Presented By: Mary Anne Hunter

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Money for College Financial Aid 101
Presented By Mary Anne Hunter
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What well cover

• College Costs
• Types of Financial Aid Application Process
• Award Letters Financial Planning

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C O S T

• SAMPLE 2014-15 Student Budgets
• ONE Academic Year
• Based on full-time enrollment

PRIVATE 4-year College or University
  Public 2 year / Community College PUBLIC 4-year College/University PRIVATE 4-year College/University
Tuition Fees 3,000 - 3,700 5,000 - 10,500 25,000 - 42,000
Room Board 9,000 7,000 - 13,000 9,000 - 11,000
Books Supplies 1,800   1,800  1,800
Personal/Medical 1,300   1,300  1,300
Transportation  1,300  650 - 1,300  650 - 1,300
Room Board
Direct
Books/Supp.
Personal/Med
Flex
Transportation
TOTALS  20,000  30,000  58,000
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Non-Resident Tuition
WESTERN UNDERGRADUATE EXCHANGE PROGRAM (WUE)
Alaska, Arizona, California, Colorado, Hawaii,
Idaho, Montana, Nevada, New Mexico, North Dakota,
South Dakota, Oregon, Utah, Washington, Wyoming

• Reciprocal agreement to discount non-resident
  tuition
• Must maintain specific requirements and meet
  special deadlines
• Dependent upon school and program of study

www.wiche.edu/wue
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TYPES OF FINANCIAL AID

GRANTS
WORK-STUDY
Part-time work around your class schedule
Federal, State, or Institutional
Paid hourly Set maximum hours
SCHOLARSHIPS
Do not need to be paid back

Do not need to be paid back
STUDENT LOANS (Federal Direct)
Maintain certain requirements
Paid back at federally-backed low interest rates
with helpful terms
Federal Loans for students (Stafford Loans) and
parents (PLUS loans)
REQUIRE THE FAFSA TO BE FILED
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Pays a portion of total in-state tuition per
credit hour 75 per credit hour at public
2/4-year colleges universities
approx. 900 p/term for 12 credit hours
37 for Pell-eligible students at private
Colorado colleges (University of Denver, Regis
University and Colorado Christian University)

• Not based on income and assets
• Available for undergraduates only
• Paid directly to the college
• Must apply just one time at www.CollegeInColora
  do.org

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ASSET Deferred Action (DACA)

• Eligible for in-state tuition COF at Colorado
  public colleges and universities
• Not eligible to receive federal or state aid
• Scholarships not requiring citizenship
• www.coloradoasset.com/scholarships-for-all-student
  s/
• www.e4fc.org/images/E4FC_Scholarships.pdf

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Federal Direct Student Loans

• In students name
• No credit check/income verification
• No monthly principle payments part-time
• 6 month grace period before repayment

• Subsidized
• Need-based
• Interest Rate 4.66 (thru 6/30/15)
• Government pays interest while in school

• UNsubsidized
• Not need-based
• Interest rate 4.66
• Student pays interest/ accrues while in school
  during grace period (pay quarterly
  or capitalize)

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Federal Parent PLUS Loan

• In parent name - for parents of undergrad.
  dependent students
• Fixed interest rate of 7.21 (thru 6/30/15)
• Fees 4.292
• Credit check required no adverse history
• If denied, student may be eligible for additional
  unsubsidized Stafford
• Repayment begins 6 weeks after loan is fully
  disbursed parent can request deferred
  repayment while the student is enrolled on at
  least a half-time basis, and during students 6
  month grace period
• up to unmet need

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Private/Alternative Student Loans

• Higher interest rates and variable (Prime/LIBOR)
• Interest rate fees determined by credit score
  income
• Typically require co-signer
• Less favorable repayment deferment terms than
  federal
• Use federal loans first
• Consider PLUS/home equity loans
• Talk to financial aid office first

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SCHOLARSHIPS

• GPA
• Talent/Athletics
• Hobbies
• Religion
• 1ST Generation College
• Student

• Community Service
• Leadership Activities
• Ethnicity
• Major/Minor
• Clubs/Teams

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Where to find them
Inquire about scholarships through

• High School Counselors
• College(s) student is interested in attending
• Admissions/Financial Aid
• Local businesses
• Religious organizations
• Places of employment
• Networking Facebook, Twitter, social
  gatherings, neighbors
• Internet

www.collegeincolorado.org www.fastweb.com
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NEVER GIVE UP!

