2016-17 Financial Aid Presentation
Daniel M. Tramuta
Associate Vice President for Enrollment Services
New York State Financial Aid Administrators Association (NYSFAAA) - Past President
Eastern Association of State Financial Aid Administrators (EASFAA) - State Rep
State University of New York at Fredonia
tramuta@fredonia.edu
716.673.3253
Overview of Higher Education Landscape
Challenges & Opportunities
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Demographics
Decline in HS Graduates out to 2022
Selectivity Matrix
Program Demand
Retention
Merit-Based Arms Race
Scholarship – increased tuition discounting to find price point
Cost & Affordability
Debt at Graduation
Return on Investment
New Academic Programs
Growth in STEM Programs
http://www.fredonia.edu/finaid/stem.asp
Projected change in the number of high school
graduates 2010 to 2019
Factors Most Noted in Choosing & Staying at a College
1. Majors & Career Programs Offered
2. Cost/Affordability
3. Location/Campus Characteristics/Faith
Support
4. Campus Size/Safety
5. Characteristics of Enrolled Students
6. Selectivity
2014 Undergraduate Degree Demand – ACT Test Takers
The Financial Aid Funnel - How & When to Apply?
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Apply for Admission (Fall of Senior Year)
Collect documents
Create a FSA ID & Password at https://fsaid.ed.gov
Fill out the 2016-17 FAFSA on the Web Worksheet (Do Not
Mail this Worksheet) (Dec.)
Complete FAFSA online at www.fafsa.gov in January 2016
(Estimate the information)
Once your federral Tax return is completed go back to update
your FAFSA via IRS Data Retrieval Tool
Print the confirmation page
Use the corresponding state scholarship link on the FAFSA
Confirmation Page to apply for TAP
Keep records
Create a FSA ID & Password Prior to Completeing the FAFSA
Create Account – Link PIN
FAFSA: IRS Data Retrieval Tool
•F CHhhhonnects to IRS
for tax datConnects to
IRS for tax data of
completed tax returns
•Electronic filers – about
2 weeks after submittal
•Use for original FAFSA
and corrections
•a of completed tax
returns
•Electronic filers – about
2 weeks after submittal
•Use for original FAFSA
and corrections AFSA:
IRS Data Rdata of
Should I pay someone to help me
find or apply for student financial aid?
• FREE help is available
• Make sure you are not paying for
free information
• Know what you are
getting for your
money
• Need more info:
1-800-4FEDAID
What Makes up a Financial Aid Package?
Sources of Financial Assistance
Federal & State Grants
GGrant Programs
– PELL Grant
 Must have a FAFSA calculated EFC between $0
– $5,199
 Max. Award: $5,775
T
– NYS TAP Grant TAP Grant
 Based on NYS net taxable income
NY Net Income ceiling is $80,000
 Max. Award: $5,165
STEM Incentive Program
 Tuition scholarship at SUNY or CUNY
 Eligibility
 Need to graduate in top 10% of high school
class
 Need to study in STEM Field
 Need to maintain a 2.5 average
 Five-year service contract to work in NY state in a
STEM field
 More information: www.hesc.ny.gov or Scholarship
Unit at 1-888-697-4372
NY-AIMS
 Award of $500
 Eligibility
 NY State high school graduate
 Achieved academic excellence
‒ Top 15%
‒ 3.3 GPA or above
‒ Honor Regents diploma or a score of 3 or higher on two
advanced placement exams
 Based on unmet need
 Applications and more information available in May
 More information: www.hesc.ny.gov or Scholarship Unit at 1-888697-4372
Federal Work Study
Federal Work Study
 Based on financial need
 Earnings based on NYS minimum
wage scale
 Traditionally on-campus employment
 Usually 6 to 10 hours per week
Federal Stafford Loan
 Subsidized
 Unsubsidized
 4.29%
4.29%
 Capped at 8.25%
Capped at 8.25%
 Not based on
Based on need
need is in
Federal government pays interestfinancial
while student
school
 $3,500 for freshmen
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 Maximum Direct Loans for freshmen: $5,500
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Administration Rollout of PPY
September 14, 2015
• In Des Moines, Iowa, President Obama announces action to
implement PPY on the 2017-18 FAFSA
• On October 1, 2016, the FAFSA for the 2017-18 award year will
be released by the Department of Education.
