1. Erin Chiaro University of New Haven
Understanding the
Financial Aid Process
Erin Chiaro University of New Haven

2. Agenda What is Financial Aid? Different Financial Aid forms to file
Definition of Need
Outside Scholarships and where to search
Current trends and what to expect
Questions?

3. What is Financial Aid? Gift Money Self Help Scholarships & Grants
Merit, Need Based or
Self Help
Student Loans (must be repaid)
Student Employment

4. Sources of Financial Aid
Federal
State
Institutional
Private

5. How to Apply for Financial Aid
Free Application for Federal Student Aid (FAFSA):
CollegeBoard CSS PROFILE
Institutional Specific Aid Application

6. FAFSA Form File online at: www.fafsa.gov
Federal financial aid form to determine your federal need and financial aid eligibility using a formula called Federal Methodology (FM)
Calculates your Expected Family Contribution (EFC).
The student is the applicant, and each student files their own FAFSA

7. FAFSA Form
Available to file beginning October 1st and it has to be completed EACH year!
The FAFSA uses “Prior, Prior Year” income. Current high school Juniors will complete FAFSA using 2018 income with earliest date to complete FAFSA of October 1,
For any Seniors, your family’s tax information should now be available to complete the FAFSA (2017 tax information used).
IRS DATA Retrieval Tool – located within in the FAFSA – use if eligible!

8. IRS Data Retrieval Tool
Import tax data directly from IRS into FAFSA
If eligible to use it, student or parent will automatically be given the option to use when completing the FAFSA.
Recommended as it eliminates manual errors, eliminates chances of verification and makes completing FAFSA much easier.
Imported with all XXXX’s – do not worry!

9. FAFSA Form – Cont’d
Both student and parent have to sign the FAFSA with their own FSA ID (used to be a PIN)
FSA ID created at:
Every school has a 6 digit FAFSA code (UNH is ) and you can send up to 10 FAFSA’s at once.
FAFSA asks for custodial parent’s CURRENT marital status

10. FAFSA Form Common Questions
If biological parents are divorced or separated
Parent with whom student lived with most during the 12 months prior to the date the FAFSA is completed is used on FAFSA (custodial parent)
If student lived with both parent equally, complete the FAFSA with the parent who provided more financial support (larger AGI) is used on FAFSA (custodial parent)
If custodial parent is remarried, step-parent information must also be provided on FAFSA

11. FAFSA Cont’d
Dependent students will be required to include income and other information from both of the dependent student’s legal parents (biological or adoptive) regardless of the parents’ marital status or gender, if those parents live together. 

12. CollegeBoard CSS PROFILE
Used by certain schools to determine eligibility for their institutional aid; this formula is called Institutional Methodology (IM).
PROFILE is available for completion after October 1st each year.
(ex: PROFILE is available October 1, 2019)
Students should check the PROFILE Registration Guide to see which schools require the PROFILE

13. CollegeBoard CSS PROFILE
The PROFILE will collect more in-depth financial and personal information about the student and parents not asked on FAFSA
May also ask specific questions by institution
Each college has a 4 digit code
Costs $25 to send to one school and $16 for each additional school

14. Other Forms That Schools May Request
School Financial Aid Application
Divorce/Separated Decree or Statement
Business/Farm Supplement Form
Household Size Verification Form
Sibling Enrollment Verification Form
Immigration/Naturalization Paperwork
IRS Tax Return Transcripts/Non-Filer Form
Non-custodial Parent Tax Transcripts

15. What is the Definition of Need?
Cost of Attendance (COA)
- Expected Family Contribution (EFC)
_________________________________
= Demonstrated Gross Financial Need
*Schools do not always meet 100% of need*

16. Cost of Attendance (COA) Direct and Indirect Expenses
DIRECT EXPENSES (billed by the school)
Tuition & Fees
Room & Board
INDIRECT EXPENSES
Books & Supplies
Transportation
Miscellaneous Expenses
Loan Fees
Study Abroad Costs

17. Expected Family Contribution (EFC)
Calculated by using “FM” or “IM” formulas from the FAFSA or Profile
Measures your “ability to pay”
You may pay more than the EFC indicates!

18. What is the Definition of Need?
Cost of Attendance (COA) - Expected Family Contribution (EFC) _________________________________ = Demonstrated Gross Financial Need *Schools do not always meet 100% of need*

19. Special Circumstances
Students should contact the Financial Aid Office if there is an extenuating circumstance not reflected on FAFSA. Examples are:
Involuntary loss or reduction of family income
Divorce/Separation
Death of a wage earner
Unusual medical or dental expenses not covered by insurance
High “debt” is NOT an extenuating circumstance

20. Common Errors Using different names on different forms
Not submitting required forms and documents by the priority filing deadlines
Assuming the school received your information – make sure!
Ignoring communication from the school

21. Know the deadlines for each school you are applying to!

22. Evaluating Aid Packages
Award letters sent anytime after January 1st.
Biggest is not always the best…know the net costs!
Renewable vs. non-renewable scholarships
Grant/loan balance
Understand the terms and conditions of any student loans that are offered in the financial aid package

23. Net Price Calculator
All Colleges and Universities must have this on their website.
It is a tool to give you an estimated idea of what type of financial aid you may receive and how much. Not an official award offer.
Gives you your estimated Net Cost – how much money you can expect to pay out of your pocket

24. Outside Scholarship Websites
Popular Outside Scholarship Sites:

25. Scholarship Scams
Beware of consultants who charge a fee to apply for financial aid or who guarantee scholarships.
If it sounds too good to be true, it probably is.

26. Outside Scholarships
You need to notify the Financial Aid Office if you receive an outside scholarship or tuition remission benefits from a parent’s employer.
Schools may reduce the amount of their institutional need-based scholarships or merit awards in different scenarios. Make sure to ask what the institutional policy is.

27. Current Trends
How are families paying for college costs? 18 % student borrowing 9% parent borrowing 27% parent savings 11% student savings 5% relative contribution 30% grants and scholarships It’s important to understand the total cost and consider a package of financing options; don’t limit yourself to just one method.

28. Successful Planning Setup separate folders for each school
Know what financial aid forms are required
Know the filing deadlines for each school
Become familiar with scholarship websites
Visit the Net Price Calculators
Read everything the schools send you
Ask questions!

29. QUESTIONS?