1. How All The Money Fits FAFSA Basics Sharon L Harper Director of Scholarship Programs

2. To Be Covered Financial Aid Acronyms Packaging Timing Scholarship/Tax Basics Changes to Federal Aid How to read a SAR

3. FAFSA?!? Primary goal is to assist students in paying for college and is achieved by: –Evaluating family’s ability to pay educational costs –Distributing limited resources in an equitable manner Student first, then family, THEN tax payer dollars

4. What is Financial Aid Any financial resource available to assist student paying for higher education –Grants –Scholarships –Work-Study –Loans –Family Resources

5. Acronyms FAFSA EFC COA NeedPJ SAR ISIR

6. Decoder FAFSA Free Application for Federal Student Aid EFC Expected Family Contribution COA Cost of Attendance Need Difference between COA and EFC ISIR Institutional Student Information Record SAR Student Aid Report PJ Professional Judgment

7. Sample Budgets Resident at State University Tuition & Fees $ 7,932 Books & Supplies $ 1,749 Personal/Misc. $ 2,565 Room & Board $10,378 TOTAL $22,624 Non-Resident Tuition & Fees $ 28,187 Books & Supplies $ 1,749 Personal/Misc. $ 3,437 Room & Board $ 10,378 TOTAL $ 43,751

8. Definition of Need Cost of attendance (COA) – Expected family contribution (EFC) = Need

9. Need Varies Based on Cost

10. Packaging Example A COA $ 22,624.00 EFC $ 0.00 Need $ 22,624.00 Financial Aid: Pell $ 5,730.00 State Grant $ 2,500.00 UnivGrant $ 2,500.00 Work Study $ 3,000.00 Sub Stafford $ 3,500.00 UnSub Staff $ 2,000.00 PLUS Loan $ 3,394.00

11. Packaging Example A EFC $ 0.00 Need $ 22,624.00 Private Schlp $5,000.00 Financial Aid: Pell $ 5,730.00 State Grant $ 2,500.00 UnivGrant $ 2,500.00 Work Study $ 3,000.00 Sub Stafford $ 3,500.00 UnSub Staff $ 2,000.00 $ 394.00 PLUS Loan $ 3,394.00

12. Packaging Example A EFC $ 0.00 Need $ 22,624.00 Private Schlp $15,000.00 Financial Aid: Pell $ 5,730.00 State Grant $ 2,500.00 $ 1,894.00 UnivGrant $ 2,500.00 Work Study $ 3,000.00 Sub Stafford $ 3,500.00 UnSub Staff $ 2,000.00 PLUS Loan $ 3,394.00

13. Packaging Example A EFC $ 0.00 Need $ 22,624.00 Private Schlp $ 20,000.00 Financial Aid: Pell $ 5,730.00 State Grant $ 2,500.00 UnivGrant $ 2,500.00 Work Study $ 3,000.00 Sub Stafford $ 3,500.00 UnSub Staff $ 2,000.00 PLUS Loan $ 3,394.00

14. Packaging Example B COA $ 35,879.00 EFC $ 3,824.00 Need $ 32,055.00 53% range $16,989 Financial Aid: Pell $ 1,880.00 FSEOG Grant $ 2,500.00 UnivGrant $ 12,609.00 Work Study $ 3,000.00 Sub Stafford $ 3,500.00 UnSub Staff $ 2,000.00 PLUS Loan $ 10,390.00

15. Packaging Example B COA $ 35,879.00 EFC $ 3,824.00 Need $ 32,055.00 53% range $16,989 Private Schlp $5,000 Financial Aid: Pell $ 1,880.00 FSEOG Grant $ 2,500.00 UnivGrant $ 12,609.00 Work Study $ 3,000.00 Sub Stafford $ 3,500.00 UnSub Staff $ 2,000.00 PLUS Loan $ 10,390.00 $ 5,390.00

