1. Assistant Director of Admissions
Olivet College
Financial Aid
Presented by
Jared Stratz
Assistant Director of Admissions

2. Outline – Financial Aid
What is Financial Aid?
Types of Aid:
Scholarships, Grants, Loans and Work Study
How to Qualify: FAFSA
Timeline
Prior-Prior Tax Year Info
Application process
Review and Questions

3. Quick Definitions to Remember
FAFSA: Free Application for Federal Student Aid
EFC: Estimated Family Contribution
FSA: Federal Student Aid

4. WHAT IS FINANCIAL AID? WHAT IS FINANCIAL AID?
Funding intended to help students pay educational expenses including tuition and fees, room and board, books and supplies, etc. for education at a college, university, or private school.
Supplied by a source other than the family to help pay for education costs. Financial aid may be "need-based" or awarded based on the financial need you possess.
It can also be "merit-based" or awarded for special talents or achievements you've made.

5. TYPES OF FINANCIAL AID
SCHOLARSHIPS
GRANTS
LOANS
WORK STUDY

6. How do I qualify? ANSWER: FAFSA!
FREE APPLICATION FOR FEDERAL STUDENT AID
The information you provide on the FAFSA is used to determine your Expected Family Contribution(EFC)
Determined by several factors:
Student/Parent Income
Assets
Investments
Number in household
Number in college
You will receive a Student Aid Report (SAR) containing FAFSA results

7. Where does FINANCIAL AID come from?
Four Pillars of Financial Aid:
Internal Scholarships
External Scholarships
FAFSA: Federal and State Aid
Loans: Federal and Private

8. SCHOLARSHIPS AND GRANTS
Based on merit, skill or unique characteristic
Does not have to be paid back
Internal vs. external scholarships
Athletic vs. academic
Input = Output
GRANTS
Based on financial need

9. FEDERAL PELL GRANT FEDERAL GRANT
Sponsored by U.S. Department of Education
Based on EFC
Up to $6,095
EXAMPLE
$0.00 EFC = $6,095 Pell
$1,200 EFC = $4,670 Pell
$7,000 EFC = $0.00

10. Federal SEOG SUPPLEMENTAL EDUCATIONAL OPPORTUNITY GRANT (SEOG)
Eligible for students receiving the Pell Grant
Award varies and differs per institution
Example:
Olivet College: All Pell eligible students will receive $200.

11. TEACH GRANT Eligibility Requirements:
TEACHER EDUCATION ASSISTANCE FOR COLLEGE AND HIGHER EDUCATION (TEACH)
Provides up to $4,000
Conditions:
Agree to serve as full-time teacher in high-need field in a public or private elementary or secondary school serving low-income students
Schools serving low-income students are listed at
Agreement to teach is for four years within eight years
Eligibility Requirements:
Complete FAFSA
U.S. citizen or eligible non-citizen
Undergrad, post-baccalaureate, or graduate student
Enrolled in coursework necessary to begin career in teaching
Cumulative GPA of at least 3.25
Sign Teach Agreement to Serve

12. MICHIGAN TUITION GRANT
STATE GRANT
Awarded to students attending a private college in Michigan
Need-based
List private school first on FAFSA by March 1st
Currently $2,400

13. Michigan competitive scholarship
STATE GRANT
Sister grant to Michigan Tuition Grant
Specific to Public Schools in Michigan
Public Schools – maximum of $1,000 per academic year
Must file FAFSA by March 1st

14. Tuition incentive Program (TIP)
Eligibility Requirements: Student must have (or have had) Medicaid coverage for 24 months within a 36-consecutive-month period
Phase I – used at schools that offer a two year degree
$110/credit hour (plus all other federal funds)
Phase II – used at schools that offer a four year degree
$500/semester for two years (plus all other federal funds)
You will receive a letter in the mail if you qualify – send to financial aid office

15. Federal Direct Loans SUBSIDIZED UNSUBSIDIZED 1ST YEAR $3500 $2000
2ND YEAR
$4500
3RD YEAR
$5500
4TH YEAR
Subsidized - no interest while in school
5.05% interest rate*
Unsubsidized - interest is accruing while in school
No payment due until 6 months after you leave school
*Reflects current interest rates for Rates tend to change in the Fall of each year – expected to be similar

16. OTHER LOANS PARENT PLUS Parents borrow for student
Loan is in the parents name
7.6% interest for the academic year
Up to entire remaining balance
ALTERNATIVE LOANS
Borrow cautiously!
Typically these loans are taken out in the students name with a co-signer attached.
Student Loans vs. Private Loans
Credit Unions vs. Non-Credit Unions

