1. Financing your college Education

2. Agenda Introduction What is Financial Aid? Types of Financial Aid
Free Application for Federal Student Aid (FAFSA)
Scholarship Resources
Saving for College
Conclusion

3. Can I Afford a College Education?
YES! A college education is the most important investment you can make in your future. Earning a bachelor’s degree or associate’s degree will open doors for you and can increase your earning potential throughout your life.

4. What is Financial Aid?
Financial Aid = money provided to students to help pay for post-secondary educational expenses
Grants: free money, usually financial need required
Scholarships: free money, some skill/merit-based
Loans: money that must be paid back
Employment Opportunities: opportunity to earn money for college expenses/pocket money

5. Sources of Financial Aid
Federal government
State programs (e.g. NY State)
Institutional funds
Outside agencies/organizations

6. Types of Financial Aid Need-based Merit-based
Money given because student has need. Includes:
Grants (free money)
Scholarships (free money)
Loans (money that must be paid back)
Merit-based
Scholarships given because of skill such as:
Academics
Athletic
Others

7. Cost of Attendance (COA)
Direct Costs: tuition, required fees, room, meals, books & supplies
Indirect Costs: transportation, miscellaneous personal expenses, study abroad expenses, dependent care expenses, disability-related expenses
COA = direct + indirect costs
Varies widely from college to college

8. Expected Family Contribution (EFC)
EFC appears on the Student Aid Report (SAR).
This number results from the financial information you provide in your FAFSA.
EFC is an amount the student can reasonably be expected to contribute.
This number is used to determine your eligibility for federal student financial aid.

9. Expected Family Contribution (EFC)
What is Financial Need?
COA = direct + indirect costs
EFC = family contribution
Calculated using data from the FAFSA and a federal formula
Cost of Attendance
(COA)
Expected Family Contribution (EFC)
Financial Need

10. Types of Grants Federal Grants (Annual) Pell Grant: up to $5,775
Federal Supplemental Educational Opportunity Grant (FSEOG): $500 to $5,165
New York State Grants (Annual)
-Tuition Assistance Program (TAP): $500 to $5,165
-Aid for Part-Time Study (APTS)

11. Federal Work Study
Provides part time jobs for undergraduate and graduate students with financial need
Students are placed in jobs on or off-campus
Paid by hour and the amount you earn cannot exceed your total Federal Work-Study award
Must be enrolled in at least 6 credits
*File early – funds are limited*

12. TAP (Tuition Assistance Program)
TAP (Tuition Assistance Program) - New York State grant
4 year limit (no more than 8 full-time semesters)
Special program (e.g. SEEK 10 semesters)

13. Federal Education Loans
Loans for Students
Direct Subsidized Loans (need-based)
1st Year = $3,500, 2nd Year = $4,500, 3rd/4th Years = $5,500
Direct Unsubsidized Loans (not need-based)
1st Year = $5,500, 2nd Year = $6,500, 3rd/4th Years = $7,500
Loans for Parents
PLUS Loans (must meet credit standards)
Amount = COA – Student’s Financial Need
Parents responsible for repayment (begins 60 days after last disbursement)
PLUS loan- be sure to include that only the parent is responsible for repayment which begins 60 days after the last disbursement

14. Federal Education Loans
Direct Subsidized Loans
Direct Unsubsidized Loans
2.0 GPA/at least 6 credits
You don’t have to pay interest while in school at least half-time (6 credits or more).
Interest rate 4.29%
3.0 GPA/at least 6 credits (graduate)
Must pay interest while you are in school
Interest rate undergraduate % graduate %

15. Federal Education Loans
Direct PLUS Loans – Loans for Parents of dependent undergraduate students to help pay for education expenses not covered by other financial aid.
Parents responsible for repayment (begins 60 days after last disbursement)
Graduate PLUS Loans - Made to graduate or professional students.
Credit Check is conducted for eligibility