• ? Apply for many scholarships increase your
  chance of success
• ? Keep applying even after you start college

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How do I apply?
Start with the FAFSA

• Free Application for Federal Student Aid (FAFSA)
• Apply Early! grants/work aid are awarded on a
  first-come-first-served basis
• Must file every year after January 1
• Know colleges Application Priority Dates
• March 1st March 15th April 1st

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How to Submit the FAFSA

• Online application is fastest (48 hour
  turnaround)
• Complete FAFSA online at http//www.fafsa.gov
• PIN (Personal Identification Numbers) - Student
  1 parent need to
• Electronically sign FAFSA
• Check processing status
• Make corrections
• Electronically sign student loan Promissory Note
• 1-800-4FEDAID for assistance
• BEWARE of any service that requires you to pay a
  fee to submit your FREE application

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DOCUMENTS/INFORMATION NEEDED
Students and Parents

• Social Security Number
• W-2 Forms other records of money earned in
  previous year
• Previous year Federal Income Tax Return (IRS
  1040, 1040A, 1040EZ)
• Records of untaxed income (if any)
• Current bank statements - checking, savings,
  investments

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Dependent vs Independentuse parents
income/asset info.

• Can student answer Yes to any of the
  following.
• Born before January 1, 1992?
• Married?
• Working on a master or doctorate degree?
• Serving on active duty in U.S. Armed Forces?
• Veteran of U.S. Armed Forces?
• Have children who will receive more than half of
  their support from you between 7/1/15 6/30/16?
• Special Circumstances Foster Youth Legal
  Guardian - Homeless

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Who is considered a parent?

• Parents are married - answer questions about both
  parents
• includes recognized/valid same-sex
  marriages
• Persons listed on Birth Certificate
• Widowed or single parents - use information for
  that parent
• Adoptive Parents - answer questions about both
  adoptive parents

• Divorced/legally separated parents
• Which parent did student live with most during
  past 12 months?
• Which parent provided most financial support
  during past 12 months?
• Remarried Parents - must include stepparent
  income/asset information

DO NOT use information from ? legal
guardian ? foster parent ? grandparents,
older brothers or sisters, uncles or aunts
unless they have legally adopted the
student
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What is the Expected Family Contribution (EFC)

• What family can reasonably contribute
  not necessarily
  out-of-pocket
• Two components
• Parent contribution
• Student contribution
• Protections/Allowances family maintenance costs
  - in family going to college -
  age of oldest parent
• Remains constant regardless of different college
  costs

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Financial Need
Cost of Attendance (COA) - Expected
Family Contribution (EFC) Financial Need
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The Financial Aid Process
Student must be ACCEPTED for admission before
processing of financial aid.
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Sample Award Notice
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What do I do next?

• ? Accept offer
• Decline other college offers once you decide
• ? Direct Loans
• Entrance Counseling
• ? Promissory Note
• ? Submit other documents
• ? Check your college email/portal account
  often

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Maintaining Eligibility

• Satisfactory Academic Progress
• Grade Point Average (GPA) 2.0
• Completion rate 67
• Warning/Ineligible for aid
• Appeal process
• Dropping classes return of funds colleges
  refund policy

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RECEIVING YOUR STUDENT AID
YOUR STUDENT ACCOUNT
YOUR FINANCIAL AID AWARD
- COF
Tuition Fees Room Meal Plans Other College Charges
Grants Scholarships Stafford Student
Loans Parent Plus Loan Work Study

Grants Scholarships Stafford Student Loans Parent
PLUS Loan
-

If you have a Credit Balance
Earned hourly, paid to student

Stays in Account or refunded to student (checking
account or refund card)
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Find out WHEN your aid will be DISBURSED

• Before 1st day of class
• 30 days after 1st day of class
• When will my refund be available?
• Will I need my own start-up money for books?
  (book vouchers)

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What if I get an outside scholarship?

• You must report each resource amount to the FAO
• Possible aid award adjustment
• Your total aid cant exceed your financial need
• FAO will fill gap or reduce loans and/or work
  study first
• Terms of College Private Scholarships
• ? Is it offered for following year(s)?
• ? What do you need to do to continue being
  eligible?
• ? Can you continue receiving if you change
  majors?

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Other ways to help pay for college

• Concurrent Enrollment - juniors/seniors take up
  to 2 college classes p/semester - tuition paid by
  district (not books/fees)
• ASCENT Program college ready 9-12th grader
  must have post- secondary plan - a 5th year of
  all-college courses
• College monthly payment arrangements - over a
  9-12 month period - usually an up-front
  fee/interest charges
• Tuition Tax Credit programs reduces amount of
  taxes you have to pay
• ? American Opportunity Credit
• ? Lifetime Learning Credit

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Expenses
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Expenses
YOU have control over how much you spend
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Your aid offers
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Refund or Out-of-Pocket?
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Questions?