Awarding Aid

1
Session 35

• Awarding Aid
• Devin Croft
• Jamie Malone

2
What Is Packaging? And how is awarding
differentor is it???

• Finding the best combination of aid programs to
  meet the students financial need, using
• Statutory/regulatory limits
• Available resources at the school
• Institutional policies

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Prior to Packaging

• School must
• Have developed Packaging policies
• Defined their Academic Year
• Defined their Payment Periods
• Developed a Cost of Attendance (Budget)

4
Prior to Packaging

• ISIR with official EFC
• To determine need
• Understanding of available EFA
• Determine individual students COA
• Types of federal aid available at your
  institution
• Pell
• ACG/SMART
• Campus Based
• Loans

5
What Is Need?

• COA EFC Need
• COA varies by school and program
• EFC is taken from ISIR
• Need is filled with available aid programs and
  other resources

COA 20,000- EFC 0 Need 20,000
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Cost of Attendance/Budget

• Tuition and Fees
• In state/out of state
• Books and Supplies
• Transportation
• Personal Expenses
• Room and Board
• Dependent Care
• Loan Fees
• Miscellaneous
• Disability Related Expenses
• Study-Abroad Expenses

7
What Is EFA?

• Estimated financial assistance includes
• Pell Grants
• Educational Loans
• Grants (including ACG/National SMART Grants)
• Net earnings from need-based employment
• Scholarships
• Tuition and fee waivers
• Fellowship and assistantships
• VA educational benefits
• (Note exceptions for Chapter 30 benefits)

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Estimated Financial Assistance

• Basic Need
• COA - EFC Need
• 14,000 - 1000 13,000
• Need Based
• COA - EFC - EFA Need
• 14,000 - 1000 - 13,000 0
• Non-Need Based
• COA - EFA Need
• Unsubsidized or Plus Loan

9
Estimated Financial Assistance

• Combination of student aid and EFC must not
  exceed students COA.
• If financial aid from another source becomes
  available after packaging, financial aid awards
  must be reduced so total amount does not exceed
  COA.

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Federal Programs

• Pell
• ACG
• SMART
• Campus Based
• Work-Study
• SEOG
• Perkins
• Loans

11
Foundation of Aid Package

• Pell Grant
• Goes only to undergraduate students who have not
  received a bachelors or first professional
  degree
• Determined using students COA and EFC and EDs
  Pell payment/disbursement schedules
• No other aid is considered in determining Pell
  eligibility

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Beyond the Foundation
After calculating any Pell eligibility, use your
packaging policy to take into account other
sources of assistance available to the student
COA 20,000- EFC 0- Pell 4,050 Remaining
Need 15,950
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Academic Competitiveness Grant ACG

• U.S. Citizen (does not include Title IV eligible
  non-citizens)
• Federal Pell Grant recipient
• First or second academic year student in a two or
  four year degree program
• Full-time enrollment
• No specific major required

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ACG continued

• 1st year students
• May not have been previously enrolled in a
  program of undergraduate study
• Have graduated from a rigorous secondary high
  school program after 1/1/06
• 2nd year students
• Have graduated from a rigorous program of study
  after 1/1/05
• Have at least a 3.0 GPA in an eligible program

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Student Eligibility Criteria Specific to National
SMART

• U.S. citizen (does not include Title IV eligible
  non-citizens)
• Federal Pell Grant recipient
• Third or fourth academic year student in an
  eligible program
• Full-time enrollment
• Majoring in an eligible major
• Cumulative GPA of at least 3.0 on a 4.0 scale in
  students eligible program

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Campus-Based Aid

• Must make funds reasonably available to all
  students
• No minimum enrollment status is required

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FSEOG

• Only to undergraduate students who have not
  received a bachelors or first professional
  degree
• Need based
• Give to students with lowest EFC who will also
  receive Pell Grant in that award year
• Minimum award is 100
• Maximum award is 4,000

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Federal Work-Study

• Undergraduate and graduate students
• Need based
• No minimum or maximum award
• May look at willingness to work
• Must pay at least minimum wage

19
Perkins Loan

• Undergraduate and graduate students
• Need based
• Give priority to students with exceptional need,
  as defined by school
• May look at students willingness to repay
• Has annual and aggregate loan limits

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FFEL/DL

• Undergraduate and graduate students
• Requires at least half-time enrollment
• Requires determination of Pell eligibility
• Requires awarding of subsidized funds before
  unsubsidized funds
• Has annual and aggregate limits

