1 / 33

Financing a UC Education: Messages for Prospective Students and their Families

Financing a UC Education: Messages for Prospective Students and their Families. UC Counselor Conference 2007. You can afford to attend UC!. You must: Apply for admission in November File FAFSA and GPA verification between January 1 and March 2, 2008

tanuja
Download Presentation

Financing a UC Education: Messages for Prospective Students and their Families

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Financing a UC Education:Messages for Prospective Students and their Families UC Counselor Conference 2007

  2. You can afford to attend UC! You must: • Apply for admission in November • File FAFSA and GPA verification between January 1 and March 2, 2008 • Provide documentation to financial aid office as requested immediately • Expect to borrow and work part time

  3. UC Cost of Attendance (07–08) personal and transportation expenses $2,412 tuition/fees $7,446 (subject to change without notice) room/board $11,755 health care fee/allowance $892 books/supplies $1,475

  4. Focus on Net Cost • When you review your financial aid offer: • Find your total cost of attendance • Subtract gift aid (grants and scholarships) _______________________________________________________________________________________ = NET COST

  5. Approximate Net Cost at UC • Dependent students in family of 4 with one in college: • $8K - $10K for family earning $20K • $10K - $12K for family earning $40K • $14K - $16K for family earning $60K • $22K - $24K for family earning $80K • Single independent students: $9K - $11K

  6. Net Cost: Comparing UC and CSU • Average difference is often smallerthan assumed: Parent IncomeNet Cost Difference* < $40K - $2,000 $40K - $79K - $2,500 $80K - $119K - $3,000 *for dependent students, after gift aid taken into account

  7. Net Cost: UC vs. Private Colleges • Even after gift aid is taken into account, it is typically more costly to attend a comparable private institution than to attend UC: Parent IncomeNet Price Difference < $40K + $6,500 $40K - $79K + $5,400 $80K - $119K + $7,900

  8. Students Are Making it Work! • UC enrolls a higher % of low-income students than any other top U.S. research university. • 2/3 of all undergrads get financial aid: • Grants, scholarships • $829 million awarded in gift aid • Subsidized, low-interest loans • Work-study

  9. Loans: Investing in Your Future • Education loans available to middle- and upper-income students and families • Typical UC student’s loan repayment is manageable. • Less than $160/month – less than a car payment! • Borrowing can enable you to work less, graduate sooner!

  10. Comparing Student Borrowing • Students borrow at comparable rates at all types of four-year colleges: • UC: 52% • CSU: 48% • Independents: 55%

  11. Comparing Student Loan Debt • Average cumulative debt (and monthly payments*) are similar for UC and CSU students: • UC: $13,699 ($158/month) • CSU: $13,554 ($156/month) • Selective Independents: $19,548 ($225/month) *based on 10-year repayment plan

  12. Covering Your Costs: A Partnership • The cost of a UC education is shared among three partners: • Parents (based on FAFSA information) • Students • UC (coordinates aid from federal, state, UC and other sources)

  13. Covering Costs: The Student’s Responsibility TOTAL COST OF ATTENDANCE PARENT CONTRIBUTION* GRANTS + SCHOLARSHIPS _______________________________________________ STUDENT RESPONSIBILITY (savings, loans and work) Approximately $9,600 in 2006–07 minus minus = *if applicable, as determined by the data submitted on the FAFSA and calculated by the federal government

  14. Typical Student Loan & Work Expectation (Living on campus: $23,980)

  15. Student Responsibility: Part-Time Work • UC expects that you will work < 20 hours per week when enrolled, full time when not enrolled. • Job placement assistance is available on campus. • You do not have to qualify for a work-study job in order to find part-time work, either on or off campus.

  16. Student Responsibility: What’s New? • 6.8% fixed interest rate for most student loans (Perkins Loans remain at 5%). Student Loandiscounts are available! • New federal grant program for U.S. citizens receiving Pell Grants who have recently completed a “rigorous high school curriculum” • The Academic Competitiveness Grant (ACG) • For fall 2007, the grant will be $750 for eligible freshmen and $1,300 for eligible sophomores.

  17. SMART Grants in Certain Majors • Additional grants of $4,000 per year for junior and senior Pell Grant recipients who are U.S. citizens with a cumulative GPA of at least 3.0 majoring in: • Engineering; math; physical, biological and computer science; technology, and certain limited “critical foreign languages”

  18. Bring Down Your Costs by… • Finishing in four years • Take required courses as soon as possible. • Complete 15 units per term–that’s full time! • Attend summer school (aid is available!). • Obtaining outside scholarships • Living with roommates • Working part time • Buying used books when possible

  19. Finishing in Four… • The average UC undergraduate takes four years and one quarter to graduate. • UC students can get classes they need . • Prioritize your coursework. • Attend summer session at least one summer.

