slide1 n.
Download
Skip this Video
Loading SlideShow in 5 Seconds..
The Novice Financial Aid Workshop PowerPoint Presentation
Download Presentation
The Novice Financial Aid Workshop

Loading in 2 Seconds...

play fullscreen
1 / 63

The Novice Financial Aid Workshop - PowerPoint PPT Presentation


  • 107 Views
  • Uploaded on

The Novice Financial Aid Workshop. F. Duane Quinn Director of Training and Development American Student Assistance. Diane Place Assistant Director of Financial Aid Bridgewater State College. History and Theory Determining Eligibility (need) EFC Formulas Principles of Packaging

loader
I am the owner, or an agent authorized to act on behalf of the owner, of the copyrighted work described.
capcha
Download Presentation

PowerPoint Slideshow about 'The Novice Financial Aid Workshop' - adele


An Image/Link below is provided (as is) to download presentation

Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author.While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server.


- - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript
slide2
F. Duane QuinnDirector of Training and Development

American Student Assistance

Diane PlaceAssistant Director of Financial Aid

Bridgewater State College

agenda
History and Theory

Determining Eligibility (need)

EFC Formulas

Principles of Packaging

Professional Judgment

Resolution of “C” Flags

Agenda
history of need analysis
History of Need Analysis:
  • Need Analysis Agreements (50’s - ‘75)
  • Uniform Methodology (‘75 - ‘86)
  • Congressional Methodology (‘86 - ‘92)
  • Federal Methodology (‘92 - ‘present)
  • Institutional Methodology -Resource Analysis (‘89 - present)
common precepts of need analysis
Common Precepts of Need Analysis:
  • Use the prior year (base year) income
    • An indication of current financial strength
    • Verifiable
    • Consistent
    • Available
common precepts cont d
Common Precepts: (Cont’d)
  • Deal with the family in their current circumstances
  • Apply “Horizontal” and “Vertical” equity
  • Treat unusual circumstances on an individual basis
theory
The student and her family will benefit the most from higher education and should pay for it......

Financial Aid should provide Access and Choice

Theory
eligibility
Eligibility

Cost

less Family contribution

= Eligibility for aid

cost not just tuition
Cost not just tuition

Tuition

+ Room and Board

or Commuter expenses

+ Books and supplies

+ Transportation expenses

+ Personal expenses

+ “Other” special costs

the family contribution
The Family Contribution
  • Not “extra” money.
  • Not “family savings”
  • The ability of both the parents and the student to absorb educational expenses over time.
  • It should represent a true sacrifice on the part of the family.
different ways to apply for aid
Different Ways to Apply for Aid
  • Paper FAFSA
  • Renewal FAFSA
  • FAFSA on the WEB
    • http://www.fafsa.ed.gov
new for 2003 2004
New for 2003 -2004
  • Question 60: Date parents became married, separated, divorced, widowed?
  • Question 99: What is your e-mail address?
  • e-mail confirmation for those providing e-mail address
application process
Application Process

FAFSA

Paper

or

Web

application process1
Application Process

FAFSA

Fed. Processor

application process2
Application Process

Data Matches

FAFSA

Fed. Processor

application process3
Application Process

Data Matches

College A

FAFSA

College B

Fed. Processor

College C

COLLEGES

UP TO 6

application process4
Application Process

Data Matches

College A

FAFSA

College B

Fed. Processor

College C

COLLEGES

SAR

E-MAIL

PIN

UP TO 6

application process5
Application Process

Data Matches

College A

FAFSA

College B

Fed. Processor

College C

STUDENT

COLLEGES

UP TO 6

SAR

E-MAIL

PIN

css profile
CSS PROFILE
  • Supplemental Form
  • Required by some colleges to determine eligibility for college aid
  • Used by some for Early Decision Process
eligibility1
Eligibility

Cost

less Family contribution

= Eligibility for aid

example of two schools
Example of Two Schools
  • COLLEGE “A”

cost $24,000

- F.C $ 8,000

=need $16,000

example of two schools1
Example of Two Schools

COLLEGE “B”

cost $12,000

-F.C. $ 8,000

=need $ 4,000

federal methodology
Federal Methodology
  • Used for:
    • All Title IV programs (must use)
    • Institutions (some)
    • States (grant programs)
    • Other scholarship agencies
federal methodology1
Federal Methodology

Three Formulas

  • Dependent Students
  • Independent with Dependents (other than a spouse)
  • Independent without Dependents (other than spouse)
two formula variations
Two Formula Variations
  • # 1 Simplified Needs Test (SNT) (no assets included in formula)
    • Parent (Ind. Student) AGI less than $50,000
    • Parent and Student Completed, or are eligible to complete, an IRS 1040A or 1040 EZ or non-filer
two formula variations1
Two Formula Variations
  • # 2: Low Income Bypass (automatic 0 EFC)
    • Parent (Ind. Student) AGI less than $13,000
    • Completed, or is eligible to complete, an IRS 1040A or 1040 EZ or non filer
independent students who are they
Over age 24 by Jan 1 of award year. or

Veteran of the Armed Forces or

Graduate Student

Married or

Orphan; ward or

Has legal dependent (other than spouse) live with and support or

Have children & provide > 1/2 support

Independent Students:Who are they???
independent students two categories different formulas
With dependents?

child

other dependent

not just a spouse

Without dependents?

no dependents

with spouse

Independent Students - Two CategoriesDifferent formulas
who is a dependent
Childwho receives 1/2 support from student.

