2017-18 FINANCIAL AID

PRESENTATION

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What does college cost?

Tuition

+ Room and Board

+ Transportation

+ Books and Supplies

+ Miscellaneous Living Expenses

= Cost of Attendance (COA)

Direct versus Indirect Costs

Direct Costs-costs that must be paid directly to the college

• Tuition

• Room and Board (living on campus)

Indirect Costs-those other expenses that you may have more control

over

• Not billed by the college

• Can vary depending upon class enrollment (books and supplies) or

the student’s spending habits

How is Financial Aid Calculated?

Based on a formula established by Congress.

The formula calculates the Expected Family Contribution.

The EFC is the amount a family can reasonably be expected to

contribute, but not what the family will actually pay to the college.

An index number used to calculate eligibility for aid.

Stays the same regardless of college/university.

What goes into the EFC Formula?

• Income of both student and parents

• Assets of both student and parents

• Family size

• Number in College

• Age of the older parent

• Has income and asset protection allowances

Determining Financial Need

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= Financial Need

– Expected Family Contribution (EFC)

Cost of Attendance (COA)

Comparing School Costs

School 1 School 2 School 3

Cost of

Attendance$ 39,028 $ 19,388 $ 14,285

Less EFC $ 3,823 $ 3,823 $ 3,823

Need $ 35,205 $ 15,565 $ 10,462

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How is Financial Need Met?

• Grants

• Loans

• College Work Study

• Scholarships (based on income or financial need)

Federal Pell Grant

Federal Supplemental Educational Opportunity

Grant (SEOG)

TEACH Grant

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Federal Grants

State Grants

• Wisconsin Grant (aka WHEG and WTG)

• Hearing and Visually Handicapped Student Grant

www.http://heab.wi.gov

• Minnesota-Wisconsin Reciprocity Agreement

www.http://heab.wi.gov

• Talent Incentive Program (TIP) Grant

www.dpi.wi.gov/weop/index.html

Employment and Scholarships

Federal Work-Study

Institutional Work Programs

Off Campus Employment

Scholarships

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Student Loans (rates change 7/1/17)

Perkins Direct Student Loan (subsidized & unsubsidized)

Federal PLUS Loan Private

Alternative

Loan

Borrower Student Student Parent Student

Cosigner None None Only if poor credit Probable

Credit

check

No No Yes Yes

FAFSA

required

Yes Yes Recommended Recommended

Interest

Rate

5% 3.76% Fixed (undergraduate)

5.32% (graduate)

6.31% (Direct) Fixed Variable

Fees None Origination Fee & Default Fee Origination and Default

Fees

Vary by loan

program and credit

rating

Loan

Limits

$4,000 per year 1st year - $5500 (up to $3500 sub)

2nd year - $6500 (up to $4500 sub)

3,4,5 years - $7500 (up to $5500

sub)

$23,000 total sub

$31,000 total sub and unsub

Cost of Attendance less

Aid

Cost of

Attendance less

Aid

Repayment 9 months after leaving

school

6 months after leaving school or

dropping below ½ time

60 days after fully

disbursed (Upon request,

may delay payments until

after student graduates)

Check with lender

• Institutional Aid from the College

• Corporation for National and Community Service

http://www.americorps.gov

• Income Tax Benefits (check with your accountant)

• Veteran’s benefits and tuition waivers

• Bureau of Indian Affairs (BIA) Grants

• State Divisions of Vocational Rehabilitation (DVR)

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Other Resources

Fund for Wisconsin Scholars (FFWS)

• The FFWS is a private charitable foundation that has been funded with a $175 million founding gift. It will provide grants to talented, lower-income graduates of Wisconsin public high schools attending a public college, university or technical school in Wisconsin. Recipients are selected randomly out of those students that meet basic eligibility criteria.

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For More Information:

www.ffws.org

Contact:Mary Gulbrandsen, Executive DirectorP.O. Box 5506Madison, WI 53705-0506Ph: 608.238.2400mgulbrandsen@ffws.org

• Parental Affiliations

• Employers & Labor Unions

• Religious and Community Organizations

• Clubs and Civic groups

• Civic organization scholarships

• High School

• Local Public Library

• Private business scholarships

• Internet

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Check out…

What You Need to Know

• Must file every year in college

• Can file after October 1st of your senior year

• FSA ID needed(Parent/Student)

• Never pay a fee to file the FAFSA

• If you need assistance, attend College Goal Wisconsin or contact the financial aid office at your college

• The earlier the BETTER!!

College Goal Wisconsin

• Free program to help families complete the FAFSA

• $1,000 scholarship will be given away at each location

• 35 locations and 44 events throughout Wisconsin

• 97 percent of the families felt it was worth attending

NTC – Wausau

Wednesday, November 9, 2016, at 6 p.m.

Saturday, January 28, 2017, at 10 a.m.

For location information:

visit www.collegegoalwi.org

or call 1-866-578-4625

Items you need to complete the

FAFSAoRecords of income. Such as income earned from work and business, child

support paid or received, and any other untaxed income.

o Tax returns. W-2 Forms and the 2015 Federal Income Tax Return IRS 1040,

1040A, or 140EZ.

o Information about assets. This includes savings, certificates of deposit, stock

options, bonds, 529 plans and other college savings programs, and investment real

estate, business, and farm.

oDriver’s license number, if the student has one.

oAlien Registration Number, if not a U.S. citizen.

oParents’ month and year of marriage, separation, or divorce

oDate of birth. Parent(s) and student.