  20. Covering Costs: Your Parents’ Responsibility • Determined by U.S. Department of Education via information reported on the FAFSA • Amount based on income and assets of custodial parent(s) for dependent students under age 24 • Can be paid from savings, current income or federal parent loans (PLUS) • May be $0 for low-income families • Approx. $1,630 for family earning $40,000

  21. PLUS Loans • Available to most parents: maximum that can be borrowed = cost of attendance minus your other financial aid (all sources) • 7.9 - 8.5% fixed interest rates, capped at 9%. Discounts are available! • Parent repayment can be reduced or deferred until you or your siblings graduate. • You can borrow an additional $4,000 if your parent is denied PLUS due to credit problems.

  22. What if my parents don’t pay their share? • UC will help you find additional education loans so you don’t work more than half time. • UC will try to offer refinancing advice when you leave UC so your monthly repayment amount is manageable.

  23. Tips for Your Parents: Up-Front Costs • Only a portion of the net cost has to be paid up front; • UC housing charges and fees are divided equally by quarter/semester. • Likewise, financial aid* is disbursed in equal installments by term. *Grants, scholarships or loans (work-study awards or other required student employment must be earned.)

  24. Payment Plans/Credit Cards • UC campuses have options to spread out UC tuition and fee payments. • You or your family can defer “lump-sum” payments at start of each term and make even-sized monthly payments throughout the year by electing a payment plan option. • Some UC campuses permit use of credit cards to pay fees.

  25. UC’s Role: “Gift” Assistance • If you filed your FAFSA and GPA verification on time (March 2) and have cooperated with any requests for additional documentation, UC will provide enough UC grant to “backfill” after you and your parents and various federal and state government grants have done their part.

  26. UC Grant Aid Your Budgeted Cost of Attendance Your parent contribution Your (student) “loan/work” Federal and state grants _______________________________ = YOUR UC GRANT AID minus minus minus

  27. Financial Aid: ALL students should apply • Community college–bound students can qualify for Federal Pell Grant and Cal Grant B. • May also qualify for Cal Grant A reserve award, which can be activated upon transfer • With aid, CC students may be able to attend full time and transfer sooner!

  28. No Matter What… • You should apply for financial aid by March 2 deadline even if: • You are not sure you are going to college in the fall • You have not applied for admission yet • You have not yet been accepted anywhere • You can only estimate taxes or income for previous year • You or your family need help completing a FAFSA

  29. After You Apply for Aid… You must: • Check e-mail and websites often! • Notify UC, FAFSA and CSAC if address or e-mail changes • Respond to requests for further documentation immediately

  30. Issues for Undocumented Students • You may be exempt from nonresident tuition at UC ($19,068 per year) if you attended a CA high school for at least three years and graduated (including passing CAHSEE). • Must submit application to campus • UC cannot award any other financial aid. • Outside agency loans, grants or scholarships are only option

  31. Issues for Undocumented Students More on AB 540— both documented and undocumented students: Eligibility, application procedures and FAQs: www.ucop.edu/sas/sfs/docs/ab540_faqs.htm Copy of model application: www.ucop.edu/sas/sfs/docs/ab540_application.pdf General information and campus contacts: www.ucop.edu/sas/sfs/docs/ab540_gen_info.pdf

  32. UC Berkeley(510) 642-6442www.students.berkeley.edu/fao UC Davis(530) 752-2390www.financialaid.ucdavis.edu UC Irvine(949) 824-8262www.ofas.uci.edu UCLA(310) 206-0400www.fao.ucla.edu UC Merced(209) 724-4384financialaid.ucmerced.edu UC Riverside(951) 827-3878www.finaid.ucr.edu UC San Diego(858) 534-4480www.fao.ucsd.edu UC Santa Barbara(805) 893-2432www.finaid.ucsb.edu UC Santa Cruz(831) 459-2963www2.ucsc.edu/fin-aid Campus Financial Aid Resources

  33. General Questions to U.S. Dept. of Ed. and FAFSA Processing Issues: 1-800-433-3243 www.ed.gov FEDERAL PIN for Electronic FAFSA: www.pin.ed.gov Electronic FAFSA : www.fafsa.ed.gov California Student Aid Commission (CSAC): www.csac.ca.gov Cal Grant Information 1-888-224-7268 UC Online Admissions Application www.universityofcalifornia.edu/apply For More Information

More Related