1. Or…“How To Pay For College Without Going Broke!” The Little Known Secrets Of How To Get Maximum Money For College!

2. Perry DeFontaine, CPA CCPS76 West Main Street, Suite 102Freehold, NJ 0772816 West Railroad AvenueJamesburg, NJ 08831 www.college-insights.comPerry DeFontaine, CPA CCPS76 West Main Street, Suite 102Freehold, NJ 0772816 West Railroad AvenueJamesburg, NJ 08831 www.college-insights.com

3. College... Prepare for a SHOCK!

4. It's Expensive No Matter Where Your Kids Go!  Not just tuition - includes books, room and board, living expenses, etc.  4 years can cost $80,000 to $200,000...or more!  Multiply by # of kids!  Keeps going up by at least 5-6%, every year! Average Cost Of Private Versus State Schools! College Board, Trends in College Pricing, 2008

5.  Average public university – $18,000  Average private university -- $36,000  Elite private universities -- $48,000+ Annual College Costs

6. How Is A Family Supposed To Pay For All That?  Savings?  Borrow?  Scholarship?  Go “The Hard Way”?  Not Go At All?

7. College... Is It Worth It?

8. Median Earnings of Full-Time Workers, Age 25+ by Education Level, 2005 Source: College Board Education, Pays 2007

9. How to Achieve College Success… The Ideal Approach!! You MUST… Find the Right College for Student! Prepare and Position Student! Find the Right College for Your Pocketbook! Use Your Money in the Most Effective Way! Get Through the Process…On Time! …and you MUST find the right help!

10. Other Questions You May Have… How do you pick the right college? How do you get into the college of choice? When do you begin? Is help available? Where? What are my options?

11. Did You Pick The “Right” School? Will your student finish… …where they started? …in four years? …at all? If not, it will cost you!

12. The “Wrong” School …HOW?  Friends/“Final Four”  Start Late/Miss Deadlines  Not Prepared/Lack of Guidance  Ineffective Visits  Limiting Options “Sticker Price” “Easy Way Out”

13. The “Right” School …is the result of proper student planning  Build “Resume of Achievement”  Prepare/Position Student  “Self-discovery” assessments  “What do I want to be…”?  Effective college search and visits  The “Best Fit”  Create options

14. How Will You Pay For the High Cost of College? Other People’s Money or…. Your Money?

15. How will you pay for the high cost of college? Your Money Other People’s Money Savings Current Income Borrow Financial Gifts Education Aid Tax Strategies

16. College Financial Aid… “The Best Kept Secret in America”

17. How Much Aid Is Available? There is about $176 Billion of Aid available, if you know where to get it! Octameron Associates, Don’t Miss Out, 2009-2010 Edition

18. Where To Get Money! The 2009/2010 Aid Pie ($ 176 Billion) Octameron Associates, Don’t Miss Out, 2009-2010 Edition

19. Where To Get Money!  Federal Government Pell Grants College Work/Study Stafford Loans Perkins Loans PLUS Loans

20. Where To Get Money!  State Government (NJ) State Scholarships Tuition Aid Grants NJCLASS Loans Special programs for in-state residents Teachers, health professionals, minorities, etc.

21. Where To Get Money!  State Government (CT) Capitol Scholarships (CT/reciprocal) CAPS & CT Independent College Grant (CT only) CT CHESLA Loan (“Non-profit” only) Special programs for in-state residents (CHET) Teachers, minorities, etc. (CT Minority Teacher)

22. Where To Get Money!  State Government (NY) NY TAP NY HELPS Loans Special programs for in-state residents

23. Where To Get Money!  Private Sources. Are private scholarship services worth it? Only about 3-4% of all the aid Beware of scholarship scam companies! Don't spend most of your time looking for crumbs!

24. Where To Get Money!  Colleges And Universities Have endowment funds, outside of federal and state funds Awarded on a first come, first served basis Give preferential packaging to students who are in the top 10-25% of applicants

25. Financial Aid Eligibility Some myths…  Income too high  Grades too low  Aid is only for special groups  It's an easy process

26. Financial Aid Eligibility …vs. Reality  Colleges are in competition for students  Colleges have empty seats to fill  Colleges will pay for good students  83.5% of students attending private colleges receive a grant; the average tuition discount is 40%*  However, process is complex and confusing *Octameron Associates, Don’t Miss Out, 2009-2010 Edition

27. How Do They Determine If I'm Eligible? Formula is based on concept of “financial need”: COA - EFC = Financial Need  COA is “Cost of Attendance”  EFC is “Expected Family Contribution”

28. Cost of Attendance  Tuition and fees  Books and supplies  Room and board (on/off-campus living)  Personal expenses (clothing, insurance, medical, recreation, etc.)  Transportation (daily commuting and roundtrip travel during breaks)  Cost of a computer

29. Expected Family Contribution Combination of:  Student’s Contribution (based on income and assets), plus  Parents’ Contribution (based on income and assets)

30. Expected Family Contribution Two methodologies to calculate EFC  Federal formula  Institutional formula

31. Federal EFC Methodology  Used by all accredited public and private colleges/universities  Used to disburse Federal financial aid funds  Does not assess home equity  “FAFSA” form used to collect information

32. Institutional EFC Methodology  Used by many private colleges/universities to distribute: Some types of government funds Endowment funds  Does assess home equity  “PROFILE” form used to collect information

33. How Do You Apply For Aid?  FAFSA. (Free Application for Federal Student Aid.) Some reports indicate 90% go in with errors or inconsistencies EVERYONE must fill out this form to get aid! You cannot apply for Federal Loans if you do not fill one out If it is done wrong, it usually gets bumped, adding another 4-6 weeks processing time…which often results in lost financial aid!

