1. WELCOME PARENTS Financial Aid Meeting January 28, 2013

2. What is financial aid? It is money to help students and families pay for college and other forms of postsecondary educational expenses.

3. What is Cost of Attendance (COA) Direct costs Indirect costs Direct and indirect costs combined into cost of attendance Varies widely from college to college

4. SAMPLE COA Undergraduate Texas Resident Nonresident Tuition and Fees (30 hours) $8,770$19,300 Books and Supplies $1,090 $1,090 Campus Room and Board $7,520$7,520 Transportation$980$980 Personal & Misc.$2,770$2,770 _____________________________________________ Total $21,130 $31,660 *Sample from Texas State University; costs are based on average amount for a 9-month term and may vary

5. What is the Expected Family Contribution (EFC) Amount family can reasonably be expected to contribute Stays the same regardless of college Two components – Parent contribution – Student contribution Calculated using data from a federal application form and a federal formula

6. What is Financial Need Cost of Attendance – Expected Family Contribution __________________________________ = Financial Need

7. Categories of Financial Aid Need-based aid: given to students who demonstrate financial eligibility Non-need-based aid: all other types of financial aid given to students

8. Types of Financial Aid Scholarships Loans Employment / Work-Study Program Grants

9. Need-Based Aid Types – Grants – Loans (some types) – Work-study This type of aid is based on the financial needs of the student and his family. It is determined by the federal government. Sources –Federal –State –Institutional

10. Scholarships Scholarship Sources Federal State Institutional Private Money that does not have to be paid back Awarded on the basis of merit, skill, or unique characteristic

11. Scholarships 1.Apply, apply, apply! 2.Read the senior newsletter every month 3.Search the web (start NOW) FastWeb.com FederalStudentAid.ed.gov 4.Check PN-G High School website Newsletters, Website links, Sr. Handbook, Local Scholarship Application 5.Check the college’s website 6.Meet DEADLINES!!! How do I get a scholarship?

12. Grants Federal Grants (example : Pell Grant) State Grants (example: Texas Grant) State Exemptions (examples: highest ranking graduate, foster care children, blind/deaf students, children of MIA/POWs, orphans of the U. S. Armed Forces or National Guard, children of disabled or deceased firemen, peace officers, game wardens, employees of correctional facilities, etc…) - money that does not have to be repaid -usually awarded on the basis of financial need

13. Loans ‾ Money students and parents can borrow to help pay college expenses ‾ Repayment usually begins after education is finished ‾ Only borrow what is really needed

14. Loans Types Federal State College/University Private What to watch for Subsidized or Unsubsidized Interest rates Repayment plan Maximum amount

15. Loans Subsidized Unsubsidized  Need-based  Not need-based  Interest:  Low interest rate  Federal government pays interest while student is in school (known as “subsidy ”)  Interest: Low interest rate Student responsible for interest that accrues while in school

16. Work Study Program Provides jobs for students who need earnings from work to help defray the cost of educational expenses School awards funds to students to the extent that funds are available and according to policies Federal and State

17. Sources of Financial Aid Federal government States Private sources Civic organizations and churches Employers

18. Common Federal Aid Programs Federal Pell Grant Teacher Education Assistance for College and Higher Education Grant Federal Supplemental Educational Opportunity Grant Federal Perkins Loan Federal Work- Study Subsidized and Unsubsidized Loans PLUS Loans

19. Why apply for financial aid? 1.Grants – Usually awarded on the basis of need – Are not repaid – Federal & State Programs 2.Loans – Money students/parents borrow for college expenses. – Have to be repaid You may qualify for support from the government. 3.Work Study –Student earns $ to pay tuition –Does not count as income toward FAFSA 4.Scholarships –Do not have to be repaid

20. How Do I Get Started? You must complete the FAFSA (Free Application for Federal Student Aid) and submit it to the federal government www.fafsa.gov (for 12 th graders starting college in the fall) www.fafsa4caster.ed.gov (for other students who want to get an idea of what their financial need might be)

21. How do I apply for financial aid? Step 1 Get a PIN (personal identification number) www.pin.ed.gov - Student PIN - Parent PIN Step 2 Complete the FAFSA online - student section - parent section - need tax return or at least W2s

22. FAFSA on the Web www.fafsa.gov For the 2013–14 academic year, the FAFSA may be filed beginning January 1, 2013 Make sure you go to the “official” website Do not use a search engine You may end up on a site that charges a fee at the end

23. Free Application for Federal Student Aid (FAFSA) A standard form that collects demographic and financial information about the student and family Information used to calculate the amount of money a student and his or her family may reasonably be expected to contribute towards the cost of the student’s education for an academic year May be filed at any time during an academic year, but no earlier than the January 1 st prior to the academic year for which the student requests aid

24. IRS Data Retrieval While completing FOTW, applicant may submit real-time request to IRS for tax data IRS will authenticate taxpayer’s identity If match is found, IRS sends real-time results to applicant in new window Applicant chooses whether or not to transfer data to FOTW

25. IRS Data Retrieval Available early February 2013 for 2013–14 processing cycle 2012 Taxes must be filed prior to using the data retrieval process for FAFSA Participation is voluntary If IRS data retrieval is not used, students/parents will be go through verification process.

27. The Process US Department of Ed (Calculates EFC) Notify student Loan Process Award student School releases funds College Private/Public/ 2-Year School determines need Submit FAFSA SAR to student

28. Deadlines Deadlines are determined by each state In Texas, each college sets its own priority deadline. It is better to start early because some institutions will give out their $ on a 1 st come 1 st serve basis

29. SAMPLE PACKAGE (for average 4-year university) Budget (COA)$7,500 Expected Family Contribution (EFC) 1,350 Need$6,150 Federal Pell Grant$2,650 State Grant$ 500 Federal Perkins Loan$1,000 Federal SEOG$ 500 Unmet Need$1,500 Unmet need could be covered by subsidized Stafford. Up to COA could be covered by unsubsidized Stafford and/or PLUS.

30. Senior Handbook Senior Year

31. NEWSLETTERS & WEBPAGE Newsletters One each month Update scholarships Calendar of events Helpful websites Informative articles Senior News http://www.hs.pngisd.org Updated regularly Links to many helpful and informative WebPages Scholarships files and links Documents and files for downloading Much more…

32. Thank you for coming …. Tracie Brooks Port Neches-Groves High School Career & Testing Counselor 729-7644 ext. 111 tbrooks@pngisd.org Cliff Carlin Port Neches-Groves High School Senior Counselor 729-7644 ext. 113 ccarlin@pngisd.org Greg Sims Port Neches-Groves High School Junior Counselor 729-7644 ext. 112 gsims@pngisd.org