2013-2014 Financial Aid Night

1. 2013-2014Financial Aid Night Rhode Island Association of Student Financial Aid Administrators

2. A little humor Rhode Island Association of Student Financial Aid Administrators

3. Agenda Financial Aid: • Who is eligible? • How to apply? • What is financial aid? • Where does financial aid come from? • What types of aid are available? Rhode Island Association of Student Financial Aid Administrators

4. General Eligibility Requirements • Must be enrolled or accepted for enrollment in an eligible program of study • Must be pursuing a degree, certificate or other recognized credential • Must be a U.S citizen or eligible non-citizen • Must be registered with selective service (if male and required to be) • Visit the selective service web site at http://www.sss.gov to register Rhode Island Association of Student Financial Aid Administrators

5. General Eligibility Requirements • Eligibility may be suspended due to a drug-related conviction • Must have a valid Social Security Number • Must be making satisfactory academic progress as defined by the school (important for future years) Rhode Island Association of Student Financial Aid Administrators

6. Application Process • Submit the Free Application for Federal Student Aid (FAFSA) • After January 1, 2013 • Before your school’s deadline • By March 1, 2013 to be considered for the Rhode Island State Grant • Check information from each school to determine • Required application materials (besides FAFSA) • Application deadlines Rhode Island Association of Student Financial Aid Administrators

7. Free Application for Federal Student Aid (FAFSA) • Application for federal, state & institutional aid • Collects the family’s personal and financial information used to calculate the Expected Family Contribution (EFC) • File the FAFSA Electronically: www.FAFSA.ed.gov Rhode Island Association of Student Financial Aid Administrators

8. FAFSA – Filing Electronically http://www.fafsa.ed.gov • File on or after January 1, 2013 • Benefits to filing electronically: • More timely submission of original application and any necessary corrections • Built-in edits help prevent costly errors • Skip-logic allows student and/or parent to skip unnecessary questions • More detailed instructions and “help” for common questions • Ability to check application status on-line • Simplified renewal application process Rhode Island Association of Student Financial Aid Administrators

9. Updated Web Design • Start Here for all options – • Initial FAFSA Entry • Renewal Application Entry • FAFSA Corrections • Providing Signatures • Continuing a Saved FAFSA • Viewing Transaction History www.fafsa.ed.gov Rhode Island Association of Student Financial Aid Administrators

10. FAFSA – General Student Information FOTW Section One… • Social Security Number • Name • Driver’s license & state • Citizenship • Alien Registration Number (if applicable) • Marital status and date of marital status • State & date of legal residence (important for state grant eligibility) Rhode Island Association of Student Financial Aid Administrators

11. FAFSA – General Student Information • Selective Service (register at www.sss.gov) • Degree type • Grade level • Enrollment status • Self-help preferences (Interest in work-study andloans) • First bachelor’s degree? Rhode Island Association of Student Financial Aid Administrators

12. FAFSA – General Student Information • Parent(s) name, DOB, and SSN • Drug conviction while receiving federal student aid? DO NOT LEAVE THIS BLANK Note: Conviction of possessing or selling illegal drugs could affect eligibility for aid Rhode Island Association of Student Financial Aid Administrators

13. FAFSA – Student Dependency Status • At least 24 years old by December 31st of the award year covered by the FAFSA (born before January 1, 1990) • Graduate or professional student • Married • Has children or other dependents that receive more than half of their support from you • Both parents are deceased; has a legal guardian; or is a Ward of the court • Currently serving on active duty in the U.S. Armed Forces for purposes other than training • Veteran of the U.S Armed Forces • Determined to be independent by the financial aid administrator Rhode Island Association of Student Financial Aid Administrators

14. FAFSA – Parental Information • Marital Status • Note: students with divorced/separate parents should include the information of the parent whom they live with. If that parent is remarried, include step-parent information. • Father/Stepfather’s Social Security # • Father/Stepfather’s last name • Father/Stepfather’s date of birth • Mother/Stepmother’s Social Security # • Mother/Stepmother’s last name • Mother/Stepmother’s date of birth • Parents’ State of Legal Residence Rhode Island Association of Student Financial Aid Administrators

