Faculty & Staff Information Session Student Financial Aid

1. Faculty & Staff Information SessionStudent Financial Aid February 9th, 2010

2. Presenters • Dustin Ritchey • Racheal Hall • DebraAnn Brown

3. What We Will Talk About Who qualifies for aid? What is the FAFSA? What other forms are needed to complete the process? Different types of aid How does the HOPE Lottery Scholarship work? How is aid applied towards tuition/fees? What if we don’t have enough to cover all expenses? Satisfactory Academic Progress What is my role as Faculty/Staff/Parent?

4. Who qualifies for aid? Those who are: • admitted into a degree-seeking program • U.S. citizens or eligible non-citizens • maintaining satisfactory academic progress • enrolled in at least half time (6 UG,6 LAW, or 5 GR credit hours)

5. What is the FAFSA? • Free Application for Federal Student Aid • First step in the financial aid process • Application for grants, loans, HOPE Lottery Scholarship, college work study • Requires income tax information from prior year

6. What is the FAFSA? (cont.) • Must be done every year, on-line at: www.fafsa.gov • Recommend early completion for the best financial aid package (February 15th) • List school codes of prospective colleges or universities (FAFSA allows up to 10 schools) ***state funds go to 1st school only***

7. What other forms are needed to complete the process? • Check myMemphis regularly to see if other documents are required (under the Account $ tab) • You and your student’s income tax information (if applicable) • SIGN and submit required forms to Student Financial Aid Office • If file is incomplete, NO AID is processed

8. Different types of aid • Possible grants – all are need-based • Federal Pell Grant – government never runs out of money; awarded in 3-hour increments; has a yearly amount • Tennessee Student Assistance Corporation (TSAC) Grant – runs out by February 15th; minimum enrollment of 6 hours • Federal Supplemental Educational Opportunity Grant (FSEOG) – only $500/year; very limited funds

9. Different types of aid (cont.) • Possible grants – all are need-based - Academic Competitive Grant • $750/year – Freshman • Must complete a rigorous high school program • Must be a U.S. citizen • Must qualify for federal Pell Grant • Must be full time • Must have a 3.0 cumulative GPA at the end of first academic year to qualify for second year award • $1300/year – Sophomore

10. Different types of aid (cont.) • Possible grants – all are need-based - National SMART Grant (Science & Mathematics Access to Retain Talent) • Must major in Computer Science, Math, Engineering, Life Sciences, designated Foreign Languages • Must qualify for Federal Pell Grant • Must be full time • Must have a 3.0 cumulative at the beginning of third and fourth academic year • $4000/year – Junior and Senior

11. Different types of aid (cont.) • Student loans – have to be repaid; minimum enrollment of 6 credit hours; requires completion of Entrance Counseling and a Master Promissory Note (MPN) • Direct Loan – variable interest rate, but caps at 8.25%; changes every July 1st • Subsidized loan -4.5% – need-based; interest-free while in school • Unsubsidized loan-6.8% – not based on need; interest-bearing while in school • Perkins Loan – need-based; very limited funds; 5% interest rate; 2.5 cumulative GPA required

12. Different types of aid (cont.) • Other aid: • Academic Scholarships – based on merit; may or may not require FAFSA • Student Fee Discount for Spouse or Dependent Child of Employees (obtain form from Benefits Section of Human Resource Department); must be done every semester • Parent Loan for Undergraduate Students (PLUS) – credit check required; repayment begins 60 days after fully disbursed but deferment option available; if parent has adverse credit, FAFSA must be completed

13. Different types of aid (cont.) • Other aid: • Graduate PLUS – for Graduate students only; credit check required; repayment begins 60 days after fully disbursed but deferment option available; if adverse credit, student must have a co-signer • Federal college work study - based on need; cannot be used toward tuition and fee balance • Alternative loan – private lending institutions (should be as a last resort)

14. How does the HOPE Lottery Scholarship work? • Must be resident of Tennessee for one year prior to September 1 of year entering college • Must file the FAFSA prior to September 1 of the year entering college • Must graduate from an accredited Tennessee high school • Must have either a 21 or higher ACT or 3.0 or higher GPA • Renewal criteria • Subtle points about the HOPE – continuous enrollment, repeat options, regain options and lottery GPA

15. How is aid applied towards tuition/fees? • Aid is processed for 2 semesters – Fall and Spring • Aid is disbursed the day before classes start (direct deposit) • The Bursar’s Office disburses aid • Tuition and/or dorm fees are deducted from aid • Apply for eRefunds (direct deposit) through the Bursar’s Office website at: (http://bf.memphis.edu/finance/bursar/) • If no direct deposit information on file, excess funds are mailed out

16. What if we don’t have enough to cover all expenses? • Different payment methods for the balance are available through the Bursar’s Office website: http://bf.memphis.edu/finance/bursar/ • Commute versus dorm? • Re-assess your expenses. Where else can you cut? • Alternative loan – private lending institutions (should be as a last resort)

17. Satisfactory Academic Progress • At least a 2.0 for Financial Aid (HOPE Lottery, ACG, and SMART Grants have higher requirements) • Satisfactory academic progress is reviewed at the end of each Spring semester • Completion rate - must satisfactorily complete 66% of all courses attempted • 150% rule - most U of M degrees require 120 hours to graduate; counts all Ws, Fs and repeated courses • Financial aid suspension – there is an appeal process • If student is academically suspended, student’s appeal will not be reviewed

18. Other Tidbits • Students CANNOT receive aid at two (2) institutions in the same semester • Academic Year/Annual Loan Limits DependentIndependent • Freshmen $5,500 $9,500 • Sophomores $6,500 $10,500 • Juniors $7,500 $12,500 • Seniors $7,500 $12,500 • Undergraduate Lifetime Loan Limits • Dependent - $31,000 • Independent - $57,500 • Check the myMemphis portal regularly for missing documents and/or award information

19. What is my role as a faculty member? • U of M Faculty reports non-attendance to the Registrar’s Office • Accuracy is important; affects student’s financial aid eligibility • Engage with student and encourage them to attend and complete courses • In case of withdrawal from a course, advise student to check with our office first • COMPLETE withdrawal has serious repercussions

20. What is my role as a staff member? • Academic advisors should encourage more realistic goals (with goal being retention) • Work on quality versus quantity • Grants are adjusted according to hours enrolled; half time is always safe • Find out if they are receiving HOPE and/or other scholarships • In case of withdrawal from a course, advise student to check with our office first • COMPLETE withdrawal has serious repercussions

21. What is my role as a parent? • Communication is KEY!! • Get paperwork done AND involve your student in the process • Be aware of deadlines • Get to know certain people in key offices • Be aware of rules for HOPE Lottery and other scholarships • Know other school’s student portal • Other schools adhere to the same FERPA guidelines

22. Student Financial Aid 103 Wilder Tower (901) 678-4825 Phone (901) 678-3590 Fax website: http://www.memphis.edu/financialaid/ e-mail: financialaid@memphis.edu

23. Student Employment Office 103 Wilder Tower (901) 678-5774 Phone (901) 678-5902 Fax website: http://www.memphis.edu/financialaid/segeinfo.php

24. Scholarship Office 107 Wilder Tower (901) 678-3213 Phone (901) 678-5621 Fax website: http://www.memphis.edu/scholarships/ e-mail: scholarships@memphis.edu

25. Questions??