Finding Money for CollegeBasics of Financial Aid and the FAFSA

Mr. Cravens | Desert Edge H.S. Career Specialist

We will talk about:

• Federal student aid• Student aid from colleges• Scholarships from other sources

We will answer:

• What is financial aid?• Who can get it?• How much can I get?• Where do I apply?• What happens next?• Where can I get more info?This presentation will be on the DEHS website as

“FAFSA”, then “Financial Aid Presentation”

What is financial aid?

• Money to pay for college or vocational school• Grants• Scholarships• Work Study• Loans

Who can get federal student aid?

• U.S. citizen or permanent resident• High school graduate/GED holder• Eligible degree/certificate program• Valid Social Security number• Males registered for Selective Service• Satisfactory academic progress in college or

vocational (when you are already in college)

How much federal student aid can I get?

In general, depends on your financial need.•Financial need determined by Expected Family Contribution (EFC) & Cost of Attendance (COA)•EFC comes from what you report on FAFSA® (Free Application for Federal Student Aid)•COA is tuition, fees, room and board, transportation, etc.

COA – EFC = financial need

How much federal student aid can I get?Maximum amounts for the major programs for a dependent freshman in 2015-16:•Federal Pell Grant: $5,775•Federal Work-Study: depends on funds available at school•Direct Subsidized and Unsubsidized Loans: $5,500 total•Direct PLUS Loan (for parents): COA minus other aid received

Funds from other programs are available; see StudentAid.gov/needmoney for details.

How much federal student aid can I get?

For early estimate, use FAFSA4caster:•Go to fafsa.gov and find link in “Thinking About College?” section (lower right of home page) •Enter some financial information•Get an estimate

How do I apply for federal student aid?

1. Get a FSA ID at www.fafsa.gov• Your parent likely needs a FSA ID too.• Click the blue padlock icon that says “FSA ID”.• Click the blue italic text that says “create a FSA ID now”.• Remember your FSA ID number and do not share it with

anyone.• Important note: Do not use high school email address

for FAFSA – messages may be blocked and you will need it each year through college.

www.fafsa.gov

How do I apply for federal student aid?

2. Gather the documents you need to apply. • Social Security or Alien Registration number, federal income

tax returns, bank statements, investment records, untaxed income records, FSA ID#, list of colleges you are interested in.

• Find checklist of what’s needed at https://studentaid.ed.gov/sa/sites/default/files/info-for-fafsa.pdf or ask the Career Specialist.

• Hint: Use the FAFSA on the Web Worksheet to prepare your answers. (Get worksheet at https://studentaid.ed.gov/sa/sites/default/files/2015-16-fafsa-worksheet.pdf or ask the Career Specialist.

Checklist

You should have the following information and documents with you as you fill out the Free Application for Federal Student Aid (FAFSA):• Your Social Security number• Your parents’ Social Security numbers if you are providing parent information*• Your driver’s license number if you have one• Your Alien Registration Number if you are not a U.S. citizen• Federal tax information or tax returns** including IRS W-2 information, for you (and your spouse, if you are married), and for your parents if you are providing parent information•• If you have not yet filed an income tax return, complete and submit the FAFSA using estimated tax information•• Use income records for the year prior to the academic year for which you are applying: for instance, if you are filling out the 2016–17 FAFSA, you will need 2015 tax information• Records of your untaxed income, such as child support received, interest income, and veterans non-education benefits, for you, and for your parents if you are providing parent information• Information on cash; savings and checking account balances; investments, including real estate but not including the home in which you live; and business and farm assets for you, and for your parents if you are providing parent information•* Not sure whether you will need to put your parents’ information on the FAFSA? Check out “Am I Dependent or Independent?”•at www.studentaid.ed.gov/pubs or call 1-800-4-FED-AID (1-800-433-3243).•** If you file your taxes before filling out your FAFSA online, you might be able to have your tax information automatically retrieved from the Internal Revenue Service and inserted in your FAFSA. e FAFSA will walk you through the process.

How do I apply for federal student aid?

3. Fill out your FAFSA at fafsa.gov. • Apply on or after January 1 but as early as possible to

meet all deadlines. • School deadlines are listed on college websites.• FAFSA results will be sent to the colleges or vocational

schools you provide.• Typically a student and both parents need to complete a

FAFSA independently.• Some students and parents may be confused about which

parent(s) needs to report. See the document “Who is my parent when I fill out the FAFSA?” at https://studentaid.ed.gov/sa/sites/default/files/who-is-my-parent.png or ask the Career Specialist.

Completing the FAFSA

• Need help? Use the help functions within the FAFSA (including live chat) or call 1-800-4-FED-AID. Ask for Customer Service.

• AFUHSD FAFSA Completion Night, Monday, Feb. 1, 6:00-8:00 PM at District Office, 1481 N Eliseo Felix Jr. Way, Avondale. Parents welcome

• College Goal FAFSA, Sat., Feb 13, 2:00-4:00 PM ITT Tech, Lab1, 1840 N 95th Ave., Suite 132, Phoenix

• Before you finish, watch for the confirmation page that says your FAFSA has been submitted, THEN log out.

How do I apply for federal student aid?

4. Watch for response by e-mail or by mail, confirming that your FAFSA was processed.

• Double-check that your info is correct by logging on at the FAFSA site and reviewing your data.

• Correct any mistakes and submit the corrected info.• Estimated tax info on your FAFSA? Use the IRS Data

Retrieval Tool to import info from your federal return into your FAFSA. More: StudentAid.gov/irsdrt

How do I apply for federal student aid?

5. Watch for e-mails or letters from the schools you are considering.

• Give the schools any additional paperwork they ask for.• Meet all deadlines or you could miss out on aid!

What happens next?

• Each school will provide you with a Financial Aid Award letter that outlines all of the available federal and school grants and aid. Typically, these are sent to you in February or March.

• Once you decide which school to attend, keep in touch with the financial aid office to find out when and how you will get your aid.

• Your school may ask you to complete a routine verification process before providing your award.

• Brief Commercial Interruption from the Office of Federal Student Aid

How About Scholarships?

• A large portion of your scholarship money will come from the university or schools you have been accepted by. These are typically merit based.

• There are many scholarship websites such as Fast Web!, Cappex, and College Greenlight. See the DEHS website for a complete list.

• AZCIS has a very thorough list of scholarships.• There are also many local scholarships available.

These are also available on the DEHS website.

Where else can I search for scholarships or get help?

• Ask college financial aid offices for info about aid available at their schools

• Free scholarship search and much more at StudentAid.gov/scholarships

• FAFSA Help:• 1-800-4-FED-AID; FAFSA help and other questions (say “Customer Service”)

• www.Twitter.com/FAFSA• www.YouTube.com/FederalStudentAid• www.Facebook.com/FederalStudentAid

Work Study

• If you are interested in a job while attending school, be sure to click the “Work Study” option on FAFSA.

• Your school may be able to offer you a job on campus. These typically work around your academic schedule.

• You do not have to accept any job offered, but indicating you are interested when completing the FAFSA may provide you with options.

• Contact the financial aid office at your school for details.

Loans

• Your FAFSA report will advise you about loans that could be available to you. You do not have to accept any loan just because it is offered.

• Student loans are generally not paid until you graduate or leave school.

• Subsidized loans do not accrue interest while you are in school.• Unsubsidized loans do accrue interest while you are in school.• Parent loans may also be available through the federal government.

Generally, these loans carry low interest rates.• Private loans are also available from banks and other lending

institutions. Terms will vary.

Questions?