Transcript Training - Father Judge High School

FINANCIAL AID
The Basics and then some……
 Presented by Bonnie Lee Behm
Director of Financial Assistance
Villanova University
Before we start….

Begin with a positive attitude!

Involve your child/family in the admission and
financial aid application process. Discuss your ability
to pay for college with your child or family
throughout the application process

Ask questions along the way – each school has their
own unique approach to financial aid
What is Financial Aid?
Financial aid
consists of funds provided
to students and families
to help pay for
Postsecondary Educational
expenses
Types of Financial Aid

Grants

Scholarships

Loans

Student Employment
Categories of Financial Aid
 Merit based Aid
 Need-based Aid
Merit-Based Aid
 Merit-Based Aid = grant assistance given to
students strictly on the basis of merit
 Award usually remains the same over the course
of the student’s academic career
 Merit may be defined in a variety of ways
 Academic record
 Special characteristics
 Skills or talents
 Involvement
(SAT, ACT, GPA, HS RANK)
( ex. Leadership, Creativity)
( ex. Musical, Athletic)
(ex. Community, Work)
Merit-Based Aid
 Amounts can vary significantly from school to
school
 Rule of thumb: more competitive the institution – less
merit based aid
 May or may not require an application, interview,
submission of additional materials
 May require a student to apply for admission by an
earlier date
 May be administered by an office other than the FA
Office
Need-Based Aid
 Need-Based Aid = aid awarded to students
on the basis of financial need Re-evaluated
each year as financial situations may
change.
 Need will vary based on cost of attendance of the
school
 Determination of need could be based on the
FAFSA, CSS PROFILE or both
How do you apply for need based aid?
 Complete the Free Application for Federal Student Aid (FAFSA)
 The FAFSA on the Web Worksheet (FOTW) is a great tool to help you
work through the process
 State Grant Form (SGF)
 Required for First Year Students and may be requested for
subsequent years
 Check with your school if they need additional forms
 Some schools have their own forms
 Schools may require a copy of tax returns, and/or W-2 forms
 The CSS Financial Aid PROFILE may also be required at some
institutions
What Is The FAFSA?
 Free Application For Federal Student Aid (FAFSA)
 A standard application that collects financial &
demographic data about the student & parent
 Used to apply for federal & state aid (may be
application for college aid, depending upon the
school)


File one FAFSA per student (not one per college)
Need to file a FAFSA every year you seek assistance
www.FAFSA.GOV
 New FAFSA Entry
 Renewal Application Entry
 FAFSA Corrections
 Providing Signatures
 Continuing a Saved FAFSA
 Viewing Transaction
History
Personal Identification Number (PIN)
 Sign FAFSA electronically
 Not required, but
speeds processing
 Website: www.pin.ed.gov
 BOTH Student and one Parent sign electronically with PIN
 Create your own PIN or have one assigned
 Do NOT lose it. Write it down and store in a safe place
 Do NOT share it with anyone
 Links for PIN are within the FAFSA form too
How/When to File the FAFSA?
 Ways To Complete the FAFSA:

On-line at www.fafsa.gov
 Complete as soon as possible after January 1 at
www.fafsa.gov
 Make sure you select the FAFSA for the school year you
are planning to attend
 List all the schools your child is considering attending
so the results of the FAFSA get to the school
Make sure you file by your school’s deadline for aid.
Check with your school if you do not know the filing
deadline.
Completing the FAFSA
 NEW Tool to assist in the completion of the FAFSA
 IRS DATA Retrieval Tool
Allows family to download tax information directly from the tax return
onto the FAFSA
 IRS Data is available:
 After 2 weeks of electronically filing federal tax return
 After 8 weeks of filing a paper federal tax return


Some families may not be able to use this tool – if not they may be
requested to submit an IRS Tax Return Transcript
IRS Data Retrieval
Also in
Student
Section if
student is
filing taxes
Filing The FAFSA
 Based on prior calendar year tax information
 May use estimated income and taxes
 Students need to be encouraged to apply even if
they are not sure of their attendance at a particular
school
 Do not wait to be accepted to college to file for
financial assistance
Whose Information Goes on the FAFSA
 Dependent Student and Parent(s) - yes






- Independent student – only their info (& Spouse)
Divorced or separated parents (provide information
about the parent you lived with most in the last 12
months or the parent that provides the most
financial support if you lived with each parent
equally)
Stepparents - yes
Adoptive parents - yes
Foster parents - no
Legal guardians - no
Anyone else the student is living with - no
Deadlines
 Check each
institution for their
specific deadline date
 State or federal
deadline dates may
differ so make sure
you are meeting all
timelines
Financial Need
Cost of Attendance
-Expected Family Contribution
Financial Need
(Expected Family Contribution = EFC)
Cost of Attendance
Cost of Attendance typically includes:
 Tuition & fees
 Room & board
 Books & supplies allowance
 Personal expenses allowance
 Transportation allowance
What Is The Expected Family
Contribution (EFC)?
 EFC is determined by a formula that considers a student and
parents’ financial situation
 Amount a family can reasonably be expected to contribute to
the student’s education during the school year
 EFC & Financial Need are guidelines used by schools to
determine aid package
 Formula used by the FAFSA is the Federal Methodology
How Is The EFC Calculated?
Primary Factors Considered:

Taxable Income: AGI (wages earned + interest
dividends + other taxable income)

