Kimberly Fee
Director for Student Financial and Scholarship Services
University of Washington Tacoma
MAT 213
Campus Box 358400
Phone: 253-692-4374
Fax: 253-692-4788
Email: uwtfa@uw.edu
http://www.tacoma.uw.edu/financial-aid
2015-2016
What you need to know about Financial Aid
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What is financial aid?
Cost of attendance (COA)
Expected Family Contribution (EFC)
What is financial need
Categories, types, and sources of financial aid
Applying for financial aid
Special circumstances
Release of Information
What is Financial Aid?
Financial aid is funding provided to
students and families to help pay for
postsecondary educational expenses
General Eligibility Requirements
• Must be enrolled/accepted in an eligible program of
study
• Must be pursuing a degree, certificate, or other
recognized credential
• For federal financial aid:
– Must be a U.S. citizen or eligible non-citizen
– Must be registered with Selective Service (if male) over
age 18
– Must have a valid Social Security Number
What is Cost of attendance (COA)?
• Direct costs: Tuition, Housing (depending on
school), Misc. student fees
• Indirect costs: Books/Supplies, Personal, and
Transportation
• Direct and indirect costs combined into
cost of attendance
• Varies widely from college to college
The Cost of Attendance
(per year – 2013/2014)
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Community College
4 Year Public
4 Year Private
Trade/Career
$17,284
$26,118
$45,447
(varies)
Costs are estimates based on resident status,
full time enrollment, not living with family.
What’s included: tuition, books, room & board,
transportation, and personal expenses.
What is the Expected Family
Contribution (EFC)?
• Amount family can reasonably be expected to
contribute
• Stays the same regardless of college
• Two components
-Parent contribution
-Student contribution
• Calculated using data from a federal application
form and a federal formula
What is Financial Need?
Cost of Attendance
-Estimated Family Contribution
Financial Need
Categories of Financial Aid
• Need based
• Non-need based
Types of Financial Aid (Sources of
Money - Federal, State, and Institutional
Money Awarded to Students Based on
Financial Need)
• Grants
• Work Study
• Loans
• Scholarships
Grants (Money that does not have to be
paid back; usually awarded on the
basis of financial need)
• Federal Grants
- PELL
- SEOG
• State Grants
- State Need Grant (depends on state
residency)
• Institutional Grants
- depends on school attending
Work Study
(or Student Employment)
•Allows student to earn money to help pay
educational costs
•Work Study is a financial aid program based
on financial need – while student employment
is not based on financial need. Check with
school attending.
Loans
•Money students and parents borrow to help pay
college expenses
•Repayment usually begins after education is
completed
•Only borrow what is really needed
•Look at loans as an investment in the future
Stafford Loans
• Student is the borrower
• Interest rate (as of 7/1/14) is fixed at 4.66% for
Subsidized Stafford and 4.66% for Unsubsidized Stafford
• Repayment begins 6 months after student drops below
½ time, leaves school or graduates
• Deferment – a period in which repayment of the
principal balance is postponed https://studentloans.gov
• Sign promissory note online at https://studentloans.gov
Subsidized vs. Unsubsidized
Stafford Loan
• Subsidized Loan
-Need based
-Interest paid by government while student
attending school ½ time or more and
during repayment grace period.
• Unsubsidized Loan
-Non-need based
-Government does not pay interest
-Students have option of paying interest
while attending school or have it added
to the principal
Federal Perkins Loan
• Eligible students
-Undergraduate or graduate students
-Priority to exceptional need
-Is subsidized
• Interest rate: 5% (fixed)
• Nine-month grace period
• Deferment and cancellation provisions available (check
with your school)
PLUS - Parent Loan for Undergraduate Students
• Non-need based
• 7.21% fixed interest rate (as of 7/1/14)
• Repayment options:
- begins 60 days after the final loan disbursement for
the period of enrollment for which you borrowed
- Make interest payments and defer principal until
after the student is no longer enrolled, with 6 month
grace period
• Complete PLUS Request Process at
https://studentloans.gov, at which time a credit check will
occur
• Funds given to student unless parent indicates
otherwise
PLUS Denial
• If the PLUS loan is denied (due to adverse
credit) by the Loan Origination Center (LOC),
the student may be eligible for additional
Unsubsidized Stafford Loan
-Additional amount will depend upon a
student’s grade level and unmet cost of
attendance
-Contact the schools financial aid office for
additional information
Scholarships
Begin process at least one academic year prior to need.
Applications are generally requested 2-3 months before
deadline. What are you looking to fund– to pay tuition,
travel or study abroad, or public service project?
