complete the FAFSA to be considered!  No FAFSA = NO consideration for federal aid!  Fill out the FAFSA *after* January 1 of your senior year  The FAFSA establishes your family’s E stimated F amily C ontribution (EFC)  Must be completed every year the student is enrolled

8. Categories of Federal Aid  Federal Grants  PELL Grants Most families do not qualify for PELL grants. Must have a very low EFC (below 5081). Do not be discouraged if you do not qualify. Most families do not.  Current minimum PELL grant is $573  Current maximum PELL grant is $5,730  SEOG Grants Supplemental Educational Opportunity Grant (SEOG) is also a need-based program; priority for SEOG funds goes to students who have already qualified for a PELL grant.

9. Categories of Federal Aid  Work Study Jobs  Federal Work-Study is based on “demonstrated need” Why?? Because the salary is paid by both federal government sources (75%) AND from college/university resources (25%)  Loan Options  Perkins Loan = 5% interest rate A need-based loan subsidized by the federal government; repayment begins 9 months after the student is no longer enrolled at least ½ time  Stafford Student Loan – TWO (2) different kinds!  Subsidized (Need-Based) = 4.66% interest rate;  Unsubsidized (Non Need-Based) = 4.66% interest rate Repayment on BOTH types of Stafford loans begins 6 months after the student is no longer enrolled at least ½ time

10. How is YOUR Financial “Need” Calculated? COST of the college/university equals… Direct Costs This figure includes defined costs of tuition, required fees and room and board IF the student is living on campus +Indirect Costs This figure is an estimated number that includes estimated books, personal expenses, and travel from home to college (an average for all students) - EFC (taken from the results of your FAFSA) = YOUR “DEMONSTRATED NEED” for Federal Financial Aid

11. A Couple of Examples REMEMBER: The Expected Family Contribution (EFC) remains the same, regardless of the cost of the college! The challenge becomes finding ENOUGH financial aid and scholarship assistance to MEET/EQUAL the demonstrated need! College “A” Cost = $7,000 EFC =$7,000 NEED = $0 College “B” Cost=15,000 EFC= 7,000 NEED = $8000

12. How to Apply for Federal Student Aid The Steps  Gather your financial information  Request your PIN numbers at www.pin.ed.gov (student and at least one parent must have a PIN)  Complete the FAFSA ( www.fafsa.gov ) between January 1 and March 1 of the student’s senior year in high school  Watch for the Student Aid Report (SAR)  Communicate with the Admission and Financial Aid Offices at every school where you have been admitted and sent the FAFSA

13. Gather Your Information  Collect all tax information for student and parents  W-2 forms  Tax Return Transcript for student and parents if filing  Balance of all bank accounts (savings, checking, money markets, etc), stocks, bonds, NON-home real estate and business records for student and parents  Records of untaxed income for student and parents  SSN and DOB for both the student and parents  Student’s driver’s license number Want a handy checklist of helpful documents? http://studentaid.ed.gov/resources Want a handy checklist of helpful documents? http://studentaid.ed.gov/resources

14. Request Your PIN Numbers to www.pin.ed.gov and apply for PIN Go to www.pin.ed.gov and apply for PIN Student AND Parent must BOTH have a PIN Student AND Parent must BOTH have a PIN Your PIN numbers will be available immediately via e-mail OR within 7-10 days via US postal service mail Your PIN numbers will be available immediately via e-mail OR within 7-10 days via US postal service mail

15. Complete The FAFSA The FAFSA has Seven (7) Sections 1. Student Demographic Information 2. Student Tax Information 3. Determining Dependent or Independent Status 4. Parent demographic information 5. Household Information 6. College/University Selection 7. Sign & Submit

16. Common Questions When Filing the FAFSA  How does the FAFSA define “parent” ?  Not Divorced Parents Income = actual parent(s) of the student  Divorced Parents Income = parent who provides the most support (typically the parent that the student lives with the majority of the calendar year prior to completing the form) and THAT parent’s spouse Does not depend on… …who claims the child on a tax return. …what your divorce papers say. …what any pre-nuptial agreement says. Does not depend on… …who claims the child on a tax return. …what your divorce papers say. …what any pre-nuptial agreement says.

17. Watch for your Student Aid Report  SAR will be available electronically in 7-10 days  Your EFC will be printed on upper right corner  Check over & make sure all information is correct  If changes are needed, use your PIN and make changes or corrections on the web at www.fafsa.gov

18. Communicate with Counselors  Know by name…  Your Admission Counselor  A Financial Aid office representative  Your High School Guidance Counselor  Stay in touch with…  Your Admission Counselor (s) at the college(s)  Your High School Guidance Counselor

19. Federal Contact Information www.fafsa.gov800.433.3243www.studentloans.gov800.848.0979

20. QUESTIONS?

21. Thank You and Have a Great Night! Reilly Johnson, reillyj@uab.edu 205-975-7518