What you need to
know about
Financial Aid
for
2015-2016
Presented by:
Andi Schreibman
Financial Aid Officer,
Las Positas College
2
What Will You Learn Today?
•
•
•
•
•
•
•
•
•
Important terms explained
Calculating Eligibility
Categories, types and sources of Financial
Aid
Application Process & Deadlines
Awarding and Packaging
Tips for completing the FAFSA
Special Circumstances
What’s next…finding help
Answers to your questions
3
TERM:
‘Financial Aid’
Financial aid consists of funds provided to
students and families to help pay for
postsecondary educational expenses
TERM: ‘FAFSA’
The Free Application for Federal Student
Aid (‘FAFSA’) is the financial aid application
that must be completed for every college in
the U.S.
Term: ‘Expected Family
Contribution’ (EFC)
•
•
•
Amount the govt assumes a family can
reasonably be expected to contribute
toward a student’s education for one year
Stays the same regardless of college
Two components
– Parent contribution
– Student contribution
•
Calculated using data from the FAFSA
application form and a federal formula
Term:
‘Cost of Attendance’ (COA)
•
Average cost to attend a specific college for one
year
•
Direct costs (tuition & fees, campus housing
•
Indirect costs (books & supplies, room & board,
personal expenses, transportation)
•
Direct and indirect costs are combined into cost
of attendance
•
Varies widely from college to college
Comparing various College
and University COAs
LPC
CSUEB
UCB
Stanford
(2015-16)
(2014-15)
(2014-15)
(2014-15)
Tuition
& fees only
$1119
$6549
$13,300
*$44,184
Ttl COA
At home
$11,956
$15,300
$24,592
N/a
Ttl COA
$19,039
Off campus
$22,968
$29,200
*$62,801
*Families making less than $100,000 per year are guaranteed free tuition.
Families making less than $60,000 a year are not expected to pay tuition
or contribute to the costs of room, board, and other expenses.
Term: ‘Net price calculator’
•
Congress passed a law requiring all
colleges to offer a “net price
calculator” on their websites
– Allows prospective students to figure out
how much it will cost them to go to college
– Compare net price of one school to
another school
Term: ‘Financial Need’
Cost of Attendance
–
Expected Family Contribution
=
Financial Need
Colleges determine and offer financial aid based on this
equation. Some types of aid require financial need and some
types do not.
Categories of Financial Aid
•
Need-based
•
Non-need-based
Types of Financial Aid
Free Financial Aid
■ Grants are free money you don’t have to repay, typically
based on financial need.
■
Fee Waivers are free money, waive enrollment fees at
community colleges, based on financial need.
Scholarships are free money, usually based on basis of
merit, skill or unique characteristics.
Self-Help Aid
■
■
Federal Work-study programs—work for pay
■
Loans are borrowed money that you must pay back,
usually with interest – ‘self-help’.
11
Sources of Financial Aid
•
Federal government
•
State government
•
•
Colleges and universities
Private sources: civic
organizations, businesses,
foundations, employers, etc
12
Free Money: Federal Pell Grants
Federal Pell Grant
 Largest source of financial aid
 Aid awarded primarily on the basis of financial need and
Expected Family Contribution (EFC)
 Students with EFC from 0 – 5198 qualify for a Pell
Grant for 2015-16.
 Enrollment status (less money if less than fulltime)
 Pell maximum = $5775/year for 2015-16
 You will receive the same amount of a pell grant at any college
you attend; you don’t get more at a more expensive college.
 Must apply each year using the FAFSA
13
Free Money: Other Federal
Grants
 There are other federal grants for
low income students. Your college will
determine which grants you qualify for.
G
 The FAFSA is the only application
needed to apply for all types of federal aid.
14
Free Money: State Cal Grants
• For 2-yr, 4-yr, public, private, and
vocational colleges in CA
• Pays FULL TUITION at a CSU (up to $5472/yr)
or UC (up to $12,192/yr), @ up to $9084/year
for private institution.
• Renewable up to 4 years. On reserve
while student attends a community college.
• Cal B recipients receive a $1648 annual grant
in addition to full tuition for 4 years
15
Free Money: State Cal Grant
Entitlement Program
• Cal Grant A Entitlement Awards – for high
school seniors and recent high school grads with a
Grade Point Average (GPA) of at least 3.0
• Cal Grant B Entitlement Awards – for high
school seniors and recent high school grads with a
GPA of at least 2.0, who come from disadvantaged
or low income families
• Cal Grant C Awards - for students from low
income families pursuing vocational programs of
study
16
Eligibility for Cal Grants
•
To be eligible for a Cal Grant, the
student must also:
• be a U.S. citizen,eligible
noncitizen, or eligible under
CA Dream Act (later slide)
• be a California resident
• attend an accredited California
college or university at least half-time
• Meet income and asset ceiling criteria
17
California Dream Act
•
•
•
California regulations allow undocumented students
who attended a CA high school for 3 years or more
and earned a diploma or equivalent, to now qualify
for an Entitlement Cal Grant. They may also legally
qualify for scholarships, Community College
Registration Fee waivers, college/university grants
and other assistance programs in California.
To apply, file a CA. DREAM APPLICATION instead
of a FAFSA at www.csac.ca.gov
Contact your college admissions office to submit an
AB540 application, needed to receive aid through the
Ca. Dream Act
20
2015-2016 Cal Grant
Application Requirements
• By March 2, 2015, complete and submit:
Free
Application for
Federal
Student Aid
(FAFSA)
OR
If undocumented and
eligible under AB540,
students should
complete the
California Dream Act
Application:
www.caldreamact.org
Cal Grant
GPA
Verification
Form
Check with your high school or college counselor for more details on how to file the
Cal Grant GPA Verification Form, required of all students
21
Check Your Cal Grant Status
By opening a WebGrants Account a student can:
 Check Cal Grant award status 24/7
 Confirm student’s high school graduation as
required once they have actually graduated
 Make changes to Cal Grant school choices
 View how much a Cal Grant is worth at
different California colleges and
universities
 Create a WebGrants account at:
www.webgrants4students.org
22
Middle Class Scholarship (MCS)
•
•
•
•
•
•
Starting Fall 2015-16, the Middle Class Scholarship (MCS) will be phased in
to assist new and continuing UC and CSU undergraduate students with
family incomes up to $150,000
To apply, students should submit by March 2, 2015:
– 2015-16 FAFSA
– For AB540 students, the 2015-16 California Dream Act Application
– Note: no GPA is required
MCS awards vary based on the number of eligible students, the institution,
and state funding allocated. In 2015-16, maximum awards will range up to
$1,706
Amounts are determined after Federal Pell Grants, Cal Grants and
institutional grants are awarded. Students cannot receive both grant aid and
the MCS
Qualifying students will be notified by the California Student Aid Commission
In 2017-18, when fully funded, the maximum awards will be no more that 23
40
percent of UC and CSU system-wide tuition and fees
California Chafee Grant
• The California Chafee Grant program provides up to
$5,000 annually to current and former foster youth for
college or vocational training at any accredited college
in the U.S., based on available funding
• To be eligible, foster youth must have been in
California foster care on their 16th birthday and not
have reached their 22nd birthday before
July 1, 2015
• Foster youth are encouraged to apply during their
senior year of high school
•
AB540 students may also be eligible
To apply for a
Chafee Grant, go to:
www.chafee.csac.ca.gov
24
Free Money: Community College Board
of Governors’ Fee Waiver Program
– Waives enrollment fees at all community
colleges for CA residents
– File a FAFSA to qualify. Waiver is automatically
awarded.
