Today’s Topics

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• Sources of Financial Aid

• General Eligibility Criteria

• Cost of Education

• Application Process

• Needs Analysis

• Types of Financial Aid

• Comparing Aid Offers

Sources of Financial Aid

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• Federal Government

• State Government

• Colleges/Universities

• Private Lenders/Donors

General Eligibility Criteria

Must be enrolled or accepted for enrollment in an eligible program of study

Must be pursuing a degree, certificate or other recognized credential

Must be U.S. Citizen or eligible non-citizen

Males must be registered with Selective Service

Other, less common, criteria also apply

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Cost of Education

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$0

$10,000

$20,000

$30,000

$40,000

$50,000

$60,000

CCC CSU UC Private

CCC: Cost estimated for living at home

CSU, UC, Private: Cost estimated for living on campus

- Varies depending on Institution -

UC Irvine Costs* (2014-15)

*The tuition, fees, and charges posted here are estimates based on currently approved amounts. These figures may not be final. Actual tuition, fees, and charges are subject to change by the Regents of the University of California.

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Commuter On Campus Off Campus

Tuition & Fees $14,577 $14,577 $14,577 Room & Board $4,643 $12,638 $9,335 Books & Supplies $1,732 $1,732 $1,732 Transportation $1,640 $809 $1,652 Personal Costs $2,011 $1,821 $1,960

Total Costs $24,603 $31,577 $29,256

•You have some control over costs. •Be cautious and budget.

Types of Financial Aid Applications

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• FAFSA • Cal Grant GPA Verification Form • Other applications/forms as required by the college, such as:

-CSS/Financial Aid PROFILE -Institutional Scholarship and/or Financial Aid Application

*If you meet AB540 criteria and you are not eligible to file a FAFSA, complete a California Dream Application instead: www.csac.ca.gov/dream_act.asp

FAFSA on the Web

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• Web application used to complete electronic FAFSA at: www.fafsa.gov

• Sophisticated on-line edits and skip logic so that errors are less likely.

• On-line help is available for each question.

• Student and one custodial parent should get a federal PIN at:

www.pin.ed.gov

FAFSA on the Web Worksheet

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Getting Ready to Complete the FAFSA

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• Before starting the FAFSA, gather: Student driver’s license

Student Alien Registration Card

Student and Parent:

• Social Security cards

• 2014 W-2 Forms and records of money earned and other

taxable benefits

• 2014 federal income tax form (even if not yet completed)

• Records of untaxed income

• Current bank statements

• Business, farm, and other real estate records

• Records of stocks, bonds, and other investments

Create a file for copies of all financial aid documents submitted.

http://rds.yahoo.com/_ylt=A0Je5wvz0IhFEHMB4gSJzbkF;_ylu=X3oDMTBkZHBkcXY4BHBvcwMyOARzZWMDc3I-/SIG=1h7egdvje/EXP=1166680691/**http:/images.search.yahoo.com/search/images/view?back=http://images.search.yahoo.com/search/images?p=1040+tax+form&ei=UTF-8&fr=slv1-mdp&b=21&w=338&h=470&imgurl=thumb.shutterstock.com/photos/display_pic_with_logo/597/597,1109351967,4.jpg&rurl=http://www.shutterstock.com/pic-175308.html&size=53.6kB&name=597,1109351967,4.jpg&p=1040+tax+form&type=jpeg&no=28&tt=481&oid=33ea3529d2f1db1a&ei=UTF-8http://images.google.com/imgres?imgurl=http://www.extension.ucsd.edu/department/elp/Images/license.jpg&imgrefurl=http://www.extension.ucsd.edu/department/elp/studentlife/driving.html&h=146&w=225&sz=14&hl=en&start=4&tbnid=0MXhT6IiIkOy6M:&tbnh=70&tbnw=108&prev=/images?q=california+drivers+license&imgsz=small|medium|large|xlarge&svnum=10&hl=en&lr=&rls=RNWI,RNWI:2006-29,RNWI:en&sa=Nhttp://rds.yahoo.com/_ylt=A0Je5mx80IhF9akAVDeJzbkF;_ylu=X3oDMTBjdmNoOTVjBHBvcwMyBHNlYwNzcg--/SIG=1e41stl91/EXP=1166680572/**http:/images.search.yahoo.com/search/images/view?back=http://images.search.yahoo.com/search/images?p=W-2+form&ei=UTF-8&fr=slv1-mdp&x=wrt&w=720&h=433&imgurl=taxonline.ru/img/ex_w2_form2.gif&rurl=http://taxonline.ru/sampleW2s.html&size=18.8kB&name=ex_w2_form2.gif&p=W-2+form&type=gif&no=2&tt=502&oid=94a5a8a32b19cd56&ei=UTF-8

Federal PIN

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• PIN (Personal Identification Number) serves as the electronic signature on ED documents.

