Presentation on theme: "College Financial Aid u Basic Information u Review the FAFSA u Answer Questions."— Presentation transcript:
College Financial Aid u Basic Information u Review the FAFSA u Answer Questions
Where do I start? u Obtain and review admissions and financial aid Web sites and materials for each school to which you are applying u Meet all application deadlines --FAFSA received at Federal processor by March 10 (Indiana deadline) or earlier if school has deadline prior to March 10 --College Scholarship Service’s PROFILE application, if required by school u Investigate other sources of aid
Goal of Financial Aid u Primary goal is to assist students in paying for college. This is achieved by: --Evaluating families’ ability to pay educational costs --Distributing limited resources in an equitable manner
FAFSA Process u Submit FAFSA u Confirmation of FAFSA submission u Financial aid package u Verification documents, if required
Principles of Need Analysis u To extent they are able, parents have primary responsibility to pay for dependent child’s education u Students have a responsibility to contribute to educational costs u Families estimated ability to pay educational costs must be evaluated in an equitable and consistent manner, recognizing that special circumstances may affect family’s ability to pay
Free Application for Federal Student Aid (FAFSA) u www.fafsa.gov u Or call 1-800-4-FEDAID to request up to 3 copies of the paper FAFSA
Step 1: Obtain a PIN u www.pin.ed.gov www.pin.ed.gov u Be sure to request a PIN for both the student and the parent completing the FAFSA. u PINs will serve as the signatures for both parent and student.
Step 2: FAFSA on the WEB u www.fafsa.gov u Complete the FAFSA by March 10. u IRS Data Retrieval u Be sure to continue through the FAFSA until you receive a confirmation number.
Step 3: Follow Up u Check your e-mail for notification of Student Aid Report (SAR)—if no message within 1 week, go to www.fafsa.gov and select: “Check Status of a Submitted FAFSA”www.fafsa.gov u Link to your SAR and review for accuracy or rejects u Submit any corrections (sign with PINs) u Correction deadline for SSACI is May 15. Check your application status at www.in.gov/ssaci/estudent. www.in.gov/ssaci/estudent
Award Notification u College financial aid package u SSACI grant notification by e-mail only
What is the Cost of Attendance? u Tuition and Fees u Room and Board u Books and Supplies u Transportation u Personal
How is my aid determined? Cost of Attendance (variable) - Expected Family Contribution (EFC=PC+SC)(constant) ------------------------------- = Financial Need (variable)
What is Financial Aid? u Scholarships u Grants u Loans u Employment Opportunities
Loans u Federal Perkins u Federal Stafford u Federal Parent PLUS u Private
Stafford Loans u Subsidized—need based. Federal government pays interest while student is in school. 6.8% fixed u Unsubsidized—non-need based. Interest accrues while in school. Student can make semiannual payments or allow interest to capitalize. 6.8% fixed
Annual Stafford Loan Limits u Freshmen--$5,500 u Sophomores--$6,500 u Juniors and Seniors--$7,500 u Independent students may be eligible to apply for additional funds.
Federal Parent PLUS u Parents can apply for a loan up to the amount of the cost of attendance minus any other aid. u Interest rate is 7.9% u Credit check required
Private Education Loans u Private education loans not administered by the government. u Be aware of interest rate terms which are based on credit history of borrower and/or cosigner. u Be careful to monitor loan borrowing to avoid unmanageable debt in the future.
Evaluating Aid Packages u Grant/loan balance u Is the aid estimated or actual? u What are terms of loan offered? u Renewable vs. non-renewable scholarships u Biggest is not always best. Consider personal fit between student and college. An unhappy student is not likely to complete the term which results in time and money lost.
Caution! u NEVER pay anyone to search for scholarships, complete your FAFSA, or assist in the financial aid process! u If an organization is offering a guarantee, it is not legitimate. u Be sure to use www.fafsa.gov when filing the FAFSA online.www.fafsa.gov u Contact the college financial aid office if you need assistance with financial aid process.
Free Scholarship Searches u FinAid on the Web: www.finaid.orgwww.finaid.org u College Board: www.collegeboard.comwww.collegeboard.com u FastWeb: www.fastweb.monster.comwww.fastweb.monster.com
What else should I know? u File FAFSA by March 10 every year (Indiana deadline) u File FAFSA senior year of high school even if not immediately attending college u Keep a financial aid file u Notify school of changes in family situation
College Goal Sunday February 12, 2:00 p.m. Ivy Tech Community College—Muncie South Building Anderson University, 1100 E. 5 th St. Ivy Tech Community College—Richmond 2357 Chester Blvd. Johnson Hall, Room 1239 1-800-992-2076 www.CollegeGoalSunday.org www.CollegeGoalSunday.org College Goal Sunday February 12, 2:00 p.m. Ivy Tech Community College—Muncie South Building Anderson University, 1100 E. 5 th St. Ivy Tech Community College—Richmond 2357 Chester Blvd. Johnson Hall, Room 1239 1-800-992-2076 www.CollegeGoalSunday.org www.CollegeGoalSunday.org