Natural child; adoptive child; legal ward

Child does not have to live with the student.

Any other person who lives with student and get 1/2 support and will continue to receive this support during the award year.

Who is a Dependent?
the financial aid package
The Financial Aid Package
  • GRANTS - “Free money” Never has to be repaid
  • WORK- An opportunity to earn college funds.
  • LOANS - Funds which must be repaid
example of two schools2
Example of Two Schools
  • COLLEGE “A”

cost $24,000

- F.C $ 8,000

=need $16,000

the financial aid package3
The Financial Aid Package

cost

$24,000

need = $16,000

$ 8,000.

F. C.

the financial aid package4
The Financial Aid Package

cost

$24,000

Pell / Waivers

/ State

need = $13,000

$ 3,000

$ 8,000.

F. C.

the financial aid package5
The Financial Aid Package

cost

$24,000

need = 13,000

$3,000

loan

$ 8,000.

F. C.

the financial aid package6
The Financial Aid Package

cost

$24,000

need = $11,000

$ 2,000

work

$3,000

loan

$ 8,000.

F. C.

the financial aid package7
The Financial Aid Package

cost

$24,000

grant = $11,000 meet full need

$ 2,000

work

$3,000

loan

$ 8,000.

F. C.

the financial aid package8
The Financial Aid Package

cost

$24,000

unmet need “GAP”

$3,000

grant = $8,000

$2,000

work

$3,000

loan

$ 8,000.

F. C.

the financial aid package9
The Financial Aid Package

OUTSIDE SCHOLARSHIP $$$$$$

$ 3000.

cost

$24,000

grant = $11,000 meet full need

$ 2,000

work

$3,000

loan

$ 8,000.

F. C.

the financial aid package10
The Financial Aid Package

cost

$24,000

grant = $11,000 meet full need

$ 2,000

work

$3,000

loan

$ 8,000.

$$$

F. C.

the financial aid package11
The Financial Aid Package

cost

$24,000

grant = $11,000 meet full need

$ 2,000

work

$3,000

loan

$$$$$

$ 8,000.

F. C.

the financial aid package12
The Financial Aid Package

cost

$24,000

grant = $11,000 meet full need

$ 2,000

work

$3,000

loan

$ 8,000.

F. C.

the financial aid package13
The Financial Aid Package

cost

$24,000

unmet need “GAP”

$3,000

grant = $8,000

$2,000

work

$3,000

loan

$ 8,000.

F. C.

the financial aid package14
The Financial Aid Package

cost

$24,000

unmet need “GAP”

$3,000

$$$$

grant = $8,000

$2,000

work

$3,000

loan

$ 8,000.

F. C.

how do college s adjust awards
How Do College’s Adjust Awards?
  • Institutional Policy... will differ from school to school
  • Must have a policy
  • Available in writing to student at time of award
how do colleges adjust
Allow Outside scholarships to fill “gap”.

50% from “self-help” and 50% from Institutional grant.

Reduce Institutional grant dollar for dollar.

Some combination of all of these.

How Do Colleges Adjust?
historical
Historical
  • Professional Judgment:1992 Reauthorization of the Higher Education Assistance Act of 1965Section 480 (Dependency Issues)Section 479 (Cost of Attendance)
defining professional judgment
Defining Professional Judgment
  • The Act of a Financial Aid Officer using her Legislated Authority to alter the outcome of federal need analysis by recognizing unusual circumstances of the parent / student which effects their ability to absorb educational expenses over time (EFC); or results in an alteration of the student’s cost of education.
c flags
“C” Flags
  • Introduction
  • What is a “C” Flag?
  • INS Match
  • Social Security Administration Match
  • Selective Service Match
  • NSLDS Match
  • Drug Conviction Match
ins match
INS Match
  • Primary Confirmation – INS match through CPS
  • Secondary Confirmation – 13 digit INS Verification Number and Form G-845S (see handout)
    • Acceptable Documentation
  • Documentation in Subsequent Years
social security administration
Social Security Administration
  • SSNOs
    • CPS matches on name, ssn and dob
  • Citizenship
    • CPS matches on name, ssn, dob and citizenship
    • Documentation – school decides what is appropriate, not Dept. of Ed
selective service
Selective Service
  • Who is required to register?
  • Who is NOT required to register?
  • Documenting non-confirmed registrations
    • Status Information Letter
    • Other factors
nslds match
NSLDS Match
  • No Data on Student
    • Rejects, no RELEVANT history, student not in database
  • Defaults
    • Repayment in Full
    • Satisfactory Payment Arrangements
    • Rehabilitation
  • Overpayments (repayments)
    • School error
    • Student error
drug conviction flag
Drug Conviction Flag
  • Student self-certifies
  • School’s responsibility