Financing Your Education

1
Financing Your Education

• Speaker Chris Beloin, MBA, MSE, GCDF UW
  Washington County, West Bend, (262)
  335-5201 or www.washington.uwc.edu
• The goal of financial aid bridging the gap
• How financial need determined
• How to apply
• What aid is available?
• What is the role of the financial aid office?

2
Principles of Needs Analysis

• To the extent they are able, parents have primary
  responsibility to pay for their dependent
  childrens education.
• Students also have a responsibility to contribute
  to their educational costs.
• Families should be evaluated in their present
  financial condition.
• A familys ability to pay for educational costs
  must be evaluated in an equitable and consistent
  manner, recognizing that special circumstances
  can and do affect a familys ability to pay.

3
What Are the Costs?

• Tuition and Fees
• Room and Board
• Transportation
• Books Supplies
• Miscellaneous Living Expenses
• Cost of Attendance (COA)

4
Main Determinants of the EFC

• Income of both student and parents
• Assets of both student and parents
• Family size
• Number in College
• Age of the older parent

Adjustments to EFC may be made by the Financial
Aid Office due to Verification and/or Special
Circumstances that limit ability to pay
5
Expected Family Contribution (EFC)

• Is the sum of four separate calculations
• Contribution from Parental Income
• Contribution from Parental Assets
• Contribution from Student Income
• Contribution from Student Assets

6
Financial Need Defined

• Cost of Attendance (COA)
• Expected Family Contribution (EFC)
• Financial Need

7
EFC Calculation Example

• Family Size 4
• Number in college 1
• Parent AGI 68,400
• Parent Untaxed Income 3,500
• Parents Assets 45,000
• Students AGI 4,500
• Students Assets 3,000
• Parents Contribution 6,957
• (Parents Contribution from Assets 0)
• Students Contribution 1,070
• (Student Income Contribution 470)
• (Student Contribution from Assets 600)
• Expected Family Contribution 8,027
• (Note 2008-2009 FM formula used)

8
Financial Need Varies by School Cost
School 1 School 2 School 3
Cost of Attendance 27,394 17,425 12,056
Less EFC 8,027 8,027 8,027
Need 19,367 9,398 4,029
9
Financial Need Varies By School Cost
10
You may be eligible for aid, but..

• YOU MUST APPLY TO FIND OUT!
• And its free!
• NEVER pay to file the FAFSA!
• File the FAFSA each year.
• www.FAFSA.ed.gov

11
Application Process

• Apply for PIN through Department of Education
• Submit the Free Application for Federal Student
  Aid (FAFSA) prior to your schools deadline
• Submit any institutionalapplication
  materials(if required by your school)
• Finalize school admission
• Make sure to meet allrequired deadlines!

12
What is a PIN? www.pin.ed.gov

• Personal Identification Number
• Student and one parent must get their own PIN
• Used to electronically sign the FAFSA
• PIN delivery
• Real time online (immediate)
• By e-mail, with a link to retrieve your PIN
• By regular mail in 7-10 days
• Can also be used for
• Renewal on the Web
• Corrections on the Web
• National Student Loan Database
• Signing promissory notes for student/parent loans
  (Perkins, Stafford, PLUS)

13
FAFSA Processing Flowchart
Schools 1 - 10
FAFSA
STUDENT
FAFSA
PROCESSING
CENTER
Database Matches
Student Aid Report
Wisconsin Higher Educational Aids Board (HEAB)
14
College Scholarship Service /PROFILE (used by
some private schools)

• Collects additional data
• Targets non-federal funds
• Supports Institutional Methodology (IM) as well
  as Federal Methodology (FM)
• Supports early estimates/early admission

15
Timelines

• A PIN may be obtained at any time prior to filing
  the FAFSA.
• The earliest a student can file the FAFSA for the
  2009-2010 academic year - January 1, 2009.
• Check with schools for institutional deadlines
  and requirements.
• Failure to apply early may result in less aid,
  even if eligible.
• Students must renew the FAFSA every year.
  Renewal notification is sent to students towards
  the end of each calendar year.

16
What is Financial Aid?

• Scholarships
• Grants
• Work Study Employment
• Loans

17
Three primary sources of funding

• US Department of Education
• The federal agency that provides funding in the
  form of grants, scholarships and loans.
• State
• Most states have agencies that administer state
  scholarship and grant programs, college savings
  and prepaid tuition programs, and loans. The
  Higher Educational Aids Board (HEAB) manages
  state aid in Wisconsin.
• Colleges Universities
• Schools may offer their own scholarship, grant,
  work-study and loan programs, with each setting
  its own requirements.

