1. 1 Texas Association of Student Financial Aid Administrators and National Association of Student Financial Aid Administrators Financing Education Beyond High School 2006-2007

2. 2 Objectives for Tonight 4 Give general information about how to apply for financial assistance 4 Describe what type of financial assistance is available 4 Promote financial aid awareness to students as early as middle school

3. 3 Purposeof Financial Aid Purpose of Financial Aid 4 The primary purpose of student financial aid is to provide resources to students who would otherwise be unable to pursue a post- secondary education.

4. 4 4 To the extent they are able, parents have primary responsibility to pay for their dependent children’s education 4 Students also have a responsibility to contribute to their educational costs 4 Families should be evaluated in their present financial condition 4 A family’s ability to pay for educational costs must be evaluated in an equitable and consistent manner, recognizing that special circumstances can and do affect its ability to pay Philosophy of Financial Aid

5. 5 Applying for Higher Education 4 Select schools to attend, contact them –admissions applications –housing applications –financial aid and scholarship applications –SAT/ACT scores –TAKS test

6. 6 Types of Aid 4 Gift Aid –Grants –Scholarships 4 Self Help –Loans –Employment

7. 7 Gift Aid Grants 4 Federal –Federal Pell Grant –FSEOG 4 Federal/State (LEAP) 4 State 4 Institutional 4 Private Scholarships 4 Federal 4 Robert C. Byrd Honors Scholarship 4 State 4 Institutional 4 Private

8. 8 Gift Aid - Scholarships (Where do I look?) 4 HIGH SCHOOL GUIDANCE COUNSELOR 4 LIBRARIES 4 CIVIC/RELIGIOUS ORGANIZATIONS 4 PROFESSIONAL ORGANIZATIONS 4 ACADEMIC DEPARTMENTS 4 FINANCIAL AID OFFICE 4 Internet ( www.finaid.org )

9. 9 BEWARE ! 4 Don’t be Scammed! 4 I do not recommend the use of scholarship searches that charge a fee.

10. 10 T oward EX cellence, A ccess & S uccess (TEXAS) Grant 4 Texas resident 4 graduated from accredited high in Texas within 16 months of first semester 4 completed Advanced or Recommended high school curriculum 4 have financial need 4 enroll at least full time 4 portable grant

11. 11 Self-Help Aid Loans 4 Federal Perkins Loan 4 Federal Stafford Loans –Federal Family Education Loan (FFEL) Program –William D. Ford Federal Direct Loan Program 4 State Loans 4 Institutional and Private Loans Employment 4 Federal Work-Study 4 State Work-Study Programs 4 Institutional Work- Study Programs

12. 12 Two Categories of Aid 4 Merit-based 4 Need-based

13. 13 Definition of Need Cost of Attendance (COA) – Expected Family Contribution (EFC) = Financial Need

14. 14 Need Varies Based on Cost

15. 15 Cost of Attendance 4 Tuition and fees 4 Room and board 4 Books and supplies, transportation, and miscellaneous personal expenses 4 Loan fees 4 Study abroad costs 4 Dependent or elder care expenses 4 Expenses associated with a disability 4 Expenses for cooperative education program

16. 16 Definition of Need Cost of Attendance (COA) – Expected Family Contribution (EFC) = Financial Need

17. 17 Federal Methodology Federal Methodology is the formula created by Congress to determine the Federal Expected Family Contribution (EFC).

18. 18 Needs Analysis 4 Family completes FAFSA 4 Information is placed in Federal Methodology Formula 4 Expected Family Contribution (EFC) is calculated

19. 19 Expected Family Contribution for Dependent Student 1. Determine available parent income: Total income (taxable and untaxed); less exclusions (e.g., child support paid) 2. Determine available parental assets 3. Determine portion of available parental income and assets for education 4. Determine student contribution 1 + 2 + 3 + 4 = EFC

20. 20 Definition of Need Cost of Attendance (COA) – Expected Family Contribution (EFC) = Financial Need

21. 21 Role of the Financial Aid Office 4 Determines eligibility for financial aid 4 Packages aid 4 Sends an award notification which details: –Student’s cost of attendance –Amount of student’s financial “need” –Types and amounts of aid offered –How and when aid will be disbursed –Student employment conditions –Terms and conditions of aid offer

22. 22 Free Application for Federal Student Aid (FAFSA) 4 Family’s personal and financial information required to perform need analysis is collected on FAFSA 4 Paper versions of FAFSA – “Regular” FAFSA – Renewal FAFSA 4 Electronic versions of FAFSA – EDE – FAFSA on the Web

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25. 25 Student Aid Report (SAR) 4 Replays all information (part 1) 4 Allows for corrections (part 2) 4 Indicates if there are problems with: –Social Security Administration –INS –Selective Service –Default/Refund

26. 26 Packaging 4 School combines various types of aid to meet financial need 4 Each school has a different “Packaging Philosophy”

27. 27 Award Letter 4 COA, EFC and student’s financial need 4 Types and amounts of financial aid 4 Deadlines for responding 4 Other documents to complete; counseling sessions to attend

28. 28 Where Do I Go From Here? 4 Review school’s materials for aid application and deadline information 4 Complete FAFSA –Get Your PIN first 4 Complete school application (if necessary) 4 Investigate other sources of aid 4 Conduct private scholarship search

29. 29 WHAT TO EXPECT 4 OBTAIN A PIN NUMBER FROM: –WWW.PIN.ED.GOV 4 MAIL/TRANSMIT THE FAFSA 4 RECEIVE THE SAR 4 REVIEW THE SAR COMMENTS/DATA 4 MAKE ANY CORRECTIONS NECESSARY 4 SCHOOL REVIEWS 4ADDITIONAL INFO REQUESTED 4VERIFY ACCURACY OF ALL INFO 4 RECEIVE AWARD NOTIFICATION 4RESPONSE MUST BE RECD BEFORE AID CAN BE CREDITED TO THE ACCOUNT

30. 30 Helpful Hints and Tips 4 Read instructions carefully 4 Make copies of everything you mail 4 Promptly respond to all correspondence

31. 31 Helpful Hints and Tips (cont’d) 4 Report funds from other sources 4 Apply for financial aid every year 4 Maintain Satisfactory Academic Progress (SAP)

32. 32 Questions & Answer