1. Financial Aid: What You Need to Know
New York State Higher Education Services Corporation
Welcome. I am _______________ from _____________________.
Today, I’d like to share some important information with you about financial aid for college.

2. What is Financial Aid?
Financial aid helps pay the cost of attending college.
Some financial aid is based on need.
Some financial aid is awarded based on other criteria, such as grades.
Financial aid helps pay the cost of college.
Financial aid is awarded from several sources, which we will discuss, and can be based on financial need or other criteria, such as academic excellence.

3. Sources of Financial Aid
Federal government
New York State
Colleges – Institutional Aid
Private sources
The Federal Government, New York State and colleges all offer financial aid. I will discuss the types of aid each entity offers in a few minutes.
Also, there are numerous private sources of scholarship funding such as: Elks Club, religious and community organizations, and private companies

4. Types of Financial Aid Scholarships – free money Grants – free money
Work Study
Loans
It’s important to understand the different types of financial aid and to seek grant and scholarship first.
Scholarships and Grants provide “free money” – that means you do not have to pay any of the money back. Many scholarships and grants are awarded to you through the financial aid process and may be based solely on your financial situation or on your academic, athletic or other achievements.
The Work-study program provides on and off campus jobs and the student is paid by the college based on the hours he/she works.
Federal loans are available for students and parents to help with the cost of college. Loans should always be the last resort for you as they must be repaid, with interest.
When you are applying for financial aid -- always go for the “free money” first! 2

5. Explore FAFSA.GOV
The FAFSA can be accessed by going online to FAFSA stands for the FREE Application for Federal Student Aid. Don’t make the mistake of going to a site such as FAFSA.com where they charge you to file your application.
Students who are applying to college for the academic year should complete the FAFSA as soon as possible after January 1, when the application will be available. Students beginning college in the academic year should make sure to use the application not the FAFSA application. 8

6. Free Application for Federal Student Aid
FAFSA
Evaluates a family’s ability to pay for their educational costs
Determines an Expected Family Contribution (EFC)
Allows family to receive Federal Student Aid (FSA) programs
Let’s first talk about need-based student financial aid.
Need-based financial aid is awarded based on the ability of the family to pay college expenses as determined by a calculation developed by the federal government.
Information about a family’s ability to pay is gathered from the Free Application for Federal Student Aid. The FAFSA is your first step in applying for all federal and state financial aid, the family’s Expected Family Contribution – EFC – is then determined by a federal formula.
It is important to note that resources supporting need-based aid are limited at most colleges and, therefore, students should not expect aid to cover all of their need.

7. Expected Family Contribution
EFC
Calculated based on Federal Formula
Amount the family can reasonably be expected to contribute
Includes parents’ and student’s contributions combined
Stays the same regardless of the college selected
Let’s talk more about the expected family contribution – EFC.
Again, it is the dollar amount a family is expected to be able to contribute toward the student’s college costs.
It is calculated using the federal government’s formula along with the data the parents and the student provided on the FAFSA – which we will discuss in more detail shortly.
Again, the family’s EFC always remains the same regardless of the college the student attends.

8. Sample EFC for Family #1 EFC = $20,830 Family lives in New York
Married Parents, Both Age 52
Household Size of 4 with 1 child going to college
2012 Adjusted Gross Income = $120,000
Assets = $20,000
Student Income/Assets = 0
EFC = $20,830
Let’s talk more about the expected family contribution – EFC.
Again, it is the dollar amount a family is expected to be able to contribute toward the student’s college costs.
It is calculated using the federal government’s formula along with the data the parents and the student provided on the FAFSA – which we will discuss in more detail shortly.
Again, the family’s EFC always remains the same regardless of the college the student attends.

9. Sample EFC for Family #2 EFC = $4,926 Family lives in New York
Single Parent, Age 48
Household Size of 3 with 1 child going to college
2012 Adjusted Gross Income = $60,000
Assets = $2,000
Student Income/Assets = 0
EFC = $4,926
Let’s talk more about the expected family contribution – EFC.
Again, it is the dollar amount a family is expected to be able to contribute toward the student’s college costs.
It is calculated using the federal government’s formula along with the data the parents and the student provided on the FAFSA – which we will discuss in more detail shortly.
Again, the family’s EFC always remains the same regardless of the college the student attends.