18
Gift Aid (FREE )

• Grants Scholarships (see red brochure)
• Federal
• Federal Pell Grant
• Federal Supplemental Educational Opportunity
  Grant (SEOG)
• Academic Competitiveness Grant (ACG)
• National SMART Grant
• TEACH Grant
• State
• Institutional
• Private/outside scholarships

19
Academic Competitiveness Grant (ACG)

• First year grant is 750
• For students who will be new freshman in 2009-10
  the following criteria are required
• U.S. Citizen AND
• Enrolled in a 2 or 4-year program AND
• Pell eligible AND
• Full Time AND
• Graduated from high school after 1/1/2006 AND
• Completed a rigorous high school curriculum as
  defined by the state
• Second year grant is 1300
• Same criteria as above AND
• Must have a minimum 3.0 GPA AND
• Graduated from high school after 1/1/2005

20
National Science and Mathematics Access to Retain
Talent (SMART) Grant

• Up to 4000 in 3rd and 4th years of undergraduate
  study
• Eligibility requires include
• U.S. Citizen
• Pell Eligible
• Full Time
• 3.0 Cumulative G.P.A.
• Enrolled in an eligible program of study
• Computer Science, Engineering, Critical Foreign
  Languages, Life Sciences, Mathematics, Physical
  Sciences, Technology, or Multidisciplinary
  Studies

21
ACG/SMART Grant Information

• Academic Competitiveness Grant (ACG)
• http//www.fsa4counselors.ed.gov/clcf/AcademicGra
  nts.html
• National Science and Mathematics Access to Retain
  Talent (SMART) Grant
• http//www.fsa4counselors.ed.gov/clcf/SmartGrants
  .html

22
Teacher Education Assistance for College and
Higher Education (TEACH) Grant

• Created by College Cost Reduction and Access Act
  (9/27/07) and effective for the 2008-2009 award
  year
• Provides a TEACH grant of 4,000 for each
  academic year during which the teacher candidate
  is in full time attendance at a participating
  institution.
• Applicant must agree to serve as a full-time
  teacher for at least 4 academic years within 8
  years after completing education for which the
  applicant received a TEACH grant teach in a
  public or other qualified nonprofit private
  elementary or secondary school in a high-need
  field
• If a recipient fails or refuses to comply with
  this service obligation, the sum of the TEACH
  grant amounts the recipient received shall be
  treated as a Federal Direct Unsubsidized Stafford
  Loan and shall be subject to repayment with
  interest from the date of the grant award.
• Check with specific schools to determine if they
  are participating in the TEACH Grant program
• FAFSA is the TEACH Grant Application

23
Fund for Wisconsin Scholars (FFWS)

• The FFWS is a private charitable foundation that
  has been funded with a 175 million founding
  gift. It will provide grants to talented,
  lower-income graduates of Wisconsin public high
  schools attending a public college, university or
  technical school in Wisconsin. Grants are gifts
  and do not need to be repaid.

For More Information www.ffws.org
Contact Mary Gulbrandsen, Executive
DirectorP.O. Box 5506Madison, WI 53705-0506 Ph
608.238.2400mgulbrandsen_at_ffws.org  
24
Wisconsin Covenant

• Goal Make sure that every Wisconsin 8th grader
  knows that higher education is an option if they
  are willing to work hard during high school.
• Students pledge to graduate, maintain at least a
  B average, take classes that prepare them for
  higher education, and be good citizens.
• Students who fulfill the pledge are guaranteed a
  place in a Wisconsin college or university and a
  financial aid package based on the familys
  financial need that helps make college more
  affordable.
• Students can sign the pledge between April of
  their 8th grade year and September of their 9th
  grade year. Students in the Class of 2011 were
  the first to sign the Wisconsin Covenant Pledge.
• Wisconsin Covenant Students will apply for
  financial aid in the same way that other students
  do.