What kinds of sources are available:
• Need-Based Scholarships
• Merit-Based Scholarships
• Local Scholarships
• National Scholarships
Scholarship Applications
•Scholarships are self-search—check with high
school counselor, library and college search
services (www.fastweb.org or theWashBoard.org).
•Don’t pay for scholarship searches!
•Some schools also require scholarship
applications.
Scholarships
Timeline:
Plan ahead and meet with mentors during Summer and
Autumn Quarters, keeping in mind that deadlines
generally occur during Winter Quarter and interviews in
the Spring.
Free online scholarship resources
• fastWeb
www.fastweb.com
• theWashBoard
www.theWashBoard.org
• College Board
www.collegeboard.com
• College NET
www.collegenet.com/about/index.html
Applying for Aid
• All schools use the Free Application for
Federal Student Aid (www.fafsa.ed.gov)
• Some schools use the CSS Profile form
(fee attached).
• Some schools use their own forms.
(**Please contact the Financial Aid
Office at the schools of interest for
additional information)
FAFSA Application
• May be filed at any time during an academic year, but
no earlier than the January 1st prior to the academic
year for which the student requests aid
•For the 2015-2016 academic year, the FAFSA may be
filed beginning January 1, 2015
•Please check with each individual school for FAFSA
priority filing deadline dates
•File online at: www.fafsa.ed.gov
• If you and/or your parent do not have a PIN, you
can apply for one at www.pin.ed.gov
FAFSA on the Web
Good reasons to file electronically:
• Built-in edits to prevent costly errors
• Skip logic allows student and/or parent to skip
unnecessary questions
• More timely submission of original application and
any necessary corrections
• More detailed instructions and “help” for common
questions
• Ability to check application status on-line
• Simplified application process in the future
IRS Data Retrieval Tool
• While completing the FAFSA on-line, applicant may
submit real-time request to IRS for tax data
• IRS will authenticate taxpayer’s identity
• If match found, IRS sends real-time results to
applicant in new window
• Applicant chooses whether or not to transfer data to
FAFSA on-line
• Available early February 2015 for 2015-16
processing cycle
• Participation is voluntary and could reduce
documents requested by a financial aid office
WASFA
• The Real Hope Act, passed in 2014, extended
Washington State Need Grant eligibility to some
undocumented residents.
• If you are eligible, complete the Washington
Application for State Financial Aid (WASFA) online
http://readysetgrad.org/WASFAelig/
• WASFA will become available each year on January
1st; UW priority submission deadline is February 28th.
What happens after you apply?
• The federal processor will send the information
electronically to the schools you specify on the
FAFSA
• Receive a Student Aid Report (SAR)
• Review the SAR
• Respond to any requests for additional information
• Each college determines your eligibility
• Each college will send an award letter/notice to you
Award Process
• Award letters for freshmen typically sent in
February, March and April
• Award letter will list type and amount of aid student
will receive
• Most likely a paper letter but could be electronic
also
• Award may be preliminary pending additional
information
• May need to sign and return to reserve award
Comparing Award Letters
• Each school offers the student an award letter—
types and amounts of aid
• Compare total cost (not just tuition)
• Compare tuition
• Compare borrowing level and project over 4 years
• Ask if scholarship can be renewed
Things to Remember
• Must re-apply (FAFSA or WASFA) each year
• Only looks at previous year’s income
• Doesn’t take into consideration unusual
circumstances or changes. Contact the school if
you have unusual circumstances.
• Better to file early with estimated information than
be accurate but late
• Don’t assume you can’t afford a school – get their
financial aid award offer before deciding
• Renewal requires making Satisfactory Academic
Progress
FAFSA4caster
• Get an estimate of what the FAFSA might generate
as your Expected Family Contribution (EFC) by
completing the FAFSA4caster at:
www.fafsa.ed.gov and click on the link under
“Thinking About College?”
• A shortened version of the FAFSA that can be used
anytime prior to actually applying for aid.
Net Price Calculator
All schools offering federal student aid MUST have a
“Net Price Calculator” (NPC) on their website.
The school’s NPC provides:
• Their cost of attendance
• Dollar amount of scholarship and grants student
could expect to receive
• Net price – the difference between the two.
• Some schools will also provide an estimate of the
student’s total financial aid award
The Husky Promise
(University of Washington)
• Guarantees that full tuition will be covered by grant
or scholarship support if you are a low or lower
middle-income student.
[Other colleges/universities may offer a similar
program – please check individually]
Husky Promise (continued)
• Be a Washington State Resident.
