1. Financing Your Students Education
How to pay for college
Presented by Hood College Financial Aid Office

2. Topics We Will Discuss Tonight
Steps to completing the Free Application for Federal Student Aid (FAFSA®)
Types of federal aid
Other aid including, Institutional, Outside scholarships and grants, and Alternative loans
Financial aid terms to know
Helpful Web Sites

3. The FAFSA Free Application for Federal Student Aid
A standard form that collects demographic and financial information about the student and family
May be filed electronically (recommended) or using paper form
Required for all Federal Aid

4. Obtain FSAID (federal student aid password)
Step 1
Obtain FSAID (federal student aid password) at
Each student needs their own FSAID
At least one Parent (if married) needs an FSAID

5. Step 2
Fill out all parts of the FAFSA (make sure to answer all questions and when asked, put a zero (0) in for dollar amounts
You may start filling out the FAFSA October 1
October 1, 2017 for use 2016 taxes
October 1, 2018 for use 2017 taxes
IRS Data Retrieval Tool (DRT)
While completing the FAFSA on the Web, applicant may submit real-time request to IRS for tax data.

6. Step 3 Wait for processed Student Aid Report (SAR)to come back
There will be an Expected Family Contribution listed. This will be the same for all schools.
This is not always an accurate picture of what you can afford

7. Step 4 Make corrections if needed
Send all requested documents to the College/University your student has chosen
An award Package will now be created for your student by the Financial Aid offices

8. Loans-Student/Parent
Types of Federal Aid
“Free Money”
Loans-Student/Parent
Work Study

9. Federal aid break down Pell Grant-Max for 2017-2018 is $5,920
FSEOG-neediest students
Direct Student Loans-All students, repayment 6 months after student leaves school
Subsidized- Government subsidizes the interest
Unsubsidized-family subsidizes the interest
Parent Plus Loan- repayment after second disbursement, credit check is done by federal Government.
Federal Work-Study: depends on funds available at school

10. Who can get federal student aid?
U.S. citizen or permanent resident
High school graduate/GED holder
Eligible degree/certificate program
Valid Social Security number
Males registered for Selective Service
Satisfactory academic progress in college/career school

11. Other Aid
What is it?
How to obtain it?
Where to find it?

12. Institutional Aid
Merit aid-funds awarded to students based on grades, extra-curricular activities, and information found on the college application. Some colleges award additional aid based on the number of time you make contact with the school through visits, open houses and conversations. These amounts are awarded through the admission office.
Need based funds are awarded by the Financial aid office

13. Outside Scholarships and Grants
Civic Organizations
Check with your high school Guidance Counselors
Varying amounts, due dates, criteria

14. Other Funding Options Alternative Loans Home Equity Loans
Private lenders
Varying interest rates/terms/lenders/types
Home Equity Loans

15. Financial Aid Terms to know

16. Award Package All awarded funds from a college types include:
Merit Aid
Federal
State
other Institution aid
outside scholarships

17. Expected Family Contribution (EFC)
A federal formula that uses the information that you provide on your FAFSA. This is not always an accurate picture of what you can afford.
Amount family can reasonably be expected to contribute
Stays the same regardless of college
Two components
Parent contribution
Student contribution

18. Dependent/Independent Students
Dependent Students are students who cannot answer yes to one of the following:
Student is at least 24 years old
Student is a graduate or professional student
Student is married
Student is supporting children
Student is an orphan or ward of court
Student is a veteran of the U.S. Armed Forces

19. This total is what the Financial Aid Office
Budget
There are 5 categories
Tuition and Fees
Room and meal plan
Books and Supplies
Transportation
personal expenses.
This total is what the Financial Aid Office
can award aid up to.
Direct costs
Indirect costs

20. Verification Approximately 1/3 of all students are selected
Some schools do 100% verification
You may link your taxes to your FAFSA
Documents will be requested to verify information on the FAFSA
Tax transcripts for parents and students
Verification worksheet
Sometimes W-2 Parents and Students

21. Satisfactory Academic Progress
Satisfactory Academic Progress (SAP) is required by all institutions. Students must maintain a certain GPA in order to keep their financial aid and they must have a cumulative 67% passing rate.
The GPA for institutional aid (merit awards) may be different from the federal requirements. Please check with the school you will be attending.

22. Helpful Web Sites: www.FAFSA.gov www.FSAID.ed.gov www.Studentaid.gov