15. Financial Information • The IRS Data Retrieval continues in 2013-2014. • Also available in Corrections • Electronically filed tax return information will be available from the IRS in 1-2 weeks, data from paper tax returns will be available in 6-8 weeks. Rhode Island Association of Student Financial Aid Administrators

16. FAFSA – Parental Information • Type of 2012 tax form parents completed -1040 -1040A -1040EZ -Foreign tax return -Puerto Rico, U.S. Territory, etc. Estimate if taxes incomplete to file by deadlines! • Parents Adjusted Gross Income (AGI) • Parents wages (money earned from working) • Income Tax Rhode Island Association of Student Financial Aid Administrators

17. FAFSA – Parental Information • Federal Benefits: Did anyone in the parents’ household receive benefits from any of the federal programs listed? -Supplemental Security Income -Food Stamps -Free or Reduced Price School Lunch -Temporary Assistance for Needy Families (TANF) -Special Supplemental Nutrition Program for Women, Infants, and Children (WIC) • Parents exemptions on tax form • Household Size (list all members, including yourself) • Number in household in college (excluding parents) at least half-time in degree or certificate program Rhode Island Association of Student Financial Aid Administrators

18. FAFSA – Parental Information • Parents’ amount from FAFSA Untaxed Income • Parents’ amount from FAFSA Additional Financial Information Rhode Island Association of Student Financial Aid Administrators

19. FAFSA – Parental Information Asset Information • Balance in parents’ cash, savings, checking accounts (as of today’s date) • Net worth of parents’ investments, including real estate (as of today’s date) • 529 Plans • Do not include the home you live in (primary residence) • Do not include retirement – IRAs and 401k • Net worth of parent’s current business and/or investment farms (as of today’s date) – DO NOT include value of small business that has fewer than 100 full-time or full time equivalent employees Rhode Island Association of Student Financial Aid Administrators

20. FAFSA – Schools to Receive Information • Ability to list up to 10 on the FAFSA • Must list the school’s six-digit code • For each school code, indicate housing plan Rhode Island Association of Student Financial Aid Administrators

21. FAFSA – Frequent Errors • Parent &/or student 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 • 529 Plan reporting of asset -If the parent is the owner of the program, the value is reported on the FAFSA as a parent asset. Note that you should report the value of all programs or plans, not just the one for the student applying for aid. For plans established by someone other than the student's parent, the value of the account is not reported on the FAFSA. Rhode Island Association of Student Financial Aid Administrators

22. FAFSA BEWARE! • Reminder : The process of completing and processing the FAFSA is FREE • Be sure to go directly to http://www.fafsa.ed.gov • Read the instructions and complete carefully. • Contact guidance office, financial aid office, or the College Planning Center for help with completing the FAFSA or with any questions Rhode Island Association of Student Financial Aid Administrators

23. RI College Planning Centerwww.cpcri.org

24. FAFSA –Expected Family Contribution (EFC) • The Expected Family Contribution (EFC) is calculated from the data reported on your FAFSA. • The EFC is the amount of money that the family is expected to be able to contribute to the student's education. (NOTE: This is NOT the amount you will pay!) • This formula, termed as Federal Methodology need analysis formula, is approved by Congress. Rhode Island Association of Student Financial Aid Administrators

25. Role of the Financial Aid Office • Determine financial aid eligibility using federal formula • “Package” aid based on availability of funds • Send award notification to student Rhode Island Association of Student Financial Aid Administrators

26. Financial Aid Goals • Assist students in paying for college by: • Evaluating family’s ability to pay for educational costs (based on FAFSA data and other collected information) • Distributing limited resources in an equitable manner • Providing balance of “gift aid” and “self-help” aid Rhode Island Association of Student Financial Aid Administrators

27. Grants Scholarships Loans Work Types of Aid Rhode Island Association of Student Financial Aid Administrators

28. State Grants • State Government in Rhode Island offers a scholarship/grant program • RI State Grant (www.riheaa.org) • Residents complete FAFSA by March 1 • Fully portable • $250-$700 Academic Year (based on EFC and Financial Need) Rhode Island Association of Student Financial Aid Administrators

29. Gift Aid Questions to ask: • What do I need to do to retain my scholarship (minimum GPA) • How is my award affected by outside scholarship(s) • Will my award remain the same for four years • Satisfactory academic progress requirements Rhode Island Association of Student Financial Aid Administrators

