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WASFAA PowerPoint - 2010 High School Counselor Drive-In Workshop


									Fall River School District
  Financial Aid Information- 2010/2011

           Ms. Sandy Henney
             Ms. Emily Cole
        School Counseling Office:
        920-484-3333 ext. 228
Information Provided By:
Goals of Financial Aid
   To assist students in paying for school
   To provide opportunity and access to higher
   To help narrow the gap between what the family
    can pay and the cost of education
Financial Aid Regulations
   Are determined by federal and state statutes and
   Establish applicant’s eligibility for most types of aid
   Each financial aid program has it’s own unique
    eligibility requirements
   Are applicable to all schools
Principles of Needs Analysis
   To the extent they are able, parents have primary
    responsibility to pay for their dependent children’s
   Students also have a responsibility to contribute to
    their educational costs
   Families should be evaluated in their present financial
   A family’s ability to pay for educational costs must be
    evaluated in an equitable and consistent manner,
    recognizing that special circumstances can and do
    affect a family’s ability to pay
What Are the Costs?
        Tuition and Fees
    +   Room and Board
    +   Transportation
    +   Books & Supplies
    +   Miscellaneous Living Expenses
    =   Cost of Attendance (COA)

**COA varies widely from institution to
    Expected Family Contribution (EFC)
    (Federal Methodology established by U.S. Congress)

   Determined by filing the Free Application for Federal
        Student Aid (FAFSA)

   An index used to calculate eligibility for aid
   Stays the same regardless of college
   Two components
     Parentcontribution
     Student contribution
 Main Determinants of the EFC

    Income of both student and parents
    Assets of both student and parents
    Family size
    Number in College
    Age of the older parent

Adjustments to EFC may be made by the Financial Aid Office due to
Verification and/or Special Circumstances that limit ability to pay
EFC Calculation Example
   Family Size                                          4
   Number in college                                    1
   Parent AGI (IRS 1040A)                        $ 52,000
   Parent Untaxed Income                         $ 3,500
   Parent’s Assets                               $ 45,000
   Student’s AGI                                 $ 4,500
   Student’s Assets                              $    500
    Parent’s Contribution                        $ 3,728
      (Parent’s Contribution from Assets = $0)
   +Student’s Contribution                       $   100
      (Student Income Contribution $0)
      (Student Contribution from Assets $100)
   =Expected Family Contribution:                $ 3,828

  **EFC based on 2010-2011 formula
Financial Need Defined

   Cost of Attendance (COA)

 – Expected Family Contribution (EFC)

 = Financial Need
Financial Need Varies by
School Cost
                                       School 1 School 2 School 3

 Cost of    $ 39,028                                                        $ 19,388                              $ 14,285
 - EFC                                $ 3,828                               $ 3,828                               $ 3,828

 Need                                 $ 35,200                              $ 15,560                              $ 10,457

 Cost of Attendance Source: College Board Trends in College Pricing 2008 - Average Estimated Undergraduate Budgets 2009-2010
What is Financial Aid?
   Grants
   Scholarships
   Work Study Employment
   Loans
Three primary sources of funding:
   US Department of Education
       The federal agency that provides funding in the form of grants,
        work study, and loans
   State
       Most states have agencies that administer state scholarship and
        grant programs, college savings and prepaid tuition programs,
        and loans. The Higher Educational Aids Board (HEAB) manages
        state aid in Wisconsin
   Colleges & Universities
       Schools may offer their own scholarship, grant, work-study and
        loan programs, with each setting its own requirements
Gift Aid (FREE $$$)
   Federal
       Federal Pell Grant
       Federal Supplemental Educational Opportunity Grant (SEOG)
       TEACH Grant
   State
   Institutional
Gift Aid (FREE $$$)
   Civic organization scholarships
     High School
     Local Public Library

   Private business scholarships
   Online scholarship search engines
Other sources of funding
   Parental Affiliations
     Employers & Labor Unions
     Religious and Community Organizations

     Clubs and Civic groups
Self-Help Aid
Employment (must be earned as wages)
 Federal Work-Study

 Institutional Work Programs

 Off Campus employment

Loans (must be repaid with interest)
 Federal Perkins Loan

 Federal Stafford Loans
       William D. Ford Federal Direct Loan Program
       Subsidized
         Must exhibit financial need to qualify
       Unsubsidized
   Federal PLUS Loan (parent)
   State Loans
   Institutional Loans
   Private-Alternative Loans
Federal Student Loans
Every family should file a FAFSA. Regardless of income, every
  student qualifies for a Federal Stafford loan, if they meet the
  basic eligibility requirements.

Benefits of a federal student loan:
 You don’t have to repay until you leave school

 Lower interest rates than credit cards

 Credit record is not needed

 Co-signer is not required
PLUS vs. Private/Alternative Loan

    Compare the Differences:
       Interest Rate (variable vs. fixed)
       Borrower/Cosigner requirements & qualifications
       Minimum and Maximum loan amounts
       Interest accrual
       Deferment & Forbearance options
       Fees (origination and repayment)
       Repayment period
       Consolidation options
Borrowing Tips!