17. WORK STUDY Students can apply for various positions on campus
CAMPUS EMPLOYMENT
Federal Government allocates funds to the school
Indicate YES on FAFSA!
NUMBER OF POSITIONS AND AMOUNT DIFFERS AT EACH INSTITUTION:
Students can apply for various positions on campus
Work up to 20 hours per week
Receive a paycheck to use for living expenses or pay toward remaining balance

18. WHEN DOES MY AID RUN OUT? PELL GRANT
Full-time for 6 years/SEOG included
MICHIGAN TUITION GRANT
5 years
FEDERAL LOANS
Dependent Student: $31,000 total
Independent Student: $57,500 total
4/5 years for undergraduate
INSTITUTIONAL AID
Some colleges give all 4 years, some year-to-year or just for the first year.

19. Satisfactory Academic progress
THINK AHEAD!
Students must maintain a 2.0 GPA and progress in credit hours to maintain federal funding, or it could be revoked

20. FREE APPLICATION FOR FEDERAL STUDENT AID
THE FAFSA
FREE APPLICATION FOR FEDERAL STUDENT AID

21. FAFSA APPLICATION PROCESS
Collect Information and Apply to College
Apply for a FSA username and password
October 1st Start FAFSA online and upload tax information
Review your Student Aid Report
Potential Verification Process
Receive Financial Aid Award Letter
Evaluate Your Financial Aid Offers

22. Changes to FAFSA: Timeline

23. Fafsa: Prior-Prior Benefits
Because the FAFSA will ask for 2017 income and tax information … you will already have done your taxes by the time you start fill out your FAFSA.
Because you’ll already have done your 2017 taxes by the time you fill out your FAFSA … you will be able to use the IRS Data Retrieval Tool (IRS DRT) to automatically import your tax information into your FAFSA. (Learn about the IRS DRT at StudentAid.gov/irsdrt.)
Because the FAFSA is available earlier, you may feel less pressure due to having more time to explore and understand your financial aid options.

24. Step 1: APPLYING FOR FSA ID
Web site:
Sign FAFSA electronically
Can request FSA ID NOW!
Used by students and parents throughout aid process, including subsequent school years

25. 2019-20 FAFSA -- AVAILABLE OCTOBER 1, 2018
Step 2: HOW TO APPLY
WEB SITE:
Current Seniors:
FAFSA -- AVAILABLE OCTOBER 1, 2018

26. WHAT DO YOU NEED TO COMPLETE THE FAFSA?
FAFSA FSA ID – Username and password
Most recent federal tax form for parent and student
W2 forms for parent and student
Social Security Number for parent and student
Driver’s license for student
Untaxed income information
Current information on business, investments and farm
Current bank statements

27. VERIFICATION PROCESS WHO IS SELECTED? SHOULD I BE WORRIED?
Random selection – about 60%
Higher chance of being selected if you don’t use IRS link on the FAFSA
You can go back once you file and use it. If you file before taxes are done, IRS link will not be there
2 weeks if filing electronically
6-8 weeks if filing by paper
SHOULD I BE WORRIED?
No – if you made a mistake, you are able to go back and correct
Expect you will be selected

28. SPECIAL CIRCUMSTANCES
SEND EXPLANATION TO FINANCIAL AID OFFICE AT EACH COLLEGE
Examples: loss of job, income cut back significantly
File an “addendum” – Evidence of circumstance
COLLEGE REVIEWS SPECIAL CIRCUMSTANCES
May request additional documentation

29. Dependent vs. Independent
MOST STUDENTS ARE DEPENDENT.
A student IS independent if you are …
Married
24 Years old
Have children & proving 50% support
Veteran of Armed Forces
Active member of Armed Forces (not training)
Foster child, orphan or ward of the court
Unaccompanied homeless youth
In legal guardianship or emancipated minor

30. GET AN ESTIMATE FINANCIAL AID ESTIMATE
Includes breakdown of tuition, room & board, student fees, etc
Subtracts institutional aid, state and federal aid
Subtracts loans
Gives your estimated out of pocket cost for the year
TALK TO FINANCIAL AID OFFICES ABOUT YOUR OPTIONS
Payment plans, loans, etc…

31. AVOID SCAMS SIGNS OF FRAUDEULENT SCHOLARSHIP SERVICE “Guaranteed”
Provide credit card number
They will do all of the work for you
Costs money
Finalist in a contest you never entered

32. Financial Aid includes: ASK as many questions as you can!
REVIEW
Financial Aid includes:
Scholarships, Grants, Loans and Work Study
ASK as many questions as you can!
File your FAFSA!
KEEP CALM … You can do this!

33. Questions about financial aid?