Financial Aid Presentation 2012-2013

1. Financial AidPresentation 2012-2013

2. Grants • Federal Pell Grant • Federal Supplemental Educational Opportunity Grant (FSEOG) • Texas Public Education Grant (TPEG) • TEXAS Grant

3. Federal Pell Grant • Max Pell Grant $5550 • No Projected increase • Max Eligible EFC 5237

4. TEXAS Grant • Up to $5000 per year • High School Transcript MUST indicate if completing the recommended or distinguished high school curriculum • EFC < 4000 • Renewable with GPA of 2.5+ & 24 credit hrs/yr

5. Top 10% Scholarship • $2000/year scholarship • Must be in top 10% of high school class • Must submit FAFSA by March 1 • Must have “financial need” (At least $1) • Renewable with 3.25 GPA

6. Student Employment • Federal College Work-study • State College Work-study • Community Service Jobs

7. Federal Direct Student Loans Effective Fall 2010, all Universities across the country and abroad that offer Federal Student Loans will be funded by the Federal Direct Student Loan Program

8. Direct Student LoansRates for 2012-2013 • Federal Direct Stafford Subsidized Loan Program • Fixed 6.8% int. rate, no payments while in school. • Federal Direct Stafford Unsubsidized Loan Program • Fixed 6.8% int. rate, no payments while in school. • Federal Parent Loan for Students (PLUS) • Fixed 7.9% int. rate, payment plan varies, 10 year repayment plan

9. Tuition Exemptions The state has programs for students who: • Were in foster care • Were adopted • Were the highest ranking scholar for their school • Are blind or deaf • Are Texas Veterans • Are the spouse of deceased Texas public servants Visit www.collegefortexans.com for fact sheets & links to other higher education resources for students

10. How Do I Apply For All This?

11. Financial Aid Application Process Beginning January 1st- Complete the Free Application for Federal Student Aid (FAFSA) www.fafsa.gov

12. Changes on 2012-2013 FAFSA Beginning January 2012, all applicants & parents of dependents who have filed their taxes and are eligible, will be directed to use the IRS Data Retrieval process to complete their FAFSA. Applicants who do not use IRS Data Retrieval or who have used Data Retrieval but have changed their information will need to explain to their institution the why the changes made are more accurate. Applicants who file but elect not to use the IRS Data Retrieval & manually enter their information, will be subject to verification.

13. Verification-What it Really Means • This does not always mean your answers are false or incorrect; it is a random selection process • If you application is selected for verification, you will be asked to provide: - Signed Institutional Verification Worksheet - Taxes will not be required if you use IRS Data retrieval

14. What Happens if Verified? If a student and/or parent are selected they will need to: Complete and submit Verification forms. Submit Tax Transcript (not 1040,1040A or 1040EZ) which can be obtained from IRS. NOTE: Transcripts may take 5-10 days to receive.

15. Options Available Have completed Tax Return Will file Will not file

16. If selected Will File If student or parent selected Will file, the FAFSA application is not complete until the completed Tax Return information is entered in FAFSA. If IRS data is not going to be used and entered manually, the student or parent will be subject to verification and forms and IRS Transcript will need to be submitted.

17. IRS DATA RETRIVAL

18. DATA RETRIVAL CONT.

19. Expected Family Contribution (EFC) • Amount family can reasonably be expected to contribute • Stays the same regardless of college • Two Components - Parent contribution - Student contribution • Calculated using FAFSA data and a federal formula

20. Financial Need Formula Cost of Attendance - Expected Family Contribution ____________________________ = Financial Need

21. Misconceptions about Applying for Financial Aid

22. My Parent’s Income is too High to Apply for Aid • Financial aid is intended to make a college education available to families in a number of different financial situations; everyone qualifies for something. • Income is only one of many factors considered. • A growing number of institutional and private scholarships require that students fill out the FAFSA as part of their application process.

23. My Grandparents/Guardian can provide their income information on my FAFSA • If your parent(s) are still alive, federal guidelines require that biological parent’s information be used to fill out the Free Application for Federal Student Aid (FAFSA) unless someone else is your legal guardian. • Guardianship as determined by a Judge or Court of law in your state of residence. Student may file as an independent.

24. My parents are divorced (separated), which parent should complete the FAFSA • The parent whom the student resided with the longest over the last 12 months provides their information on the FAFSA; both parents are not required. • If you lived with each parent for an equal number of days, use the income information from the parent who provided you with the most support during the last 12 months. • "Support" means money for such things as housing, food, clothing, transportation, medical care and school.

25. My stepparent does not have to provide income information on my FAFSA • Stepparent's information must be included on your financial aid application if you lived in the stepparent's household for 6 weeks (42 days) or more during the previous or current year or if a stepparent contributed more than $750 in "support" during the previous or current year. • "Support" means money for such things as housing, food, clothing, transportation, medical care and school.

26. I’m Independent of My Parents • Parents must provide information and signatures on students FAFSA unless: • Student is over 24 • Has children/dependents and provides at least 50% of their support • Married • Foster Child (after age 13) • Homeless/unaccompanied youth • Veteran • In legal Guardianship (proof needed)

27. Questions?