All CA resident students who have $1104 or more
of financial need receive an automatic fee waiver
Example: Las Positas College COA =
- EFC =
$11,460
- 8100
NEED = $ 3360
25
Student qualifies for fee waiver
because need >1104
Free Money:
College/Institutional Grants
Be mindful of priority filing deadlines or you may
miss out on $$thousands! Each college has their
own deadline by which you must submit your
FAFSA. DON’T MISS IT! Check with each college
or university you are considering attending.
 CSU State University Grant (SUG)
www.calstate.edu or csumentor.edu
 UC Grant
www.universityofcalifornia.edu
 Independent College Grants
26 www.aiccu.edu or www.aiccumentor.org
Free Money: Scholarships
Scholarships are awards provided by
the private and public sector
-institutions/colleges
-organizations
-corporations
-clubs
-foundations
-individuals
27
Free Money: Scholarships
•
Provider decides on
– Awarding criteria
– Application deadline
– Forms or applications
•
Awards may be
– Merit-based or not
– Need-based or NOT Need-based
– Based on any other criteria determined by
donor
– Begin researching private aid sources early
and continue all through college
28
Free Money: Scholarships
WHERE TO FIND THEM:
• Start with your High School Career Center
•
Local section of Newspaper
•
Organizations your family is connected to, including
parent’s workplace, church, unions, clubs, etc.
•
Check your intended colleges’ financial aid/scholarship
website for opportunities
•
Free online searches
•
Pedrozzi Foundation Scholarships for students who
graduate from any high school in Livermore -Deadline
March 1. www.pedrozzifoundation.org
29
Private FREE Scholarship Searches
•
•
•
•
•
•
FinAid on the Web: www.finaid.org
College Board: www.collegeboard.com
FastWeb: www.fastweb.com
Scholarship Resource Network Express:
www.srnexpress.com
GoCollege: The Collegiate Websource:
www.gocollege.com
Wired Scholar: www.wiredscholar.com
30
Self-help aid: Federal Work-Study
 Federal financial aid program, but funds are
limited
 Money must be earned through work
 Must have financial need
 Job may be on or off campus
 Each college has its own award policy and
procedures for getting a job.
32
Self-help aid:
Federal Direct Student Loans
Loan is only in the student’s name, no co-signer.
Must be enrolled in at least 6 units.
Two types:
Federal Subsidized Direct Loan
 For students with unmet financial need
 Government pays interest while in school
Federal Unsubsidized Direct Loan
 For all students; no financial need required
 Student responsible for cost of interest while in
school
33
Federal Direct Student Loans
 Annual and aggregate loan limits apply
 Must be enrolled at least halftime
 6-month grace period after graduation before
repayment begins
 10 – 30 year repayment period
 Interest currently 4.66% for both types of
loans
 Repayment is deferred while in college at
least halftime
34
Self-help aid: Federal Parent Loans for
Undergraduate Students (PLUS)
■Parents of dependent undergraduates can
borrow up to the total cost of their child’s
undergraduate study, less any other aid the
student may receive
•based on credit record
•May borrow up to full cost of attendance less aid
•Interest fixed at 7.21%, origination fee is 4.292%
•10 year repayment period
•Parents can defer payment until student
graduates college.
•http://studentaid.ed.gov/types/loans/plus
35
Self-help aid: Private loans
■
■
■
■
■
May or may not carry higher interest rates and
fees than federal loans
Typically the interest rates are variable
Based on your credit rating and debt-to-income
ratio
May require a co-signer
Best to use federal student loan programs first; if
you still need additional financing then turn to
private loans.
36``
Comparing your college choices using
financial aid offers
•
Your bottom line for choosing colleges isn’t the cost of
attendance, but rather the net actual cost to you and
your family.
•
Once you subtract the free aid (grants and
scholarships) from your cost of attendance, determine
how much of the bill you will need to finance through
loans and workstudy or your own funds. This is what
you need to understand when determining affordability
in making a college choice.
•
Be aware if institutional grants or scholarships offered
are multi-year or not; you may get a good package the
first year but can you rely on the same for the
remainder of the years?
38
Applying for Financial Aid
FAFSA on the Web
www.fafsa.ed.gov
DO NOT use the
website
www.fafsa.com or
you will pay
money to file the
FREE Application
for Federal
Student Aid!
The 2015-2016 FAFSA on the Web may
be used for the January 1, 2015
through June 30, 2016 federal student
aid application cycle
39
FAFSA Information & Tips
•
File early, but no later
than March 2, 2015
•
Use estimated 2014
income information if
taxes are not complete at
time of FAFSA
submission. Correct the
info later
•
Student and at least one
parent whose information
is reported must complete
and sign the FAFSA
40
Federal Personal Identification
Number (PIN)
•
•
•
•
PIN (Personal Identification Number)
serves as the electronic signature
Both student and one parent need PINs
to sign the FAFSA electronically
May be used to:
• Check on FAFSA status
• Verify and correct FAFSA data
• Add additional schools to receive
FAFSA data
• Change home and e-mail addresses
• Access fafsa to apply in subsequent
years
If an e-mail address is provided, PIN will
be e-mailed to the PIN applicant within
minutes
Apply for student
and parent PINs at:
www.pin.ed.gov
41
TIPS FOR COMPLETING THE FAFSA
SAVE YOUR DATA FREQUENTLY!
As you complete the online Fafsa, SAVE your
information frequently! You choose your own
password and can save it for an indefinite
period of time.
SUBMIT the fafsa only when it is complete and
signed with your pin number.
42
42
TIPS FOR COMPLETING THE FAFSA
Common questions that tend
to cause confusion or errors
43
43
Section 1
STUDENT DEMOGRAPHICS
Section 1 - Student Social Security Number
•
Be sure that both the student and parent personal
identifying information is accurate and exactly
matches with the complete name and ssn on the
social security card or it will be rejected!
45
Section 1
Undocumented Students
If the student is undocumented
 and is applying to any California public college or
university, check to see if he/she might be eligible
for in-state tuition/fee costs under AB540
 If eligible for AB540, apply for California Dream Act
financial aid at www.caldreamact.org
 check with colleges and universities about CA
Dream Act institutional financial aid and private
scholarships and the timelines for applying
 apply for all other private scholarships for which
the student may be eligible
 start inquiring in elementary, middle or high school
to see if it is possible for younger students to
become permanent residents
For more information and a list of scholarships, go to:
www.e4fc.org/resources/scholarshiplists.html
www.maldef.org/assets/pdf/2012-2014_MALDEF_Scholarship_List.pdf
www.caldreamact.org
46
Section 1 - Selective Service Registration
•
All male students who are between the ages of 18 and 25
years must be registered with Selective Service to receive
federal and/or state aid
•
Answer “Register me” only if you are male, aged 18-25,
and have not yet registered.
•
The student may also register by going to:
www.sss.gov
47
Section 2
SCHOOL SELECTION
Section 2 - School Selection
Strategies for Listing Colleges
• List a California college or university
•
first (for Cal Grant consideration)
If the student is applying to more
than ten schools, wait for the
processed Student Aid Report (SAR)
and add additional schools via the
Web or by phone using the student
PIN
NOTE: Each UC and CSU campus must be listed separately
49
Section 3
STUDENT DEPENDENCY
STATUS
Section 3
Determination of Student Dependency
Status
51
Section 3 - Determination of Student Dependency Status
(con’t)
52
Section 3 - Determination of Student Dependency Status
(con’t)
53
Section 3 - Determination of
Student Dependency Status


