Transcript If a man empties his purse into his head, no one can take

“An investment in
knowledge always pays the
highest return.”
-Benjamin Franklin
PARTNERSHIPS
APPLICATIONS
Application for Admission
• May double as a scholarship application
• Apply early for best opportunity
Free Application for Federal Student Aid (FAFSA)
• Federal financial aid application
• Apply online at www.fafsa.gov between January 1 and March 1
• Application must be completed for each academic year
Institutional Aid Application or the CSS PROFILE
• Check with each school for required applications
THE EFC – FROM THE FAFSA
• Calculated by the FAFSA
• Score of family’s financial strength
• Used to determine federal, state, and institutional aid
• Ranges from 0 to 999,999
COST OF ATTENDANCE (COA)
Direct costs typically charged by the college:
Tuition
and fees
Cost of living in
dorms
+
Cost of meal
plans on campus
+
Indirect costs that may not be charged by the college:
Allowance for
books and
supplies
+
Allowance for
personal expenses
and a few meals out
+
Allowance for
transportation
FINANCIAL ELIGIBILITY
Total Cost of
Attendance
Expected
Family
Contribution
(EFC)*
Financial
Need
*Note: This is not the same as the student’s bill or the amount a family
will actually pay for the student to attend college
COMPARISON OF NEED
High Cost School
Low Cost School
Cost
$50,000
$25,000
(-) EFC
$25,000
$25,000
(=) Need
$25,000
$0
*The EFC remains the same at each school
FAMILY RESPONSIBILITY
(Out of Pocket Expenses)
Direct Costs
Financial
Aid Offered
Out of
Pocket
Expenses
TYPES OF FINANCIAL AID
Gift Assistance
Self-Help
• Institutional Gift Programs • Federal Loan Programs
• Federal Work Study
• Federal Grants
• State Grants
FINANCING OPTIONS
• College Savings Plans
• Payment Plans
• Federal Direct Parent PLUS Loans
• Private Education Loans
QUESTIONS FOR FAMILIES TO
CONSIDER
• Financial aid that is offered the freshman year, will it
continue into subsequent years?
• If a student receives a scholarship from their high school,
will this impact financial aid that is currently offered?
• What percentage of students graduate in 4 years?
• Can the family sustain the educational expense for the 3, 4
or perhaps 5 additional years of school?
• What are the average tuition increases per year?
• What additional fees or charges can I expect besides tuition
and housing charges?
COMPLETING THE
FREE APPLICATION FOR
FEDERAL STUDENT AID
(FAFSA)
WWW.FAFSA.GOV
• Complete the
FAFSA between
January 1 and
March 10 of
your senior year
WHAT YOU WILL NEED…
Student’s driver’s license & social security card
Income information for the student & parent(s)
• 2014 federal income tax returns
• 2014 W2 forms
Records of untaxed income for 2014
• Child support received and paid
• Contributions to retirement accounts
WHAT YOU WILL NEED…(CONT.)
Current bank statements
Records of investments
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•
•
Stocks
Bonds
Certificates of deposit
Mutual funds
Education savings accounts
INVESTMENTS INCLUDE…
The net value of:
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•
•
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Real estate (not the home you live in)
Trust funds, UGMA & UTMA accounts (owner)
Money market funds
Mutual funds
Certificates of deposit
Stocks and stock options
Bonds
Other securities, etc.
INVESTMENTS ALSO INCLUDE…
Qualified educational benefits or education
savings accounts
• Coverdell savings accounts
• 529 college savings plans
• Refund value of 529 prepaid tuition plans
Always report as a parent asset, even if in the student’s
name.
INVESTMENTS DO NOT
INCLUDE…
The value of:
• The home you live in
• Life insurance policies
• Balance of Retirement plans
• 401(K), non-education IRAs, Keogh, pension plans,
annuities, etc.
• Family farm you live on and operate
• Small business you and your family own and control more
than 50 percent with 100 or fewer full-time or full-time
equivalent employees
WHO IS CONSIDERED A PARENT?
