Verification Marist College ITALY ● NEW YORK ● ONLINE An Overview of Financial Aid and the FAFSA 1 Student Financial Services
Agenda • What is financial aid? • Cost of attendance (COA) • Expected Family Contribution (EFC) • What is financial need? • Free Application for Federal Student Aid (FAFSA) • Sources of financial aid • The CSS PROFILE Student Financial Services
my.Marist.edu What is Financial Aid? “ Student Portal” Financial aid is funding used to assist students and families to pay for postsecondary educational expenses. 3 Student Financial Services
What is Cost of Attendance (COA)? Financial Aid • May include: Billable costs — Tuition and Fees • Non-billable costs — Room and Board — Books • Varies from college to — Travel college — Miscellaneous Expenses 4 Student Financial Services
Federal Work Study What is the Expected Family Contribution (EFC)? • Calculated using data from the federal application form (FAFSA) and a federal formula. It is used to determine student aid eligibility. • For the 2019 – 20 academic year, the FAFSA may be filed beginning October 1, 2018 • Amount family can reasonably be expected to contribute • Stays the same regardless of college 5 Student Financial Services
5 Factors Considered in Calculating The EFC: Examples of Assets: 1. Income • 529 Savings Plan * • Educational IRA Accounts 2. Assets • Prepaid Tuition Plan • Trusts • Inheritance 3. Household size • Stocks • Cash 4. Number of students in college • Mutual Funds 5. Age of older parent * These accounts are reported as parental investments on the FAFSA, including all accounts owned by the student and all accounts owned by the parents for any member of the household. Student Financial Services
Federal Direct Student Loans What Is Financial Need? Cost of Attendance - Expected Family Contribution (EFC) = Financial Need 7 Student Financial Services
Completing The FAFSA Federal Direct Loan www.fafsa.ed.gov Application Process • Create an FSA ID and password at https://fsaid.ed.gov/npas/index.htm • The FSA ID will provide access to certain U.S. Department of Education websites – Both the student and a parent need an FSA ID and password to electronically sign the FAFSA • Provide a valid email address for the Student Aid Report (SAR) to be emailed in 3-5 days 8 Student Financial Services
Prior-Prior Year FAFSA Federal/State Grants Effective October 1 st , 2018 Prior-prior year (PPY) students can begin applying for tax information (2017) will financial aid for 2019-20 be used on the 2019-2020 FAFSA IF YOU PLAN TO ATTEND YOU WILL SUBMIT YOU CAN SUBMIT THE USING TAX COLLEGE FROM THIS FAFSA FAFSA FROM INFORMATION FROM JULY 1, 2019 – 2019-2020 OCTOBER 1, 2018 - 2017 JUNE 30, 2020 JUNE 30, 2019 JULY 1, 2020 - 2020-2021 OCTOBER 1, 2019 - 2018 JUNE 30, 2021 JUNE 30, 2020 9 Student Financial Services
Documents Used To Complete The FAFSA: • Federal Income Tax Returns (IRS Data Retrieval) • W- 2’s • Driver’s license & SSN • Records of untaxed income – Child support received/paid – Workers compensation • Current bank statements • Business & farm records • Records of stocks, bonds & investments • Alien Registration number (ARN), if not a U.S. citizen 10 Student Financial Services
Verification IRS Data Retrieval Tool • Utilize the IRS Data Retrieval • IRS will authenticate taxpayer’s identity • If match found, IRS populates tax information • Applicant chooses whether or not to transfer data to the FAFSA https://studentaid.ed.gov/sa/resources/irs-drt-text 11 Student Financial Services
How Does The FAFSA Work? Student Accounts FAFSA PROCESSED BY Government CREATES Student Aid Report (SAR) Colleges Student (student applied to) (reviews SAR) SUBMITS CREATE Changes to Financial Aid FAFSA Award Packages SEND TO Add more Students 12 Student Financial Services schools
Types of Financial Aid Gift Aid: • Scholarships (merit/academic) • Grants (need based) Self Help • Employment Aid: – Need based: Federal College Work Study – Non-need based: Campus Employment • Loans (need based and non-need based) 13 Student Financial Services