34. How Do You Apply For Aid?  The PROFILE and Registration Form Many private schools want this form as well Asks about home equity, more detailed explanation of income, assets and expenses Must be consistent with FAFSA! Not easy to understand or fill out!

35. How Do You Apply For Aid?  The School's Own Institutional Forms Some schools will make you fill out their own forms They must be consistent with the other forms Usually will ask similar questions to the other two forms

36. How Do You Apply For Aid?  Additional Forms Business/Farm Supplement Divorced/Separated Agreement

37. When Do You Apply For Aid?  Beginning in January of senior year?  After you get accepted by a college?  After your tax returns are done? NO! You will miss deadlines!

38. How To Get More Need-Based Aid For College!

39. Play The Financial Aid Game! You Can Re-Arrange Your Affairs To Get More Money By Learning The Legally Established Rules!

40. Financial Aid Legal "Loopholes"  It is perfectly legal and ethical to make use of rules that allow you to get more money!  It's no different than using legal tax "loopholes" to save money!  You may get thousands more just by knowing the rules Knowing more, gets you more!!

41. Financial Aid Legal "Loopholes" Client Family: Annual Income of $85,000 and Net Worth of $870,000 The Expected Financial Contribution (EFC) is calculated using either an Institutional or a Federal formula. There may be a variety of strategies that can be employed to potentially reduce the EFC. The numbers reflected here are hypothetical and for illustration purposes only. Actual results will vary depending on your personal situation. There is no guarantee that the EFC can be reduced.

42. Client Family: Annual Income of $150,000 and Net Worth of $730,000 Financial Aid Legal "Loopholes" The Expected Financial Contribution (EFC) is calculated using either an Institutional or a Federal formula. There may be a variety of strategies that can be employed to potentially reduce the EFC. The numbers reflected here are hypothetical and for illustration purposes only. Actual results will vary depending on your personal situation. There is no guarantee that the EFC can be reduced.

43. Find Schools With More Money! Which Colleges Give You The “Best Shot” At Getting More Money?

44. The Best Shot!  Percentage of Need Met. Some schools meet 100% of need Others only meet 30-50%!  KNOW these statistics BEFORE APPLYING!

45. The Best Shot!  Percentage of Gift Aid Some schools meet most needs in FREE money (grants, scholarships)  Percentage of Self-Help Aid Some schools meet most needs in work/study or loans. (You do not want to find out in June that they met most of your need in loans!)  You should know about this BEFORE applying!

46. The Best Shot!  Private colleges/universities generally: Meet a higher percentage of need Award a higher percentage of gift aid  Some students can attend a private college for the same cost as a public university!  CHOOSE your college WISELY!

47. Case studies: School A: Cost - $60,000 EFC - $10,000 Need - $50,000 School A: Meets 100% need Gift aid - 90% Self help - 10% School B: Cost - $25,000 EFC - $10,000 Need - $15,000 School B: Meets 60% need = $9,000 ($6,000 short!) Gift aid - 50% Self help - 50% What you actually pay at each school: School A: Total EFC $ 10,000 “Out-of-Pocket” $10,000 Total Gift $45,000 Total Self $5,000 “True Cost” $15,000 School B: EFC $5,000 + Unmet Need $6,000 Total “Out-of-Pocket” $16,000 Total Gift $4,500 Total Self $4,500 “True Cost” $20,500 This hypothetical example is for illustration purposes only. Actual results will vary.

48. Understand School’s Aid “Policy”!  Know before you apply!  Match to your unique goals/finances!  Info not readily available!  Public info can be misleading!

49. Negotiate for the Best Possible Award Package!  Some schools mis-award  Some schools under-award (on purpose!)  Some schools will try to compete with other schools You should know whether or not to accept the first award letter! You should know how to talk to these people in the financial aid offices!

50. “Position” Your Student!  Believe it or not…your student is a “commodity”!  Develop “Resume of Achievement”  Comprehensive college search, visits  “Position” student to be attractive to schools  Prep for SAT’s, interviews, essays …LOTS of planning & work!

51. “But What If I Make Too Much Money To Qualify For Need Based Aid?”

52. How Can We Get “Non-Need Based” Financial Aid? Private vs. Public Colleges! “Position” Student for “Merit” Aid! … Families who make too much money to qualify for “need based” financial aid may be able to get free money from schools!

53. What Have We Learned? Lots of myths vs. reality! Finding your student’s “best fit” is critical! There are billions ($$$) of dollars available! Colleges are the “gatekeepers” of over 90% of all financial aid! You MUST go through the financial aid “process” to get money; however, it is not easy! Most “free” money comes from the schools themselves! Many schools provide more aid than others!

54. What Have We Learned? Must understand school’s aid “policy” Just like buying a car…“sticker price” means nothing! Many strategies available to more effectively use “your money”! For best overall results, you must have a “game plan”: Prepare/Position student for college and career success! Pick the “right” school – for student and parents! Pursue “other people’s money”! Build a “comprehensive, integrated” college funding plan! Get through the process! On Time!

55. What's Next? How many of you would like to know…  Your personal “roadmap” to college success?  What you can do to make college more affordable (using “other people’s money”)?

56. What's Next?