Financial Aid: What You Need to Know. Presentation by Allison Koenig, Director TRiO EOC/ETS Rogue Community College. What We’ll Cover. What is Financial Aid? What is a COA? What is EFC? Professional Judgment for Special Circumstances What is Financial Need?
Financial Aid: What You Need to Know Presentation by Allison Koenig, Director TRiO EOC/ETS Rogue Community College
What We’ll Cover • What is Financial Aid? • What is a COA? • What is EFC? • Professional Judgment for Special Circumstances • What is Financial Need? • Categories, Types & Amounts of Aid? • How to Apply? (FAFSA, etc.) • Additional Resources
What is Financial Aid? • Financial aid is funds provided to students and families to help pay for postsecondary educational expenses. • Financial aid may not cover all your costs. • All financial aid is not “created equal.”
What is COA? • Cost of Attendance: A budgetary estimate of how much it will cost you to live and go to college for the school year; not how much you’ll have to pay. Includes: •Tuition & Fees •Personal & Miscellaneous •Books & Supplies •Childcare •Room & Board •Disability Expenses •Transportation •Program Expenses • Established by college’s financial aid office. • Higher COA = higher need (so, possibly more aid) • Average 10/11 COAs in Oregon: • Public 2-Year $14,914 • Public 4-Year $21,047 • Private 4-Year $37,645
What is EFC? • “Expected Family Contribution” – The amount you/your family can reasonably be expected to contribute to your COA over the school year • Not what you/your family will pay for you to go to college • Two components: • Parent contribution (income, assets) • Student contribution (income, assets) • Federal methodology used to evaluate FAFSA data (income from last completed tax year, current assets) • Base EFC is the same at any college (only exception: Professional Judgment for special circumstances) • Directly impacts eligibility for need-based aid
What is “Financial Need?” • The difference between your COA and EFC: COA -EFC =Financial Need • The higher your COA, the higher your financial need (Will vary, depending on various college costs) • Determines how much/what type of aid you may receive
Categories of Financial Aid • Grants • Need-based • Free • Scholarships • Need-based and/or • Merit-based • Student Employment • Part-time, student work • Educational Loans • Student loans • Parental loans
Types of Aid: Grants • Federal • Pell – Up to $5,350 for 09/10 (prorated for other than full-time) • Supplemental Education Opportunity Grant (SEOG) – Up to $4,000 • Academic Competitiveness Grant (ACG) - Up to $750/FR, $1300/SO (“rigorous” high school program required) • Science and Mathematics Access to Retain Talent (SMART)- Up to $4000/JR&SR (for high need majors) • TEACH grant – up to $4,000/year in teaching program (may revert to loan if teaching requirement unfulfilled) • State (OR) • Oregon Opportunity Grant (OOG) – The 2009–2010 award range is $400 to $2,675, based on each student’s financial need. Prorated for half-time. Application deadline may apply.
ACG Highlight: • Must be high school graduate, full-time, Pell-eligible, pursuing at least a 2-year program and completed a “rigorous” high school program: • A set of courses similar to the State Scholars Initiative. This program of study requires passing grades in the following: • Four years of English; • Three years of math (including Algebra I and a higher level course such as Algebra II, geometry, or data analysis and statistics); • Three years of science (including at least two courses from biology, chemistry or physics); • Three years of social studies; and • One year of a foreign language (not English). or • Advanced Placement (AP) or International Baccalaureate (IB) courses and test scores. This program requires a minimum of two Advanced Placement (AP) or International Baccalaureate (IB) courses in high school and a minimum passing score on the exams for those classes. Students must score 3 or higher on AP exams and 4 or higher on IB exams.
Types of Aid: Scholarships • High School • Institutional (College/University) • Ex. RCC Foundation awarded over $700,000+ in 09/10 • www.rccfoundation.org • Early march application packet submission deadline • State • OSAC (Oregon Student Assistance Commission) awards $14,000,000+/year to Oregon residents • www.getcollegefunds.org NOW! • Early March 1 application submission deadline. February 16, 2010 Early Bird Review (get started early – application online in early Nov.) • Apply for up to 12-20 with one, online application! • Highlight: Ford Family Foundation
Scholarships (cont.) • Private/Independent scholarship search tools • RCC’s “Scholarship Central” at www.roguecc.edu/FinancialAid/Scholarships.asp • SOU’s Scholarship website at http://www.sou.edu/enrollment/financial-aid/scholarships/ • www.college.gov/, select “how to pay”, then “learn what’s available”, then scroll down and select “financial aid and scholarships wizard”. • FinAid on the Web - www.finaid.org • The College Board - http://apps.collegeboard.com/ cbsearch_ss/welcome.jsp • FastWeb - www.fastweb.com • Scholarship Resource from Student Loan Network - www.studentscholarshipsearch.com • Go College - www.gocollege.com, select “scholarships”.