Electronic Billing Information Gift Aid: Scholarships Institutional • Academic Scholarship • Commuter Award • Athletic Scholarship • Music Scholarship • Theatre Scholarship • ROTC Scholarship State • NY State Scholarship for Academic Excellence • New York State Achievement and Investment in Merit Scholarship (NY-AIMS) Private • Endowed Scholarships • Outside Scholarships 14 Student Financial Services
Confirmation Email Gift Aid: Grants Federal • Federal Pell Grant: $623 - $6,095 • Supplemental Educational Opportunity Grant (SEOG) • TEACH Grant: up to $4,000/year ($16,000 over 4 years) State • NY State TAP: $500 – $5,165 Institutional • Need-Based Grant in Aid 15 Student Financial Services
Important Dates Student Employment • Allows student to earn money to help pay educational costs and learn “real life” work skills • Awarded as Campus Work Study or Campus Employment • Earnings not applied toward the bill • Student receives a paycheck 16 Student Financial Services
Federal Direct Loan Financing a (Subsidized and Unsubsidized) Marist Education Effective 07/01/18 Subsidized Direct: fixed interest rate • Need-Based of 5.05% • Government pays interest earned while in school Unsubsidized Direct: • Financial need is not a consideration • Interest is accrued • Interest payments can be made or deferred * Freshman base annual loan limit $5,500 17 Student Financial Services
Federal Direct PLUS Loan Tuition Payment Plans • Borrowers are parents of dependent undergraduate students Federal PLUS Loan: Effective 07/01/18 fixed • FAFSA must be filed to receive a interest rate of 7.60% Federal PLUS Loan • Annual loan limit: cost of attendance minus all other financial aid • Repayment begins after final disbursement for the year unless granted a deferment 18 Student Financial Services
Federal Direct PLUS Loan Private Loan Apply at www.studentloans.gov • Loan in the student’s name • Credit-based • Can borrow up to the cost of attendance minus all other financial aid • Interest rates (fixed or variable), terms, and fees vary with lender Student Financial Services 19
Monthly Payment Plan PLUS Loan (Continued) www.studentloans.gov • Convenient alternative to lump-sum, semester payments • Payments can be made over a specified time period • Annual application fee • No credit review 20 Student Financial Services
Private Loans The College Scholarship Service (CSS) Financial Aid PROFILE • Used by some colleges and universities to award their own institutional financial aid funds. This form is in addition to completing the FAFSA. • Available October 1, 2018. Review the colleges’ websites to determine if the PROFILE is required or for priority filing dates. • $25 for the initial application; $16 charged for each additional college you request. • Students register and complete the PROFILE online at http://student.collegeboard.org/profile • PROFILE is not required for federal financial aid 21 Student Financial Services
Additional Information Reported on the CSS PROFILE VS. FAFSA • Home value/mortgage information • Private school tuition • Business owner information • Medical and dental expenses • Non-custodial parent information • Outstanding debts • Projected financial information for the coming year • Explanation of special circumstances Student Financial Services
Overall Points to Remember • Read the FAFSA and PROFILE instructions carefully • Financial aid and state requirements and deadlines may vary with institutions • The FAFSA must be completed or renewed every year the student is in college in order to be eligible for financial aid 23 Student Financial Services
Electronic Billing Information Key Web Sites: • FAFSA on the Web: www.fafsa.ed.gov • Net Price Calculator: A tool used to estimate net cost of a specific institution www.marist.edu/financialaid/freshman/netpricecalculator.html • Department of Education Student Information: http://studentaid.ed.gov • New York State TAP: www.hesc.ny.gov • Federal Student Aid Downloadable Resources: https://studentaid.ed.gov/sa/resources • Marist College Office of Student Financial Services: https://www.marist.edu/sfs • Financial Aid Videos: https://www.marist.edu/admission/student-financial-services 24 Student Financial Services
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