25
Wisconsin Covenant

• For more information
• www.WisconsinCovenant.wi.gov
• Contact
• Office of the Wisconsin Covenant
• PO Box 7869
• Madison, WI 53707
• 608-267-9389
• WisconsinCovenant_at_wi.gov

26
Self-Help Aid

• Employment (must be earned as wages)
• Federal Work-Study
• Institutional Work Programs
• Off Campus employment
• Loans (must be repaid with interest)
• Federal Perkins Loan
• Federal Stafford Loans (school determines the
  loan program)
• Federal Family Education Loan (FFEL) Program
• William D. Ford Federal Direct Loan Program
• Federal PLUS Loan (parent)
• State Loans
• Institutional Loans
• Private-Alternative Loans

27
Federal Student Loans

• Every family should file a FAFSA. Regardless of
  income, every student qualifies for a Federal
  Stafford loan, if they meet the basic eligibility
  requirements.
• Benefits of a federal student loan
• You dont have to repay until you leave school
• Lower interest rates than private loans or credit
  cards
• Credit record is not needed
• Co-signer is not required

28
2009-2010 Loan Comparison Chart
Federal Perkins Loan Federal Stafford Loan (subsidized unsubsidized) Federal PLUS Loan Private Alternative Loan
Borrower Student Student Parent Student
Cosigner None None Only if poor credit Probable
Credit check No No Yes Yes
FAFSA required Yes Yes Recommended Recommended
Interest Rate 5 Fixed 5.6 Fixed subsidized6.8 Fixed unsubsidized 7.9 (Direct) Fixed 8.5 (FFELP) Fixed Variable
Fees None Origination Fee Default Fee may apply (up to 2.5) Origination and Default Fees apply (up to 4) Vary by loan program and credit rating
Loan Limits Determined by school based on need and available funds 1st year - 5500 (up to 3500 sub) 2nd year - 6500 (up to 4500 sub) 3,4,5 years - 7500 (up to 5500 sub) Graduate - 20500 (up to 8500 sub) Unsubsidized available to all Cost of Attendance less Aid Cost of Attendance less Aid
Repayment 9 months after leaving school or dropping below ½ time 6 months after leaving school or dropping below ½ time 60 days after fully disbursed (Upon request, may delay payments until after student graduates) Check with lender
Borrower Benefits Not Applicable Check with lender Check with lender Check with lender
28
29
PLUS vs. Private/Alternative Loan

• Compare the Differences
• Interest Rate
• Borrower/Cosigner requirements qualifications
• Minimum and Maximum loan amounts
• Interest accrual
• Deferment Forbearance options
• Fees (origination and repayment)
• Repayment period
• Consolidation options

30
Borrowing Tips!

• Before borrowing, think about your ability to
  make
• the monthly payment when you leave school
• Borrowers are free to choose any participating
  lender
• Borrow only what is needed for direct educational
  expenses
• and avoid borrowing funds for discretionary
  spending

31
How to Compare Financial Aid Offers

• Start with tuition, fees, room and board
• Subtract grant and scholarship offers only
• The difference is your net cost
• Always compare net cost
• Do not subtract Federal Work Study as a lump sum
  disbursement because students are paid for hours
  worked

32
Award Package Comparison
33
Other Financing Options

• School Payment Plans (spread over several months)
• Home Equity Loans (longer repayment, tax
  deductible)
• Life Insurance Policy Loans
• Pension Plan Loans
• 529 Plan withdrawals

34
Government Resources

• Corporation for National and Community Service
• Veterans benefits and tuition waivers
• ROTC Scholarships and/or stipends
• Bureau of Indian Affairs (BIA) Grants
• State Divisions of Vocational Rehabilitation
  (DVR)
• Health and Human Services Loan and Scholarship
  Programs

35
Other Sources of Funds

• Parental Affiliations
• Employers Labor Unions
• Religious and Community Organizations
• Clubs and Civic groups
• Civic organization scholarships
• High School
• Local Public Library
• Private business scholarships

36
Sample Questions for the Financial Aid Office

• 1) What is the average cost for the first year?
  Estimates for future years?
• 2) Does applying for aid affect the admission
  decision?
• 3) What type of aid does the school have?
  Need-based or Merit?
• 4) What applications, besides the FAFSA, are
  needed to apply for aid?
• 5) What is the priority deadline date for all
  types of financial aid?
• 6) When will I be notified about a financial aid
  award?
• 7) How does the aid package normally change from
  year to year?
• 8) What are the conditions of the aid package?
• 9) Is there an opportunity to appeal if the
  package isnt enough?
• 10) How is financial aid applied to your bill
  for tuition, fees, etc.?
• If you have any other questions or concern
  aboutthe financial aid process, contact the
  financial aidoffice at your school. Your
  FinancialAid Administrator is there to help.

