understanding the fafsa
TRANSCRIPT
MASSACHUSETTS EDUCATIONAL FINANCING AUTHORITY
UNDERSTANDING THE FAFSAFall 2016
• Free Application for Federal Student Aid
• Official website: FAFSA.gov
• FREE form (NEVER pay to submit the FAFSA)
• Required by all colleges/universities for financial aid
• Opens October 1, 2016
• Complete and submit before the earliest college deadline (!!)
– Often in Feb or March but could be earlier
• Complete online, but can find a full FAFSA PDF on fafsa.gov
• Must be completed each year (one for every child)
• FAFSA Tip: If an answer is zero or the question does not apply, enter 0
• Note: you may have other financial aid applications required
• Application may ask you to check for errors on a question. Type the answer again if
correct.
About the FAFSA
•Student and parent Social Security numbers
•Student’s drivers license
•Student and parent:–2015 W-2 forms (or pay stub)–2015 federal income tax return–2015 untaxed income records–Current bank statements–Current business and investment records
Documents Needed to Complete the FAFSA
FAFSA Customer Service
•Phone: 1-800-4-Fed-Aid (433-3243)
•Email Form: Located at StudentAidHelp.ed.gov
•Chat: Located at StudentAidHelp.ed.gov (Chat option disappears if chat is not available)
•Hours: – Monday-Friday: 8 a.m.–11 p.m. ET– Saturday & Sunday: 11 a.m.–5 p.m. ET
•Help icon at the top of each page leads to:– FAQs– Search (also available throughout the site)– Contact Information
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FSA ID
•A Log-in: Username & Password•Needed to complete the FAFSA•Both the student and one parent will need one•Replaces the now-retired Federal PIN•Provide personal information and answer challenge questions•FSAID.ed.gov•FSA ID webinar recording on mefa.org
FAFSA on the Web: FAFSA.gov
Start here
Login
Click here if you already have the student’s FSA ID
Click here if you don’t yet have the student’s FSA ID
FSA ID
Enter the student’s FSA ID username and password
Entering Student Information
Enter the student’s name as it appears on the Social Security card, the SSN, and date of birth
Get Started
For high school seniors
Reminder to create an FSA ID if you did not log in with the FSA ID
Save Key
The Save Key allows you to save your application and return to it later if you do not complete the application in one sitting. It is different from the FSA ID.
Further Help and Instruction
Further instructions on each question
Tips for each question
Search for topics or terms
Introduction Page
Tabs let you navigate between sections
Student Demographic Information
Save as you go
View your answers anytime
Use an email address that you check daily
Student Eligibility
More info on the next few slides about these questions
If you’re not sure what degree you’ll be completing, give your best guess
Parent degree completion has no effect on financial aid
Students who answer “yes” to the foster care question receive DCF contact info to learn about potential aid for foster youth
Who is Eligible for Federal Financial Aid?
•U.S. citizens
•Eligible non-citizens, including: • U.S. Nationals• Permanent Residents• Carriers of Arrival-Departure Records (I-94)• Holders (student or parent) of a T-visa• “Battered immigrant-qualified aliens”• Citizens of the Federated States of Micronesia, the Republic of the
Marshall Islands, or the Republic of Palau.
Citizenship status will be verified by: • the Social Security Administration (citizens)• the Department of Homeland Security (eligible non-citizens)
Further Eligibility Details
•Males 18 and older must register for Selective Service (Male is defined as male at birth)
•Current high school students should select:–Never before attended college (even if taken college classes)–Do not have a bachelor’s degree
•Interested in work-study? Answering yes does not:–Obligate the student to work–Guarantee a job–Cause the student to lose grants and scholarships
Student Eligibility Continued
Students who indicate that they are home schooled will not be prompted to enter a high school name
List the student’s
high school
College/University Selection
• List up to 10 colleges/universities• To add additional schools, wait 3 days and then log back into the FAFSA, delete the schools listed, and add your new schools.