16. Who is Eligible? General Eligibility for Student Aid
Have high school diploma or it’s equivalent
Be enrolled or accepted for enrollment as a regular student working toward a degree OR certificate in an eligible program
Be a U.S. citizen or eligible non-citizen (i.e. permanent resident/political asylum)
Registered with Selective Service (for all males between 18-25)
Transfer students must be in good Financial Aid standing with your loans
A legal resident of New York state for state aid
Enrolled as a full-time student taking 12 or more credits (applicable toward your degree program) per semester for state aid
Students must be in good academic standing for both federal & state aid

17. Free Application for Federal Student Aid (FAFSA)
A standard form that collects demographic and financial information about the student and family
Required for all types of federal aid
FAFSA on the Web (
English & Spanish
Available January 1st – the earlier you apply, the better the chances – we recommend Feb. 15th
Colleges may set FAFSA filing deadlines
Queens College Code:

18. Dependency Status
If a student meets any of the following criteria, they are considered Independent for Aid Eligibility:
Foster Care (ages 13 or older)
Orphan/Ward of the Court
a student with both parents deceased
If orphaned by 13 or older and subsequently adopted, student is considered independent
Court has assumed legal custody of a student, not due to incarceration
Legal Guardianship
In all cases, documentation is required. These students qualify for the Federal Pell and NYS Grants.

19. FAFSA on the Web
Apply
Reapply
English and Spanish options
Access FSA ID Website
Check status of application
View Student Aid Report (SAR) information
Make corrections

20. Method to file FAFSA Data
File the FAFSA data utilizing the IRS Tax Data Retrieval Tool Process.
It is most advisable that students use this method to supply tax information for themselves and/or parents to lessen their chances of being selected for verification.
This isn’t a new process.

21. New York State Aid Programs
Tuition Assistance Program (TAP)
Available to NY State residents attending a college or university in NY State
To Apply for TAP
Complete FAFSA on the Web
Express TAP Application Link will be available on FAFSA “Confirmation Page”
Look for red heading “New York Residents Only.”
If you miss TAP link, a reminder will be sent to your address or you can go to
Queens College Code : 1416
TAP= NYS residents attending NY schools

22. Institutional Financial Aid
Grants from College
Awarded annually
Award based on “Financial Need”
Determine Renewability
Scholarships from College
Academic Merit & Financial Need
Academic Merit Only
May Require Separate Scholarship Application
Ask the financial aid office for details on their available programs!

23. Scholarship Resources
For a list of reputable scholarship searches, go to:
Scholarships for NYC and NYS students
Scholarships and fellowships are identified based on background and profile
Dream Scholarship –
United Negro College Fund -

24. Saving for College
New York 529 College Savings Plans (
Tax-free earnings if used on qualified expenses*, otherwise tax + 10% penalty
State deduction up to $5,000 ($10,000 for joint filers) per year
Direct deposit of $25/$15 per pay period, up to $375,000 overall contribution
Direct Plan (recommended, lower cost at 0.49%) vs. Advisor Plan
Transferrable to beneficiary’s family
Balances in 529 plan do not affect eligibility for state grants

25. Saving for College (continued)
Coverdell Education Savings Account
Tax-free earnings if used on qualified expenses*, otherwise tax + 10% penalty
Limit $2,000/year/child, up until the child reaches age 18
Must be used by age 30, or transferred to another family member
No limit on type of investment & can be used for primary/secondary education
Cannot use Coverdell while taking Hope/Lifetime Learning Credit
Extension of current provisions beyond 2010?
US Savings Bond
Tax-free earning for state
Tax-free earning for federal if used to pay tuition & fees

26. Conclusion Don’t wait until you are admitted to file the FAFSA.
Apply to colleges by earliest possible deadline.
Complete all questions accurately.
Estimate if necessary to meet early deadlines.
You must RE-apply for financial aid each year.
Know what your school’s priority and deadline dates are.
Keep copies of all documents for your records.
Beware of scams.
Filing for FAFSA is FREE.

27. Thank you!