 Before borrowing, think about your ability to make the
  monthly payment when you leave school (student loan
  calculators are available online)

 Borrowers are free to choose any participating lender when
  borrowing under an alternative loan program

 Borrow only what is needed for direct educational expenses
  and avoid borrowing funds for discretionary spending
Other Financing Options
   School Payment Plans (spread over several months)
   Home Equity Loans (longer repayment, tax
   Life Insurance Policy Loans
   Retirement Plan Loans
   529 Plan withdrawals
Almost EVERYONE is eligible for
some type of financial aid, but…..

   And it’s free!
  NEVER pay to file the

 File the FAFSA each year.
Receiving Aid
   After filing the FAFSA, Wisconsin’s Higher Education
    Aid Board receives the student’s information.
   HEAB notifies the college or university financial aid
    offices of each student’s eligibility for state financial
   The financial aid offices include all state/federal
    aid in the student’s financial aid package.
Application Process
    Apply for PIN through Department of Education
    Submit the Free Application for Federal Student Aid
     (FAFSA) prior to your school’s deadline
     , NOT!!
    Submit any institutional
     application materials
     (if required by your school)
    Finalize school admission
    Make sure to meet all
     required deadlines!
Get Help
  College Goal Wisconsin
     Free program to help families
      complete the FAFSA
     February 19-20, 2011
     Scholarship drawing at each site
         Provided by WASFAA and CACG
     30 sites throughout Wisconsin
     Sponsored by WASFAA, along with several other partners

                        For location information:
                      or call 1-866-578-4625
                                       College Goal Wisconsin
                                            Saturday Sites
                                         February 19, 2011

Appleton                         Beloit                        Elkhorn                 Janesville
Fox Valley Technical College     Beloit Memorial High          Gateway Technical       Hedberg Public Library
1825 N Bluemound                 School                        College                 316 S Main Street
(Entrance 1, Room A105)          1225 4th Street               400 County Road H
                                                               Atrium – 200            Madison
Kenosha                                                        Building                Edgewood College
Gateway Technical College        Keshena                                               1000 Edgewood College
3520 30th Avenue                 College of Menominee          Lac du Flambeau         Avenue
The Center for Bioscience        Nation                        Lake of the Torches     (Use Main Entrance)
                                 N172 State Hwy 47/55          Hwy 47 N,
Madison                                                        Convention Center
Madison Area Technical                                         (Questions, contact     Milwaukee
College                          Marinette                     the Education Dept.)    Custer High School
3550 Anderson Street             UW Marinette                                          5075 N Sherman Blvd
(Use Redsten Gym Entrance)       750 W Bay Shore Street        Milwaukee               (Park on south side of school.
                                 (Enter Main Building)         Alverno College         Use Sherman Blvd entrance)
Oshkosh                                                        3400 S 43rd Street
                                 Platteville                   (Free parking in        Waukesha
UW Oshkosh                       Platteville High School       ramp. Enter rotunda.)
                                 710 E Madison Street                                  UW Waukesha
800 Algoma Blvd                                                                        1500 N University Drive
                                 Commons Area                  Rice Lake               Commons Building
Wausau                                                         UW Barron County
Northcentral Technical College   Wisconsin Rapids              1800 College Drive
1000 Campus Drive                Mid State Technical           Ritzinger Hall
(Main Entrance Rooms, E101 and   College
E102)                            500 32nd Street, Building A
                                           College Goal Wisconsin
                                                Sunday Sites
                                             February 20, 2011

