1 What should we know about our Family Contribution? l Asset - PDF document

College Funding Services l Website: www.ineedfinancialaid.com l Toll Free: 844-CFS4AID (237-4243) l Email: info@ineedfinancialaid.com How do they determine if I’m eligible? — COA – EFC = NEED — COA = Cost of Attendance — (Includes tuition, books, room/board, etc.) — EFC = Expected Family Contribution — (Based on parent and student income, assets, age, number of students in school, etc.) — Need = Amount of aid the family is eligible 1

What should we know about our Family Contribution? l Asset Protection Allowance l What is considered an asset? l Parental Assets vs. Student Assets l Is debt considered? l How should we value our home? — www.finaid.com — Calculators — Federal Housing Index What should we know about our Family Contribution? l Parent Income vs. Student Income l Student Income allowance = $6,420 l Self-employed families l Do NOT include business assets/worth on FAFSA if you have less than 100 employees l Salary to a dependent as tax benefit detrimental for financial aid How much should students borrow? l NO MORE than Average Starting Salary by Major: l Engineering $62,891 l Computer Science $62,103 l Business $57,229 l Communications $48,253 l Math/Science $44,299 l Education $40,267 l Humanities/Social Sciences $38,049 l Unknown $30,000 2

Financial Aid l Myths vs. reality: l Income too High l Grades too Low l Own a home l I can always apply next year Sources of Financial Aid l FEDERAL GOVERNMENT l Pell Grants l SEOG Grants l College Work/Study l Subsidized and Unsubsidized Stafford Loans l PLUS Sources of Financial Aid State Government l Special programs for in-state residents. l Contact HESAA l www.hesaa.org l NJ Class Loans l NJ TAG Grant 3

Sources of Financial Aid Colleges and Universities l Private universities have endowment funds, outside of federal and state funds. l Create competition l Give preferential packaging to students who are in top 25% of applicants. What if I do not qualify for Need-Based Aid? l Merit Aid l Top 25% of applicants l School by school basis; some more generous than others (some not at all) l Value Schools l Average School cost $30-$70K l Lower end of range = Value l Ex. Binghamton l COA = $36,000 l Honors Programs American Opp. Tax Credit - AOTC — $2,500 Credit Per Child, Per Year — Phased out for families with AGI between $160,000-$180,000 — Phased out for single parents AGI between $80,000-$90,000 — In order to qualify for maximum credit you must pay college at least $4,000 from a source other than 529 4

How can I qualify for AOTC if my AGI is over $180,000? — Possible to capture credit through the student — Student must file taxes, claim themselves and show earned income — If family has self-employment income, student should be employee — If family has other property student can be property manager — Other ways to be creative — Consult your CPA How do you apply? — The FAFSA (Free Application for Federal Student Aid) — EVERYONE must fill out this form to get aid — You cannot apply for Federal Loans if you do not fill one out — Not accessible until Oct. 1 st , 2017 — Accessible at FAFSA.ed.gov — 2016 is base income year for class of 2018 — “Prior Prior” is new base income year — DEADLINES ARE PARAMOUNT FAFSA - FSA ID l New Login/Access Procedure: FSA ID l Required by student and one parent l Needed to access/submit the FAFSA l Username/Password (Replaced PIN number system) l Create Prior to preparing FAFSA: l FSAID.ed.gov 5

CSS/PROFILE l Most private schools require this form l Much more invasive and complex l Home equity treated as liquid asset l Section Q l www.collegeboard.com l $25.00 for 1 st school, $16.00 for each thereafter How do you apply for aid? l Institutional Applications l Some schools require their own additional forms. l i.e., UPENN, Princeton l They should be consistent with other forms l Usually asks similar questions to the other two forms How do you apply for aid? l FAFSA l CSS/PROFILE l College Institutional Forms l Additional Forms: l Business/Farm Supplement l Divorced/Separated Situations 6

Case Studies Amherst College: UMASS-Amherst: Cost - $75,000 Cost - $28,000 EFC - $20,000 EFC - $20,000 Need - $55,000 Need - $8,000 Amherst College: UMASS-Amherst: Meets 100% Need Meets 60% Need Gift Aid - 100% Gift Aid - 50% Self Help – 0% Self Help - 50% What you actually pay at each school: Amherst College: UMASS-AMHERST: Original EFC = $20,000 Original EFC = $20,000 Total Gift = $55,000 + Unmet Need = $3,000 Total Cost = $20,000 Total Cost = $23,000 Case Studies Colgate University: Case Western: Cost - $70,000 Cost - $65,000 EFC - $70,000 EFC - $70,000 Need - $0 Need - $0 Colgate University: Case Western: Need-based aid = $0 Need-based aid = $0 Merit-based aid = $0 Merit-based aid = $30,000 What you actually pay at each school: Colgate University: Case Western: Year 1 = $70,000 Year 1 = $35,000 Total Cost = $280,000 Total Cost = $140,000 How to appeal for the best possible package 5 Point Plan of Attack 1. Bring color/background to your story 2. Ask for specific amount of additional aid 3. Show awards offered by other colleges 4. Challenge expenses not considered on taxes 5. Be persistent 7