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Available Institutional Aid

• Both within aid offices control and not
• Internal criteria and packaging policies
• Grants
• Loans
• Assistantships and fellowships
• Tuition and fee waivers
• Need-based employment

22
Outside Aid Student May Receive

• State aid
• Scholarships (organizations, merit, etc.)
• VA educational benefits
• Employer tuition assistance
• Alternative educational loans

23
Exceptions for Montgomery GI Bill and AmeriCorps
Benefits

• Must exclude Chapter 30 VA benefits and
  AmeriCorps benefits as EFA when determining
  Subsidized Loan eligibility
• Must include Chapter 30 VA benefits and
  AmeriCorps benefits as EFA for Campus-based aid,
  ACG, National SMART, and Unsubsidized Loans
• But, may exclude from EFA any portion of
  Subsidized Loan amount ? amount of Chapter 30 or
  AmeriCorps benefits for Campus-based, ACG, and
  National SMART Grants

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Complete Aid Package

• COA
• - EFC
• - Pell
• - EFA
• Remaining Need

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Sample Aid Package
COA 20,000- EFC 0 Need 20,000- Pell 4,05
0- Stafford 3,500- FSEOG 500- Perkins 4,000
- FWS 1,500- Scholarship 5,000 Unmet
Need 1,450
Estimated Financial Assistance (EFA) 18,550
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Packaging Case Studies
27
Edgar and Art Design Community College

• Edgar is a dependent student who graduated from
  high school in June 2006. He originally wanted to
  be a doctor but has decided to follow his heart
  and major in fashion design. He has decided to
  attend Art Design Community College to get his
  AA prior to going on to a 4-year college.

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Art Design Community College
Package award balance

• COA
• EFC
• Project Runway Scholarship
• Pell
• ACG
• Institutional Grant
• FWS
• Sub loan
• Unsub loan
• Plus

15000 15000
0 15000
1000 14000
4050 9950
750 9200
500 8700
2500 6200
2625 3575
0 3575
3575 0
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George and XYZ State University

• After serving his country as a medic in the
  military, George has decided to return to
  college. His career goal is to be a physical
  therapist. He has been volunteering at a local
  hospital since his discharge and is really
  excited about school. George has 9,600 in
  Chapter 30, Montgomery GI Bill VA benefits to use
  for school.

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George and XYZ State University
Package 1 2

• COA
• EFC
• Pell
• Chapter 30 VA
• Need
• Sub loan
• Remaining Need

14900 14900
1800 1800
2000 2000
9600 -------
1500 11100
1500 2625
0 8475

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George and XYZ State University

• Package
• COA
• EFC
• Pell
• Chapter 30 VA
• Sub loan
• Remaining Need

• 2 3
• 14900 14900
• 1800 1800
• 2000 2000
• 9600

9600
2625 ------
( 1125) 1500
No overaward Could be FWS
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Scarlett and the Univ. of Aeronautical Studies

• A high achiever since she won her state spelling
  bee as a 4th grader, Scarlett is determined to
  become an aeronautical engineer. She is a
  dependent, US Citizen, with a 3.98 GPA and is a
  junior this year. She is living at home with her
  parents 9 brothers.

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University of Aeronautical Studies
Package award balance optional
pkg.

• COA
• EFC
• Scholarship SWA
• Scholarship - Gates
• Pell
• SMART
• SEOG
• FWS
• Sub loan
• Unsub loan
• Plus

25000 25000
25000 0 700 0 4050 4000 500 2500 5500 0 7750
0 25000
700 24300
8500 15800
4050 11750
4000 7750
500 7250
2500 4750
4750 0
0 0
0 0
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Additional Beginners Track Sessions

• Session 35 - Awarding Aid
• Session 36 - Disbursing Aid
• Session 37 - IFAP, NSLDS, COD, FAA Accessto CPS
  On -Line
• Session 38 - Financial Aid Professionals (FAP)
  Portal and Beyond - How We Communicate With You?
• Session 39 - Uncover the Mysteries of How a Law
  Becomes Operational

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We appreciate your feedback and comments.We can
be reached at

• Jamie Malone
• 312-886-8731
• jamie.malone_at_ed.gov

• Devin Croft
• 303-844-3677x125
• devin.croft_at_ed.gov