Transcript Slide 1

FINANCIAL AID APPLICATION
OVERVIEW
Free Application for Federal Student Aid 2011-2012
FAFSA
WHY COMPLETE A FAFSA?
Federal Student Aid uses the data on your
FAFSA to calculate an Expected Family
Contribution (EFC)
Total cost of Attendance
- EFC
= Financial Need
Estimated Family Contribution (EFC)
Your Expected Family Contribution (EFC) is
the number that’s used to determine your
eligibility for federal financial aid. This
number results from the financial
information you provided in your FAFSA
application.
EFC Cont…
Calculation takes into account the following:
• Adjusted Gross Income (AGI)
• Untaxed Income (Do not include BAH)
• Assets and Benefits
• Number in Household
• Number in Household Attending College
WHAT AM I ELIGIBLE FOR ?
Grants – Free Money
•Federal Pell Grant (for 2010-2011) if EFC is 5273
or lower
•Maximum award $5550
Award amounts remain unchanged for 2011-2012
•Federal Supplemental Educational Grant
(FSEOG)
Institutional funds –award amounts up to $1000
What else am I Eligible for?
Loans
•Subsidized Loans –must show need.
•Unsubsidized Loans
•Perkins Loans
•Plus loans – Parents can borrow up to cost of
attendance minus any other financial aid award
amounts
•Federal Work Study
Enrollment Status
Full time =12 credit hours per SEMESTER
Half time = 6 credit hours per SEMESTER
…Not sure?
Getting Started…
Apply for your PIN before you begin the
application process.
Use the Federal Student Aid’s secure
Web site at www.pin.ed.gov
Use your PIN to electronically sign your
FAFSA on the web
If you’re a dependent student, both
you AND parent will need to apply for a
PIN
Documents Needed
• 2009 W2
• 2009 Federal Tax Return
•Current bank statements and other
Financial Information
Completing the 2011-2012 FAFSA
Online (FAFSA on the web) at
www.fafsa.ed.gov
FAFSA on the web has built-in-help to guide
you through the application process
The schools you list on your application will
receive your processed information faster.
Schools to Receive Information
Each school has a Federal School Code
(
)
You will have a chance online to search for
school codes
Write the name of the school if you do not
know the school code
Up to 10 school codes can be listed
2011-2012
FAFSA on the Web Worksheet
Complete this Worksheet to assist you when
you file your FAFSA online
DO NOT SUBMIT THIS WORKSHEET!
Section 1 – Student Information
To be completed with applicant information only
General information such as name, SSN, state of legal
residence
Marital status (of student)
Selective Service Registration for under 25’s (male)
Drug Convictions
Section 2
STUDENT DEPENDENCY STATUS
A student is considered independent ONLY
if they can answer YES to ONE of the
questions in section 2.
• Born before 1 January 1988
• Married
• Have children or dependents other than
children that you provide more than 50%
support.
• Active duty
• Veteran of the U.S. Armed Forces
Section 3
PARENTAL INFORMATION
• If student answered NO to all questions in
section 2, then parents must complete
section 3
• This section must still be completed even
if the applicant does not live with their
parents
Section 4
STUDENT FINANCES
• To be completed by independent students
only
• If the applicant is dependent and has
provided the requested parental
information then this section does not
need to be completed.
NEW FAFSA/IRS LINK
• On the IRS Web site, enter the requested
information.
• Once the IRS has validated your identification, your
IRS tax information will display. You can either
transfer your information from the IRS, or choose to
return to FAFSA on the Web from the IRS Web site.
• If you transfer your IRS tax information, questions
that are populated with tax information will be
marked with “Transferred from the IRS”
What Happens After you Apply
• Results sent to all schools listed on
FAFSA
• Applicant will receive results via e-mail
within 3-5 days (if submitted online)
• Student Aid Report (SAR)
• View and print the SAR
• SAR will have Estimated Family Contribution
and Data Release Number (DRN)
How much can I borrow?
(Independent Students)
1st year undergrad
$9,500 total
Maximum of $3500 in subsidized
2nd year undergrad
$10,500 total
Maximum of $4500 in subsidized
3rd year and beyond
$12,500 total
Maximum of $5500 in subsidized
Graduate students
$20,500 total
Maximum of $8500 in subsidized
… And the borrowing limit for
Dependent Students
1st year undergrad
$5,500 total
$3,500 Subsidized
2nd year undergrad
$6,500 total
$4,500 Subsidized
3rd year and beyond
$7,500 total
$5,500 Subsidized
Paying back Student Loans
FIXED Interest Rates:
Subsidized Loans: 3.4%
Unsubsidized Loans: 6.8%
Due to be paid back 6 months after Graduation, stop
attending, drop to less than half time attendance
Perkins Loan 5% interest rate
Pay back 9 months after Graduation…..
Plus Loan – 7.9% Fixed interest rate
Pay back 60 days after disbursement (while still in
school)
Repayment Options
1. Standard Plan - fixed payment, fixed time not to
exceed 10 years.
2. Graduated Plan – payments gradually increase,
fixed time not to exceed 10 years.
3. Extended Plan – must owe over $30, 000, not to
exceed 25 years
4. Income Contingent Plan – terms vary.
Information can be found by visiting the
following links:
http://www.fastweb.org/
And this site…
www.college.gov
STATISTICS
AVERAGE ANNUAL INCOME
•High School diploma
$30,500
•Associate Degree
$37,500
•Bachelor’s Degree
$53,500
•Master’s Degree
$67,500
REMEMBER
YOU WILL BE ELIGIBLE
GOOD LUCK
IF YOU APPLY
NEED MORE HELP ?
For further assistance with the FAFSA
application call 1-800-4-FED-AID or
1-800-433-3243 toll free or access
www.fafsa.ed.gov
You may also access the Departments
federal student aid Web site at
www.studentaid.ed.gov
For scholarship searches check out
www.fastweb.org and/or www.finaid.org