1. MORGAN A. KELLY ASSOCIATE DIRECTOR STUDENT FINANCIAL ASSISTANCE SACRED HEART UNIVERSITY College Financial Aid Night

2. Tonight’s Agenda Sources and Types of Financial Aid Application Process Determining Eligibility Student Loans Questions to Ask

3. Types of Financial Aid Grants Scholarships Work-Study Programs Loans  Subsidized vs. Unsubsidized Stafford Read your award package carefully! Understand what is free, what is earned, and what is borrowed.

4. Begin at the Beginning Check with College and Universities to see what Financial Aid Applications are required. Check financial aid deadline dates with Colleges and Universities.  Submit required information at least two weeks before earliest deadline. For example: February 15 th Deadline -- Submit Information by February 1 st.

5. Application Process Free Application for Federal Student Aid (FAFSA)  Required for Federal & State Aid  www.fafsa.ed.gov www.fafsa.ed.gov Profile Application (CSS Profile)  Used primarily by private colleges.  www.collegeboard.com www.collegeboard.com Institutional Applications  Check school publications and websites

6. Federal Student Aid PIN Apply for PIN Change PIN Change PIN Information For students and parents Used for FAFSA application Used for student and parent loans www.pin.ed.gov

7. Federal Application Process Required by all schools administering Federal Student Aid It is ok to use 2013 tax information as an estimate! Cannot be submitted until after January 1, but get organized as soon as possible www.fafsa.ed.gov

8. Federal Application Process After submitting the FAFSA: Review the Student Aid Report  Make corrections, if necessary  All filers may access SAR and make changes online  If selected for review, a message will be present. You may have to submit tax transcripts and/or other forms for verification purposes to the school. Schools receive the applicant data electronically  Schools may offer tentative award based on current information  Schools –now or later- may verify or adjust information

9. CSS Profile Application Process The College Board CSS Profile collects more comprehensive family and financial information It is ok to use 2013 tax information as an estimate! Allows schools to receive information earlier in the cycle Remember to check for other institution specific forms! https://profileonline.collegeboard.com

10. What’s Next Determining Eligibility Cost of Attendance - EFC ____________ Financial Need

11. The Cost of Education Direct Costs  Tuition and required fees  Room and board for resident students Indirect Costs  Books and supplies  Transportation to and from campus  Miscellaneous personal expenses Direct Costs Indirect Costs Total Cost of Education

12. What is the Expected Family Contribution – EFC? The EFC is a measure of capacity over time to absorb educational costs  Not a dollar amount expected from current income or assets  Not an estimate of extra cash available It is a number used by your school to calculate the amount of federal student aid you are eligible to receive. The EFC is subject to school verification and adjustments.

13. Elements of Need Analysis FM EFC # in college # in family Income FAFSA IM EFC Allowances Home Equity Medical Profile CSS Profile

14. Eligibility for Financial Aid Total Cost- FM EFC= Eligibility 4 Year Private 4 Year Public $34,000$10,000$24,000 $14,000$10,000$4,000

15. Need-Based vs. Merit Based Need-based aid is dependent on a family’s EFC. Merit- based aid is award considering achievement, talent, participation, not a family’s EFC. Need- Based Aid Pell GrantWork Study Merit- Based Aid Academic Achievement Athletic Achievement

16. The Financial Aid Package Total Cost = $34,000 College Grant:$17,000 Work:$1,500 Loan:$5,500 EFC:$10,000 Unmet Need:$4,000 College Grant:$13,000 Work:$1,500 Loan:$5,500 EFC:$10,000

17. The Financial Aid Package Total Cost = $34,000 College Grant:$17,000 Work:$1,500 Loan:$5,500 EFC:$10,000 Academic:$12,000 Athletic:$15,000 Actual Cost after Merit: $7,000

18. What is it? Necessary Information Allows for an estimate of your expenses and financial aid possibilities Not a guaranteed award Intended to help families understand out-of- pocket expenses earlier in the application process Student & Parent 2013 Income Tax Returns Earnings statements (W2 forms, recent paycheck stubs) Bank statements Student academic information Net Price Calculator

19. Options What to Consider Stafford Loans  Solely in the student’s name  Subsidized vs. Unsubsidized Stafford  No credit check, student cannot be in default on a previous loan Private Loans  Student will need a co-signer  Requires credit check Parent Plus Loan  Solely in the parent’s name  Requires credit check Student Loans Loan Repayment Calculator http://www.finaid.org/calculators/loanpayments.phtml

20. Questions to ask and not assume! How do outside awards affect the aid package? What is the school’s policy on non-custodial parents? What is the average student debt level? Are the scholarships/grants renewable each year? How might awards change in future years? What happens if financial circumstances change?

21. Where There’s “The Web”, There’s a Way www.nasfaa.org Consumer tips for parents and students as well as financial aid tools for completing required applications. www.nasfaa.org www.finaid.org Financial Aid Information Page. Lists a variety of financial aid information, including family contribution calculators.www.finaid.org www.fastweb.com FASTWEB, Free scholarship search.www.fastweb.com www.studentaid.ed.gov A site designed by the U.S. Department of Education in collaboration with students to help students make the dream of college a reality. www.studentaid.ed.gov www.ctdhe.org The Connecticut State Higher Education website for state financial aid programs and links to Connecticut colleges and universities. www.ctdhe.org