2016/17 Financial Aid High School Presentation : Dorothy J Gilliard FASNA LLC Consultant and HESAA Representative

2016/17 Financial AidHigh School Presentation

: Dorothy J Gilliard

FASNA LLC Consultant and

HESAA Representative

Higher Education Student Assistance Authority

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WHAT WE WILL COVER

The Types/Sources of Aid

The Application Process

The Financial Aid Package


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Sources of Aid

• Federal

• State of New Jersey

• The College/University

• Outside Organizations– Civic organizations (ex.-local

Rotary Club), parent’s

employer, high school awards

Types of Financial Aid

• Grants

• Scholarships

• Loans

• Employment Opportunities

Section ISources - Types of Aid


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Types of Aid - Federal

• Federal Government Grants 2016/17

–Pell ($5,915 projected award)

–SEOG ($4,000 max award)

–TEACH ($3,728 max award)As a condition for receiving a TEACH Grant,student must sign a TEACH Grant Agreement to Serve in which he/she agree to (among other requirements) teach•in a high-need field •at an elementary school, secondary school, or educational service agency that serves students from low-income families •for at least four complete academic years within eight years after completing (or ceasing enrollment in) the course of study for which you received the grant.


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Types of Aid – State• State of New Jersey

– TAG (Tuition Aid Grant) 2016 – 2017

• Demonstrate Financial Need

• Be a U.S. citizen or eligible non-citizen

• Must be New Jersey Resident & attend a New JerseyInstitution

• Must be full time at an approved degree program

• Meet all state deadlines

– Part-Time TAG for County Colleges 2016 -2017

• Meet all TAG requirements

• With the exception of being enrolled for 6-11 credits

Amounts range from $2,628 - $12,196 (FT)

Types of Aid – State (cont.)

• State of New Jersey– EOF (Educational Opportunity Fund)

• Award ranges from $200 - $2,500

• Must be a New Jersey resident 12 consecutive months prior to receiving the award

• Must apply and be accepted to a participating New Jersey college or university

• Must meet the academic criteria as set by the institution of choice

• Must file a Free Application for Federal Student Aid (FAFSA)

• Must demonstrate an educationally and economically disadvantaged background

– Governor’s Urban Scholarship• Rank within the top 5% of their class at the end of junior year

• Attain a 3.0 GPA at the end of the junior year

• Attend an approved New Jersey college or University and reside in adesignated community

• Have a New Jersey Eligibility Index below 10,500

• Award: $1,000 per year


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Types of Aid – State (cont.)

• State Scholarships

– NJ STARS• NJ residents who rank in the top 15% of their class at either the end of junior or senior year

• Achieve the required score on a college placement test to determine college readiness

• Students must take at least 12 college credits

• Students must attain a cumulative GPA of 3.0 or higher at the start of the third semester atthe county college to remain an NJ STAR


• Covers Tuition only

– NJ STARS II• Received NJSTARS funding and have a family taxable income of less than $250,000

• Must earn an associates degree and graduate with a 3.25 GPA or higher

• May receive up to $2,500 annually for a public or private 4-year NJ college or university

• Must enroll full time (12 credit hours)



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Types of Aid – PP/Loans for StudentsMonthly Payment Plans – offered by the college/private entities (not a loan)

Federal Direct Undergraduate Direct Loans are 4.29% plus a1.068% origination fee

2016 – 2017 Rates and fees are subject to change


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Types of Aid – Loans forStudents/Parents

• Variable Rate NJCLASS LOAN, starting at 4.53%

This option has no origination fee

• Fixed Rate NJCLASS LOAN, varying repayment options

Interest rates range from 4.99% to 7.85% for the 2016 -2017 awardyear. Students can borrow up to the cost of attendance and must bethe borrower. All fixed rate NJCLASS loans have a 3% origination fee

• Federal PLUS Program (6.84% & 4.272% Origination fee) Parent is theborrower

• Private Educational Loans – Sallie Mae, Wells Fargo, PNC, Etc.

2016 – 2017 Rates and fees are subject to change

Academics AthleticAbility*

SAT’s GeographicDiversity

APCourses Legacy(childofalumni)

Activities Talent

AcademicTrack Gender/Ethnicity

H.S.Attended ClassRank


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Types of Aid - Institutional &Private Scholarships

• Factors that may influence eligibility:

* Athletic awards offered by NCAA Division I and Division II schools only.


