Financial Aid Workshop 2011-2012

1. Financial Aid Workshop 2011-2012

2. Presented by Andi Schreibman Financial Aid Officer, Las Positas College With the assistance of Ernesto Nery, Financial Aid Specialist

3. What will you learn today? • Important terms • Calculating Eligibility • Types of Financial Aid • Application Process & Deadlines • Special Circumstances • Tips for completing the FAFSA • Awarding and Packaging • What’s next…finding help • Answers to your questions

4. Cash for College $1,000 ScholarshipEvaluation • Complete and turn in the Student Evaluation BEFORE you leave! • Location and Date • Write Clearly! • Scholarship Rules on pg 2 • Must submit your FAFSA and Cal Grant GPA by March 2nd • Winner will be chosen after March 2nd and announced by your counselor or by a letter mailed to the address provided. 4

5. IMPORTANT TERMS • FAFSA (Free Application for Federal Student Aid) is the financial aid application that must be completed for every college in the U.S. • Need Analysis is the consistent federal formula applied to the data in a FAFSA application used in determining a family’s EFC • Expected Family Contribution (EFC) is the measure of a family’s financial strength for one school year in dollars. The EFC is the amount the government expects a family should be able to contribute to pay for college expenses. If EFC = 2000, you are expected to be able to contribute $2000 toward the student’s college expenses.

6. IMPORTANT TERMS Cost of Attendance includes most everything related to average college expenses at a specific college for one academic year. Also known as the “Student Budget.” • Tuition and/or fees • Room and board • Books and supplies • Transportation • Misc. personal expenses 6

7. Comparing various College and University COAs (2010-2011 data) *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.

8. Calculating Financial Aid Eligibility Basic Equation of Need Cost of Attendance (COA) • Expected Family Contribution (EFC) • Eligibility for Need-based Aid Colleges determine and offer financial aid based on this equation. Some types of aid require financial need and some types do not.

9. Sources of Financial Aid • Federal government • State government • Colleges and universities • Private contributors

10. Types of Financial Aid Gift Aid - Grants or scholarships that do not need to be repaid Work - Money earned by the student as payment for a job on or off campus Loans - Borrowed money to be paid back, usually with interest 10

11. GIFT AID – Federal Grants PELL Federal Pell Grant • First source of aid awarded • For extremely low income students • Amount based on • Expected Family Contribution (EFC) • Students with EFC from 0 – 5273 qualify for a Pell Grant for 2011-2012. • Enrollment status • 2011-12 Pell grant range : $1176 - $5550. • You will receive the same amount of a pell grant at any college you attend.

12. GIFT AID – Federal Grants FSEOG • There are other federal grants for very low income students. Your college will determine which grants you qualify for. • The FAFSA is the only application needed to apply for all. • See details in your handout and In ‘Fund Your Future’ booklet G

13. GIFT AID – State Cal Grants State (See Fund Your Future Workbook pages 6 - 7) ‘Cal Grant Entitlement program’ for students who apply before March 2 of senior year • For 2-yr, 4-yr, public, private, and vocational schools in CA • Pays FULL TUITION at a CSU or UC, @ up to $9,700/year for private institution. • Renewable up to 4 years. On reserve • while student attends a comm college. • Cal B recipients receive a $1551 annual grant in addition to full tuition for 4 years

14. GIFT AID – State Cal Grants Cal Grant Qualifications • GPA MINIMUM: Cal Grant B: 2.0 GPA Cal Grant A: 3.0 GPA • INCOME AND ASSET LIMITS see slide in your handout State

15. 2011-2012 Cal Grant Application Requirements Your high school will automatically send your GPA verification if your parents sign and return the GPA Release form. • By March 2, 2011, complete and submit: Cal Grant GPA Verification Form Free Application for Federal Student Aid (FAFSA) 17

16. One more note about Cal Grants • If you don’t qualify this year, you have one more year to qualify for the Entitlement Program if you again apply by March 1, 2012 (you must send a paper GPA verification form and FAFSA)

17. GIFT AID – Other State Grants 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 apply, the foster youth must complete: • 2011-2012 FAFSA • California Chafee Grant Program Application State www.chafee.csac.ca.gov 19

18. GIFT AID – College/Institutional Grants College Community College ‘Board of Governors’ Fee Waiver Program (BOG) • Waives enrollment fees at all community colleges • File a FAFSA to qualify. Waiver is automatically awarded. All students who have $1 or more of financial need receive an automatic waiver of registration fees.