@ Rerrsselaer I ."'".FFTNANCTALATD March 12,2016 Stefan Blair Rensselaer ID Number: 661637805 Apt. 18F 90 La Salle Street Regular Decision New York. NY 10027-4724 Dear Stefan: i am pieaseci to infonn you oi tire financiai aid awarcils.l beiow for the 2tJi6-201'/ ard year. Detaiieci information on awards, policies, and procedures may be found in the "Student Guide to Financial Aid". cosr oF ATTENDANCE' i68,284 Tuition #49 ,520 >L, Z / I Undergraduate Fees Room and Board $14,630 Books and Supplies #a ,264 Cr trtra Personal and Misc. JJ) 4!, Direct Loan Fee $40 TOTAL RENSSELAER AND OTHER FINANCIAL AID.... $2 5 , 5 O O Fall20l6 Spring 2017 Total $9,ooo $9,000 Rensselaer Leadership Arvard $18,ooo $1, 5oo $1, 500 $3, 000 Federal Perkins Loan 91, 750 $1, 750 $3, 5oo Federal Direct Subsidized Loan $l-, oo0 $l-, ooo $2, ooo Federal Direct Unsub. Loan ESTIMATED FAMILY COST TO ATTEND RENSSELAER.. $4L,7 84 Receipt of awards not listed above or changes to infomation may change award eligibility or amounts. Awards you wish to decline or reduce should be crossed out, adjusted and initialed. Our "Student Guide to Financial Aid" as well as the "Financing a Rensselaer Education" document is available at http://admissions.rpi.edu/aid/info.html. Be sure to meet the May 1.2016 enrollment deposit deadline. Please feel free to contact a staff member if you have any questions regarding your aid. Sincerely, &Q,@^^z= Larry Chambers Director Rensselaer Polytechnic Institute Academy Hall | 1i0 8th Street I Tio11 NY 12180-1590 (518) 276-6813 | Fax: (5i8) 276-4797 I finaid@rpi.edu I wwrv'rpi.edu

661-63-7805 Office of Financial Aid Stefan Blair April 13, 2016 I Apt. 18F Rensselaer ID Number: 661637805 90 La Salle Street Revised New York, NY 10027-4724 Dear Stefan: I am pleased to inform you of the financial aid award(s) below for the 2016-2017 aid year. Thank you for providing our Appeals Committee with your recent request for re-evaluation of your financial aid. Every attempt has been made to provide you with the most aid possible. Our Appeals Committee decisions are final. Compare this notification with your last notification for changes made. Detailed information on awards, policies, and procedures may be found in the "Student Guide to Financial Aid". COST OF ATTENDANCE............................................................................................................. $69,792 Tuition $49,520 Undergraduate Fees $1,277 Room and Board $14,630 Books and Supplies $1,264 Personal and Misc. $1,553 Direct Loan Fee $48 Laptop Computer $1,500 TOTAL RENSSELAER AND OTHER FINANCIAL AID......................................................... $32,000 Fall 2016 Spring 2017 Total RPI Access Grant $2,000 $2,000 $4,000 Rensselaer Leadership Award $9,000 $9,000 $18,000 Rensselaer Laptop Scholarship $1,500 $0 $1,500 Federal Perkins Loan $1,500 $1,500 $3,000 Federal Direct Subsidized Loan $1,750 $1,750 $3,500 Federal Direct Unsub. Loan $1,000 $1,000 $2,000 ESTIMATED FAMILY COST TO ATTEND RENSSELAER.................................................. $37,792 Receipt of awards not listed above or changes to information may change award eligibility or amounts. Awards you wish to decline or reduce should be crossed out, adjusted and initialed. Our "Student Guide to Financial Aid" as well as the "Financing a Rensselaer Education" document is available at http://admissions.rpi.edu/aid/info.html. Be sure to meet the May 1, 2016 enrollment deposit deadline. Please feel free to contact a staff member if you have any questions regarding your aid. Sincerely, Larry Chambers Director Rensselaer Polytechnic Institute 110 8th Street | Troy, New York 12180-3590 USA | Academy Hall Phone (518) 276-6813 | Fax (518) 276-4797 | Email: finaid@rpi.edu www.rpi.edu