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Section II - Applications


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Application: CSS Profile

• Nearly 400 Colleges and Organizations use the CSSprofile to determine how they will award institutionalfunds

• Available 10/1 each year and collects morecomprehensive income, asset and householdinformation than the FAFSA (i.e. assets for businessowners regardless of number of employees

Register - Complete Application – Make payment - Submit


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Application: CSS Profile

• If the marital status is divorced or separated the application requires that information be submitted for the non-custodial parent

• All assets: Taxable and Non-Taxable are included• A Business/Farm Supplement may be required if one or more of

the parents is self-employed• Family can explain special circumstances in detaill

Application:CSS Profile

• Website to complete a Profile Application

https://student.collegeboard.org/css-financial-aid-profile

Customer Service305-829-9793

[email protected]


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• Submit the Free Application for Federal Student Aid(FAFSA) prior to the earliest school’s deadline &complete the NJ State Specific Questions

• Available January 1st

• To ensure maximum consideration for federal, state,and institutional aid, check information from eachschool to determine:

– Required application materials

– Application deadlines

• Be sure to answer all optional questions on the FAFSAlike “Gender” & “Driver License” to speed up processing

Application: FAFSA

A Change for 2017-18

• Both the CSS Profile and the FAFSA will have a new Beginning Processing Date for the 2017-18 School Year

• October 1, 2016

• Senior HS Students will apply in January, 2016 for September; again in October for 2017-18

• Use same Income Information

• Updated Asset Information

• Will facilitate the IRS Data Retrieval Process

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FAFSA on the Web at www.fafsa.ed.gov

Student & Parent must create a Federal Student Aid ID

(FSA ID) at www.fsaid.ed.gov

• Estimated income or actual prior year tax information

• Use the IRS Data Retrieval Tool to populate income & taxinformation


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Free Application for FederalStudent Aid (FAFSA)

• Collects family’s personal and financial information used tocalculate the student’s Expected Family Contribution

• File the FAFSA electronically


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What is a Federal Student Aid(FSA) ID?

• In order to enhance security, FAFSA hasreplaced the PIN number with the FSA ID

• If you already have a PIN, you can linkyour information to your new FSA ID byentering your PIN while registering foryour FSA ID PIN number is not necessary to create a FSA

ID

• If you are a parent of a dependentstudent, you will need your own FSA ID

How to Create An FSA ID


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General Highlighted EligibilityRequirements

• Must have a valid Social Security Number

• Must be enrolled or accepted for enrollment inan eligible program of study

• Must be pursuing a degree, certificate, orother recognized credential

• Must be a U.S. citizen or eligible noncitizen

• Must be registered with Selective Service(males are required)


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Key Components ofthe FAFSA

Student Demographics– Last Name– Social Security Number– Date of Birth– NJ applicants must provide an answer to the driver’s license

questions.– ALL applicants must indicate their gender.

Student Income and Assets [50/20]– IRS Data Retrieval– Income earned from work

Student Status: Dependent/IndependentParent Demographics-Who is a Parent?– Social Security Number– Last Name– Date of Birth


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Key Components ofthe FAFSA

• Three Important Data Matches

• SSA – Social Security Administration• DHS – Department of Homeland Security• Selective Service – for all male students that are 18+

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Key Components ofthe FAFSA (cont.)

Household Size• Number in college

Marital StatusParent(s) Income and Assets

– IRS Data Retrieval

– Income earned from work

– Dislocated Worker

Federal Means Tested Benefits

– SSI, SNAP, Free or Reduced Price Lunch, TANF, WIC

College Choice

– List a New Jersey college first !! – IMPORTANT - !!

– List all colleges of interest (up to 10)

New Information About College Listings on the FAFSA

• In response to some parental concerns that some institutions have been using the list of colleges that a student includes on the FAFSA for purposes unrelated to the awarding of financial aid the Federal Government will only provide the receiving school’s information on the ISIR record.

Assets• Cash, Checking, and Savings• Taxable Investments

• Stocks, Bonds, Mutual Funds• Real Estate (Other Than Your Primary Residence)• 529 Accounts

• A 529 college savings plan account that is owned by the student or the student’s parent must be reported as an investment asset on the (FAFSA). Distributions from a 529 plan owned by the parents are not reported as income on the FAFSA, Other “outside” 529 plans are not reported as assets on the student’s FAFSA, but distributions from such 529 plans are reported as untaxed income to the student on the subsequent year’s FAFSA.

