Download
welcome to the 2011 high school counselor financial aid update october 28 2011 n.
Skip this Video
Loading SlideShow in 5 Seconds..
WELCOME TO THE 2011 High School Counselor Financial Aid Update October 28, 2011 PowerPoint Presentation
Download Presentation
WELCOME TO THE 2011 High School Counselor Financial Aid Update October 28, 2011

WELCOME TO THE 2011 High School Counselor Financial Aid Update October 28, 2011

164 Views Download Presentation
Download Presentation

WELCOME TO THE 2011 High School Counselor Financial Aid Update October 28, 2011

- - - - - - - - - - - - - - - - - - - - - - - - - - - E N D - - - - - - - - - - - - - - - - - - - - - - - - - - -
Presentation Transcript

  1. WELCOME TO THE 2011 High School Counselor Financial Aid Update October 28, 2011

  2. Mark Delorey, Webcast Moderator Director of Financial Aid Western Michigan University

  3. 2011 Host Sites • Adrian College • Albion College • Alpena Community College • Baker College – Cadillac • Baker College - Muskegon • Bay-Arenac ISD Career Center • Bay de Noc Community College • Central Michigan University • Cleary College – Howell • Concordia – Ann Arbor

  4. 2011 Host Sites • Glen Oaks Community College • Gogebic - Ontonagon ISD • Grand Valley State University • Kalamazoo College • Kirtland Community College • Lake Superior State University • Marygrove College • Michigan State University • Michigan Tech University

  5. 2011 Host Sites • Mott Community College • North Central Michigan College • Northern Michigan University • Northwestern Michigan College • St. Clair County Community College • Southwestern Michigan College • University of Michigan – Dearborn • Wayne State University • West Shore Community College Thank you to all site coordinators, contact people, and tech coordinators for serving as a host site for the financial aid update webcast.

  6. Federal Update Val Meyers Associate Director Michigan State University Office of Financial Aid

  7. What is Federal Financial Aid? • Grant Programs • Pell Grant • Supplemental Educational Opportunity Grant • Work Study Program • Loan Programs • Perkins Loan • Federal Direct Stafford Loans • Parent Loans for Undergraduate Students (PLUS) • Mixed Type • TEACH Grant

  8. What’s New for 2012-13 • The IRS Data Retrieval process that began last year is required for applicants selected for verification in 2012-13 • Families who submit the FAFSA before filing their taxes will need to go back and complete the data match after taxes are filed • Otherwise, will need to supply a tax transcript from the IRS as copies of filed returns will no longer be accepted • IRS Data Retrieval not active for: • Families filing as married – filing separately • Residents of territories: Puerto Rico, Guam, etc. • Filers who revise their 1040 (1040X)

  9. More Changes for 2012-13 • Year Round Pell is no longer available – students attending summer may still receive “leftover” Pell • New regulations will affect students who are not making Satisfactory Academic Progress • Other new regulations to strengthen Program Integrity of the financial aid process • Limits repeated courses • Ensures consumer information is disclosed on programs of study, student debt, placement rates, etc.

  10. And More Changes… • All schools are required to have a “Net Price Calculator” on their web sites as of October 29, 2011 • The Net Price Calculator allows students to calculate how much they will pay (approximately) at the school • School supplies info on cost and general gift aid for students in the family’s income range • Cost minus gift aid equals “Net Price” • The family can then compare net price for the school(s) they are considering

  11. Free Application for Federal Student Aid (FAFSA) • Initial step in the application process • Core document to apply for financial aid • Used to calculate an Expected Family Contribution (EFC) • Confirms certain eligibility requirements

  12. FAFSA • Cannot submit earlier than January 1, 2012 • Valid for periods beginning summer 2012 and ending after summer 2013, but generally not more than 12 months • No fees

  13. How to Apply The FAFSA • Paper application: Sent via US mail • FAFSA on the Web: Filed online using worksheet

  14. Completing the Paper FAFSA • Only 5% file paper FAFSA • Paper FAFSA only available through download at federal Web site or by calling 1-800-4-FED-AID • Completed and mailed to the federal processor • Takes 2 - 4 weeks processing time

  15. Completing FAFSA on the Web-FOTW • More than 95% of FAFSAs are now filed online • Parents with more than 1 college student can transfer data from original application to others • Faster turnaround; more accurate • www.fafsa.gov