10. Sample EFC for Family #3 EFC = $0 Family lives in New York
Married Parents, Age 45
Household Size of 5 with 2 children going to college
2012 Adjusted Gross Income = $30,000
Assets = $500
Student Income/Assets = 0
EFC = $0
Let’s talk more about the expected family contribution – EFC.
Again, it is the dollar amount a family is expected to be able to contribute toward the student’s college costs.
It is calculated using the federal government’s formula along with the data the parents and the student provided on the FAFSA – which we will discuss in more detail shortly.
Again, the family’s EFC always remains the same regardless of the college the student attends.

11. FAFSA4caster: FAFSA.gov
While you may be a year or so away from having to complete the FAFSA, there is a tool that can familiarize you with the form and help you understand your options for paying for college.
It’s the FAFSA4caster.
Like the FAFSA, it is available at

12. Determining Financial Need
Cost of Attendance (COA)
– Expected Family Contribution (EFC)
= Financial Need
What is financial need?
Financial need is determined by subtracting the Expected Family Contribution – EFC – from the Cost of Attendance – COA – at a particular college.
While your EFC always remains the same, the cost of attendance varies from college to college. Therefore, your financial need is different from college to college.

13. Cost of Attendance (COA)
Tuition and fees
Room and board
Books and supplies
Transportation
Miscellaneous personal expenses
Loan fees
Study abroad costs
Dependent care expenses
Expenses related to a disability
The cost of attendance, determined by the college, includes all of the expenses a student will incur, including tuition, fees, books, etc.
All students may not have all of these components in their cost of attendance.
Tuition and fees, room and board (or allowance for commuters), books and supplies, transportation allowance, and personal expenses are always included in a student’s COA.
Loan fees, study abroad costs, dependent care expenses, and expenses related to a disability are also variable based on the student’s situation. 6

14. Sample COA Comparison College Baruch College (CUNY)* Binghamton
University
(SUNY)+
New York
(Private)°
Tuition/Fees
$ 5,910
$ 7,613
$ 43,704
Room/Board
$ 1,685
(Commuter)
$ 12,336
(On-Campus)
$ 16,133
(On/Off-Campus)
Books
$ 1,248
$1,000
$1,070
Transportation
$ 986
$250
n/a
Personal
$ 2,885
$750
Total
$ 12,714
$ 21,949
$61,907
Source:
Source:
Source:
Note: All figures based on academic year information
*Source:
+Source:
°Source:

15. Financial Need for Family #1
College
Baruch
College (CUNY)
Binghamton
University
(SUNY)
New York
(Private)
COA
$ 12,714
$ 21,949
$ 61,907
EFC
$ 20,830
Financial Need
$ 0
$ 1,119
$ 41,077
Here is a simple example of how financial need is determined.
Each college determines its own COA, as we have discussed.
The EFC remains the same for each college.
Subtracting the EFC from the COA at each college determines your financial need for each college.
In the above example, the most need is establish at College C and the least at College A.
Source:

16. Financial Need for Family #2
College
Baruch
College (CUNY)
Binghamton
University
(SUNY)
New York
(Private)
COA
$ 12,714
$ 21,949
$ 61,907
EFC
$ 4,926
Financial Need
$ 7,788
$ 17,023
$56,981
Here is a simple example of how financial need is determined.
Each college determines its own COA, as we have discussed.
The EFC remains the same for each college.
Subtracting the EFC from the COA at each college determines your financial need for each college.
In the above example, the most need is establish at College C and the least at College A.
Source:

17. Financial Need for Family #3
College
Baruch
College (CUNY)
Binghamton
University
(SUNY)
New York
(Private)
COA
$ 12,714
$ 21,949
$ 61,907
EFC
$ 0
Financial Need
Here is a simple example of how financial need is determined.
Each college determines its own COA, as we have discussed.
The EFC remains the same for each college.
Subtracting the EFC from the COA at each college determines your financial need for each college.
In the above example, the most need is establish at College C and the least at College A.
Source:

18. Net Price Calculators
The federal government now requires all colleges to provide a net price calculator to help students and families estimate their net costs at that college, factoring in numerous variables, such as COA, EFC, potential scholarships and need-based grants.
These calculators can vary greatly from college to college, but in general they provide students and families with an early estimate of financial aid and a net price estimate based on the student and family's individual circumstances.
Net price calculators are located on the colleges’ websites.