37
Questions?
38
Take a Break
39
State of WisconsinHigher Educational Aids Board
40
Goals of State Financial Aid

• Eliminate financial barriers and ensure
  educational opportunity for all Wisconsin
  citizens consistent with their individual
  abilities, interests, and ambitions.
• Support educational diversity by allowing
  students freedom to choose among the various
  educational offerings.

41
Who May Receive State Aid?

• State financial aid is available to residents of
  the State of Wisconsin enrolled at non-profit
  colleges and universities based in Wisconsin
• University of Wisconsin System
• Wisconsin Technical Colleges
• Independent Colleges Universities
• Tribal Colleges

42
Who May Not Receive State Aid?

• State statutes prohibit students from receiving
  state financial aid who are
• Not registered with Selective Service
• Listed on the Dept. of Workforce Developments
  statewide Child Support Lien Docket
• Students on the Lien Docket may still receive
  state loans

43
Applying for State Aid

• Free Application for Federal Student Aid
• HEAB receives FAFSA data for all Wisconsin
  residents.
• The FAFSA is the only application for Wisconsin's
  2 major grant programs
• Wisconsin Higher Education Grant
• (UW, Technical Colleges, Tribal Colleges)
• Wisconsin Tuition Grant
• (Independent Colleges Universities)

44
State Financial Aid Programs

• Programs for Students with Financial Need
• Student must file the Free Application for
  Federal Student Aid (FAFSA)
• Wisconsin Higher Education Grant
• Wisconsin Tuition Grant
• Programs for Students with Financial Need who
  must also meet Additional Requirements - FAFSA
  and additional Application or Nomination
• Hearing Visually Handicapped Student Grant
• Indian Student Assistance Grant
• Minority Undergraduate Retention Grant
• Nursing Student Loan
• Talent Incentive Program Grant
• Programs Not Based on Financial Need - Do not
  require the FAFSA
• Academic Excellence Scholarship
• Minnesota-Wisconsin Tuition Reciprocity Program
• Minority Teacher Loan
• Teacher of the Visually Impaired Loan

45
Academic Excellence Scholarship (AES)

• Awarded to Wisconsins top high school seniors
  who are Wisconsin residents and are US citizens
  or permanent US residents.
• Earned by the high school senior with the highest
  cumulative grade point average in the class at
  the end of the fall semester of senior year.
• Up to 2250 per year, for up to four years,
  toward tuition at participating Wisconsin
  colleges or universities. HEAB notifies the
  college of the students AES award, and the
  college and HEAB jointly disburse the money and
  apply it directly to the tuition.
• Certificates are sent to the high schools for
  your AES winners. Alternates do not receive
  certificates.
• The number of Academic Excellence Scholarships
  that may be awarded per school is based on
  student enrollment, as shown in the following
  table
• Enrollment Number of Scholarships
• 1-79 total of 10 available
• 80-499 1
• 500-999 2
• 1000-1499 3
• 1500-1999 4
• 2000-2499 5
• Over 2500 6
• HEAB determines the number of scholarships for
  each school based on Department of Public
  Instruction fall enrollment reports. Contact HEAB
  if you believe your number of scholarships is
  inaccurate.

46
AES High School Timeline

• JANUARY
• High schools receive forms, instructions,
  notification of number of scholarships available
  for individual schools (based on school
  enrollment), and a copy of the State of Wisconsin
  Statutes and Rules which pertain to the AES.
• FEBRUARY 15
• By February 15th of each school year the school
  board shall designate the Academic Excellence
  Scholar(s). These designations are final.
• MARCH 1
• High school counselors must submit nomination
  forms, with the names of the Academic Excellence
  Scholars and alternates, to HEAB no later than
  March 1.
• MARCH
• Academic Excellence Scholarship recipients are
  contacted by HEAB asking them to verify their
  intent to accept the scholarship, and asking
  which participating school they plan to attend.
• HEAB begins the alternate selection process.
• MAY
• HEAB sends AES certificates to high schools for
  presentation to the scholars. Alternates do not
  receive certificates.
• Contact Nancy Wilkison, HEAB Grant Specialist,
  for any questions about AES.
• Email nancy.wilkison_at_wisconsin.gov Phone
  [phone]