Untaxed income & benefits

Number in family

Number of dependent children in college

Assets (Primary residence and Retirement
accounts are not considered on FAFSA)
How Is The EFC Calculated?
For more detailed information on how
the EFC is calculated visit:
www.finaid.org
www.collegeboard.com
Select Financial aid calculators
Institutional Methodology
 Some schools may require the CSS Financial Aid
PROFILE
 Primarily used by private schools
 Collects supplemental data (home equity, financial data of




non-custodial parent, etc.)
Basis for awarding institutional need-based aid only
Register to complete form at www.collegeboard.com
There is a fee associated with the completion of the
CSS/Financial Aid PROFILE
Some PROFILE Schools require documents such as tax
returns to go to a service called IDOC
Sources of Aid
 Federal
 State
 School/College/University
 Private/Outside Organizations
 Civic organizations (ex.-local Rotary Club, parent’s
employer, churches)
Federal Grant Aid
 Federal Pell Grant
 Federal Supplemental Educational
Opportunity Grant SEOG
 Teacher Education Assistance for College &
Higher Education Grant (TEACH)
Federal Work and Loan Aid
 Federal Work Study
 Federal Perkins Loan
 Federal Nursing Student Loan
 Federal Direct Loan
 Federal Direct PLUS Loan (parent’s loan)
State Aid
 Awards may be merit or need based
 May require some type of residency requirement
 Deadlines for applying for state aid may vary from state
to state
 Contact your state higher education assistance agency
for specific details on their programs of aid
PA State Grant Program
• PA State Grant*
• Full-time, in PA….....up to $4,348
• Part time, in PA………up to $2,174
• Out of state….. Up to $600 in CT, DE, MA, ME, OH,
RI, VT, WV, and DC
• All other states….up to $400 (NJ, NY, and MD = $0)
• Amount determined in part by the cost of the school
* Must be at least half-time to be eligible
Other State Programs
Page 20; PA Student Guide
 State Work-Study - job related to major
 Educational Assistance Grant (EAP) – National Guard
 Chafee Education and Training Grant – administered by the
Department of Public Welfare
 Blind or Deaf Beneficiary Grant
 Postsecondary Educational Gratuity Program (PEGP)
 Partnerships for Access to Higher Education (PATH)
 Pennsylvania Targeted Industry Program (PA –TIP)
For details visit www.pheaa.org or refer to the PA Student Guide
College/University
 Many schools offer their own sources of aid.
Understand that funding varies from school to
school therefore aid packages may vary
significantly
 Funds may be merit or need based aid
 Check with each school you are interested in
about their policies, application forms, process &
deadlines
Outside Sources
 Private sources of scholarship funds include:
 Service/Fraternal Organizations
 Employers/Business
 Churches/Religious Groups
The web is an excellent resource for parents,
students and counselors to seek free
scholarship assistance
Comparing Aid Offers
School A
School B
School C
$8500
$23000
$45000
$2000
$2000
$2000
NEED
$6500
$21000
$43000
PELL Grant
$2360
$2360
$2360
SEOG Grant
$0
$2000
$3000
PA State Grant
$1900
$4300
$4300
Perkins Loan
$0
$2000
$3000
Work Study
$0
$1500
$2500
Direct Loan - Subsidized
$2240
$3500
$3500
Institutional Grant
$0
$4500
$20000
Unmet Need
$0
$840
$4340
COST
- EFC
Comparing Aid Offers
School A
School B
School C
$8500
$23000
$45000
$12000
$12000
$12000
NEED
$0
$11000
$33000
PELL Grant
$0
$0
$0
SEOG Grant
$0
$0
$0
PA State Grant
$0
$1100
$1400
Perkins Loan
$0
$2000
$2000
Work Study
$0
$1500
$2500
Direct Loan - Subsidized
$0
$3500
$3500
Institutional Grant
$0
$2000
$21000
Unmet Need
$0
$900
$2600
COST
- EFC
Comparing Aid Offers
 Will the aid package change if outside scholarships are
received?
 What factors can cause changes to my eligibility in the future?
(i.e.- how will my package change if there is a change in the
number in college, what if my income increases)
 Is there room for movement in my financial aid award?
 Can I appeal the award?
Comparing Aid Offers
 Look at the Bottom line for each school carefully comparing
grants, loans and work opportunities as well as merit versus
need based programs
 Consider possible changes in your family situation over the
next four years & consider how that can affect your ability to
pay not only in the next four years but over the years all your
children are in college
Additional things to consider
 If you have unusual circumstances let the school about
your situation
 Follow up with all requests for additional information from
your school or federal or state agency
 You need to reapply for need based aid every year
 If your family financial situation changes your need based
aid package may also change each year
 Contact the Financial Aid Office with your questions or
concerns regarding the financial aid process
Net Price Calculators (NPC)
 NPC is a tool schools must have to assist you in knowing
what federal aid you may be entitled to. Many schools will
also allow you to determine school based aid on the NPC
as well.
 It is a tool – it is not the final award letter
 Carefully read the things the school considers when it
calculates aid on the NPC
Timeline
 September – start to apply for private aid
 January/February – file FAFSA and/or PROFILE and any
other forms school requests
 March/April – schools will send financial aid award letter
to you
Timeline continued
 April – review financial aid awards and determine which
package is best for you and your family
 May 1 – Deposit deadline for admission
NOTE: Students applying Early Action or Early Decision
may have earlier deadlines