• Both student and one parent need PINs to sign the FAFSA electronically.

•May be used to: • Check on FAFSA status

• Verify and correct FAFSA data

• Add additional schools to receive FAFSA data

• Change home and e-mail addresses

• If an e-mail address is provided, PIN will be e-mailed to the PIN applicant within minutes.

Apply for student and parent PINs at:

www.pin.ed.gov

Determination of Student Dependency Status

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Parental Information

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1) Never married and not living together: Provide information on the parent you are currently living with.

2) Unmarried and both parents living together:

Provide information about both parents regardless of their gender.

3) Married or remarried: Provide information about both parents regardless of their gender. If remarried, include stepparent’s information.

4) Divorced or separated: Provide information for the parent you lived with more during the past 12 months.

5. Widowed: Provide information for the surviving parent.

1) Enter your PIN* and click “Link To IRS.”

*(You will not be asked to enter your PIN if you entered a PIN to begin your FAFSA)

2) Your FAFSA will be saved and you will be transferred to the IRS Web site. 3) On the IRS Web site, enter the requested information. 4) Once the IRS has validated your identification, your IRS tax information will display. You can either transfer your information from the IRS, or choose to return to FAFSA on the Web from the IRS Web site. 5) If you transfer your IRS tax information, questions that are populated with tax information will be marked with “Transferred from the IRS.”

Using the IRS Data Retrieval Tool (DRT)

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Parent Cash, Savings, and Checking

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Most parents will be asked to report…

• the current balances of their cash, savings, and checking

• net value of their investments such as real estate, rental property, money market and mutual funds, stocks, bonds and other securities

• net value of their businesses, partnerships and investment farms

Do not report the home in which you live, the value of life insurance and retirement plans, or the value of a family-owned and controlled small business (less than 100 employees)

Application Filing Tips – FAFSA on the Web

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• Gather necessary documents ahead of time

• Complete a FAFSA on the Web Worksheet available at: www.fafsa.gov

• Allow ample time to complete the online FOTW application for submission by the deadline

• Check the FAFSA on the Web for accuracy prior to submission.

• If you find a mistake, log back in and correct it

• Save all work periodically

• If taxes aren’t filed yet, estimate your income and update after filing

• File your taxes on time

• Sign the application using student’s and one custodial parent’s PINs

• Keep a printed copy of the FAFSA and Submission Confirmation Page.

• Don’t be afraid to ask for help!

Student Aid Report (SAR)

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•After the student completes the FAFSA on the Web, a SAR will be sent to the student.

•An electronic SAR Acknowledgment will be sent if student provides an email address. •A paper SAR will be mailed if no student e-mail address is provided.

•An electronic copy of the data will be sent to each college or university listed by the student in Section 1.

•Keep a copy of the SAR with other financial aid documents.

Pitfalls to Avoid

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• Missing deadlines

• Misreporting information

• Failing to re-apply for financial aid each year

• Ignoring financial aid emails

• Paying for assistance

Needs Analysis

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• Information reported on the FAFSA is analyzed to determine how

much the family can pay toward college expenses.

• Key factors: -Student’s income

-Parents’ income

-Student’s assets

-Parents’ assets

-How many people are in the family household

-How many of those people are in college

The result is the Expected Family Contribution (EFC).

• The formula is set by Congress and it is not perfect!

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Needs Analysis

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• Your EFC is the figure used by your school to calculate the amount of need-based student aid you are eligible to receive.

• Your EFC is not the amount of money your family will have to pay for college nor is it the amount of federal student aid you will receive

NEED = COST OF ATTENDANCE - EFC

Cost of Attendance $31,577

- Estimated Family Contribution - 2,500

= Need $29,077

Types of Financial Aid

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Gift Aid - Grants or scholarships that do not need to be repaid

Work - Money earned by the student as payment for a job

on or off campus

Loans* - Borrowed money to be paid back, usually with interest

*Federal student loans are available to most students regardless of income and provide a range of

repayment options including income-based repayment plans and loan forgiveness benefits, which other

education loans are not required to provide.