• Retirement Assets such as 401Ks, 403Bs, etc. are NOT reported on the FAFSA

Income Sources

• Income from Work• Child Support*• Contributions to a Retirement Account• Taxable Contributions to a Health Savings

Account• Tax Exempt Interest Income• Housing allowance provided to members of the

clergy, military, or others*Note: Child Support PAID is a deduction against income on the FAFSA.Alimony Received is included in AGI and reported on the FAFSA with other income.


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Common Mistakes Made on theFAFSA

Student’s name as it appears on the social securitycard, social security number, and date of birth.

Parent section vs. Student section

Number of people in the household

Divorced/remarried households

Taxes paid vs. taxes withheld (estimated income)

Parental and student assets Skipping the gender question


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How To Be Considered for State Aid

• Complete the FAFSA within established deadlines (Oct. 1)

• Be sure to list a New Jersey college or university as your 1st

choice on the FAFSA

• Once you submit the FAFSA, NJ residents will be given the optionto link to the Higher Education Student Assistance Authority’swebsite to respond to additional questions to be considered forTAG, NJ STARS, NJ STARS II and other state programs.

• Click the link and complete the additional New Jersey Statequestions. If questions not answered, student may log into“njgrants.org” to complete the additional questions for state aid.

• HESAA will notify you of the status of your State grant application.

Click to Apply for State Aid

2016-2017


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Cost of Attendance

• Tuition and fees

• Room and board

• Books and supplies, equipment, transportation,and miscellaneous personal expenses

• Loan fees

• Study abroad costs

• Other unexpected educational costs

The Expected Family Contribution(EFC)

• Basis of financial aid package

• EFC is determined by a federal formula thatcalculates need using the information yousupplied on the FAFSA

• EFC & Financial Need are guidelines used byschools to determine an aid package

• EFC is not necessarily equal to a family’s out-of-pocket costs


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• Family lives in New Jersey• Oldest parent in household, age 48

• Household size of 4 with 1 child going tocollege

• 2015 adjusted gross income = $120,000• Assets = $20,000• Student income / assets = 4500/2500

EFC = $26,000

Sample EFC for Family X

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College CommunityCollege

StateCollegeorUniversity

PrivateCollegeor

University

COA $13,300 $25,561 $45,676

EFC $26,000 $26,000 $26,000

FinancialNeed 0 0 $19676

Financial Need for Family X


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Award Letter• Award letter format may

vary by institution

• Available in hard copyor on-line

• Available after FAFSAfiled and student isaccepted

• Used to compare aidpackages


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Section IV – Other Information

Financial Aid Timeline:

Oct-Jan - Complete college search, applicationprocess, and CSS Profile

Jan-March - Student/Parents complete FAFSA

March-May - Schools send award letters

June-July - School sends Fall Semester bill


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CAUTION!

• Avoid being charged a fee to file the FAFSA unless you are concerned about completing that type of form for the first time on your own

– Completing and processing theFAFSA is FREE

– If filing FAFSA on the Web, make sureyou go directly to: www.fafsa.gov

– Contact the financial aid office or HESAAat 609-584-4480 if you need help incompleting the FAFSA

Where Do I Go From Here?

• Obtain and review admission, financial aid materials anddeadlines from each school to which you are applying

• Meet all application deadlines

– CSS Profile if applicable

– Complete the FAFSA and any other applicationmaterials required by the school or your stateagency - NJ State deadlines are:

• October 1 for Fall and Spring term awards; March 1 – Springawards only


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Other Resources

• Outside Scholarships

• Campus Administered PaymentPlans

• Campus Employment

• Specialized Campus Opportunities

Residential Advisors

Student Ambassadors

Student Tour Guides

Internships/CO-OP’S


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Private Scholarship Search

Institution/college web sites

Local library resources

Local businesses, civic organizations and churches

Parent’s employer(s)

www.fastweb.com

www.collegeboard.org

www.mappingyourfuture.orgwww.zinch.comwww.scholarships.com

http://www.mappingyourfuture.org/

http://www.zinch.com/

http://www.scholarships.com/

Questions


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Thank you


Documents

2016/17 Financial Aid High School Presentation : Dorothy J Gilliard FASNA LLC Consultant and HESAA Representative