FINANCIAL AID

An Overview

What is an Independent Student?

Be 24 years old Married Have a dependent other that a spouse Be a graduate or professional student Be a ward of the court or an orphan Be a veteran of the U.S. Armed Forces

STUDENTS

STUDENT PARENT

APPLICATION FAFSA CSS

COLLEGE GOVERNMENT

ADMISSIONS

COLLEGE FINANCIAL AID

STUDENT

Financial Aid:

Assistance is given to make up the difference between college costs and the family’s ability to contribute.

Different Kinds of Aid:

1. Grants , Scholarships

Don’t need repayment!

2.WORKSTUDY:

Students get paid for working on or about the campus.

Don’t need to be repaid!

3. LOANS: FEDERAL PERKINS STAFFORD SUBSIDIZED

UNSUBSIDIZED PLUS-Parent loan for

undergraduate students

Need to repay!

3. LOANS: STATEMass Educational

Financing Authority

Need to repay!

3. LOANS: PRIVATEBANKS

PRIVATE LENDING INSTITUTIONS

NEED TO REPAY!

Some Aid is:

Need Based Based on FAFSA

Merit Based Academic Athletic Talent

How is Aid Determined?

Parents have the primary responsibility to pay for their children’s education

Students also have a responsibility to pay for their education

FAFSA

Free Application for Federal Student Aid When done on line, you get your FAFSA

aid report immediately When mailed, Aid information sent to home

on a Student Aid Report (Four weeks after FAFSA is filed)

The FAFSA Form

Provides a means for the government to use a standardized formula for applicants

Filed soon after January 1st of student’s senior year

Sends results to schools student is applying to

The Profile Form - CSS Costs money to apply Provided by College Scholarship Service Used by some, not all private schools Filed in fall of senior year Collects additional data colleges need www.collegeboard.org for electronic application 800-778-6888 for phone registration

The Formula

Total cost of college

Minus

Federal Estimated Family Contribution or Private School’s Determination of Need

Equals

Aid Family is Eligible For

EFC: the Expected Family Contribution

Student Contribution

Plus Parent Contribution

CALCULATING YOUR E.F.C.

Go to www.finaid.org/calculators/

Click on Expected Family Contribution and Financial Aid Calculator

Fill in requested data to receive an estimated E.F.C.

HOW EFC FORMULA WORKS

05

1015202530354045

COLLEGE1

COLLEGE2

COLLEGE3

COLLEGE4

TUITIONEFC

42K

30K

20K12K

How do I Pay My EFC?

Past Income Savings College Savings Plans

Present Income Salary Payment Plans

Future Income Loan Programs

Sources of Financial Aid

Federal Government State Government College Private Agencies

(Kiwanis, Elks, church or synagogue)

Professional associations Employer

A SAMPLE FINANCIAL AID PACKAGE

Megan is from a family of five living in Mass Family assets = $9000; family income = $69,500 A Maine college costs $20,600 Additional (travel, books, etc.) ($ 2,000) Financial Aid Budget ($22,600) Estimated Family Contribution ($ 8,100) Balance Due School $14,500 Financial Package from college - $13,700 (Grant, Student loans) Actual Family’s Contribution ($8,100 + $800) $ 8,900

THE PACKAGE

UNIVERSITY GRANT $6,600 COLLEGE SCHOLARSHIP $2,000 STUDENT LOANS $5,100 -------- FINANCIAL AID $13,700

BILL TO PARENTS $ 8,900

Tips

Find out deadlines and comply Keep copies of what you sent Don’t rule out a school because of its cost Look at all financing options Apply to one or two financially safe schools Think about how you (parent and student) will

pay for your share of four years of college

On linewww.nausetschools.org (Click on Nauset

Regional High School; Click on “Enter Site”; Click on Guidance)

www.fafsa.ed.gov

www.collegeboard.org

www.finaid.org