19. GIFT AID - College/Institutional Grants All four year colleges/universities have additional institutional funds to award at their discretion. Amounts and criteria vary, FAFSA is required; may pay for full tuition. Be mindful of priority filing deadlines or you may miss out on $$thousands! • CSU State University Grant (SUG) • Amounts vary, FAFSA is required • www.calstate.edu or csumentor.edu • UC Grant • Amounts and application process vary • www.universityofcalifornia.edu • Independent College Grants • Amounts and application process vary • www.aiccu.edu or www.aiccumentor.org College

20. GIFT Aid - Scholarships Scholarships are awards provided by the private and public sector -institutions/colleges -organizations -corporations -clubs -foundations -individuals

21. GIFT AID: Institutional and Outside Scholarships • Provider decides on • Awarding criteria • Application deadline • Forms or applications • Awards may be • Merit-based • Need-based or NOT Need-based • Combination of the two, or neither • Based on any other criteria determined by donor

22. GIFT AID -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 Livermore high school graduates – Deadline March 1. www.pedrozzifoundation.org

23. GIFT AIDPrivate 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

24. Federal Work-Study • Campus-based aid, funds are limited • Must be earned through work • Must have financial need • Job may be on or off campus • Student earns an hourly wage • Each college has its own award policy and procedures for getting a job. FWS

25. Federal Loans FEDERAL DIRECT STUDENT LOANS Loan is only in the student’s name, no co-signer. Must be enrolled in at least 6 units for a loan. Includes 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 Loans

26. Federal Loans Federal Direct Loan Details • Annual and aggregate loan limits apply • 6-month grace period after graduation • 10 – 30 year repayment period • Interest currently 4.5% subsidized and 6.8% unsubsidized • Deferred while in college at least halftime

27. Federal Loans PLUS • Federal PLUS Loan Program • Parents of dependent undergraduates can borrow money on behalf of their child • based on credit record • May borrow up to full cost of attendance less aid • Interest fixed at 7.9%, fees up to 4% • 10 year repayment period • Parents can defer payment until student graduates college.

28. Private Student Loans • More questions than answers right now, especially with current credit market. Usually higher interest rate, not treated as federal loans for tax credits, secured debt. • We recommend that you always use federal student loan programs first, and if you still need additional financing then turn to private loans.

29. GPA Form Applications • All institutions require FAFSA • Cal Grant GPA Verification Form • Other applications or forms -Some institutions require CSS Financial Aid Profile -Colleges may require an Institutional Scholarship and/or Financial Aid Application or other forms. • Be sure to review your intended colleges’ Financial Aid Websites to determine what the process is and to determine their priority filing deadlines.

30. Special Circumstances • Adjustments to income or assets may be made on a case-by-case basis by the financial aid office where you are attending if there are documented special circumstances in which your 2011 income or assets are significantly less than what was reported in 2010. Keep this in mind throughout your years of college. • Each college has its own petition process for special circumstances. In all cases, file the FAFSA FIRST, with the information you are asked to provide. Then file a petition at the college you will be attending. Documentation will always be required. • The financial aid office may use professional judgement to make adjustments to your income or assets that can increase your eligibility for aid.

31. Special Circumstances • Examples of special circumstances: • Significant Loss or reduction in parent or student income or assets in 2011 compared to 2010 • Death or serious illness in family • Unusual medical or dental expenses not covered by insurance • Reduction in child support, social security benefits or other untaxed benefit in 2011 • Early IRA withdrawal reported on taxes • Any other unusual circumstances that affect a family’s ability to contribute to higher education

32. Financial Aid Application Process

33. FAFSA ON THE WEB • Internet application used by students and parents to complete electronic FAFSA at www.fafsa.ed.gov • You may benefit from filling out the FAFSA ON THE WEB Worksheet in your packet before inputting the data on the web

