Financial Aid Parent Night

Topics We Will Cover Tonight

Types of Financial Aid Applying and Determining Aid

-Terms to know

-FAFSA/TASFA Financial Aid Timeline

Defining “Financial Aid”What? Free/Pay Back? Merit/Need? How? When?

Defining “Financial Aid”What? Free/Pay Back? Merit/Need? How? When?

What are the 4 types of financial aid a student can receive

for college?

Scholarships

Loans

Grants

Work-Study

Defining “Financial Aid”What? Free/Pay Back? Merit/Need? How? When?

Scholarships

Loans

Grants

Work-Study

FREEBut student must

meet requirements

Mostly MeritSometimes need

Apply! NOW!

1. Private2. Institutional

Defining “Financial Aid”What? Free/Pay Back? Merit/Need? How? When?

Scholarships

Loans

Grants

Work-Study

1. Private2. Institutional

FREEBut student must

meet requirements

Mostly MeritSometimes Need

Apply! NOW!

1. Subsidized2. Unsubsidized

Pay BackNeither – almost anyone can get

these loans

FAFSA

January 1st, 2015

Defining “Financial Aid”What? Free/Pay Back? Merit/Need? How? When?

Scholarships

Loans

Grants

Work-Study

FREEBut student must

meet requirements

Mostly MeritSometimes need

Apply! NOW!

Pay BackNeither – almost anyone can get

these loans

FAFSA

FREE NeedBut $ will go to

those who apply 1st

FAFSA/TASFA

January 1st, 2014

NOW!(January 1st of

senior yearAfter filing taxes)

1. Private2. Institutional

1. Subsidized2. Unsubsidized

Defining “Financial Aid”What? Free/Pay Back? Merit/Need? How? When?

Scholarships

Loans

Grants

Work-Study

1. Private2. Institutional

FREEBut student must

meet requirements

Mostly MeritSometimes need

Apply! NOW!

1. Subsidized2. Unsubsidized

Pay BackNeither – almost anyone can get

these loans

FAFSA

FREE NeedBut $ will go to

those who apply 1st

FAFSA/TASFA

Neither, you work for it!

Combination FAFSANOW!

(January 1st of senior year

After filing taxes)

NOW!(January 1st of

senior yearAfter filing taxes)

January 1st, 2014

Important Financial Aid Terms

PIN – Personal Identification Number ITIN – Individual Taxpayer Identification

Number SAR – Student Aid Report EFC – Expected Family Contribution COA – Cost of Attendance Need Verification

FAFSA-Free Application for Federal Student Aid Fafsa.gov

Fill out and submit form online Students and Parents work together Will take ~30 minutes with correct information in

front of you

If you have already filed taxes you can use the IRS Data Retrieval Tool-information is auto filled for you (no mistakes)

List all schools you applied to Never pay ANYTHING to file the FAFSA

FAFSA.GOV

ITIN – Individual Taxpayer Identification Number

Tax processing number issued by the IRS in the place of a SSN

Undocumented students or parents

PIN – Personal Identification Number

Needed to complete and sign the FAFSA Both parents AND students

Apply for PIN at pin.ed.gov Same PIN for your entire life

Will use every year in school to file the FAFSA

Keep PIN in a safe place and do not share with anyone

TASFA

Texas Application for Student Financial Aid

For undocumented studentsPrint, Fill out, and Mail to universitieswww.collegeforalltexans.com

What do you need to fill out the FAFSA/TASFA? 1. Student ID, Driver’s License, SSN 2. Student W-2 and Tax Return 3. Parents 1040, W-2, and 1099 Tax Forms 4. Parents Bank Statements and Mortgage Info 5. Records of Stocks, Bonds, and Investments 6. Untaxable benefits documentation (Social

Security, Veterans Benefits) 7. Business/Farm Records 8. Unusual family circumstances and costs (Child

Support)

SAR – Student Aid Report

Results/Summary of information filled out on the FAFSA

You and each of the schools you listed will receive a copy

Indicates your family’s EFC and if there were any errors

EFC – Expected Family Contribution

Based on your financial information from the FAFSA, the federal government estimates how much your family can contribute to the student’s college expenses each year

0 – 99,999

Get an estimated EFC NOW: FAFSA 4caster

Verification University will ask for additional documents

W-2, 1099, Income Tax Returns Universities are required to verify 30% of applicants

Lower EFC increases your odds of being verified How will you know?

* next to EFC on FAFSA/SAR Student Portal

COA – Cost of Attendance Different for every school Includes:

Tuition and fees Room and board Books Transportation Personal expenses

COA Examples from 2012-2013 School year UT - $25,800 Texas State - $21,300 Tarleton State - $18,500

Need

COA – Expected Family Contribution = Need

Ways to cover need:Scholarships, Grants, Work Study,

Loans

Financial Aid Timeline

Junior Year

Fall of the Senior Year

Spring of the Senior Year

Spring of Senior

Year

Parents/guardians & students file taxes

Submit the FAFSA or TASFA

Between Jan. 1st and March 1st

Receive your Student Aid Report & EFC

Verification?

Colleges calculate student need with the following

formula:Cost of Attendance (COA) –

EFC = NEED

Student should have received decisions from all colleges by this time

Colleges send Financial Aid Packages

Appeal?Sit with CF and compare

financial aid awards Make final decision and

accept financial aid award

IMPORTANT FACTS Pay your bills first. Questions 41 and 90 ask about how

much cash students and parents have in savings and checking accounts at the moment you are filling out the FAFSA. But notice that there are no questions on the FAFSA about your debts or bills. Put the amount that is in your account AFTER you pay your monthly bills

Questions 42, 43, 91 and 92 ask about the student’s and the parents’ investments. But many filers don’t realize that the value of any retirement accounts, as well as the home you live in, should not be included in these boxes

Questions 24 and 25 ask about the highest level of education your parents completed. Some states and colleges offer extra aid to children of parents who haven’t earned college degrees.

Strategize your college list. FAFSA reports your entire college list to each university.

Questions?

Types of Financial Aid

Grants: Money that is mostly awarded on the basis of need and DOES NOT have to be repaid.

Work Study: Programs of on or off-campus jobs for students who demonstrate financial need. Hours are limited.

Loans: Money that is borrowed that must be repaid with interest.

Scholarships: Awards that are based on need, merit, or achievement.

Web-based Scholarship Searches

Scholarship and Grant Search Tools:

Fastweb - www.fastweb.com/

My College Dollars - mycollegedollars.hyfnrsx1.com/

Scholarship Expert - www.scholarshipexperts.com

Big Future

Beware of Scholarship Scams

Watch out for the following claims: “For a fee, we provide a comprehensive

list of scholarships.” “Billions of dollars of award monies going

unclaimed.” “We have a money-back guarantee.” “We need your credit card or bank

account number.” “We will do all the work.”