Constructing Student Expense Budgets for Graduate Students

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Constructing Student Expense Budgets for Graduate
Students
Eileen F. Doyle, Assistant Vice President for
Student Financial Services, The New
School Michael T. Goodman, Associate Vice
President for University Financial Aid, Tulane
University
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Overview

• Developing Student Expense Budgets
• Student Expense Budget Components
• Sources for Developing Student Expense Budgets
• Professional Judgment
• Common reasons for Cost of Attendance adjustments
• Other school or discipline related adjustments
• Questions and Answers

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Developing Student Expense Budgets

• Institutional Policies
• Student and Program Characteristics
• Federal Guidelines
• Professional Judgment

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Standard Student Expense Budget Components

• tuition and fees
• room and board
• books and supplies
• transportation
• miscellaneous personal expenses
• May include the cost of a personal computer

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Standard Student Expense Budget Components
(continued)

• dependent care costs, if applicable
• disability-related costs, if applicable
• student loan fees
• study abroad expenses
• expenses related to cooperative education
  employment
• one-time cost of obtaining a professional license
  or certificate (for certain students at the
  school's option)

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Exceptions to Student Expense Budgets

• For students enrolled less than half time, the
  COA for room and board can only be included for 3
  semesters (or the equivalent). No more than 2
  semesters may be consecutive.
• Generally, the COA for correspondence study is
  limited to the costs for tuition and fees. If the
  student is fulfilling a required period of
  residential training, the COA can include the
  costs of required books and supplies, an
  allowance for travel, and actual room and board
  costs.

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Exceptions to Student Expense Budgets

• For students enrolled less than half time, the
  COA cannot include miscellaneous personal
  expenses.
• The COA for incarcerated students is limited to
  tuition, fees, and the costs of required books
  and supplies.
• A school can categorize students into groups and
  assign different COAs based on factors such as
  state residency status or program of study.

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Sources for Determining Expense Budget
Components Internal Sources

• Institutions tuition and fee structure including
  on-campus housing, required equipment and
  supplies, etc.
• Other financial aid offices at your institution
• Campus bookstore
• Surveys of student body

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Sources for Determining Expense Budget
Components External Sources

• Other financial aid offices local regional, and
  peer schools
• College Board
• http//www.collegeboard.com/highered/res/leb/leb.
  html
• Bureau of Labor Statistics
• U. S. Census Bureau
• http//www.census.gov/prod/2006pubs/07statab/pric
  es.pdf
• Local real estate offices

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Sources College Board
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Sources U.S. Census
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Updating and Changing Budgets

• Adjusting for inflation
• Cost of living data
• Special circumstances and/or emergencies
• New programs

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Professional Judgment

• The reason for professional judgment must be
  documented and on a case-by-case basis
• The documentation must relate to the students
  special circumstances that differentiate the
  individual student (not those of a group of
  students)
• The financial aid administrator should prepare a
  written statement of the PJ determination
  including the identification of the specific
  unusual circumstances.
• The statement along with the supporting
  documentation used to make the determination must
  be retained

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Professional Judgment

• All inconsistent or conflicting information for a
  student must be resolved before exercising PJ
• PJ determinations for any student must be made on
  at least an annual basis
• The institution must make its own determination
  (not based on a decision made by a school
  previously attended by the student or that the
  student applied for aid)
• All PJ decisions must be made according to your
  institutions policies procedures

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Sources College Board
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Common Reasons to Adjust COA

• Rent or actual housing charges
• Equipment, supplies, or other program-related
  expenses
• Technology expense personal computers,
  laptops, PDAs
• Dependent care
• Education-related travel

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Sample Policy for COA Adjustment

• Thesis expenses
• Costs for completing a thesis such as travel,
  photocopying expense, additional books and
  materials may be added to the COA for students
  completing a thesis that will count toward their
  degree requirements.
• Thesis completion is mandatory for Drama MFA
  third-year students. The thesis is their
  participation in the Repertory Season
  performances and the school has developed a
  breakdown of the costs associated with
  participation. Thesis costs are in addition to
  the books and supplies allowance and should be
  added under the COA component Head Shots and
  Rep. Season.

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Common Reasons to Adjust COA for Married Students

• Living Expense Allowances
• Housing Issues mortgages, etc.
• Young Children living expenses and child
  daycare
• Insurance Issues health, auto, etc.
• Non-resident spouse (living abroad)

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Sample Policy for COA Adjustment

• Insufficient income
• In some cases, a student may demonstrate costs
  that should generally be accounted for in the
  Income Protection Allowance (IPA) but will show
  that their income is insufficient to cover such
  costs. In those cases, it is appropriate to use
  PJ to include those expenses in the COA instead
  of as part of the need analysis formula.
• Such expenses might include
• - Costs of food and shelter for dependents
  when family income is insufficient to cover basic
  maintenance costs
• - Medical and dental expense when IPA and tax
  offsets exceed income

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Other Possible Reasons to Adjust COA

• Cultural Issues Alternative medical
  treatments in place of conventional treatments,
  herbal medicines, acupuncture, etc.
• Non-traditional Family Issues Students whose
  standard of living is so much different than
  other students, students paying child support,
  non-traditional family
• Other Programs and Non-traditional Students
  Post graduate students, advanced standing
  students, international students

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Other COA Adjustment Issues/Concerns

• Commuting
• Trips back home
• Medical treatment not covered by health insurance
• Psychoanalysis
• Other???

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Questions and Answers
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Contact Information

• Eileen F. Doyle
• Assistant Vice President
• Student Financial Services
• The New School
• doylee_at_newschool.edu

• Michael T. Goodman
• Associate Vice President
• University Financial Aid
• Tulane University
• mgoodman_at_tulane.edu

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Sources and Additional Documents

• SFA Coach
• http//www.ed.gov/offices/OSFAP/fsacoach/index.ht
  ml
• Federal Student Aid Handbook
• http//www.ifap.ed.gov/IFAPWebApp/currentSFAHandb
  ooksYearPag.jsp?p12006-2007p2c
• EFC Formula Guide
• http//www.ifap.ed.gov/efcinformation/attachments
  /0708EFCFormulaGuide1120.pdf
• The New School Petition for Special
  Circumstances
• http//www.newschool.edu/forms/sfs_special_circum
  stances.pdf

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