47
AES Tips for Guidance Counselors

• The scholarship recipient(s) you list should be
  the student(s) with the highest cumulative GPAs
  at the end of the fall semester of senior year,
  regardless of whether or not they plan to accept
  the Academic Excellence Scholarship.
• Your districts are required to have a
  tie-breaking strategy in place in the event that
  more than one student shares the highest
  cumulative GPA.
• The required number of semesters of enrollment
  for a student to be eligible for the AES is
  determined by each school district as part of
  your Board Policy.
• If you have an un-weighted, or traditional,
  grading system, alternates for the AES must have
  the very same GPA as the winner of the AES.
• If you have a weighted grading system,
  alternates are listed in order of the next
  highest GPAs.
• The cumulative GPA for each student should be
  reported exactly as it is shown on your official
  high school transcript.
• Student names should be written exactly as the
  student wishes it to appear on the certificate.
• Schools should inform all recipients and
  alternates of their AES status as early as
  possible.
• Please encourage recipients to return their
  paperwork to HEAB as soon as possible. Those who
  will not be attending a participating school
  should be reminded that alternates may be waiting
  in the wings!

48
Receiving State Financial Aid

• HEAB notifies the college or university financial
  aid offices of each students eligibility for
  state financial aid.
• The financial aid offices include the state aid
  in the students financial aid package.

49
Contacting HEAB

• State of Wisconsin
• Higher Educational Aids Board
• P.O. Box 7885
• Madison, WI 53707-7885
• [phone] Fax [phone]
• E-Mail HEABmail_at_wi.gov
• Web Page heab.wi.gov

50
Wisconsin Department of Public InstructionWiscons
in Educational Opportunity Programs
51
Seven WEOP Office Locations

• Ashland - 715-682-7975
• Eau-Claire - 715-836-3171
• Green Bay - 920-492-5745
• Madison - 608-267-1058
• Milwaukee - 414-227-4466
• Racine - 262-638-7370
• Wausau - 715-842-0871
• www.dpi.wi.gov

52
What is WEOP?

• WEOP is a component of the Department of Public
  Instruction.
• Our purpose is to help educationally and
  economically disadvantaged students continue
  their education through select statewide
  programs.

53
WEOP Programs

• State Talent Search Program
• Talent Incentive Program (TIP)
• PreCollege Scholarship Program
• Early Identification Program (EIP)
• Federal GEAR UP Program (GU)
• Federal Upward Bound Program
• (Wausau Office only)
• Federal Talent Search Program
• (Ashland, Eau Claire, GreenBay, and Wausau
  offices only)

54
State Talent Search Program

• Individual financial aid, admissions, scholarship
  and career advising
• Assist with the college and financial aid
  application process
• Identify and recommend students for the TIP
  Grant
• Recommend students for the GEAR UP scholarship
• Assist students in identifying scholarship
  sources
• Make financial aid presentations to parents,
  students, and community groups

55
Talent Incentive Program (TIP)

• TIP Grant Purpose
• Assist disadvantaged, low-income students with
  limited financial resources

56
Benefits of the TIP Grant

• Grant ranges from 600-1800 per year
• Automatically renewable if student applies for
  financial aid and is continuously enrolled
• Available for 10 consecutive semesters

57
TIP Guidelines

• Must be a WI resident
• Attend a HEAB approved post-secondary institution
  (WI technical, public or private
  college/university)
• Be a first time college freshman (A student who
  has been enrolled in a post-secondary institution
  for less than two semesters at half time or
  greater status since attending high school.)
• Must meet the following criteria

58
TIP Criteria

• A student must meet one criteria from Group A and
  one from Group B
• Group A is based on financial need
• Group B is based on other factors
• The criteria is based on dependent or independent
  status for financial aid purposes as determined
  by the FAFSA

59
Group A

• Dependent Student
• 1. Parent contribution at or below 200
• 2. Family receives TANF benefits
• Parents unemployed and have no current income
  from employment and are ineligible for
  unemployment compensation

60
Group A

• Independent Student
• 1. A student contribution at or below 200
• 2. A student receives TANF benefits
• 3. A student and spouse, if married, is
  unemployed and receives no income from
  employment, and is/are ineligible for
  unemployment compensation

61
Group B

• A student must meet one of these criteria
• Is a member of a minority group as listed
• Is enrolled in a special academic support program
  at college
• Is first generation (neither parent graduated
  from a 4-year college)
• Is disabled according to DHSF, DVR, or a special
  needs office at the college campus
• Is currently or formerly incarcerated
• Have special family circumstances that may deter
  the student from pursuing a post-secondary
  education

