Keys to Understanding FINANCIAL AID • What are the different types of financial aid? • What is the FAFSA? • What will my parents and I be expected to contribute? • Will I qualify for financial aid?
What is Financial Aid? • Scholarships (free $) • Grants (free $) • Loans (low, subsidized interest) • Part-time employment (Work study) These resources are available to help families meet the cost of enrolling at the institution of choice.
Sources of Financial Aid • Federal • State • Institutional • Private “financial need” is the primary criteria for eligibility Scholarships - merit consideration Parent loans - credit worthiness
Scholarships- gifts in recognition of academic achievement or special talents • Indicate interest in scholarships when completing college applications • Complete the SCHS Scholarship Application • Check out private organizations, but beware of “fee-for-service” • Many resources on the Web • May reduce amount of loans/work study
Grants: gifts of money--primarily need-based • College/University Grants • Federal Pell Grant • Awards of $400-$4,050 a Year • Federal Supplemental Educational Opportunity Grant (SEOG) • These grants are limited, but could be an award of $100-$4,000 in addition to Pell Grant
Grants: gifts of money primarily need-based • Cal Grants • See page 6 in “Fund your Future” workbook • Apply whether you think you will qualify or not • FAFSA & GPA Verification are required • Apply early in January (absolute deadline is March 2) • GPA Verification is done electronically—be sure the SCHS Registrar has your Social Security number
Grants: gifts of money primarily need-based • Cal Grant A • Minimum GPA to qualify is 3.0 • If going to Community College, can be held in reserve for up to 3 years until you transfer to 4-year college • Make sure you list a 4-year university on your FAFSA application • Cal Grant B • Minimum GPA to qualify is 2.0 • If going to Community College, can be held in reserve for up to 3 years until you transfer to 4-year college • Make sure you list a 4-year university on your FAFSA application
Grants: gifts of money primarily need-based • Cal Grant C • For those students pursuing Career or Technical education. • No minimum GPA, however, still do the GPA Verification as your GPA can earn you additional points. • Awards are available for up to 2 years
Free Application for Federal Student Aid--FAFSA • FAFSA--Go online to www.fafsa.ed.gov • Used to determine your Estimated Family Contribution (EFC) and ultimately your financial need • Filing period is January 1-March 2 (file as early in January as possible) • Parent & student should apply for your PIN at www.pin.ed.gov weeks before starting FAFSA • Needed for electronic signatures for online FAFSA • Attend FAFSA workshop in Jan/Feb.
Cost Comparisons Typical 9 Month Costs in 2006-2007 • Community College: $ 9,066 (live at home) • CSU campus $20,000 • UC campus $29,450 • Private campus $45,000 Costs includes: tuition, fees, room and board, books, supplies, transportation and personal expenses, such as clothing, laundry, and entertainment.
How much financial assistance might I qualify for? • Most financial aid is awarded based on your financial need • Cost of going to college (student budget) - Expected Family Contribution (EFC) = Financial need
Websites • www.fafsa.ed.gov (do the FAFSA on line) • www.californiacashforcollege.org (will list local sites for “Cash for College” workshops; help completing the FAFSA) • www.collegeboard.com/pay (a good site to estimate your financial aid eligibility) • www.fastweb.com (free site for scholarship searches)