  16. FOTW Worksheet • Families can use time wisely by completing a worksheet before accessing FOTW • Available on website- www.fafsa.gov • View a draft of the worksheet on the Web at the URL below www.ifap.ed.gov - Click on FAFSAs and Renewal FAFSAs link under Publications

  17. Reasons to File Electronically • Built-in edits to prevent costly errors • Skip-logic allows student and/or parent to skip unnecessary questions • More timely submission of original application and corrections • More detailed instructions and “help” for common questions • Ability to check application status online • Allows IRS Data Retrieval process

  18. Tips for Students • Apply for admission to college/university • Submit FAFSA as soon after January 1, 2012, as possible • Follow-up when college/university requests information • FAFSA states Pell grant eligibility amount, but college/university makes final determination of aid offers and amounts

  19. What Data Are Required? Step 1: Student demographic information Step 2: Student financial information Step 3: Dependency status questions Step 4: Parent financial information Step 5: Independent student household information Step 6: List of colleges to receive results Step 7: Signatures and certifications

  20. How The Data Are Used • In a statutory formula called the Federal Methodology • Looks at income, assets, and size of family to determine family’s “ability to pay” for education • Result is called the Expected Family Contribution (EFC) • Cost of Attendance (determined by the school) minus EFC equals Need

  21. Who is the Parent When Completing the FAFSA? • If the parents are both living and married to each other, answer the questions about both of them. • If the parent is widowed or single, answer the questions about that parent only. If the widowed parent has remarried as of today, answer the questions about that parent and the person to whom the parent is married.

  22. Who is the Parent When Completing the FAFSA? • If the parents have divorced or separated, answer the questions about the parent the student lived with most in the last 12 months. If the student did not live with one parent more than with the other, answer about the parent who provided the most financial support during the last 12 months or during the most recent year that the student was supported by a parent. If this parent has remarried as of today, answer the questions about both that parent and the person to whom the parent is married. • If the parent is widowed or divorced and has remarried, answer the questions about both that parent and his or her current spouse. The marital status of the student's parents in this case is "married/remarried."

  23. Independent Student Criteria • Born before January 1, 1989 • Enrolled in a graduate program • Married • Veteran of the U.S. Armed Forces or currently serving on Active duty in the US Armed Forces for purposes other than training • Has child(ren)/dependents for whom he/she provides more than half support • Both parents are deceased

  24. Independent Student Criteria • Is/was an orphan, ward of the court or in foster care at any time since student turned age 13 • Is/was an emancipated minor as determined by a court in state of legal residence • Is/was under legal guardianship until age 18, as determined by a court in state of legal residence • Is/was an unaccompanied youth who was homeless or at risk of being homeless • Most high school students will not be independent but, in extraordinary circumstances, the college aid administrator can override dependency. Contact the college aid office for help.

  25. Special Exceptions • Student’s parents refuse to provide information for FAFSA • Student can borrow an unsubsidized Stafford loan only - must document with college or university • Student doesn’t have contact with parents due to estranged relationship or other circumstances (possible dependency override) • Documentation required - must contact financial aid office at college/university

  26. Student Financial Aid (SFA) PIN • Sign FAFSA electronically • Can request PIN before January 1, 2012 • Name, SSN, DOB match with Social Security Administration • Real time PIN to be issued and confirmed after use • May be used by students and parents throughout aid process, including subsequent school years www.pin.ed.gov

  27. If No PIN: Signature Options • Print signature page and submit within 14 days • If signature page not received by Central Processing System within 14 days, student receives rejected Student Aid Report (SAR) • Rejected SAR must be signed and submitted

  28. FAFSA Processing Results • Central Processing System notifies student of processing results by: • E-mail notification containing a direct link to student’s online Student Aid Report (SAR) if student’s e-mail was provided on paper or electronic FAFSA • Student with PIN may view application online at www.fafsa.gov

  29. How Aid is Awarded • Schools use the FAFSA data to calculate aid for the student • Cost of Attendance at the school • Direct costs – billed by the school, such as tuition and fees (and room and board if the student lives on campus) • Indirect costs – transportation, books & supplies, housing and food if lives off-campus • COA – EFC = Need • Some schools award only to fill need, others award with both need-based and non-need based aid to meet COA