62
Documentation that may be Requested to Complete
the TIP Application Process

• College Letter of Acceptance or Class Schedule
• Student Aid Report (SAR)
• Prior Year Tax Forms
• Verification of untaxed income
• Financial Aid Award Letter

63
How to apply?

• Contact your nearest WEOP office
• Download the application at
• www.dpi.wi.gov/weop/index.html

64
PreCollege Scholarship Program

• Available to Wisconsin students in grades 6-12
  who are eligible for free or reduced price school
  meals.
• Must be attending a Wisconsin academic
  pre-college program
• Covers tuition, books, supplies, room and board
• Application must be signed by guidance counselor,
  teacher, principal or WEOP counselor and a parent
  or legal guardian
• The application is available at
• www.dpi.wi.gov/weop/index.html

65
EIP, FTS, UB, GU Guidelines

• Grades 6-12
• Programs are provided to
• Targeted School Districts
• Students who meet federalincome guidelines for
  federal programs
• Programs emphasize
• Academic Achievement
• Tutoring
• Mentoring
• Parent Involvement
• College Visits
• Workshops

66
GEAR UP Scholarship

• Eligible participants
• Are GEAR UP, EIP or Federal Trio students who are
  Wisconsin residents
• Must be nominated by a WEOP Counselor
• Must attend a public, private, or technical
  college in Wisconsin
• Must be eligible for a Pell Grant and a WHEG or
  WTG grant
• Can receive this renewable scholarship for 10
  consecutive semesters of attendance

67
WEOP Officeswww.dpi.wi.gov

• Madison
• 125 South Webster Street, Room 309
• Madison, WI 53707
• [phone]
• Racine
• 2113 N. Wisconsin
• Racine, WI 53402
• [phone]
• Wausau
• 133 River Drive
• Wausau, WI 54403
• [phone]

• Ashland
• 620 Beaser Avenue
• Ashland, WI 54806
• [phone]
• Eau Claire
• 204 E. Grand Avenue, 5th Floor
• Eau Claire, WI 54701
• [phone]
• Green Bay
• 2140 Holmgren Way
• Green Bay, WI 54304
• [phone]
• Milwaukee
• 101 W. Pleasant Street, Suite 110
• Milwaukee, WI 53212
• [phone]

68
Thanks!

• Questions or Comments?

69
FAFSA Filing Topics
70
FAFSA Filing Topics

• Dont Get Scammed
• Common Errors
• Special Circumstances
• Processing
• Tool Kit
• Internet Resources

71
Dont Get Scammed on Your Way to College

• Consumer complaints are mainly about business
  practices
• College prep/financial aid advice services
• FAFSA for a fee
• Be aware of tactics used to convince students to
  buy services
• If you use our services, youre guaranteed to
  get at least 2000 in student aid for college, or
  well give you your money back.
• Applying for aid is complicated. Were the only
  ones who can help you through the process and
  find all the aid for which youre eligible.
• Id like to offer you a scholarship (or grant).
  All I need is your bank account information so
  the money can be deposited and a processing fee
  charged.
• Contact your nearest college financial aid office
  if you have questions regarding the legitimacy of
  any questionable offer

72
Proceed with Caution!

• Never pay a fee to file the FAFSA
• When filing a FAFSA, make sure you go directly
  to www.fafsa.ed.gov (not www.fafsa.com)
• Contact the financial aid office if you need help
  in completing the FAFSA
• Never pay for financial aid assistance!
• Financial aid nights
• Campus tours
• Scholarship searches

73
Frequent FAFSA Errors

• Missing Signatures/PIN
• Wrong Social Security Number
• Divorced/remarried parent information
• Income earned by parents/stepparents
• Untaxed income
• Incorrect reporting of U.S. income taxes paid
• Household size
• Number in postsecondary education
• Real estate and investment net worth
• Not using name listed on Social Security card
• NOT APPLYING AT ALL

