FAFSA: MAXIMIZE YOUR FINANCIAL

Transcription

1 FAFSA: MAXIMIZE YOUR FINANCIAL AID

2 AGENDA Importance of an education Role of the Financial Aid Office Types & Sources of Financial Aid How to Apply for Financial Aid Awarding Process & Comparing Awards Tips

3 WHO WANTS A MILLION DOLLARS?

4 WHY ARE YOU HERE? Jobs of the future will require more skills than those provided by a high school education alone Students who go to college have financial advantages their life-time earnings are higher than those of high school graduates they are less likely to be unemployed their children are more likely to attend college

5 PHILOSOPHY OF FINANCIAL AID Providing access and information Parents and students have the responsibility to pay for higher education expenses to the extent they are able The aid application process should provide Financial Aid Office a consistent and equitable evaluation of a family s financial circumstances for all that are applying Allocation of finite resources

6 OUR ROLES The Financial Aid Office s Role To administer federal, state and institutional financial assistance to students and their parents in an accurate, informative, timely and friendly manner Parent & Student s Role To contribute t to the application, awarding and financing i process throughout student s Undergraduate Education Most students are considered dependent until the age of 24

7 SUMMARY OF FINANCIAL AID PROGRAMS Need Based Financial Aid Federal Grants Cal Grants School Grants Federal Stafford Subsidized Loans Federal Work Study Outside Agency Scholarships Non-Need Need Based Financial Aid Academic/Athletic Scholarships Outside Agency Scholarships Federal Stafford Unsubsidized Loan Institutional Work Study Parent PLUS Loan

8 FOUR PRIMARY SOURCES OF AID - FEDERAL 1. Federal Programs (FAFSA Application) Pell Grant Supplemental Grants Stafford Loans Subsidized vs. Unsubsidized Perkins Loan Work Study

9 SOURCES OF AID CALIFORNIA CAL GRANT A 2. All students who have earned a high school GPA of 3.0 or greater, demonstrate financial need, meet parental income and asset requirements, and file by March 2015 will receive up to four years of system-wide fees at UC ($12,192) and CSU ($5,970) campuses ( data) as much as $8,056 at independent California colleges or universities as much as $4,000 at California a private career colleges

10 SOURCES OF AID CALIFORNIA CAL GRANT B All students who have earned a high school GPA of 2.0 or greater, demonstrate financial need, meet parental income and asset requirements, and file by March 2015 will receive up to four years of A $1,473 stipend, called Access, for living expenses for up to four years at all California colleges and universities including the community colleges Plus the tuition amounts listed for Cal Grant A NOTE: Cal Grant B students will only receive the stipend their first year. They cannot receive their tuition portion until years 2-4.

11 SOURCES OF AID CALIFORNIA DREAM ACT Opportunity for Cal Grant funding for AB540 students Same amounts for Cal Grant A and B Does not allow students to work on campus There is a Federal process for working on campus DACA Deferred Action for Childhood Arrivals Information is kept confidential between state t and institution

12 SOURCES OF AID - CHAFEE Provides up to $5,000 annually to current and former foster youth for college or vocational training at any accredited college in the U.S. To apply, complete the: FAFSA California i Chafee Grant Program Application To learn more about the Chafee Grant, go to

13 SOURCES OF AID - INSTITUTION 3. Institutional Programs Scholarships - Based on merit and GPA Grants - Based on need Loans - Potentially based on both need and merit Work - May not be offered by all schools

14 SOURCES OF AID OUTSIDE FUNDING 4. Outside Resources Community: Rotary, YMCA, Elks Parent s Employer Web Sites: Time spent on searches Worthwhile? Outside Scholarships can replace loans/work High School s resources Be cautious! Don t pay for services!

