1
Financial AidIUPUC
IUPUC
2
FINANCIAL AID Financial Aid: Funds provided to
student/families to help pay for postsecondary educational expenses
www.fafsa.gov (or www.fafsa.ed.gov)
Provides a snapshot of the students/family’s personal & financial information (marriage, number in household or college, income & assets)
IUPUC
3
PERSONAL IDENTIFICATION NUMBER (PIN)
www.pin.ed.gov
Sign FAFSA electronically
Used by students/parents throughout aid process; including subsequent school years
IUPUC
4
Free Application for Federal Student Aid
(FAFSA) submitted each year. (INCLUDE EMAIL
ADDRESS)
Processor receives FASFA via internet or mail.
Student receives Student Aid Report (SAR) from the processor
College/University receives student FAFSA data from
the processor.
Financial Aid Office requests additional information from student and/or parent(s).
YESIs additional information
needed?
NO
Requested information
received from student/parent(s).
Financial aid file completed
and the student is awarded.
FINANCIAL AID PROCESS
IUPUC
5
IMPORTANT DATES January 1st
FAFSA available (submitted every year) www.fafsa.gov or www.fafsa.ed.gov
March 1st
IU priority deadline (important for limited funds) (check date with the University student will attend)
March 10th
Deadline to qualify for state aid (can still qualify for federal aid after this date)
May 15th
All corrections/edits must be made to FAFSA (including electronic signatures)
IUPUC
6
DATA BASE MATCHES Social Security Administration Selective Service National Student Loan Data System
(NSLDS) Immigration and Naturalization Services If FAFSA does not pass a database match,
it will cause delays in processing (federal, state and institutional) funds
IUPUC
7
COST OF ATTENDANCE (COA)
Direct & Indirect costs Direct is billed by or paid directly to college▪ Tuition & fees▪ On-campus housing
Indirect are necessary expenses▪ Transportation▪ Personal care items
Varies widely from college to college Puts a cap on the amount of financial aid
a student can receive IUPUC
8
ESTIMATED FAMILY CONTRIBUTION (EFC)
Amount family can reasonably be expected to contribute towards COA
Stays same regardless of college Calculated using data from a federal
application form and a federal formula This is NOT what a student owes the
University. Is used to determine need based aid
IUPUC
9
FINANCIAL NEEDYour financial need determines how much
financial aid you may receive Financial need is the difference between the
COA and the EFC Will vary based on the cost of different
collegesCost of Attendance
– Expected Family Contribution = Financial Need IUPUC
10
TYPES OF AID Scholarships
Does not have to be paid back Awarded on the basis of merit, skill or unique
characteristic
Grants Money that does not have to be paid back Usually awarded on the basis of financial
need IUPUC
11
TYPES OF AID Loans
Students & parents borrow to help pay for college expenses
Repayment usually begins after education is finished
Every student offered Stafford loans that complete FAFSA
Employment Allows student to earn money to help pay
educational costs▪ Paycheck▪ Non-monetary compensation, such as room & board
IUPUC
12
ENROLLMENT REQUIREMENTS
Student Loans (any) Minimum ½ time (6 credits for undergrad & 4 for
graduate) Pell Grant
No requirement (is pro-rated based on enrollment) State Grant (O’Bannon, 21st Century & National Guard
Supplemental Grant) Full time (12 credits)
Child of Disabled Veteran (CVO or CDV) No requirement
Contact the Office of Financial Aid before making any schedule adjustments!!! IUPUC
13
LOANS Stafford Loans (every student offered)
3.4% (subsidized loans; government pays interest until end of grace period. Sub loans determined by financial need)
6.8% (unsubsidized loans; interest starts accruing as soon as disbursed)▪ 6 month grace period
Perkins Loans (awarded through University) 5%▪ 9 month grace period IUPUC
14
LOANS Private Loans
Varies upon credit (might need co-signer) Flexible repayment
Parent PLUS loans (if denied additional unsub loans available; ONLY for Dependent students) 7.9%▪ 60 days after final disbursement (parent can
request deferment through lender) IUPUC
15
Dep Ind
Fresh $5,500 +$4,000
Soph $6,500 +$4,000
Junior $7,500 +$5,000
Senior $7,500 +$5,000
STAFFORD LOANS
IUPUC
16
FAFSA ON THE WEB (FOTW) WORKSHEET
2012/2013 FOTW Worksheet 4 pages 24 questions/4 sections Fewer questions than FAFSA on the Web
FOTW Worksheet: Section 1 General student information▪ Make sure name & SSN are exactly as it appears on
SS Card▪ Student must meet citizenship/eligible noncitizen
criteria, but does not verify the status of the parents.
IUPUC
17
FOTW WORKSHEETFOTW Worksheet: Section 2
Students dependency status▪ If all “NO’ responses, student is dependent▪ If “Yes” to any question, student is independent
FOTW Worksheet: Section 3 Information about parents of dependent students▪ Does not include grandparents, foster parents & legal
guardians (unless a legal adoption has occurred) If parents divorced then use the parent that
contributes more than 51% of the care (if that parent is remarried step-parent will also be included) IUPUC
18
FOTW WORKSHEETFOTW Worksheet: Section 4
Information about student (and spouse if applicable)
Additional Information Can list up to 10 school codes
Signatures Required by student (and parent if
dependent) IUPUC
19
IRS Data Retrieval Tool While completing FOTW, applicant may
submit real-time request to IRS for tax data IRS will authenticate taxpayer’s identity If match found, IRS sends real-time results to
applicant in new window Applicant chooses whether or not to transfer
data to FOTW Available late January 2012 for 2012-2013 Participation is voluntary Could reduce documents requested by school
IUPUC - ISFAA
20
Frequent FAFSA Errors Social Security Numbers Divorced/remarried parental information Income earned by parents/stepparents Untaxed income U.S. income taxes paid Household size Number of household members in college Missing signature, parent and/or student
IUPUC - ISFAA
21
SPECIAL CIRCUMSTANCES A Special Circumstances Appeal allows
you to report things that cannot be reported on the FAFSA:
Change in employment status Death or divorce Medical bills not covered by insurance Change in parent marital status Unusual dependent care expenses Student is unable to obtain parental information Ask your financial aid office for a
Special Circumstances Appeal form to report this information IUPUC
22
TIMELINE After completing FAFSA student receives
Student Aid Report (SAR) 3-5 days information is received by
school (if student is admitted) 4-6 weeks for FAFSA to process Financial Aid Notification (FAN) will be
mailed/emailed to student Financial aid will post at different times
according to the schools policy – check with University
IUPUC
23
The confirmation number will contain the student’s randomly generated identification number.
This will replace the student’s current confirmation number which is composed of their Social Security Number and first two letters of their last name.
IUPUC
24
GETTING READY FOR FAFSA
www.FAFSA4caster.ed.gov
Is available as a tool that high school juniors and seniors can use to get an early forecast of their eligibility for
federal need-based aid. IUPUC
25
COLLEGE GOAL SUNDAY
For help completing the FAFSAwww.collegegoalsunday.org
February 12, 2012
IUPUC
26
THANK YOU
IUPUCOffice of Financial Aid and Scholarships
Jennifer Perry
IUPUC