74
Assets FAFSA Questions

• Student (and Spouse
• Parents

75
Assets - Definitions

• Net worth means current value minus debt.
• Investments include real estate (do not include
  the home you live in), trust funds, UGMA and UTMA
  accounts, money market funds, mutual funds,
  certificates of deposit, stocks, stock options,
  bonds, other securities, installment and land
  sale contracts (including mortgages held),
  commodities, etc.
• Investments also include qualified educational
  benefits or education savings accounts such as
  Coverdell savings accounts, 529 college savings
  plans and the refund value of 529 prepaid tuition
  plans. For a student who does not report parental
  information, the accounts owned by the student
  (and the students spouse) are reported as
  student investments in question 42. For a student
  who must report parental information, the
  accounts are reported as parental investments in
  question 92, including all accounts owned by the
  student and all accounts owned by the parents for
  any member of the household.
• Investments do not include the home you live in,
  the value of life insurance, retirement plans
  (401k plans, pension funds, annuities,
  non-education IRAs, Keogh plans, etc.) or cash,
  savings and checking accounts already reported in
  41 and 91. Investment value means the current
  balance or market value of these investments as
  of today. Investment debt means only those debts
  that are related to the investments.
• Business and/or investment farm value includes
  the market value of land, buildings, machinery,
  equipment, inventory, etc. Business and/or
  investment farm debt means only those debts for
  which the business or investment farm was used as
  collateral.
• Business value does not include the value of a
  small business that you (your spouse and/or your
  parents) own and control and that has 100 or
  fewer full-time or full-time equivalent
  employees. Investment farm value does not
  include the value of a family farm that you (your
  spouse and/or your parents) live on and operate.

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Dependency Status

• At least 24 years old
• Graduate or professional student
• Married
• Has child for whom student provides more than
  half support
• Has dependent other than child or spouse who
  lives with student and for whom provides more
  than half support
• Orphan
• In foster care or a ward of the court, at any
  time when the individual is 13 years of age or
  older
• Is an emancipated minor or is in legal
  guardianship
• Has been verified as an unaccompanied youth who
  is homeless or at risk of homelessness and is
  self-supporting
• Veteran of the U.S. Armed Forces or currently
  serving active duty for other than training
  purposes in the U.S. Armed forces or
• Determined to be independent by the financial aid
  administrator via Professional Judgement
• (Parents refusal to provide support or financial
  data is insufficient to make a student
  independent regardless of tax filing status)

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FASFA Dependency Questions
78
Dependency Orphan, Foster Child or Ward of the
Court
79
Dependency Emancipated Minor or in Legal
Guardianship

• Emancipation is not available in every state in
  the United States.
• There is no emancipation status in Wisconsin.

80
Dependency Unaccompanied Youth (homeless or at
risk of)
81
For Federal Methodology, Who is a Parent?

• Two biological parents married to each other
• Divorced or separated parents
• Stepparent
• Widowed parent
• Legal adoptive parent

82
Divorced/Separated Issues

• FAFSA is to be completed using parent with whom
  the student lived with more in the past 12
  months. If student did not live with one parent
  more than the other, give answers about the
  parent who provided more financial support during
  the past 12 months, or during the most recent
  year that the student actually received support
  from a parent.
• If this parent has remarried, stepparent
  information must be included on the FAFSA.

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After you file the FAFSA

• Results are sent electronically to the school(s)
  the student selected.
• Students Parents will receive the results of
  their FAFSA by e-mail (or regular mail) - Student
  Aid Report (SAR).
• Students may be required to verify the
  information submitted on the FAFSA(submit tax
  forms).
• Contact the school with anySpecial
  Circumstances.
• After the student is admitted to aschool, a
  financial aidpackage will be prepared.

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Special Circumstances? Call the Financial Aid
Office

• Divorce/Separation
• Loss of income or benefits
• One-time income
• Death or Disability of student or parent
• Medical/Dental expenses not covered by insurance
• Elementary or secondary school tuition
• Dependency override
• (Note Professional Judgement is at the sole
  discretion of each institution.)

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Professional Judgment by Financial Aid
Administrators

• Adjustments are determined by each institution on
  a case by case basis.
• Another institution may automatically accept a
  professional judgment made by another
  institution.
• The decision must recognize the unique situation
  of the student and must be documented.