FAFSA.gov

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Can list up to 10 colleges

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If you can check ANY of the following boxes, you will not have to provide parental info.

If you check NONE of the following boxes, you will be asked to provide parental info.

I was born before

January 1, 1994 I am married

I will be working on a master’s or

doctorate program (e.g. MA, MBA,

MD, JD, PhD, EdD, graduate

certificate)

I am serving on

active duty in the

U.S. Armed Forces

I am a veteran of

the U.S. Armed

Forces.

I now have or will have children

for whom I will provide more than

half of their support between July 1,

2016 and June 30, 2017

Since I turned

aged 13, both of my

parents were

deceased

I was in foster

care since turning

age 13

I have dependents (other than

children or my spouse) who live with

me and I provide more than half of

their support

I was a

dependent or ward

of the court since

turning age 13

I am currently or

I was an

emancipated minor

I am

currently or I

was in legal

guardianship

I am homeless

or am at risk of

being homeless

Who is a Parent?

Two biological or adoptive parents REGARDLESS of marital status

OR gender, if those parents live together

Divorced or separated parents

Stepparent

Widowed parent

Do not provide income information on:

Legal guardians

Grandparents

Other relatives the student might live with

Foster parents

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These assets are NOT included on

the FAFSA…• Net worth of the home you are living

• Qualified pension/retirement programs/annuities

• Life insurance policies

• Value of car, stereo, boat, etc.

• Family farm net worth

• Business net worth if there are less than 100 employees

• Non educational IRAs

• Keough Plans

These assets ARE included on the

FAFSA…• Trust funds

• Certificate of deposits

• Mutual funds, stocks, and bonds

• 529 College Plans

• Rental property

• Second home/cottage

• Land not associated with farming

• Coverdell Saving Account

• UGMA/UTMA Accounts

tep 5: Click on the “Financial Information” tab. Select “Already Completed” for the tax return filing status and answer the eligibility questions.Step 7: Click “OK” to leave the FAFSA website and enter the IRS Data Retrieval Tool website.

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SUZANNE SMITH

742 EVERGREEN TERRACE

SPRINGFIELD, OH 55555

Dear SUZANNE SMITH,

Your Student Aid Report (SAR) summarizes the information you submitted on your 2015-16 Free Application for Federal

Student Aid (FAFSA).

Application Status (review the checked boxes)

Your FAFSA appears to be complete. Review the data on pages 3 – 10 of your SAR and make corrections or updates if

necessary. The school(s) listed on your FAFSA will receive your information.

Your FAFSA has been selected for verification. Verification is a process where your school confirms the data you reported

on your FAFSA. Your school has the authority to contact you for documentation that supports income and other

information that you reported on your FAFSA.

Student Aid Report (SAR)

IRS Transcript

If parent/student did not use IRS Data Retrieval or information retrieved was

subsequently changed…this is called the VERIFICATION PROCESS

Some schools may still choose to request even if Data Retrieval used

Has to be requested from the IRS

Online – www.irs.gov

By phone 1-800-908-99465

Complete and submit IRS Form 4506-T

It is a FREE document and is usually received in about 7 – 10 days from

request

Can no longer accept copies of the 1040

Net Price Calculator

• Each college website has this tool.

• It is a tool for early financial planning for college.

• The calculator is an approximation of federal and state aid eligibility.

• This is for your information only.

• It is not an application for financial aid.

• The calculator provides an estimate only.

Find ANY calculator for ANY college/university

collegecost.ed.gov/netpricecenter.aspx

Special Circumstances

• Divorce/Separation

• Loss of income or benefits

• One-time income

• Death or Disability of student or parent

• Medical/Dental expenses not covered by insurance

• Elementary or secondary school tuition

• Dependency override

(Note: Professional Judgment is at the sole discretion of each institution

and you must contact each college financial aid to make a request.)

• Files the FAFSA

• Is selected for verification

• Receives an award notification

• Is responsible for notifying FAO of outside scholarships

The Student

• Accepts/Declines aid offer

• Signs the Master Promissory Note for Stafford Loans

• Completes Loan Entrance Counseling

The Student

• Is responsible for their bill with the institution

• Is responsible for their student loans

• May choose to share information with their parent, or others

The Student

Student Responsibility

Cost of Attendance $19,939

EFC 0*

Financial Need $19,939

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Pell Grant 5,815

Wisconsin Grant 2,324

SEOG 1,300

Federal Direct Student Loan (subsidized) 3,500

Federal Direct Student Loan

(unsubsidized)

2,000

College Work Study 2,000

Local scholarship 1,000

PLUS Loan 2,000

TOTAL 19,939

Financial Aid Package

Be sure to SubmitResults are sent

electronically to the college(s)

Check to see if the college(s) require an institutional financial aid application too

Receive Student Aid Report (SAR)

24-48 hours later

Verification Process (Submit IRS Transcript)

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Receive and

Accept Financial

Aid Package

Summary

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• Presented by:

Sharon Hunter

DPI-WEOP

2600 Stewart Avenue, Suite 274

Wausau, WI 54401

Sharon.hunter@dpi.wi.gov

715/842-0872

Questions