16. Packaging Example B COA $ 35,879.00 EFC $ 3,824.00 Need $ 32,055.00 53% range $16,989 Private Schlp $15,000 Financial Aid: Pell $ 1,880.00 FSEOG Grant $ 2,500.00 UnivGrant $ 12,609.00 Work Study $ 3,000.00 Sub Stafford $ 3,500.00 UnSub Staff $ 2,000.00 $ 3,890.00 PLUS Loan $ 10,390.00

17. Packaging Example B COA $ 35,879.00 EFC $ 3,824.00 Need $ 32,055.00 53% range $16,989 Private Schlp $20,000 Financial Aid: Pell $ 1,880.00 FSEOG Grant $ 2,500.00 UnivGrant $ 12,609.00 $ 7,675.00 Work Study $ 3,000.00 Sub Stafford $ 3,500.00 UnSub Staff $ 2,000.00 $ 3,824.00 PLUS Loan $ 10,390.00

18. Timing 10 days prior to first day of class –Institutions pay billed amount first –Using aid on system Census date –Most Institutional Aid has paid in Mid-Semester –Usually no bill remaining – unless aid insufficient to cover bill Annually –Check school policy for division of awards without specific donor direction

19. Scholarships and Taxes Are Scholarships Taxable? –Must meet all 3 tests Qualified scholarship Recipient is candidate for a degree Purpose is for conducting study or research at an educational organization

20. Test 1 Qualified Scholarship –Payment is for Tuition and fees required OR Fees, books, supplies, or equipment required –Must be required for either Enrollment OR A course of instructions

21. Test 2 Candidate for a degree –Individuals who are actually enrolled in a degree-seeking program –Enrolled students not actually seeking a degree provided that: Institution offers degrees Is properly accredited

22. Test 3 Education Organization –Institution must: Have a faculty Have a curriculum Have a regularly enrolled body of students

23. Back to our Examples Resident at State University Tuition & Fees $ 7,932 Books & Supplies $ 1,749 Personal/Misc. $ 2,565 Room & Board $10,378 TOTAL $22,624 $5,000 Scholarship Yes? No?

24. Back to our Examples Resident at State University Tuition & Fees $ 7,932 Books & Supplies $ 1,749 Personal/Misc. $ 2,565 Room & Board $10,378 TOTAL $22,624 $15,000 Scholarship Yes? No?

25. Back to our Examples $5,000 Scholarship Yes? No? Non-Resident Tuition & Fees $ 28,187 Books & Supplies $ 1,749 Personal/Misc. $ 3,437 Room & Board $ 10,378 TOTAL $ 43,751

26. Back to our Examples $15,000 Scholarship Yes? No? Non-Resident Tuition & Fees $ 28,187 Books & Supplies $ 1,749 Personal/Misc. $ 3,437 Room & Board $ 10,378 TOTAL $ 43,751

27. SAP Satisfactory Academic Progress Basic requirements are –2.0 GPA –Completing at least 65% of credits enrolled while receiving Federal Title IV funds –Working towards a degree program – not exceeding 150% of hours to complete degree Not applicable to Private Scholarships –Schools generally monitor and notify donors –Donors decision whether to fund or not –Donors can have more rigid scholarship eligibility requirements

28. R2T4 Return of Title 4 funds If student withdraws completely from semester in which aid has been received for Calculation based on percentage of aid “earned” before withdrawal Not required for private donors – schools generally will contact donor for direction –If donor is unsure – I recommend following R2T4 calc.

29. Pertinent Updates to FAFSA Tax Transcript in lieu of copy of taxes Pell and Stafford loans limited by dollar amount and/or number of years received Stafford loans interest rate for 2014-15 4.66%

30. Changes to Federal Aid SULA –Subsidized Usage Limit Applies Affordable Care Act/Student Employment

31. Reading a SAR

41. Contact Information Sharon Harper Director of Scholarship Programs The Denver Foundation sharper@denverfoundation.org 303-996-7348

42. THANK YOU!!!!!