30. Self Help Aid • Self-help aid – The student must repay or earn the funds of self-help aid • Student Loans • Federal and private student loan options • Work-Study • Typically earned and not used for use in paying your bill • Best used to cover student’s normal personal expenses Rhode Island Association of Student Financial Aid Administrators

31. Student Loans Stafford Loans Subsidized Unsubsidized Annual loan limits Rhode Island Association of Student Financial Aid Administrators

32. Student Loans Stafford Loans Rhode Island Association of Student Financial Aid Administrators

33. Self Help Aid Questions to ask: Work-Study/Student Employment • Is a job guaranteed • Does the school assign jobs or do I have to find one • What types of positions are available • Do I have the option to use this money towards my bill Student Loans • What are the terms of the loan, what are my rights and responsibilities • What additionally is required to attain the loan Rhode Island Association of Student Financial Aid Administrators

34. Financing Beyond Financial Aid • Consider your out of pocket expenses including • Remainder of college invoice for tuition, room, board and fees • Books • Travel • Financing options • Out of pocket • Student Private Loans • Parent private/federal loans • Other loan options Rhode Island Association of Student Financial Aid Administrators

35. PLUS (Parent) Loans Rhode Island Association of Student Financial Aid Administrators

36. What happens next? • Research and review all admission and financial aid materials from each school which you are applying • Meet all application deadlines! • Complete all financial aid applications • FAFSA • CSS Profile • Individual school applications • Investigate other sources of aid Rhode Island Association of Student Financial Aid Administrators

37. Special Circumstances Report directly to each school any circumstances that cannot be reported via the FAFSA • Change in employment status • Medical expenses not covered by insurance • Change in parent/student marital status • Unusual dependent care expenses Rhode Island Association of Student Financial Aid Administrators

38. Other sources… • State grants, scholarships, loans, & work programs • School need-based & non-need-based programs – be aware of any special deadlines • Private business scholarships • Civic organization scholarships • Parent’s employers Rhode Island Association of Student Financial Aid Administrators

39. Other sources… • Corporation for National and Community Services (AmeriCorps) – http://www.americorps.gov • Veteran’s benefits – http://www.gibill.va.gov • ROTC scholarships • Bureau of Indian Affairs (BIA) Grants • Web Searches Rhode Island Association of Student Financial Aid Administrators

40. Avoid being scammed • Better Business Bureau – http://www.bbb.com • US Department of Education – http://studentaid.ed.gov/students/publications/lsa.index.html • Federal Trade Commission – http://www.ftc.gov Rhode Island Association of Student Financial Aid Administrators

41. Helpful Tips • Research and know the deadlines of each school • Check web sites • Keep a calendar • Apply early and apply on-line • Ask questions • Get the student involved! Rhode Island Association of Student Financial Aid Administrators

42. College Goal Rhode Island: Bring your 2012 Taxes (if you’ve already filed) and Complete Your FAFSA at any one of these locations: • Newport: Rogers High School – January 16, 6 – 8pm • Providence: The Juanita Sanchez Complex – January 22, 6 – 8pm • Wakefield: South Kingston High School – January 23, 6 – 8pm • East Providence: E. Providence High School – January 30, 6 – 8pm • Pawtucket: William E Tolman Senior High School – February 5, 6:30 – 8:30pm • West Warwick: West Warwick High School – February 6, 6 – 8pm • Additional location to be announced (check website) • Plan to arrive at least 15 minutes early! Preregister at www.collegegoalri.org

43. If you only remember four things: • FAFSA is free! FAFSA.ed.gov • College Goal Rhode Island: http://www.collegegoalri.org/ • Other Free Resources • High School Guidance Office • College Planning Center www.cpcri.org • College/University Financial Services Department • Rhode Island Deadline March 1

44. Questions? Rhode Island Association of Student Financial Aid Administrators

45. Sources for Presentation • NASFAA FA Night Presentation • http://www.pin.ed.gov • http://www.fafsa.ed.gov • http://www.nasfaa.ed.gov Presentation created for RIASFAA by Wynette Richardson Zuppardi Last Updated 11/08/2012 by Kenneth Ferus Rhode Island Association of Student Financial Aid Administrators