• Legal Parents – biological and adoptive
• If your legal parents are living together (whether
married, unmarried, divorced, or separated),
answer the questions about them.
• If your parent was never married or is widowed
and does not live with your other legal parent,
answer the questions about that parent.
• If your parents have divorced or separated,
answer questions about the parent you lived
with most in the past 12 months.
IS A STUDENT INDEPENDENT?
A student is only classified as independent if they can answer YES
to one of the following questions
•
Is the student born before January 1, 1992 (24 years old)?
•
Is the student married?
•
Is the studentserving on active duty for purposes other than
training?
•
Does the student have children that will receive more than ½ of
their support from them?
•
Is the student a veteran?
•
At any time since the student turned 13 were both of their
parents deceased, was the student in foster care or a ward of the
court?
FAFSA – Login
FAFSA – Start 2015-2016
FAFSA – Create a password
FAFSA – Introduction Page
FAFSA – Student Demographic
Information
• Name, SSN, and
Birthday MUST be
correct
• Highly recommend
providing email
FAFSA – Student Eligibility
• MUST be U.S.
citizen or eligible
non-citizen
• Males MUST
register with
Selective Service
FAFSA – Student Eligibility continued
• High school
information
entered will
be matched
• Select correct
match
FAFSA – School Selection
• Search by school
name or code
• May add up to 10
schools
FAFSA – School Selection Summary
• Can change
the order of
the schools
listed on the
FAFSA
FAFSA – Dependency Determination
• Must answer “yes”
to one of the
questions to be
considered
independent on the
FAFSA
FAFSA – Dependency Status Results
• Will provide
parental
information
FAFSA – Parent Demographics
Information
• Parents’ SSN,
name, birthday
• Household Size
and number in
college.
• Do NOT include
parents as college
students
FAFSA – Parent Tax Information
• Already completed
• Will file
• Not going to file
FAFSA – Parent Tax Information
• Use the IRS Data
Retrieval Tool
whenever possible
• Available
approximately 2-3
weeks after
electronic filing
• All answers must
be “No” to use
retrieval tool
FAFSA – Parent Financial Information
• IRS information will
populate
• Manually enter income
if not eligible for IDR
• “Help and Hints” will tell
you what line to use
• Estimate information if
you have not filed taxes
yet
FAFSA – Parent Financial Information
continued
• Report any
additional financial
information and
untaxed income
• Review W2 box 12
for retirement
contributions
FAFSA – Parent Financial Information
continued
Report assets at the
bottom:
• Cash, savings,
checking
• Investments
• Business and farm
value
Always report net worth
FAFSA – Student Tax Information
• Already
completed
• Will file
• Not going to
file
FAFSA – Student Financial Information
• Already completed
• Will file
• Not going to file
• If not filing, the student still
has to report any wages
FAFSA – Student Financial Information
continued
• Student will
report any
untaxed income
and assets just
like parent
FAFSA – Sign & Submit
• Student signs
first
• PIN is the
fastest and
recommended
method
• Can Apply For
A Pin on this
page if needed
FAFSA – Sign & Submit
• Parent signs
also
• Be sure to
Submit My
FAFSA Now
• May be a
password for
2016-2017
FAFSA – Confirmation
• Don’t forget to click “SUBMIT”
• A “SAVED” application will not be processed
• Print a copy of the confirmation page
• The EFC is calculated immediately and printed
on the confirmation page
ADDITIONAL INFORMATION
Special Circumstances
• If the FAFSA does not reflect your current financial situation,
contact the financial aid office at each school.
Indiana Residents MUST file by March 10
• For consideration of state aid
FAFSA Help
• Federal Student Aid provides free help online at www.fafsa.gov
and 1-800-4-FED-AID
• Contact the financial aid office where you are applying
FINANCIAL AID REFERENCES
College Board - www.collegeboard.org
Financial aid information - www.finaid.org
The internet’s largest free scholarship search www.fastweb.com
FAFSA on the Web - www.fafsa.gov
U.S. Department of Education–www.studentaid.gov