Financial Aid Update

Melissa Pizzo, Ed. D.Interim Executive Director, Student

Financial AssistanceArizona State University

What is Financial Aid?

• Any money from outside the family that pays postsecondary (college) costs.

Arizona University System FY2011• FINANCIAL AID DOLLARS PROVIDED • TO STUDENTS

• ASU $894,455,119 51.6%• NAU $251,864,292 16.4%• UA $557,804,077 32.2%

• Total Financial Aid Awarded: $1.7 Billion

• Source: ABOR FY 2011 Student Financial Aid Report

Financial Aid

• eligibility• applying• types of aid• cost of attendance

FAFSA Facts:January 1

FAFSA Facts:FREE

FAFSA Facts: Priority Filing Dates

FAFSA Facts:Apply Early

Federal Aid Eligibility Aid

financial aid

U.S. Citizen or eligible non-citizen.

Register with Selective

Service (male applicants only,

if required).

Attend a participating college.

Enroll in a degree or certificate program.

Maintain satisfactory academic progress.

FAFSA facts:Submit Documents Promptly

FAFSA Facts:File Every Year

What You Need

Social Security Number

.

Business or or farm records.

Bank & Investment records.

Records of any taxed & untaxed income.

Important changes: IRS Data Retrieval process

Verification

Financial Aid Steps

Student submits FAFSA

Student receives a Student Aid Report (SAR) and schools receive Expected Family Contribution (EFC)

School calculates financial need and sends award letter

COA – EFC = Financial Need

What is Financial Need?

• Difference between college costs and EFC• Will vary by college• Amount of financial need determines the aid a

student will receive

Expected Family Contribution

• Amount family can reasonably be expected to contribute, but not what family will pay to the college

• EFC the same regardless of college the student attends

Expected Family Contribution

• Calculated using a federal form and formula• Two components– Parent contribution– Student contribution

Estimated Cost of Attendance 2012-2013

• Tuition and fees (in-state) • Room and board (on-campus) • Books and supplies • Personal • Transportation • Cost of Attendance: $ 22,000*

• *not actual dollar amounts

$ 9,000$ 10,000$ 1,000$ 1,000$ 1,000

Calculation of Financial Need•• Cost of Attendance $22,000*• (-)Estimated family contribution $ 5,000

• Financial Need $17,000

• *not actual dollar amounts

Gift Aid

• federal grants• institutional grants• scholarships

Self-Help Aid

• federal work study• federal student loans• federal plus (parent) loan• private loans

Student Loans

• Subsidized (sub)• Interest paid by federal government during:– In-school status (enrolled)– Deferment– Grace period

• Unsubsidized (unsub)• Interest paid by student from beginning

Loan Limits—Year 1

• Student Status Totals

• Dependent sub and/or unsub $3,500• sub $2,000• $5,500

• Independent sub and/or unsub $3,500• sub $6,000• $9,500

Loan Limits—Year 2

• Student Status Totals

• Dependent sub and/or unsub $4,500• sub $2,000• $6,500

• Independent sub and/or unsub $4,500• sub $6,000• $10,500

Loan Limits—Year 3, 4 & 5

• Student Status Totals

• Dependent sub and/or unsub $5,500• sub $2,000• $7,500

• Independent sub and/or unsub $5,500• sub $7,000• $12,500

Maximum Total Loan Limits

• Total combined sub and unsub

• Dependent $31,000

• Independent $57,500*• *max $23,000 sub

Estimated Cost of Attendance 2012-2013

• Tuition and fees (in-state) • Room and board (on-campus) • Books and supplies • Personal • Transportation • Cost of Attendance: $ 22,000*

• *not actual dollar amounts

$ 9,000$ 10,000$ 1,000$ 1,000$ 1,000

Calculation of Financial Need•• Cost of Attendance $22,000*• (-)Estimated family contribution $ 5,000

• Financial Need $17,000

• *not actual dollar amounts

Net Price 2012-2013

• Cost of Attendance $ 22,000*

• Minus gift aid

• Pell Grant -4,000• University Grant -1,000• Scholarship -6,000• Net Price/Cost $ 11,000

• *not actual dollar amounts

Net Price 2012-2013

• Net Price/Cost $ 11,000

• Minus self help aid

• Subsidized loan -3,500• Unsubsidized loan -2,000• Net Price/Cost $ 5,500

• *not actual dollar amounts

Shopping Sheet

– http://collegecost.ed.gov/shopping_sheet.pdf

Additional Resources

– FAFSA on the Web – www.fafsa.gov

– Parent Resource Center– www.collegeparents.org

– General Information– www.studentaid.ed.gov

College Goal Sunday