34. FAFSA on the Web • Sophisticated on-line edits and skip logic so that errors are less likely to be made • On-line help is available for each question • Student and one custodial parent should get a federal PIN at: • www.pin.ed.gov • DO NOT use the website www.fafsa.com or you will pay money to file the FREE Application for Federal Student Aid! 38

35. FAFSA Information & Tips File early, but no later than March 2, 2011 to receive maximum aid Check financial aid deadlines with each college/university Use estimated 2010 income information if taxes are not complete at time of FAFSA submission 39

36. 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. 40

37. Section 1 Student Name and social security # • Be sure the student’s name and social security number exactly match the information on their social security cardas it must pass a database match! 41

38. Section 1Selective Service Registration • Male students who are between the ages of 18 and 25 years must be registered with Selective Service to receive federal and 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 44

39. Section 1Grade Level in 2011-2012 An important question NOT on the Worksheet: • Grade Level in 2011-2012 • When the student begins the 2011-2012 school year, what will be his/her grade level? • Never attended college/1st year • Attended college before/1st year • 2nd year/sophomore • 3rd year/junior • 4th year/senior • 5th year/other undergraduate • 1st year graduate/professional • Continuing graduate/professional or beyond 46

40. Section 1 High School Question An important question NOT on the Worksheet: • High School Question • Enter the name, city and state location of the school the student attends • Mark “Confirm” to retrieve the high school information • The student will select the school attended from the list provided • If no matches are found, the student should select “Next” to save the search information and continue with the FOTW application 47

41. Section 1Degree or Certificate Objective An important question NOT on the Worksheet: • Degree or Certificate • In the 2011-2012 school year, what degree or certificate will you, the student, be working on? • Some options are: • - 1st bachelor’s degree • - Associate degree (occupational or technical program) • - Associate degree (general education or transfer program) • - Graduate or professional degree 48

42. Section 1School Selection FAFSA on the Web allows the student to list up to 10 colleges/universities that will receive his/her student and parent information List a California college or university (for Cal Grant consideration) List those schools with the earliest financial aid deadlines 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 An important question NOT on the Worksheet: NOTE: Each UC and CSU campus must be listed separately 49

43. Section 2Determination of Student Dependency Status • If any one of the items in this section applies to the student, he/she should mark the appropriate box, skip Section 3, and go to Section 4. The student is considered an independent student for FAFSA filing purposes and is NOT required to provide parental information 51

44. Will parent’s information need to be included on the FAFSA? If the student doesn’t meet one of the qualifications in the previous slide parental income must be included. But what if I don’t claim my child and they move out and support themselves, can’t they be independent for financial aid? NO! The government expects it is the parents’ responsibility to educate their children through age 23 to the best of their financial ability, as measured by the FAFSA. If parents choose not to provide support for their child’s college expenses the government feels it is not their responsibility to take over for them.

45. Is there any other way to be independent? • Dependency statusmay 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).

46. 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.

47. Section 3Parent Information Who is considered a parent Biological or adoptive parent(s) 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) 55

48. Section 3 Who is Not a Parent Do not provide information on: Foster parents or legal guardians If the student is in foster care or has a legal guardian, he/she is automatically considered an independent student Grandparents or other relatives are not considered parents unless they have adopted the student In this case, the student must attempt to get biological parental information Colleges may use Professional Judgment to allow the student to file as independent 56

49. Section 3Parent Information • If the answer to any question is zero or the question does not apply, enter 0: • Report whole dollar figures: • Recommendation: If your parents have not filed their 2010 federal tax return, use W-2 forms and/or other employment records - such as final 2010 pay check stubs - to estimate total income • Remember, rather than miss any filing deadline, use estimated 2010 income information 0 (no cents) 12,356 58

50. Section 3Parent Dislocated Worker The student will be asked to check if the father/stepfather and/or mother/stepmother is a dislocated worker A person may be considered a dislocated worker if he or she: is receiving unemployment benefits due to being laid off or losing a job and is unlikely to return to a previous occupation has been laid off or received a lay-off notice from a job was self-employed but is now unemployed due to economic conditions or natural disaster is a displaced homemaker 59