19. Questions to Consider…
If we are a high-need family, will the college meet our full need?
Can our financial need affect a college admission decision?
What are the financial aid philosophies of our prospective colleges?
What if we have special circumstances?
Financial aid begins with grants. Grants are “free money” – you do not have to pay back any grant money.
Grants come from sources such as the Federal Government , which administers the Pell Grant; state programs, such as the Tuition Assistance Program – TAP – administered by New York State; and grants from the school itself, called institutional grants.
Institutional grants may be awarded based solely on your financial situation or on your academic, athletic or other achievements.

20. Financial Aid Programs

21. Federal Student Aid Programs
Pell Grant
Federal Supplemental Educational Opportunity Grant (FSEOG)
Federal Work-Study
Federal Loans
Federal Perkins Loan
Federal Direct Stafford Loans
Federal PLUS Loan
The federal government administers a variety of different programs. You may be eligible for some or all of these types of aid, based on your financial aid application - the FAFSA.
The Pell Grant is a need-based entitlement program, which means that if you are eligible, you will receive the grant. It is usually awarded to students with a higher financial need. Currently, the TAP award is up to $5,550 per year.
The Federal Supplemental Educational Opportunity Grant – FSEOG – is also for undergraduates with exceptional financial need. Students who receive Federal Pell Grants have priority in this program, which is awarded by a college's financial aid office based on information in the FAFSA.
The Federal Work-Study Program provides part-time jobs, based on financial need, which are offered through the college.
Federal aid includes loans. Several federal loans are available; these, of course, must be repaid. We’ll discuss them a little later. 21

22. Studentaid.ed.gov
More information on grant and scholarship programs, including award amounts, eligibility information, and any application supplements, can be found on our website at HESC.ny.gov. 22

23. Federal Aid: Keep in mind…
Student must be a U.S. citizen or eligible non-citizen
Male students must register with the Selective Service System (sss.gov)
Must be within a certain EFC range to be considered for Pell Grant, FSEOG
Demonstrate need for other programs such as Work-study, Subsidized loans
There are a few requirements to receive federal student aid.
These include:
Have a high school diploma or equivalent, such as a GED.
Be enrolled or accepted for enrollment as a matriculated student working toward a degree or certificate in an eligible program.
Be a U.S. citizen or eligible non-citizen.

24. NYS Financial Aid Programs
Major Financial Aid Programs
Tuition Assistance Program (TAP)
Aid for Part-Time Study
NYS Scholarships for Academic Excellence
NYS Math & Science Teaching Incentive Program
Veterans Tuition Award
Now, we will discuss New York State aid.
New York provides more than 18 programs, including:
TAP – one of the nation’s largest grant programs.
Aid for Part-Time Study – a need-based grant of up to $2,000 per year for part-time students enrolled in approved undergraduate studies.
NYS Scholarships for Academic Excellence – awarded to outstanding graduates from registered New York State high schools; awards are based on student grades in certain Regents exams; $1,500 and $500 awards to top scholars at each high school.
NYS Math & Science Teaching Incentive Scholarships – offered to encourage students to pursue careers as secondary math and science teachers in grades 7 through 12.
Information about all of these and other programs, as well as applications for many, are available on HESC.ny.gov.

25. HESC.ny.gov
More information on grant and scholarship programs, including award amounts, eligibility information, and any application supplements, can be found on our website at HESC.ny.gov. 25

26. NYS Aid: Keep in mind…
Student must meet citizenship, selective service requirements of FAFSA
Student and parents, if dependent, must be legal residents of New York State
Can only be awarded at eligible NYS higher education institutions
There are specific program requirements for the various NYS scholarships
There are a few requirements to receive federal student aid.
These include:
Have a high school diploma or equivalent, such as a GED.
Be enrolled or accepted for enrollment as a matriculated student working toward a degree or certificate in an eligible program.
Be a U.S. citizen or eligible non-citizen.