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FAFSA on the Web andRenewal FAFSA on the Web

• Parents with multiple children in school can
  continue to transfer information to additional
  applications
• Link on confirmation page to Begin a new
  application with parent data already filled in?
  will display only for
• Dependent students
• Independent students who provided parent data on
  the application

87
E-Mail Correspondence

• When e-mails with links to SAR information on the
  Web are returned as undeliverable, a paper SAR or
  SAR Acknowledgement will be generated and mailed
  to student
• Spanish e-mail notifications will be sent to
  students and parents who submitted
  Spanish-language applications and provided valid
  e-mail addresses

88
Whats So Great About Doing the FAFSA Online?

• Its quick
• Results back up to three weeks faster
• Speed may be important for schools awarding
  limited resources
• Instant access to EFC estimate
• Electronic Student Aid Report (SAR) sent to email
  provided
• Its easy
• Detailed help screens for every question
• Live, private online help is available
• Skip logic asks only what you must answer
  skips questions that dont apply
• Access from anywhere
• Electronic signature using PIN
• English or Spanish versions
• Its accurate
• Automatically edits data as you enter it and
  detects errors for correction before submission
• Due to edits and online help, less likely to de
  delayed by the need for corrections

89
FAFSA on the Web Worksheet

• Designed to use in preparing for On-Line FAFSA

90
2009-2010 Changes

• TEACH Grant question added to FAFSA
• Stafford Loan limits have increased
• Undergraduate Subsidized Stafford Loan interest
  change (6.0 to 5.6)
• Dependency criteria expanded
• Educational Savings Accounts for dependents now
  considered in parental assets
• Worksheet A deleted Worksheets B and C
  incorporated into the FAFSA
• IF a paper FAFSA is needed, you may order one by
  calling 1-800-433-3243 or online at
  http//federalstudentaid.ed.gov/fafsa/fafsa_option
  s.html

91
2009-10 Renewal Application Process

• Renewal Reminders sent in early January 2009
• Students with a valid e-mail address will receive
  e-mail reminders
• If no e-mail address or e-mail is undeliverable,
  paper reminder letter will be sent to applicant

92
FAFSA on the Web Toolkits

• Mailed in October to
• Postsecondary schools
• High schools
• State agencies
• Libraries
• PTAs
• TRIO Centers
• Gear Up
• NCAN

• Toolkits will include
• FOTW Brochure
• PIN Brochure
• Poster
• Tips Card
• Web-Link Graphics Flyer
• FAA Access Flyer

93
FAFSA4caster

• FAFSA4Caster was developed to
• Foster early awareness with the financial aid
  application process and form
• Serve as an early analysis tool informing college
  affordability
• Reduce the time requiredto submit the
  officialfinancial aid application inthe
  student's senior yearof high school

94
FAFSA4caster

• FAFSA4caster will
• Automatically generate a Federal Student Aid PIN
  for use when signing the FAFSA
• Instantly calculate eligibility for federal
  student aid
• Generate a FAFSA a FAFSA populated withstudent
  FAFSA4casterdata will be availablewhen the
  student isready to file the officialFAFSA

95
www.fafsa4caster.ed.gov
96
Congratulations, THERESA! FAFSA4caster has
successfully calculated the information you
submitted. Below you will see an estimated
Expected Family Contribution (EFC). The EFC is
not the amount of money that your family must
provide. Rather, you should think of the EFC as
an index that colleges use to determine how much
financial aid you would receive if you were to
attend their school. When you officially apply
for financial aid, the colleges you list on your
Free Application for Federal Student Aid (FAFSA)
will determine your eligibility and then send you
award information that identifies the aid they
have determined you may receive. This award
information will vary from college to college
because the cost of attending each is different.
Your estimated EFC is 1060. Now that we have
calculated your EFC you can see what your college
education may cost for attending a certain type
of college in the United States. We will use your
estimated EFC of 1060 and the national average
for cost of attendance at each type of school.
97
FAFSA on the Web Demo Site
98
Helpful Websites

• www.fsa4counselors.ed.gov
• www.studentaid.ed.gov
• www.students.gov
• www.Going2College.org
• www.KnowHow2GO.org
• www.heab.wi.gov
• www.wasfaa.net
• www.finaid.org

99
www.college.gov
100
Questions? Comments?
How can we help you? What challenges do you
have? Do you need assistance with your financial
aid night?
101
THANK YOU ALL FOR ATTENDING!!! Please complete
the evaluation.
102
Pre-Collegiate School Relations Committee
Committee Objective To educate students,
parents, teachers, and school counselors about
the availability of financial aid and the aid
application process. Committee Members Lisa
Albers Connie Hutchison Paul Baldridge Jane
Lemke Triena Bodart Tom Martin Linda
Brumm Heather McGee Donna Dahlvang Amy
Schrader Bill Henderson David Sandra Michelle
Hermes Bill Trippett Sara Beth Holmen Kelly
Vander Wyst Sharon Hunter Margaret Zitzer