1. Brenda Thomas Sarah Werkman Financial Services Specialists Office of Financial Aid Western Michigan University WELCOME Financial Aid Night with thanks to NASFAA

2. Tonight’s Agenda  What is Financial aid?  What types of aid are available?  What makes me eligible?  The FAFSA application process!  What should I expect after I file for aid?  Who do I call with questions or changes?

3. What is Financial Aid?  Scholarships: Money that does not have to be paid back. Awarded on the basis of merit, skill, or unique characteristic  Grants: Money that does not have to be paid back Usually awarded on the basis of financial need  Loans: Money students and parents borrow to help pay college expenses. Look at as an investment Repayment usually begins after education is finished Only borrow what is really needed  Employment opportunities: Allows students to earn money to help pay educational costs in the form of a paycheck or non-monetary compensation, such as room and board

4. Free Application for Federal Student Aid (FAFSA)  A standard form that collects demographic and financial information about the student and family  Used to calculate an [EFC] Expected Family Contribution  Colleges use EFC to award financial aid  For the 2015–16 academic year, the FAFSA may be filed beginning January 1, 2015  Most colleges set FAFSA filing deadlines

5. FAFSA on the Web www.fafsa.gov  Access to FAFSA4caster  Parents with more than 1 college student can transfer data from original application to others  Option to use Internal Revenue Service (IRS) Data Retrieval Tool (DRT) to import tax data available early February 2015 for 2015-16

6. Federal Student Aid Personal Identification Number (FSA PIN)  Website: www.pin.ed.gov  Sign FAFSA electronically  Not required, but speeds processing  May be used by students and parents throughout aid process, including subsequent school years

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

8. IRS Data Retrieval Tool Some will be unable to use IRS DRT Examples include:  Filed an amended tax return  No SSN was entered  Student or parent married but filed separately  Filed your 2014 Taxes within previous 2 weeks [ If you do not use the IRS Data Retrieval Tool, you may need to supply a tax transcript from the IRS]

9. Frequent FAFSA Errors  Social Security Numbers  Divorced/remarried parental information  Income earned by parents/stepparents  Untaxed income  U.S. income taxes paid  Household size  Number of household members in college  Real estate and investment net worth

10. FAFSA asks questions to determine dependency status for federal student aid (not IRS) purposes:  If all “No” responses, student is dependent  If “Yes” to any question, student is independent Student Dependency Status

11. Am I Dependent or Independent?  Born before January 1, 1992  Enrolled in a graduate program  Married  Veteran of the U.S. Armed Forces or currently serving on Active duty in the US Armed Forces for purposes other than training  Has child(ren)/dependents for whom he/she provides more than half support  Both parents are deceased  Is/was an orphan, ward of the court or in foster care at any time since student turned age 13  Is/was an emancipated minor as determined by a court in state of legal residence  Is/was under legal guardianship until age18, as determined by a court in state of legal residence  Is/was an unaccompanied youth who was homeless or at risk of being homeless

12. Dependent students are required to include income and other information from the dependent student’s legal parents (biological or adoptive) on the FAFSA regardless of the parents’ marital status or gender, if those parents live together Dependent Students

13. Dependent Student Which parent files?  If the parents are both living and married to each other, or living together but NOT married answer the questions about both parents.  If the parents have divorced or separated: Where does the student live the most? If exactly equal time, who provides most support? NOT who claims student on taxes or who will result in highest eligibility.  If the parent is widowed or single, answer the questions about that parent only.  If this parent has remarried as of today, answer the questions about both that parent and the person to whom the parent is married (ie.Stepparent)

14. Who is NOT the Parent When completing the FAFSA  Grandparents  Legal Guardians  Foster Parents  Aunts/Uncles  Older Siblings

15. What’s Next???  Student Aid Report  Making corrections  Completing the file  Determining need  Award Letters

16. FAFSA Results Notification  If FAFSA filed on line and student did not provide an e-mail address student will receive a SAR acknowledgement  If paper FAFSA or FAFSA filed on line and student provided an e-mail address, student will receive an email notification containing a direct link to the student’s SAR on line. Student with FSA PIN may view SAR online at www.fafsa.gov