27. Colleges: Institutional Aid
Depends on funding at each college
College determines eligibility criteria for need-based and non-need-based programs
Academic, athletic, and other talent-based scholarships and grants
May require an additional application
Keep track of deadlines!
Institutional aid is funding from the college.
Colleges establish eligibility criteria for their need-based and non-need-based programs. College websites and financial aid offices can provide information on their criteria.
For many colleges, the FAFSA results provide a basis for the need-based institutional aid available. Colleges have a limited amount of institutional grant and scholarship money, so it is important for students and families to complete the FAFSA early.
Institutions may also award grants and scholarships based on academic, athletic, and other talents. Make sure the college is aware of any special skill or talent you have so you are considered for any of these special awards.
Some colleges require the completion of additional application forms to be considered for institutional aid. Keep track of all the different deadlines and applications required at the schools to which you are applying. You do not want to miss any opportunity to receive free institutional money.

28. Visit College Websites
Source:
You can view the College Board’s list of participating colleges online through the College Board’s website, profileonline.collegeboard.com. You can also apply or download a copy of their student guide shown here.
The application is usually available in early October much earlier than the FAFSA. Because of its early availability, some colleges may require the Profile to be filed as part of the early action or early decision admission process. This application is in addition to the FAFSA which needs to be completed as well to be considered for federal and state aid.
Source:

29. Explore the CSS Profile
You can view the College Board’s list of participating colleges online through the College Board’s website, profileonline.collegeboard.com. You can also apply or download a copy of their student guide shown here.
The application is usually available in early October much earlier than the FAFSA. Because of its early availability, some colleges may require the Profile to be filed as part of the early action or early decision admission process. This application is in addition to the FAFSA which needs to be completed as well to be considered for federal and state aid.

30. Private Scholarships Billions of dollars in private funds available
Charitable foundations, businesses, religious institutions, wealthy donors, and minority organizations
All have their own individual applications and requirements

31. Websites to Start Searching
There are plenty of private scholarships available but you need to do your homework.
There are many free scholarship search sites such as collegeboard.com and fastweb.com. There are also more specific scholarship sites listed above.
Remember, your school counselor is also an excellent source for scholarship information, especially for local scholarships available in your area!

32. Fastweb.com
There are plenty of private scholarships available but you need to do your homework.
There are many free scholarship search sites such as collegeboard.com and fastweb.com. There are also more specific scholarship sites listed above.
Remember, your school counselor is also an excellent source for scholarship information, especially for local scholarships available in your area!

33. Scholarship Myths
Searching and applying for scholarships is only the student’s responsibility.
You have to have financial need to get a scholarship.
Students have to have excellent grades, SAT/ACT scores to get a scholarship.
Scholarship searching is done during senior year of high school.
“It’s only $500, so why bother?”
Some tips:
• Check with your college financial aid office for scholarships.
Take time to conduct research and prepare applications carefully.
Some scholarships are for four years, others require a yearly application; apply yearly, if needed.
For resources on scholarships:
Visit the local library.
Ask local businesses and organizations.
Check with parents’ employers and unions.

34. CAUTION!
Avoid paying a fee to file the FAFSA or a scholarship application!
Avoid financial aid “consultants” and for-profit websites
Submitting the FAFSA and NYS TAP application is FREE
FREE help is available if you need assistance in completing the applications
And just a reminder, the first “F” in FAFSA stands for FREE! You should not have to pay someone to complete your FAFSA and TAP applications. College financial aid offices as well as many school counselors can assist you with your FAFSA questions.
Additionally , financial aid professionals volunteer to support a large number of free FAFSA assistance workshops, such as New York’s College Goal Sunday program and HESC’s Start Here Get There month-long FAFSA completion assistance campaign across the state. We will provide detail on these workshops later in this presentation.

35. Free FAFSA Help @ StartHereGetThere.org
In addition to the tools always available on the HESC website, the microsite for Financial Aid Awareness Month, at StartHereGetThere.org, is featured from mid December through March each year.
The website provides targeted information for students and families preparing for college and applying for financial aid with tutorials, videos, and links to applications.

36. Thank You!
Thank you for your attention. Please let me know if you have any questions.