Presentation on theme: "Don’t Be Afraid… …It’s Just Financial Aid! Dr. Jacquelyn Nealon Vice President, Enrollment, Communications and Marketing."— Presentation transcript:
Don’t Be Afraid… …It’s Just Financial Aid! Dr. Jacquelyn Nealon Vice President, Enrollment, Communications and Marketing
What type of financial aid is out there? How does a student apply for the aid? How do Colleges figure out what you’re eligible for? How can you advocate for yourself and your child? Getting to Basics: Financial Aid 101
What Type of Financial Aid Is Out There?
Types of Aid FEDERAL GrantsWork StudyLoans Pell SEOG Self Help Stafford Perkins PLUS
Types of Aid STATE Grant TAP
Types of Aid Institutional Funds GrantsScholarshipsSelf Help Need Based Merit Based Renewable One-Time Work Payment Plans
Types of Aid Outside Funds Millions of Dollars go UNTAPPED each year!
Kids have to play an integral role Just like borrowing their parent’s car…comes with responsibility and a vested interest Homework! What role can the students play?
How Does the Student Apply for Aid? FAFSA Form Setting the Dominoes in Motion
FAFSA Online Note:
LET’S GO OVER THE FAFSA
Once the form is filed… The EFC is just the minimum amount the government says they CAN contribute toward their education The EFC ISN’T: –Minimum amount they have to pay –Maximum amount they have to pay –They don’t have to pay it at all of they don’t want to.
More about the EFC People in more expensive parts of the country get ‘hurt’ by the calculation Not exactly a fair representation of what folks can actually pay Where you live determines just how far your dollars can stretch Can’t really fight the EFC UNLESS… Divorce Retirement Loss of Job Death
What Does the Financial Aid Package Really Mean? FAFSA generates an EFC Colleges use the EFC to determine need Colleges prepare an Award Letter that includes all aid that a student is eligible to receive
Definition of “Cost” The stuff in the brochures A better reflection of what you actually pay Cost of Attendance –Tuition –Fees –Room –Board Cost of Education –Tuition –Fees –Room –Board –Transportation Allowance –Personal Allowance –Computer Allowance –Book Allowance
What is Financial Need Cost of Attendance – Expected Family Contribution = Financial Need
Colleges do the math… Cost of Education minus Estimated Family Contribution equals Financial Need Financial Need minus Scholarships Grants Loans Work Study equals Unmet Need Unmet Need is the total amount of PLUS eligibility or the student’s out of pocket expenses.
Financial Aid Package Review various Award Letters and familiarize yourself with content and format Learn to compare Apples to Oranges
Which one is the better deal? College A Offers you a package of $8,000 College B Offers you a package of $20,000
Which one is the better deal? College A Offers you a package of $8,000 Costs $15,000 In your home state Money is mostly grants and scholarships College B Offers you a package of $20,000 Costs $35,000 Located across the country Money is mostly loans and work study Not such a clear cut choice anymore, huh?
DON’T spend money you DON’T HAVE to impress people YOU DON’T CARE ABOUT!!!!
So many times students receive their award letters, do the number crunching and realize that there’s not enough money to cover the full tuition and fees. What are their options? Is it ever okay for them to ask for more? What if there’s not enough?
Dream School Within reasonable financial distance No harm in making the call Don’t abuse this opportunity… If you ask for it…mean it! No Haggling…Only Advocating
Who Would Know? How does the government know that you didn’t lie, cheat and steal your way through the whole form? Verification –Random –30% of all students who apply are selected –Copy of tax returns, W2s and a one-page Verification Worksheet