Eau Claire                             Fond du Lac                  Green Bay               LaCrosse
Chippewa Valley Technical              Marian University            East High School        UW LaCrosse
College                                45 S National Avenue         1415 E Walnut Street    1705 State Street
620 W Clairemont Avenue                Stayer Center                (Use Front Entrance     Wing Technology Center
Business Education Center              Corner of 4th and National   off of Walnut Street)
(Entrance by Parking Lot P1 at the
front of the building or P9 on the     Kenosha                      Milwaukee               Milwaukee
west side)                             UW Parkside                  Riverside High          Pulaski High School
                                       900 Wood Road                School                  2500 W Oklahoma
DeForest (Madison Area)                Student Center               1615 E Locust Street    Avenue
DeForest High School                                                (Main Entrance off of   (Use Main Entrance at
815 Jefferson Street                   Rhinelander                  Locust)                 25th & Oklahoma)
                                       Rhinelander High School
Racine                                 665 Coolidge Avenue          Sheboygan               Superior
Gateway Technical College              (Entrance 1)                 UW Sheboygan            Superior High School
1001 S Main Street                                                  One University Drive    2600 Catlin Avenue
Racine Conference Center                                            (Use West Entrance)     Library Computer Lab
(Parking in Lake Level Parking Lots.
Lake Side Entrance.)
1.   General student info
2.   Student’s financial data
3.   Dependency questions
4.   Parent data (dependent students)
5.   Household size (independent students)
6.   Schools and school codes
7.   Signature(s)
What is a PIN?
   Personal Identification Number
   Student and one parent must get their
    own PIN
     Used to electronically sign the
   PIN delivery
     Instantly view online
     By e-mail immediately, with a link
       to retrieve your PIN
     By postal mail in 7-10 days
                                            *A PIN should not be shared. The
   Can also be used for:
                                            unauthorized use of a PIN by anyone but
     Renewal on the Web                    the owner may result in the deactivation
     Corrections on the Web                of the PIN or the invalidation of signed
     National Student Loan Database        documents, including FAFSAs and
                                            promissory notes.
     Signing promissory notes for
       student/parent loans (Perkins,
       Stafford, PLUS)
   A PIN may be obtained at any time prior to filing the FAFSA.
   The earliest a student can file the FAFSA for the 2011-2012
    academic year is January 1, 2011.
   Check with schools for institutional deadlines and requirements.
   Failure to apply early may result in less aid, even if otherwise
   Students must renew the FAFSA every year. Renewal
    notification is sent to students in early January 2011. Students
    with a valid e-mail address will receive e-mail reminders.
    Others will receive a paper reminder.
     Don’t Get Scammed on Your Way to
Consumer complaints are mainly about business practices:
   College prep/financial aid advice services
   FAFSA for a fee

Be aware of tactics used to convince students to buy services:
   “If you use our services, you’re guaranteed to get at least $2000 in
    student aid for college, or we’ll give you your money back.”
   “Applying for aid is complicated. We’re the only ones who can help
    you through the process and find all the aid for which you’re
   “I’d like to offer you a scholarship (or grant). All I need is your
    bank account information so the money can be deposited and a
    processing fee charged.”

Contact your nearest college financial aid office if you have questions
    regarding the legitimacy of any questionable offer
    Proceed with Caution!
   Never pay a fee to file the FAFSA
     When  filing a FAFSA, make sure you go directly to: (not
     Contact the financial aid office if you need help in
      completing the FAFSA

   Never pay for financial aid assistance!
     Financialaid nights
     Campus tours
     Scholarship searches
How to Compare Financial Aid Offers

   Start with tuition, fees, room and board
   Subtract grant and scholarship offers
   The difference is your “net cost”
   Always compare net cost
   Do not subtract Federal Work Study as a
    lump sum disbursement because students
    are paid for hours worked
Frequent FAFSA Errors
   Missing Signatures/PIN
   Wrong Social Security Number
   Divorced/remarried parent information
   Income earned by parents/stepparents
   Untaxed income
   Incorrect reporting of U.S. income taxes paid
   Household size
   Number in postsecondary education (cannot include parent)
   Real estate and investment net worth/small business net worth
   Not using name listed on Social Security card
   Wrong state of residence; info will not go to HEAB
   Reporting parent data in student section
    Assets – FAFSA Questions
   Student (and Spouse)
     As of today, what is your (and spouse’s) total current
      balance of cash, savings and checking accounts? Do not
      include student financial aid.
     As of today, what is the net worth of your (and spouse’s)
      investments, including real estate? Don’t include the home
      you live in. Net worth means current value minus debt.
     As of today, what is the net worth of your (and spouse’s)
      current businesses and/or investment farms? Don’t include a
      family farm or family business with 100 or fewer full-time or
      full-time equivalent employees.
   Parents
       Same questions, if dependent student
For Federal Methodology, Who is a
   Two biological parents married to each other
   Divorced or separated parents
   Stepparent
   Widowed parent
   Legal adoptive parent
Divorced/Separated Issues
   FAFSA is to be completed using parent with whom the student
    lived with more in the past 12 months. If student did not live
    with one parent more than the other, give answers about the
    parent who provided more financial support during the past
    12 months, or during the most recent year that the student
    actually received support from a parent.
   If this parent has remarried, stepparent information must be
    included on the FAFSA.
Special Circumstances?
Contact the Financial Aid Office

   Divorce/Separation after the FAFSA has been filed
   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.)
Unsubsidized Loan Only
    An applicant who is dependent but whose parents do not
     provide financial support and refuse to provide parental data
     on the FAFSA will have the option to submit the FAFSA for an
     unsubsidized loan only
    FAFSA on the Web will present a path that allows the
     applicant to indicate that he or she will not provide parental
     data on the form and will allow the applicant to submit the
    The FAFSA will be processed as a “rejected dependent
     student” and no EFC will be calculated.
    The applicant will need to follow up with their school financial
     aid office for continued processing.
Student Responsibility
Thank You!

 For additional information please contact:

 Ms. Sandy Henney

 Ms. Emily Cole

 Fall River School- Counseling Office
 #920-484-3333 ext. 228

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