2. “The Guide”
• Throughout this
presentation “The Guide”
refers to The Guide to
Federal Student aid.
• “The Guide” is
available free to
download from
www.fsapubs.gov.
• A hard copy can also
be requested for free
from the same
website.
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3. Today’s Agenda
• Deadline and FAFSA Overview
• The Calculation-EFC and Financial Need
• Update on Federal Aid Programs
• Update on State Aid Programs
• The Calculation-EFC and Financial Need
• Review of Resources
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5. FAFSA Filing Statistics
• Numbers provided for the first two
16
quarters of the year due to
availability (courtesy Federal 14
Student Aid Data Center,
12
www.federalstudentaid.ed.gov)
• FAFSA filing for the first two 10
quarters in 2011-2012 (14.96 8
million) are up approximately 8% 2011-2012
when compared to 2010-2011 6 2010-2011
(13.86 million), and are up 2009-2010
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approximately 24% when
compared to 2009-2010 (12.03 2
million).
0
• If 8% increase stays consistent for Two 1st 2nd
2011-2012, over 22.8 million Quarter Quarter Quarter
FAFSA’s will be completed by the Total
end of the academic year!
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6. Detailed College Info and
Comparison
• College’s website
• School type
• Tuition and fees
• Net price average
• Graduation rates
• Retention rates
• Transfer rates
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7. Frequent FAFSA Errors
• Social Security Numbers
• Divorced/remarried parental information
• Income earned by parents/stepparents
• Untaxed income
• U.S. income taxes paid
• Household size
• Number of household members in college
• Real estate and investment net worth
8. What is the significance of
SAP?
• During this time of heightened fiscal scrutiny at
the federal level, there is increased pressure on
institutions to be mindful of their responsibility to
be sound stewards of Title IV funds, and have
policies and procedures in place that directly
reflect the guidance and regulations set forth by
The U.S. Department of Education (ED).
• Essentially, ED is mandating schools monitor
student progress more closely, in an effort to cut
down on exploitation of federal financial aid.
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9. Verification
What is verification?
Verification (definition): the act or process of
verifying.
Verify (definition): to establish the truth,
accuracy, or reality of.
Financial Aid Verification is the process of
establishing the accuracy of the
information submitted on the FAFSA.
10. Verification
Tax Filers
• Adjusted Gross Income (AGI)
• U.S. Income tax paid
• Untaxed Income
• Untaxed IRA distributions
• Untaxed pensions
• Education credits
• IRA deductions
• Tax exempt interest
11. Verification
• Food Stamps-Supplemental Nutrition Assistance
Program (SNAP);
• Documentation from the agency that issues the Food Stamps
benefit
• Child Support Paid – Signed statement from the
individual who paid the child support listing;
• The amount of child support paid
• The name of the person to whom the support was paid
• The name of the children for whom the support was paid
12. Verification
Documentation of Tax Information
• IRS Data Retrieval Process
• If a student/parent(s) tax information is transferred using
the IRS Data Retrieval Tool, they will not have to submit an
IRS Tax Return Transcript.
• IRS Tax Return Transcript
• Transcript is free
• Request on-line at http://www.irs.gov
• Request by calling 1-800-908-9946
Note: In some cases signed copies of the IRS
Federal Tax Form may be required.
13. Special Circumstances
• Common examples of special circumstances reported to
financial aid offices:
• Medical bills
• Parent or student loss of income
• Unusual debt or one-time income
• Tuition expenses at an elementary or secondary school
• Parent in College
• The financial aid administrator must have a compelling
reason to use professional judgment.
• The financial aid administrator’s decision regarding
professional judgment is final, and cannot be appealed
to ED.
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14. Net Price Calculator
(NPC)
• All Title IV institutions enrolling full-time, first-time
degree or certificate seeking undergraduate
students are required to have an NPC posted on
their website by Oct. 29, 2011.
• Using both student-entered and institution-provided
data, the NPC allows prospective students to
calculate their estimated net price at an institution
based on the following basic formula:
• Price of attendance minus grant aid
• Schools may use ED’s NPC template, create their
own template, or purchase a template from a third
party.