Types of Aid: Gift Aid

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Scholarships:

• Awarded on the basis of academic performance, special talents, and other factors

• Generally replace loans

• Alert! Utilize reputable private scholarship search tools scams: www.finaid.org/scholarships/scams.phtml

Grants:

• Awarded on the basis of demonstrated financial need

• Do not have to be repaid (Federal, State and University)

Types of Aid: Scholarships

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University Scholarships: • Such as campus-wide, departmental, athletic and restricted

scholarships • Application processes and deadlines vary

Private Agency Scholarships:

• From foundations, clubs & organizations, banks, employers, high schools, etc.

• Typically apply directly to the organization Scholarship Search Engines:

• Collegeboard.org • Collegenet.com • Fastweb.com • Finaid.org • Collegetoolkit.com

Types of Aid: Grants

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• Federal Grants

Pell Grant (maximum of $5,730 for 2014-15)

SEOG (Supplemental Educational Opportunity

Grant)

• State Grants

Cal Grant A & B: $12,192 at the UC in 2014-15

Cal Grant B Stipend: $1,648 in years 2+

• University Grant

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Types of Aid: Cal Grants

•Cal Grant A Entitlement Awards – for high school seniors and recent high school grads with a Grade Point Average (GPA) of at least 3.0, family income and assets below the state ceilings, who demonstrate financial need

•Cal Grant B Entitlement Awards – for high school seniors and recent high school grads with a GPA of at least 2.0, who come from disadvantaged or low income families, whose family income and assets are below the state ceilings, and who demonstrate financial need

•Cal Grant C Awards - for students from low income families pursuing vocational programs of study

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To be eligible for a Cal Grant, the student must:

• Be a U.S. citizen or eligible noncitizen (or meet AB540 criteria)

• Be a California resident when you graduate from high school (or meet AB540 criteria)

• Attend an accredited California college or university at least half-time in 2015-16

• Meet minimum high school GPA requirements: in general 3.0 Cal A 2.0 Cal B

Eligibility for Cal Grants

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Cal Grant Application Requirements

By March 2*, 2015, complete and submit: *(or the next business day if March 2nd falls on a weekend)

Free

Application for

Federal

Student Aid

(FAFSA)

Cal Grant

GPA

Verification

Form

-Note: If you meet AB540 criteria and you are not eligible to file a FAFSA, complete a California Dream

Application instead of a FAFSA

-Check with your high school or college counselor for more details on how to file the Cal Grant

GPA Verification Form

+

Types of Aid: Loans and Work

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Loans: • Require repayment

• Offered to most students

• Offset by scholarships

• Available from federal government, institutions and banks/credit unions

Work-Study: • Provides opportunity for employment while enrolled

• Work study not required to work on campus

• Note: Many on-campus jobs are available without work-study

Covered 2014-15 system-wide fees ($12,192) for California residents whose families earned less than $80,000 a year and student qualified for financial aid.

Qualified students must be in their first four

years of attendance (first two years for

transfer students).

Complete information available at www.universityofcalifornia.edu/blueandgold/

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• New program beginning in the 2014-15 academic year

• For families making up to $150,000/yr

• Once fully phased in will cover up to 40% of system-wide fees at UC and CSU

campuses ($4,976 at UC based on 2013-14 fees)

• 2014-15 at 14%, 2015-16 at 20%, 2016-17 at 30%, and 2017-18 at 40%

• Must be a California resident or AB540 eligible

• Is a citizen of the United State, eligible non-citizen, or meets AB 540 eligibility

• Must complete a 2015-16 Free Application for Federal Student Aid (FAFSA) or the

California Dream Act Application by March 2nd

• Families earning between $100,001 and $150,000 will have their eligibility reduced on a

sliding scale

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Special Circumstances

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• Contact the Financial Aid Office if there are circumstances which affect a family’s ability to pay for college such as:

• Loss or reduction in parent or student income or assets

• Death or serious illness

• Natural disasters affecting parent income or assets such as the recent California wild fires, floods, or mudslides

• Unusual medical or dental expenses not covered by insurance

• Reduction in child support, Social Security benefits or other untaxed benefit

• Financial responsibility for elderly grandparents

• Any other unusual circumstances that affect a family’s ability to contribute to higher education

California Student Aid Commission (CSAC):

www.csac.ca.gov

Cal Grant Information

1-888-224-7268

Helpful Resources

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Federal Pin for Electronic FAFSA: www.pin.ed.gov

Electronic FAFSA :

www.fafsa.gov

General Questions to U.S. Dept. of Ed. and FAFSA Processing

Issues:

1-800-433-3243

www.ed.gov

Questions and

Answers

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