15 RESOURCES FOR PARENTS Parent Programs Employer Reimbursement for Dependents Federal Plus Loan Program Payment Plans Federal IRS Educational Tax Benefits

16 CONNECTING ADMISSIONS & FINANCIAL AID PROCESS Apply for Admission AND Apply for Financial Aid Don t wait for an admission decision to apply for financial aid Schools will prepare & send financial aid awards once student is admitted

17 APPLYING FOR FEDERAL AID Free Application for Federal Student t Aid (FAFSA) Required for Federal and State fund eligibility January 1, 2015 FAFSA4caster for non-seniors PIN Number required for E-Signature Each school has their own deadlines! Estimate Information if taxes are not complete t

18 CAL GRANT - HOW TO APPLY Cal Grant G.P.A. Verification Form Check the status of your Cal Grant at Deadline in early March New California law states that we must check income and assets annually. How does your High School process Cal Grant GPA Verification Forms?

19 UNDOCUMENTED STUDENTS Undocumented and under-documented students, while not eligible for federal aid, may be eligible for state aid in California Apply for the CA Dream Act Application through - CA state residence only Check early regarding g permanent residency Check for institutional aid availability For a list of some scholarships, go to and g

20 WHAT HAPPENS NEXT?

21 COST OF ATTENDANCE Direct Expenses Tuition and Fees Room: On Campus, Off Campus, With Parents Board: Meal Plan Indirect Expenses Books and Supplies Personal Expenses Transportation and Parking

22 THE EXPECTED FAMILY CONTRIBUTION (EFC) The Expected Family Contribution (EFC) is what the family is expected to pay according to the Federal Government and the information reported on the FAFSA. The Federal Government offers limited resources, so the entire need is not always met. Often the families do have to pay more than the estimated EFC. Institutions may calculate their own EFC for allocating their own limited resources by collecting CSS Profile application information. Currently, the CSS Profile is not required by LMU.

23 FINANCIAL AID FORMULA Cost of Attendance (COA) Expected Family Contribution (EFC) Financial Need

24 THE FORMULA - EXAMPLES School Pi Private UC CSU CC *Est. Cost/yr. $60,000 $30,000 $20,000 $15,000 **Est. Family Contribution/yr. ***Amount of Need for Fin. Aid $10,000 $10,000 $10,000 $10,000 $50,000 $20,000 $10,000 $5,000 *Cost for college includes: Room & board (whether living home or on/near campus), books, fees &/or tuition. Information based on estimates provided by State information and rounded up or down. **Estimated Family Contribution would be based on the information provided on the FAFSA &/or PROFILE. Amount used above is for demonstration purposes only. *** Need is the difference between the two numbers. The financial package would include one or more of fthese items: Grants, Scholarships, hi Loans, Work/Study Program.

25 PACKAGING FINANCIAL AID AWARDS Cost of Attendance $60, Expected Family Contribution $20,000 Financial Need $40, Example Financial Aid Package Stafford Loan $ 5,500 LMU Loan $ 2,000 Work Study $ 3,000 Institutional Award(s) $25,000 Total Awarded $35,500 Unmet Need $4,500

26 NET PRICE CALCULATOR Regulations state that every US school must have a standardized calculator to give families an idea how much it will cost to attend. Different schools = different calculators Some schools use a generic calculator Some schools have broad ranges Some schools use the lowest estimate Output is only as accurate as the information entered

27 FINANCIAL DECISIONS There are other ways to save money Commuting instead of living on campus Evaluating your meal plan Purchasing books online Renting books E-books Provide financial literacy to students before college starts Buying coffee/pizza while on a meal plan Build a weekly/monthly personal budget Borrow wisely! Impact over 10+ years

28 TIPS Put all deadlines on the calendar! File taxes early Start a financial aid file Make copies of all documents submitted for all four years Apply for a FAFSA PIN now Apply Each and Every Year

29 TIPS If you send any documents through the mail, make sure to get a certificate of mailing Research outside agencies for scholarships Review Websites Financial Aid TV on LMU s Website Use on-line web services tool provided by the school Notify Financial Aid Office of any changes in family circumstances

30 CONTACT INFORMATION Nataly De La Peña 1 LMU Dr. Suite 270 (Charles Von Der Ahe Building) Los Angeles, CA ndelapen@lmu.edu