If the student checks “No” in all of the boxes about
Dependency Status, the student will be asked to go to
Section 4. For FAFSA filing purposes, the student is
considered a dependent student and will be required
to provide parental information
If any one of the items in this section applies to the
student, he/she should mark the appropriate box,
skip Section 4, and go to Section 5. The student is
considered an independent student for FAFSA filing
purposes and is NOT required to provide parental
information
54
Is there any other way to be
independent?
•
Dependency status may be changed in
very specific extenuating circumstances
(abusive situation, abandonment, etc).
Student may file a Dependency Override
Petition at the college of attendance.
Third party documentation required
(social worker, police report, counselor,
clergy, etc).
55
What if I refuse to provide parental
information?
The student may complete a
FAFSA, but the only thing they
would possibly be eligible for
without parent information is
an unsubsidized student loan.
56
Section 4
PARENT
DEMOGRAPHICS
Section 4
Parent Demographics
Who is considered a parent ?
 Biological or adoptive parent(s)
 Including same-sex and
unmarried parents living
together
 In case of divorce or separation,
provide information about the
parent and/or stepparent the
student lived with more in the
last 12 months.
 Stepparent (regardless of any
prenuptial agreements)
58
Who’s My FAFSA Parent?
Quiz (www.collegeup.org)
This quiz will help you understand whose information should be
provided on the fafsa if you aren’t clear. There are big changes
this year, which include:


When dependent students file the FAFSA, both legal parents
must provide income and asset information, regardless of
their marital status or gender, if those parents are living
together. In previous years, only one of the unmarried parents
was asked to provide financial information.
Due to the U.S. Supreme Court decision striking down the
Defense of Marriage Act, same-sex couples must now report
their marital status as married, if they were legally married in
a state or foreign country that permits same-sex unions. 59
Section 4
Who is Not a Parent ?
60
Section 4
Parent Marital Status
• Report your parents’ marital status as of today
– Never Married
– Unmarried and both parents living together
– Married or Remarried (also report the date of marriage or
remarriage)
– Divorced or separated (also report the date of divorce or separation)
– Widowed (also report the date of widowhood)
61
Section 4
Parent Information
•
If the student is providing Parent Information, he/she will need
those parents’:
–
–
–
Social Security Numbers
Last names and first initials
Dates of Birth
62
Section 4 - Parent Household Size

Include in the parents’ household:
 the student
 parent(s)
 parents’ other dependent children, if
the parents provide more than half their
support or the children could answer “no” to every question in
Section 3, regardless of where they live
 other people, if they now live with the parents and will continue to
do so from 7/1/14 through 6/30/15, and if the parents provide more
than half their support now, and will continue to provide support
from 7/1/14 through 6/30/15
63
Section 4 - College Students in the Parent
Household
•
•
•
Always include the student even if he/she will attend college
less than half-time in 2015-2016
Include other household members only if they will attend at
least half-time in 2015-2016 in a program that leads to a
college degree or certificate
Never include the parents in the number in college
NOTE: Some financial aid offices will require documentation
that other family members are attending college
64
Section 5
PARENT FINANCIAL
INFORMATION
Section 5 - Parents’ 2014 Tax Return Filing Completion
Status
2014
 Students will be asked to provide information about their parent tax
filing status for 2014:



If parents have completed a 2014 federal income tax return, select
“Already completed”
If parents have not as yet filed, but plan to file a 2014 federal income
tax return, select “Will file”
If parents have not, nor will not, file a 2014 federal income tax return
and are not required to do so, select “Not going to file”
66
Section 5
IRS Data Retrieval
 This question asks if parents have completed
their 2014 IRS income tax return
 If parent(s) answer “Already completed,” they
will be given the option to transfer their 2014
income tax information directly from IRS
records to the FOTW
 If parents indicate that they have recently
filed their 2014 taxes, they may not be able to
access their IRS data if they have filed taxes
electronically within the last three weeks or
by mail within the last eight weeks
 Instead, they should use their actual 2014 IRS
tax return to complete the FOTW so the
student does not miss any important financial
aid deadlines
67
Section 5
IRS Data Retrieval (con’t)
68
Section 5
IRS Data Retrieval (con’t)
69
IRS Data Retrieval Tool
•
Some will be unable to use IRS DRT
•
Examples include:
– Filed an amended tax return
– No SSN was entered
– Student or parent married but filed
separately
Section 5
2014 Adjusted Gross Income
•
•
•
If the student’s parents have not yet filed their 2014 federal tax
return, use estimated 2014 information for this question
The “Income Estimator” on the FOTW may help calculate this
amount
If the student’s parents have completed their 2014 federal tax
return, use actual 2014 tax return information to complete this
item if they are not eligible to use the IRS Data Retrieval
process
71
Section 5 - Parents’ 2014 U.S. Income Taxes
• Enter the amount of parents’ income tax for 2014
•
Use U.S. income tax paid (or to be paid), not the amount
withheld from parents’ paychecks
72
Section 5
Parent Asset Information
•
•
•
•
Some parents may be asked to report the current
balances of their cash, savings, and checking accounts
as of the day they complete the FAFSA
They may also be asked to provide information about the
net value of their investments such as real estate, rental
property, money market and mutual funds, stocks, bonds
and other securities
In addition, they may be asked questions about the net
value of their businesses and investment farms
They should not include the home in which they live, the
value of life insurance and retirement plans, or the value
of a family-owned and controlled small business
73
Section 5
Parent Asset Information
Parents may be asked to report their assets as
of the day they complete the FOTW if amounts
exceed those shown on the FOTW. If so:


Parent(s) must list the net value of their assets
as of the day they complete the FOTW
If net worth is zero, enter 0
0
NOTE: Some financial aid offices may request supporting
documentation for the answers to these questions
74
Section 5
STUDENT INFORMATION
Section 6
SIGN AND SUBMIT
Section 6
Student Signature Page
 Sign and Submit
 Recommend that students
sign the FAFSA
electronically using their
PINs
 Remember to read and
mark “Agree” to the student
Terms of Agreement
77
Section 6
Parent Signature Page
 Sign and Submit
 Recommend that one
custodial parent signs the
FAFSA electronically using
his/her PIN
 Remember to read and mark
“Agree” to the Terms of
Agreement
 Parent(s) without Social Security
Numbers
 Click on “Other options to
sign and submit” for Paper
Signature Page
78
Section 7
Confirmation
 Confirmation Page
 Confirms date and time of
submission of the FOTW to
the U.S. Department of
Education
 Shows
 Expected Family
Contribution (EFC)
 Estimated Federal Pell
Grant and Federal
Stafford Loan eligibility
 List of schools to receive
FAFSA data
79
Section 7
Confirmation
 Confirmation Page
 Also provides parent(s) with
other children planning to
attend college in 2015-16 the
opportunity to transfer
parental information to other
children’s FOTWs.
80
Student Aid Report (SAR)
 After the student completes the FAFSA on