17. Student Aid Report (SAR)  The SAR summarizes the data provided on the FAFSA as well as the federal calculations.  Indicates how much Federal Pell Grant the student may be able to receive  Displays the official EFC [expected family contribution]

18. Making Corrections If necessary, corrections to FAFSA data may be made by:  Using FAFSA on the Web (www.fafsa.gov) if student has a FSA PIN;  Updating paper SAR (SAR Information Acknowledgement cannot be used to make corrections); or  Submitting documentation to college’s financial aid office

19. Making Corrections on the Web  Student’s PIN required to access.  Parents must have PIN to correct parent information.  Pop-up message will appear when student tries to correct transaction already corrected by a school.

20. Completing the file Financial Aid Office may request  Verification worksheets with documentation  Tax transcript from the IRS  Other……….

21. Determining Need: Your School’s estimated Cost of Attendance  Tuition and fees  Room and board  Books, personal and travel expenses - Expected Family Contribution = Financial Need

22. Calculating Financial Need [Example based on 2014-15 figures] Cost of Attendance WMU(Fall & Spring) FA Award with $0 EFC FA Award with $3600 EFC FA Award with $7000 EFC Tuition and fees$11,249 Room and Board$8,904 Books and supplies, Personal, Travel$3,243 Estimated Financial Contribution (subtract)$0($3,600)($7,000) Total Financial Need$23,396$19,796$16,396 Potential Awards Pell$5,730$2,000$0 SEOG$2,000$200$0 WS$2,000 $0 Perkins$2,000$0 Subsidized Loan$3,500 $3500 Unsubsidized Loan$2,000 $2000 Total Estimated Award$17,230$9,700$5,500 Remaining Need Total Cost of Attendance$23,396 Total Estimated Award (subtract)$17,230$9,700$ 5,500 Remaining Need$6,166$13,696$17,896

23. Award Letters  Colleges will mail/email an Award Letter to the student, stating offered financial aid  Please read important information enclosed with Award Letter –Instructions for accepting awards –How awards will be disbursed

24. Special Circumstances  Change in employment status  Unusual medical expenses not covered by insurance  Change in parent marital status  Unusual dependent care expenses  Student can not obtain parental information

25.  Cannot be documented using FAFSA  Send written explanation and documentation to financial aid office at each college  College will review and request additional information if necessary  Decisions are final and cannot be appealed to U.S. Department of Education Special Circumstances

26. Michigan Financial Aid Programs  Deadline is March 1, 2015  Michigan Competitive Scholarship  Michigan Tuition Grant (private schools only)  Tuition Incentive Program (TIP) www.Michigan.gov/osg osg@michigan.gov 1-888-4-GRANTS (888-447-2687)

27. Additional Financial Aid  College Scholarships Freshman Scholarships Department Scholarships  Private donor scholarships Parents’ employers Community organizations

28. Don’t Get Scammed ‘College aid offers’ are everywhere  Internet  Mail  Newspapers  Magazines  Telephone

29. Net Price Calculator  All schools are required to have a “Net Price Calculator” on their web sites  The Net Price Calculator allows students to calculate how much they will pay (approximately) at the school –School supplies info on cost and general gift aid for students in the family’s income range –Cost minus gift aid equals “Net Price” –The family can then compare net price for the school(s) they are considering

30. MI College Goal Sunday, February 8, 2015 www.micollegegoal.org Here is what you need to do: 1. Save the date. Sign up for a reminder! 2. Get your FAFSA PIN Number. This Personal Identification Number is how you sign your electronic FAFSA at MI College Goal. 3. Print out a list of what you need to bring with you to the event. 4. Find your location.

31. Additional Resources: udentaid.gov/fafsa/filling-out www.studentaid.gov/fafsa/next-steps www.finaid.org www.ed.gov www.facebook.com/federalstudentaid

32. Contact your Financial Aid Office Questions?