  30. Corrections on the Web • If the student discovers an error, or needs to update tax data, can use regardless of whether original application was paper or electronic • Student’s PIN required to access • Parents must have PIN to correct parent information • Pop-up message will appear when student tries to correct transaction already corrected by a school • Can use Corrections on the Web to retrieve tax data after filing return

  31. Other Important Tips for Students • Encourage students to submit the FAFSA between January 1 - March 1, 2012. • Due to economic circumstances in Michigan, colleges/universities have experienced an increase in financial aid applications. • Submitting the FAFSA after high school graduation is considered late by most schools. • Student may not have funds available when classes start if they apply late. • Respond promptly to requests for information. • Delays can mean losing funds for which the student may be eligible.

  32. Special Circumstances • Change in employment status after filing FAFSA • Medical expenses not covered by insurance • Change in parent’s marital status after filing FAFSA • Unusual dependent care expenses

  33. Special Circumstances • These cannot be reported on the FAFSA • Parents or student should send an explanation to financial aid office at each college or university • College will review special circumstances • College may request additional documentation

  34. Supplemental Forms • Institutional application • Stafford loan request form • Parent (PLUS) Loan application • CSS Financial Aid PROFILE (school aid)

  35. Warning to Your Students:Don’t Get Hooked by Misleading Scholarship Offers • College aid offers are everywhere • Internet • Mail • Newspapers • Magazines • Telephone

  36. Warning Signs of Scam • High application fees • Guaranteed winnings • Everybody is eligible • Masquerading as federal agency • Claims of government approval • Time pressure • Unusual requests for personal information • http://www.ftc.gov/scholarshipscams

  37. Counselor Resources • National Association of Student Financial Aid Administrators (NASFAA) • www.nasfaa.org • Counseling Tools • Student Aid on the Web • www.studentaid.ed.gov • FSA for Counselors • http://ifap.ed.gov/FSACounselors/clcf/main.html • Online information for middle school, high school and TRIO counselors (see next page)

  38. Counselor Resources

  39. Anne Wohlfert, Director State of Michigan Scholarship and Grant Programs

  40. List of Active Programs Academic Year 2011-12 Tuition Incentive Program Michigan Competitive Scholarship Michigan Tuition Grant Children of Veterans Tuition Grant Police Officers and Firefighters Survivor’s Tuition Grant

  41. Office of Scholarships and Grants OSG will also administer two Federally Funded Programs: GEAR UP Michigan! Scholarship GEAR UP College Day Scholarship

  42. Office of Scholarships and Grants

  43. Office of Scholarships and Grants

  44. Office of Scholarships and Grants • State Funds = $95,026,400 • Federal Funds = 3,000,000 • Grand Total = $98,026,400

  45. Tuition Incentive Program (TIP) • Eligible students must have been eligible for Medicaid for 24 months within a 36 consecutive month period. • Must submit application prior to high school graduation or GED and before age 20. • Pays a maximum of 24 semester or 36 term credits per academic year.

  46. Tuition Incentive Program (TIP) Pays mandatory fees up to $250 per semester/term Allowable fees: • Technology • Registration/Enrollment • Student Activity/Student Services

  47. Tuition Incentive Program (TIP) • Student must enroll within four years of high school graduation or eligibility is forfeited. • Student must fully utilize eligibility within ten years or eligibility is forfeited.

  48. Tuition Incentive Program (TIP) • High School Graduates • Diploma or “Other Certificate” IS acceptable for eligibility for the Tuition Incentive Program • OSG will follow the Business Rules on who is a “graduate” agreed upon by MDE and CEPI • TIP is last dollar

  49. Tuition Incentive Program (TIP) • NEW – Incarcerated students are no longer eligible to participate in TIP • Promise Zones – “special treatment” for TIP • Community Groups – look-up assistance • Look-ups for Seniors only • College Goal Sundayis February 12, 2012. Flyers will be sent with Senior reminder letters.

  50. Michigan Competitive Scholarship (MCS) • Academic Year 2011-12 – Class of 2011 • Based on ACT Score (sum of 90) and Financial Need per the FAFSA The State modifies the EFC to leverage its dollars