the Web, a SAR will be sent to the student
 An electronic SAR Acknowledgment
will be sent if student provides an
email address
 A paper SAR will be mailed if no
student
e-mail address is provided
An electronic copy of the data will be sent
to each college or university listed by the
student in Section 2
Keep a copy of the SAR with other
financial aid documents
81
Special Circumstances
After filing the fafsa correctly, contact the
Financial Aid Office if there are circumstances
which affect a family’s ability to pay for college such as:
– Loss or reduction in parent or student income or assets since
the tax year reported on the FAFSA
– Death or serious illness in the family affecting income
– Natural disasters affecting parent income or assets such as
the recent California wind storms,wild fires, floods, mudslides
– Unusual medical or dental expenses not covered by
insurance
– One time Early IRA withdrawal due to loss of job which
inflated income on the tax return
– Reduction in child support, Social Security benefits or other
untaxed benefit for parents or student
– Financial responsibility for elderly grandparents, or
– Any other unusual circumstances that affect a
family’s ability to contribute to higher education
82
What Happens Next?
Students and the colleges the student listed receive Student Aid
Report (SAR) from federal processor

Students who complete FAFSA and Cal Grant GPA Verification
Form receive California Aid Report (CAR)

Students and families review SAR and CAR for important
information and accuracy of data

Colleges match admission records with FAFSA and other
required financial aid forms to determine aid eligibility

Colleges provide notices of financial aid eligibility to admitted
students who have applied for financial aid
83
Federal Verification


Some students may be required to verify the information reported
on the FAFSA
If selected for verification, the tax information of federal tax filers
will be verified through
 The IRS Date Retrieval Process, or
 IRS Tax transcripts if requested by the college or university

Non-tax filers selected for verification may be asked to provide
 Signed statements confirming that they did not file a 2014 federal tax
return and were not required by IRS to do so
 Copies of W-2s or other income documentation from each employer , if
any income was earned from work

All selected aid applicants will also be asked to verify certain
demographic data listed such as




Household size and number in college
Child Support paid and SNAP, if reported on the FAFSA
Enrollment History for transfer students
Identity Confirmation
IRS Transcripts available at:
http://www.irs.gov/Individuals/Order-a-Transcript
84
Summary of the Financial Aid
Process
•
Submit all required forms, including the FAFSA, by each
college’s published deadlines (but no later than March 2)
•
•
•
By March 2, submit a Cal Grant GPA Verification Form
•
•
Review the California Aid Report (CAR)
•
Be sure to apply for financial aid this year and every year
as soon as possible after January 1 to receive the best
financial aid award possible
Keep a copy of all forms submitted
Review the electronic Student Aid Report (SAR)
Acknowledgement or the paper SAR sent to the student
Watch for financial aid award notifications from colleges to
which the student has been admitted
ASK QUESTIONS!
85
If You Need Help at Any Time
• FAFSA on the Web – Live Help
• Phone 1-800-4-FED-AID
(1-800-433-3243)
• E-mail the U.S. Department of
Education at:
FederalStudentAidCustomerService@ed.gov
86
Top Strategies to minimize
Expected Family Contribution
Save money in the parent's name, not the child's name. Or
use a savings vehicle that is treated like a parent asset,
such as a 529 college savings plan, prepaid tuition plan or
Coverdell Education Savings Account. A section 529
college savings plan has minimal impact on financial aid;
one owned by a grandparent has no impact on financial
aid.
•
Pay off consumer debt, such as credit card and auto loan
balances with excess cash in your checking or savings, or
accelerate necessary expenses such as if you need a new
car or computer, buy it before you file the FAFSA.
•
If your family's financial circumstances have changed
significantly in 2015 compared to 2014, request and file a
Special Circumstances petition at the college you will
attend after filing your FAFSA.
87
Top Strategies to minimize
Expected Family Contribution
•
Maximize contributions to your retirement fund to
reduce your AGI.
•
Do not withdraw money from your retirement fund to
pay for school, as distributions count as taxable
income, reducing next year's financial aid eligibility. If
you must use money from your retirement funds,
borrow the money from the retirement fund instead of
getting a distribution.
•
Choose the date to submit the FAFSA carefully, as
assets and marital status are specified as of the
application date.
•
Spend down the student's assets and income first
88
89
Questions and
Answers
Thank you for attending
90