• Meet current eligibility criteria for either the Pell
Grant or State Need Grant programs.
• Submit the Free Application for Federal Student Aid
(FAFSA) or Washington Application for State
Financial Aid (WASFA) by the UW’s priority filing
date of February 28 for the following academic year.
• Enroll full-time.
• Be pursuing a first bachelor’s degree.
• Maintain satisfactory academic progress while at
the University.
Revisions to Eligibility
•Cannot be reported on the FAFSA or WASFA, but
written explanations must be sent to each
college/university
•Financial Aid Offices can review changes in parent &
student income
• Financial Aid Offices can review unusual expenses for
the student and parent
• Unemployment, job layoffs, high medical expenses
are typical but not the only adjustments we make
Dependent Student
• Under the age of 24—requires parents information
unless married, or have your own children, or are a
veteran or on active duty, or an orphan, or in
graduate school.
• Additional items may change dependency status:
emancipated minor; legal guardianship; homeless;
emergency shelter or transitional housing (please
review FAFSA or WASFA instructions).
• If your parent is either single or widowed, answer
the questions about that parent only.
Dependent Student (continued)
• If your parents (biological or adoptive) live together
but are unmarried, you must report both parents
information/income.
• If your parent of record for the FAFSA or WASFA
has remarried, step-parent information is required
for the application.
• If your parents are divorced or separated, answer
the questions about the parent you lived with more
during the past 12 months.
• What if you can’t get parent information?
Tax Credits
• The American Opportunity Tax Credit (up to $2,500 for four
years) is available for all students attending at least part-time,
with a head of household income of less than $90,000 or a
married-filing jointly income of up to $180,000. As much as
40% ($1000) can be received as a refund.
• The Lifetime Learning Credit (up to $2,000) is available for any
student or parent paying qualified education expenses, but
cannot be taken at the same time as the American Opportunity
Tax Credit. There is no minimum enrollment requirement.
• 1098-T forms list all tuition and related fees, scholarships,
fellowships, and grants. Colleges/universities will have these
documents available by the end of January.
• Additional information on Tax Benefits for Education can
be found at http://www.irs.gov/pub/irs-pdf/p970.pdf
Release of Information
• Remember, a student’s financial aid record and
account is their private information. In accordance
with U.S. privacy laws, University offices cannot
give out information to parents or any 3rd party
without the student’s written permission – even if
they are paying tuition for the student. Please check
with each school to find out their individual process.
References
Internal Revenue Service (2013). Publication 970: Tax benefits for education. Retrieved from
http://www.irs.gov/pub/irs-pdf/p970.pdf.
National Association of Student Financial Aid (2010, November 19). What you need to know
about financial aid. Retrieved from http://www.nasfaa.org/redesign/fanight_09.asp.
University of Washington (2014). Office of Student Financial Aid.
Washington Financial Aid Association (2013). www.wfaa.org
Financial Aid Pre-Test
What's the form you have to fill out to
apply for college financial aid from the
federal government?
 B. Free Application for Federal Student Aid
(FAFSA)
Financial Aid Pre-Test
If a student’s parents are divorced, whose
parental information do you put down on the
FAFSA?
 C. Only list the parent that the student has lived
with the most for the past 12 months.
Financial Aid Pre-Test
True or False: Loans are considered part of
your financial aid package, even though you
have to pay them back.
 A. True
Financial Aid Pre-Test
True or False: In January 2015, you cannot
start the FAFSA until students and their
parents have filed a 2014 tax return.
 B. False
Financial Aid Pre-Test
True or False: Direct Unsubsidized Loans are backed
by the government for educational related expenses
whose interest is paid by the U.S Department of
Education while a student is enrolled in school at
least half-time, for the first six months after the
student leaves school (grace period), and in a period
of deferment.
 B. False
Financial Aid Post-Test
What is EFC?
 B. Amount your family can be expected to
contribute (Expected Family Contribution)
Financial Aid Post-Test
Which forms are required by some
schools in addition to the FAFSA?
 C. Both A and B (Institutional
financial aid forms and CSS Profile)
Financial Aid Post-Test
True or False: The Federal Parent PLUS
Loan is subject to credit approval.
 A. True
Financial Aid Post-Test
True or False: The Federal Perkins
Loan currently offers the lowest
interest rate.
 B. False
Financial Aid Post-Test
If a parent has remarried, whose
parental information do you put down
on the FAFSA?
 C. Put down both the biological parent and
the stepparent that the student is living
with.