2. Paying for College Nicola Hildreth School Counselor

3. Did you know? More than $185 billion in financial aid is available. Financial aid comes from many sources: –Federal government grants, loans and other aid: 69% –College grants/ scholarships: 21% –Private and employer grants/scholarships: 6% –State government grants/scholarships: 5% https://bigfuture.collegeboard.org/pay-for- college/financial-aid

4. What is Financial Aid? Financial aid is any type of monetary assistance that helps a student pay for college expenses. There are several ways to help pay for college.

5. Free Application for Federal Student Aid (FAFSA) The Free Application for Federal Student Aid (FAFSA) is the form used by the U.S. Department of Education to determine your Expected Family Contribution (EFC) by conducting a “need analysis” based on financial information, such as income, assets and other household information, which you (and your parents if you are a dependent student) will be asked to provide. The form is submitted to, and processed by, a federal processor contracted by the U.S. Department of Education (ED), and the results are electronically transmitted to the financial aid offices of the schools that you list on your application.dependent student FAFSA is the application used by nearly all colleges and universities to determine eligibility for federal, state, and college-sponsored financial aid, including grants, educational loans, and work-study programs. http://www.fafsa.com/understanding- fafsa/what-is-fafsa

6. FAFSA You can complete your FAFSA at: https://fafsa.ed.gov/https://fafsa.ed.gov/ Never pay $$ to complete your FAFSA The earliest you can submit is January of the year you are graduating… January 1, 2016. The earlier the better!!! “I make to much money”… submit anyways!!! Some schools may need your FAFSA to consider you for merit scholarships.

7. Types of Financial Aid Financial aid is awarded to undergraduate students in the form of: -grants and scholarships, -work-study, -and loans. Aid is provided by the federal government, the state government, and colleges and universities.

8. Grants & Scholarships Grants and scholarships are types of “gift aid” or free money, which means they do not have to be repaid. They are available through federal and state governments, colleges and universities, and local and national private organizations, and are awarded based on a variety of factors such as: –Financial need –Academic merit –Artistic, musical, or athletic talent –Interest in a particular field of study http://www.mefa.org/financial-aid-made- simple/

9. Where can I find scholarships? Start with Naviance! –Click “my colleges” –Scroll down and click “scholarship search”

10. Below is a screenshot of the scholarship list as of April 9, 2015. It is in alphabetical order and contains all necessary details on who should apply & how.

11. Scholarships Zinch.com Fastweb.com Collegeboard.org Scholarships.com

12. Loans Loans are sums of money that help students pay their college expenses and must be repaid. Federal student loans offer guaranteed fixed interest rates, a deferred repayment option, and other features.

13. Loans Federal Direct Loan: Every eligible student who submits a FAFSA is qualified to receive a Federal Direct Loan. This loan is available as a subsidized or an unsubsidized loan: –Subsidized: Need-based aid, for which the federal government pays the interest while the student is in school. –Unsubsidized: Not need-based, and available to anyone who files the FAFSA. The student may choose to pay the interest while enrolled or defer the interest and add it to the principal amount of the loan upon leaving school.

14. Loans Federal Perkins Loan: This is a low-interest federal student loan for undergraduate and graduate students with exceptional financial need. The current interest rate is 5%. Not all colleges participate in the Perkins Loan program, so check with each college’s financial aid office for more information.

15. Need-Based Aid Most federal, state, and college aid is based on a student’s financial need. In addition, need-based aid: –Requires the student to file the FAFSA and possibly other financial aid applications –Is determined by a standardized formula that colleges use to calculate how much each family can afford to contribute –Requires the student to fill out an application each year –May be awarded in the form of grants, work- study, and loans http://www.mefa.org/financial-aid-made- simple/

16. Merit-Based Aid Merit-based aid is generally awarded by a college in recognition of a student’s achievement — academic, athletic, artistic, or extracurricular — in the form of a scholarship. Not all colleges award merit-based aid, and those that do only select its most competitive applicants as recipient.

17. What will be the actual cost? After financial aid is applied toward the school’s cost, you are responsible for the remaining balance, also called the “net price”. Net Price Calculator is a tool to help you estimate your “net price” to attend a particular college or university.

18. FAFSA4caster FAFSA4caster will help you understand your options for paying for college. Provide some basic information and it will estimate your eligibility for federal student aid. Your estimate will be shown in the "College Cost Worksheet" where you can also provide estimated amounts of other student aid and savings that can go towards your college education. https://fafsa.ed.gov/FAFSA/app/f4cForm?execution=e1s1

19. CSS/Financial Aid PROFILE By filling out one form, you can apply online for nonfederal financial aid from almost 400 colleges and scholarship programs. https://student.collegeboard.org/css-financial- aid-profile A few local schools that participate: –GW –Georgetown –Goucher College –Johns Hopkins University –Loyola University Maryland

20. What to ask the Financial Aid Office Financial aid programs vary from college to college. To help identify a college that your family can afford, it’s important that you learn how each school on your list makes its decisions when awarding aid to students. These questions can help guide your research. 1. What is the total cost of attendance? 2. What financial aid applications are required and when are they due? 3. What is the college’s policy on need-based aid? 4. Does the college offer merit-based scholarships? 5. How do students apply? http://www.mefa.org/financial-aid-made- simple/

21. What to ask the Financial Aid Office 6. Assuming that cost and family responsibility remain constant, how will grant and loan amounts change from year to year? What if the family’s situation changes? 7. Are scholarships/grants renewable each year? If so, are there conditions such as grade point average, enrollment status, or major? 8. Are students required to apply for financial aid even if they receive a scholarship? 9. How do outside scholarships affect the financial aid package the school offers? 10. What are the college’s application requirements for divorced or separated parents? 11. What does the college estimate the average total student debt to be upon graduation? http://www.mefa.org/financial-aid-made- simple/

22. Financial Aid 101 Collegeboard resource Collegeboard has many useful components to its website. It is not only a website for focused on the SAT or SAT II but it also a website with tremendous information to help students prepare for college. Financial Aid 101 –The page features information on many topics related to financial aid and the information is presented in many different ways; student videos, articles, webinars, Expert Q&A, etc. https://bigfuture.collegeboard.org/pay-for-college/financial-aid

23. Your School Counselor is here to help you. Please contact us if you have any questions. Please know that in the past we have had a financial aid specialist meet with students and parents late winter of a student’s senior year. Appointments can be made by calling Student Services. This is a tremendous resource!