Compare schools side by side to learn information such as graduation rate and average net price
Housing
Housing selection affects the college total cost and may affect financial aid, so let the colleges and universities know if your housing plan changes
Select the housing plan for each school
Dependency Determination
These questions are asked to determine if a student is dependent or independent. Independent students do not have to report parent data on the FAFSA
Application automatically saves throughout
Providing Parent Data
If a dependent student is not able to provide parent data, the student will be instructed to contact the college financial aid offices
Parent Demographics Information
Household size worksheet can help you determine the number of people in your household
More info on the next few slides about these questions
Who is Considered a Parent on the FAFSA?
•Biological or adoptive parent(s), and certain step-parents
•Include both parents if parents are married or are not married but live together
•Married parents include same-sex couples
•If separated but living together, select “Married”
•In the case of divorce or separation, provide information only about the parent the student lived with more in the last 12 months, and step-parent if that parent is remarried.
•More info on StudentAid.gov
Included in the FAFSA Household Size
•Student
•Parent(s)
•Parents’ other dependent children, if parents provide more than half of their support and will continue to do so from 7/1/17 through 6/30/18
•Other people who live with the parents, if parents provide more than half of their support, and parents will continue to provide more than half of their support from 7/1/17 through 6/30/18
College Students in the Household on the FAFSA
•Always include the student applicant, even if he/she will attend college less than half time in 2017-2018
•Include other household members only if they will attend at least half time in 2017-2018 in a program that leads to a college degree or certificate
•Do not include the parents
•Some financial aid offices will require proof that other family members are attending college
Parent Tax Information
Answer questions about the parents’ 2015 federal tax return
Option to Use the IRS Data Retrieval Tool
All eligible individuals will be prompted to use the IRS Data Retrieval Tool, which pulls in 2015 tax return data electronically from IRS.gov
IRS Data Retrieval Tool
•Upload federal tax return data directly to the FAFSA
•2015 federal tax return must be submitted to the IRS
•Certain individuals cannot use the tool
– Married individuals who file married filing separately or head of household tax returns
– Change in the marital status after the end of tax year
– Amended Tax Returns
– Foreign Tax Returns (even if U.S. return is also filed)
– Filers with Tax ID Number (TIN)
– FAFSA and tax return address do not match
Parent Financial Information
Income earned from working = salary, self-employed income, and farm income
If using the IRS Data Retrieval Tool, a lot of the answers in this section will auto-fill from your 2015 federal tax return
Parent Financial Information Continued
Parents’ Income Tax: Found on the federal income tax return (not the amount withheld from parents’ paychecks)
For asset questions, report current values
Parent Assets To Be Reported
•Current balance of cash, savings, and checking accounts
•When reporting net value of investments include:–Real estate other than the primary home–Rental properties–Money market and mutual funds–Stocks & bonds–529 college savings for all children (reported as a parent asset)
•Net value of investment farms and non-family businesses
Do not include your primary residence, life insurance, value of retirement accounts, and value of small family businesses and farms (owned by the family more than 50% with less than 100 employees)
Student Tax Information
• Student will be asked same income and asset questions as parents • Student should report all income earned in 2015 even if he/she did not file taxes• Student will also be offered the option to use the IRS DRT if he/she filed taxes in 2015
Sign & Submit
Other option to sign and submit if an FSA ID cannot be obtained:• Sign a paper signature page• Submit without a signature
Confirmation Page
Expected Family Contribution (EFC)
Transfer parent information to a sibling’s FAFSA to save time
College information
Special Circumstances
Contact the Financial Aid Office if there are circumstances which affect your ability to pay for college or if anything changes after you submit your financial aid applications such as:
•Loss or reduction in parent/student income or assets
•Death or serious illness of a household member
•Natural disasters affecting parent income or assets
•Medical or dental expenses not covered by insurance
•Financial responsibility for elderly grandparents not in the household
What Happens After You Apply
•Colleges and your state receive data electronically
•You will receive a Student Aid Report (SAR) (electronically or by mail) in a few days
•Colleges may request additional documentation or information, such as tax data, through a process called Verification
•Colleges send out financial aid award letters (typically Mar-April)
National and Community Resources
•FAFSA Day–Free assistance completing the FAFSA–November 6, 2016 and January 29, 2017–FAFSADay.org for additional dates and times
•First Lady‘s Up Next Mobile Messaging Tool–Text “COLLEGE” to 44044 for tips on all things college
•Educational Opportunity Centers–Free financial aid help–MassEdCo.org
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