Type of Aid: Student Employment FACT: Students who work up to 16 hours/week on top of a full-time course load, do better academically. • Federal Work Study (FWS) • Part-time employment • On- or off-campus • Taxable income is 100% excluded on FAFSA • Generally conducive to student schedule • Less transportation time/cost • College employment • Generally conducive to student schedule • Less transportation time/cost • Independent, off-campus employment
Type of Aid: Student Loans Applying for a Loan: Step 1 - Complete the FAFSA. Step 2 -Complete a Loan application. Debt that must be re-paid, over time. Consider all loan options and repayment plan. Use federal loan options first. • Federal Stafford Loan (FSL) • FFELP (lenders) or Direct Loan (federal government) • Most common student loan. Almost everyone qualifies. Undergraduate and graduate students. • Availability: Subsidized (need-based loan with interest subsidy) and/or Unsubsidized (granted regardless of need) • Base eligibility; up to $3,500/FR,$4,500/SO, $5,500/JR&SR (Subsidized maximum) + up to $2,000/year for Unsubsidized loans • Additional Unsubsidized eligibility; up to $4,000 (independent students only) • Student liability for repayment (after no longer at least half-time and 6-mo grace period after graduation), including principal, interest (fixed, 6.8%) and fees. • By 2012 the fixed interest rate on subsidized Stafford Loans will be reduced to 3.4%
Other Student Loans Applying for a Loan: Step 1 - Complete the FAFSA. Step 2 -Complete a Loan application. • Federal Parental Loan Undergraduate Students (PLUS) • Parental liability for repayment (as of disbursement), including principal, interest (fixed, 7.9-8.5%, depending on college type) and fees • Requires decent credit and timely repayment of Title IV debt. • Attendance must be at a qualifying school. Amount up to COA-aid • Federal PERKINS Loans • Offered only by participating colleges to highest need students • Student liability for repayment • Undergraduate and qualifying graduate students. • Fixed, 5% interest rate • 9-mo grace period with Repayment to college • Up to $5,500/year • Alternative Student Loans (may be difficult to secure) • Not federal loans or federally regulated. Use after federal loans are maximized. • Shop for terms and conditions • Up to COA-aid & resources
Other Ways to Pay for College Once you have maximized student aid, scholarships, loans and work study programs, look for opportunities to save money through your high school or college. • 2+2 credits • Complete college classes while still in high school. • Dual Enrollment • Tuition fee reduction or waiver programs • RCC Buy one-get one free (BOGO) • SOU Diversity programs • Dislocated or disadvantaged worker programs • Programs for specialized majors or high academic achievers.
How to Apply: FAFSA • Free Application for Federal Student Aid • Submit one for each school year (generally begins ‘09 Summer or Fall and ends ‘10 Spring or Sumer) • Application available Jan. 1 of year preceding school year • Don’t wait for federal taxes; estimate and correct later • Online (FAFSA on the Web at www.fafsa.gov) recom- mended with student (and parent) federal PIN(s) (real-time) as electronic signature(s)
FAFSA Tools for NOW: • Demo site available early December ‘08 at http://fafsademo.test.ed.gov (user name – eddemo; password – fafsatest) • FAFSA Forecaster available at www.fafsa4caster.ed.gov
FAFSA – Filing Options • Online (use FAFSA on the Web Worksheet to complete FAFSA on the Web at www.fafsa.gov) • with federal PIN(s) as electronic signature(s) – 3 days federal processing • FAFSA with wet signature(s), mailed • printable FAFSA pdf at www.fafsa.gov - 3-4 weeks federal processing • call 1-800-4FEDAID to order hard-copy - 3-4+ weeks federal processing
FAFSA Highlights General Eligibility Requirements: • Must be enrolled or accepted for enrollment in an eligible program of study • Must be pursuing an eligible certificate or degree program • Must be a U.S. citizen or eligible noncitizen • Must be registered with Selective Service (if male and required to do so) • May have eligibility suspended or terminated due to a drug-related conviction • Must have a valid Social Security Number • May not be in default on a federal student loan • Must not owe repayment of a federal grant • Must be making satisfactory academic progress as defined by the school
Suggested Documents (FAFSA) Student and Parents Social Security # Student Drivers License Students and Parents 2009 W-2 forms and other records of money earned. Student and Parent(s) 2009 federal Income Tax Return (dependent student) 2009 record of untaxed income (child support, gov. benefits, etc.) Current bank statements Business and investment information. Alien Registration or Permanent Resident card (if not US citizen).
FAFSA Highlights (cont.) • OIT 003211 • SOU 003219 • PSU 003216 • LCC 003196 • UCC 003222 Don’t see your school listed? FAFSA on the Web has an online look-up feature. Or, visit www.fafsa.ed.gov/FOTWWebApp/FSLookupServlet. School Codes: • RCC 010071 • OSU 003210 • WOU 003209 • SOCC 003220 • UofO 003223
Dependent vs. Independent Students (no parental data required by FAFSA) Age 24 by 12/31/10 (born before 1/1/87). Married (including separated) as of date FAFSA filed. Working on master’s or doctorate in 09/10. Currently serving on active duty in US Armed Forces. Veteran of the US Armed Forces. Have children who will receive > ½ their support from you 7/1/10-6/30/11. Other dependents who live with you and receive > ½ their support from you now through 6/30/11.
Dependent vs. Independent Students (no parental data required by FAFSA) • Orphan (both parents deceased), in foster care or ward of the court as of age 13 or beyond. • As of today, an emancipated minor (<=21) per the court in your state of legal residence. • As of today, in legal guardianship per the court in your state of legal residence. • Unaccompanied, homeless youth (<=21) any time on/after 7/1/08 (per documentation from high school or district homeless liaison). • Unaccompanied, homeless youth (<=21) any time on/after 7/1/08 (per director of emergency shelter program funded by HUD). • A youth (<=21) who is/was a) unaccompanied and homeless or b) self-supporting and at risk of being homeless any time on/after 7/1/08 (per director of a runaway or homeless youth basic center or transitional living program). NOTE: Be ready to provide documentation to the Financial Aid Office.
Need help? Learn about colleges, applying for admission, or complete a financial aid application • South Medford High School • Visit the Panther Future Center • Arlene Louis, SMHS Scholarship Director • Angel Garcia, TRiO Talent Search -Transition Specialist • Marybeth Pearson, ASPIRE Coordinator • North Medford High School • Nancy Griffith, Vice Principal, 541-842-3672 • Jackson County adults and students not served by ASPIRE or TRiO Talent Search. • Visit TRiO Educational Opportunity Centers, 541-245-7699