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Identifying Implications
• The move to PPY could have some important implications for
colleges and universities
• Budget and tuition planning timelines may need to be adjusted if
award determinations are made in the fall instead of the spring
• Recruitment and admissions offices may need to alter messaging
as high school seniors will receive financial aid information much
earlier
• Earlier distribution of acceptance letters
• Earlier distribution of financial aid award letters
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Using Prior-Prior Year Tax Income Data on the FAFSA
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The Free Application for Federal Student Aid (FAFSA) becomes available every January 1, and
currently requires a family's tax information from one year prior. Families are encouraged to file
the FAFSA as soon as possible to maximize their odds of receiving financial aid. But with tax
deadlines months later, most have to estimate their tax information on aid applications and
make corrections later. In the worst case scenario, some families miss out on financial aid funds
that are disbursed on a first-come basis.
Education Secretary Arne Duncan enacted a change this past Sunday that would fix this
widespread issue. By using income from two years ago, otherwise known as prior-prior
year (PPY) tax income data, families could file the FAFSA with tax information they already
have, making the process quicker and easier. By taking advantage of the existing ability to
import tax information directly from the IRS onto the FAFSA form, families will spend less time
gathering paperwork and would make far fewer errors.
The use of prior-prior year income also presents an opportunity to align admissions and
financial aid decisions and give millions of families more time to plan for actual
college costs, rather than sticker prices or projections. Low-income families experience very
little income fluctuation from year to year and most would not see a significant change in their
eligibility for a Pell Grant with a switch to prior-prior year income.
Prior-prior year income is the closest thing we have to a "silver bullet" for an industry in search
of meaningful solutions. With earlier aid awards, financial aid administrators would have more
time to help families evaluate their options and make informed financial decisions.
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Using Prior-Prior Year Tax Income Data on the FAFSA
With the switch to PPY, students and families will be able to:
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File the FAFSA earlier. As you know, the FAFSA is made available January 1 of
each calendar year, yet it is uncommon for a family or individual to be prepared to
file an income tax return in the month of January. Under the new PPY system, the
2017-18 FAFSA will be available in October 2016, rather than January 1,
2017, and students can use the PPY’s completed income tax return.
More easily submit a FAFSA. The IRS Data Retrieval Tool (DRT), which allows
automatic population of a student’s FAFSA with tax return data and decreases the
need for additional documentation, can be used by millions more students and
families under PPY, since tax data from two-years prior would be readily available
upon application.
Receive earlier notification of financial aid packages. If students apply for aid
earlier, colleges can in turn provide financial aid notifications to students earlier,
ensuring that students and families have more time to prepare for college costs.
Notifying students earlier of their financial aid packages will also leave more time for
one-on-one counseling with students and families.
* Next year’s (2016-17) aid applicants will be using the same prior year
federal income (2015) for two consecutive years
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What PPY Could Mean for
High School Counselors?
• Improved discussions about financing college
– Earlier and more realistic conversations about financial
viability
– Improved College ScoreCard (CollegeScorecard.ed.gov)
• Financial Aid/FAFSA information nights held earlier
– May include more colleges/universities to assist
• Fall workload increases
• College/University requests for earlier visits
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Potential Impacts on Student and Family
Behavior
• Shifting priorities in college search
• Changed college application patterns
– Earlier and/or later applicants? Both?
• Earlier and more informed enrollment decisions
• Mixed views on stress
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Potential Impacts on Admission and
Recruitment Behavior
• Earlier discussions about financial viability
• Admissions staff cross-training
• Rolling admissions could be at an advantage
– Acceptances and financial aid decisions sent together?
• Challenges to articulating value proposition
• Adoption of early decision/early action programs
• Changes in yield projection accuracy
– Econometric modeling may not be as accurate
– Methodically enhance yield activities/resources
– Potentially have earlier, stronger indicators of class yield
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Appeals Based on Unusual
Circumstances
• Loss of Income, e.g. in academic year 201516, loss of Income in 2015 vs 2014
• Medical/Dental expenses NOT PAID by
insurance
• Death, separation, divorce......
• 1-Time Fluctuation in Income
• Elementary/Secondary Private School Tuition
Expenses
• Follow the procedures of the Financial Aid
Office where student is attending.
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SUNY Statewide Student Financial Aid Days
• Saturday, January 16, 2016
• Saturday, February 20, 2016
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Ask questions about the financial aid application(s),
types of aid available and the actual awarding process
Most campuses will offer web access and personal
assistance to complete FAFSA’s online
Register at www.suny.edu/student in early December 2015
Questions?