MASFAA 2013
October 6 th – 9 th , 2013
Indianapolis, Indiana
Diane Fleming, Financial Aid Professional
Emerita
Sarah Soper, Director of Financial Aid, Indiana
University East

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Overview of Cost of Attendance
Components
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Professional Judgment – Could ‘ya? Would
‘ya? Should ‘ya?
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Scenarios: What some schools do – and questions some schools have

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COA: the 2 nd component of FM to determine financial aid eligibility
COA: Determined by law (HEA, Sec. 472); not subject to regulation by ED
FAA must determine what is reasonable & appropriate
FM uses the COA – EFC to determine eligibility for various need-based financial aid programs
FAAs must create a systematic method of developing COAs
COA must be included in the institution’s
Consumer Information publications

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Allowable costs in general
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◊ Same for all FSA programs
Based on enrollment status
Sum of the following:
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Tuition & fees
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Books & supplies
Transportation
Room & board
Miscellaneous/personal expenses
Loan fees

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ADDITIONAL ALLOWABLE COA
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Dependent care
Study abroad expenses
One time cost for professional license or certificate
Student disability expenses
Employment expenses for co-op study
Less than half-time enrollment, room and board for a limited duration
Independent student or dependent student living with parent who receives BAH – COA can only include board – not room & board

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TUITION AND FEES
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Average vs. individual enrollment
Separate averages for various categories of students, e.g., undergraduate vs. graduate, in-state vs. out-of-state, program of study, dependent vs. independent, etc.
Fees: Must be required for student’s course of study OR be required of all students, e.g. equipment rental, required health insurance

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FAA must determine a book allowance; can differentiate between undergraduate vs. graduate, academic discipline, etc.
Supplies: Incudes a reasonable amount as determined by your institution for documented rental/purchase of a computer; mandatory expenses associated with an academic program, e.g., musical instrument, medical supplies, mechanic’s tools, cosmetology kits/supplies, etc.

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Different costs for residential, off-campus, commuter or on-line only students
Payment for purchase/lease of a car is not allowed
Study-abroad costs

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Categorize student’s (without dependents) place of residence:
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Living with parent(s)
Living in institutionally-owned housing
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Living off-campus, must be based on reasonable expenses for student’s room & board: cannot exclude R&B for student’s enrolled in on-line only programs (Sec. 472 (10)
Living in on-base military housing (must exclude allowance for room)

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Personal: includes clothing, laundry & cleaning, personal hygiene/grooming and recreation necessary to maintain living at a
standard
Miscellaneous:
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One-time purchase of a computer/musical instrument
Dependent care costs
Disability-related expenses

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Must be included if student actually borrows a Direct Loan
Can be an actual loan fee amount or an average based on the same type of loan borrowed for attendance at the school
Optional to include loan fees for nonfederal conventional alternative or private student loan

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Incarcerated students: tuition, fees, books & supplies only
Correspondence study: Actual tuition, fees, book, supplies; transportation, room & board costs incurred specifically while fulfilling a required period of residential training
Less than half-time students: tuition, fees, books, supplies, transportation, dependent care expenses, room & board (but for not more than 3 semesters, of which not more than 2 semesters may be consecutive

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Sec. 479A(a): Discretion of Student FAAs with adequate documentation: Ability to make adjustments on a case-bycase basis to the COA….can include, but not limited to:
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Unusually high child care or dependent care costs
Professional wardrobe
Study-abroad costs
Enrollment “overloads”
Unusual transportation costs for emergency travel, e.g. death of immediate family member
Increased R&B for internships, medical rotations, study abroad, cooperative education, etc.
Special dietary needs
Student mortgage and other expenses associated with home ownership

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SCENARIOS: WHAT SOME SCHOOLS DO AND
QUESTIONS SOME SCHOOLS HAVE
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Establish the COA but only package to direct costs
Exclude additional unsub eligibility
Delay disbursement until academic activity has been initiated
Prorate disbursement in modular programs
Delay disbursement and adjust COA to actual enrollment at census date
Make no PJ adjustments to COA
Exclude R&B for on-line programs – NOT
PERMISSIBLE!!
Establish a national R&B rate for on-line programs
Other scenarios??

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Can you do PJ for: X,Y, or Z??
What can you do with COA to help improve the institutions cohort default rate?
Is there a minimum R&B COA for on-line only programs?
Must you include transportation for on-line only programs?
Other questions??