15. Net Price Calculator
• Benefits • Weaknesses
• Designed to provide • Inclusion of direct and
accurate and timely indirect costs in “price
information about the of attendance”
net price of a college. component can
• Can assist families in significantly inflate the
comparing colleges price tag.
based on net price and • Institution’s flexibility to
financial aid. customize template
could make college
costs comparisons an
extremely complex
process.
16. Determining Need
• What is an EFC • Financial Need
• Expected Family • Cost of Attendance –
Contribution EFC = Financial Need
17. Federal Pell Grant 2012-
2013
• Maximum award • Year-round Pell (two
amount remains the Pell awards within the
same as 2011-2012 same academic year)
• $5,550 maximum has been eliminated.
award for full-time • Effective date July 1,
enrollment and an 2011
Expected Family
Contribution (EFC) of
zero
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18. Campus Based Programs,
2012-2013
Federal
Federal
Supplemental
Work
Education Study
Opportunity
Grant
(FSEOG)
Federal
Perkins
Loan
All of the above programs will see a reduction in
funding for 2012-2013. However, the decrease will
vary from school to school, and exact funding
amounts have yet to be announced.
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19. Direct Loans, 2012-2013
• Direct Subsidized and Unsubsidized
Loans are two separate, unique types of
loans that are awarded separately.
Subsidized Unsubsidized
Need based Not based on financial need
Interest is fixed at 6.8% for all Interest is fixed at 6.8% for all
new undergraduate loans new loans disbursed after July
disbursed after July 1, 2012. 1, 2006. Interest accrues from
Interest is subsidized while time of disbursement of the
the student is in school and funds.
during deferment.
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20. Direct Loans, 2012-2013
Additional
Total Available
Class Year Base Amount Unsubsidized
to Borrow
Amount
Freshman $3,500 $2,000 $5,500
Sophomore $4,500 $2,000 $6,500
Junior $5,500 $2,000 $7,500
Senior $5,500 $2,000 $7,500
• Independent Students and Dependent Students whose
parents have been denied the PLUS Loan are eligible for
additional Unsubsidized Stafford Loans ($4,000 as
Freshmen and Sophomores and $5,000 as Juniors and
Seniors)
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21. Direct Loans, 2012-2013
• 1% default fee (deducted from the
borrowers disbursement so borrowers net
99% of what they borrow).
• The Budget Control Act (BCA) of 2011,
Section 503 eliminated rebates in the
Direct Loan program.
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22. Direct Loans, 2012-2013
• Parent PLUS Loans
• Loans to parents of dependent students.
• Loan limits are up to the cost of education
less any financial aid received.
• Interest rate is 7.9% fixed.
• Repayment begins within 60 days of full
disbursement.
• Payments may be deferred while the student is in
school.
• FAFSA completion is required.
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24. Ohio Aid Programs, 2012-
2013
• Ohio College Opportunity Grant (OCOG)
• War Orphans Scholarship
• National Guard Scholarship
• Academic Scholarship
• Safety Officers Memorial
• Nurse Education Assistance Loan Program
(NEALP)
• Choose Ohio First
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25. Ohio Education and Training
Voucher Program
• www.statevoucher.org
• Eligibility requirements:
• In foster care on their 18th
birthday and aged out at
that time.
• Adopted from foster care
with the adoption finalized
after their 16th birthday
• Foster care case closed
between the ages of 18
and 21.
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27. College Goal Sunday
• Sunday, February 12,
2012
• www.ohiocollegegoal
sunday.org
• Student/Family
registration is now
available.
• Please check the
website for locations
near you.
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28. OASFAA-Financial Aid Night
Assistance
• High School Counselors can now request
a financial aid night presenter through the
OASFAA website.
• http://www.oasfaa.org/docs/outreach/gettin
gthemessage.html
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31. Resources
• Federal Student Aid Information Center
(inside cover of “The Guide”)
• (800)433-3243
• www.federalstudentaid.ed.gov
• Federal Student Aid Publications Website
• www.fsapubs.gov
• Ohio College Access Information Hotline
• (877)428-8246
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32. Resources
• Ohio College Access
Network (OCAN)
• www.ohiocan.org
• Local OCAN
representatives can
be found through
http://site.ohiocan.org/
directory
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33. Resources
• Ohio School
Counselor Resources
Binder
• Updates will be sent to
counselors
periodically, and when
applicable.
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