Walking the Work-Study Tightrope

Spring 2012 IASFAA Conference

The Juggling Act of Awarding

• Dollar amount of individual awardsDiffering or same awards by year in

college• Preference for award by student• Additional review of expenditures

and awards throughout the year

The Juggling Continues

Federal Reimbursement Rates • Standard Federal Share - 75%• Family Literacy Reimbursement – 100%• Nonprofits unable to pay 25% - reimburse 90%• Private for-private positions – 50%Other• Schools can choose to reimburse at a lesser

amount in order to make funds go farther.

Looking into the WS Crystal Ball

Work-Study expenditures • How far beyond your campus allocation do

you need to award in order to spend the funds• How will differing reimbursement

rates impact your program

Mastering the WS Big Top

Regulatory Flexibility• Carry forward/Carry Back 10%• Transfer of WS funds to SEOG & Perkins – 25%• Transfer of SEOG to WS – 25%• Job Location & Development – 10%

Jumping Through Regulatory Hoops

Community Service • Use at least 7% of the allocation • On or off campus• Nonprofit qualifies IF meeting community

service definition• Private for profit off campus Do Not Qualify• Schools must inform students of these options

Community Service

• Definition: Services that are designed to improve the quality of life for community residents, particularly low-income individuals, or to solve particular problems related to their needs.

• To qualify, the service provided must be open & accessible to the community. The school is not a community.

Community Service

• Statutory exception to this regulation is for support services to disabled students at the institution.

• If supplemental WS funds are received by the school, they must be spent to support community service.

• Examples of community service positions

Jumping Through Regulatory Hoops

At least ONE Work-Study employee must• perform family literacy activities or• serve as a reading tutorStudents may also be math tutors

General Restrictions

Work-Study employees • may NOT displace other employees (including

those on strike) or impair existing contracts.• may NOT involve constructing, operating,

maintaining any part of a building used for religious worship

Who Can Employ WS

• Campus EmployersEmployment with the following employers must

be in the public interest:• Federal, state or local public agencies• Private NonprofitEmployment with the following employer must

be academically relevant, when possible• For-Profit Organizations -

Off-Campus Employment

Issues to consider for the off-campus agreement• Written agreement• Who manages the payroll? school or employer

• Who gets billed for their portion? School or employer

• Who handles worker’s compensation• Site visits• Training issues unique to off campus employers

Payroll Issues

• Paid at least minimum wage. • Paid for all hours worked.Who sets the WS Wage? • Individual employers• Campus coordination of wages

Payroll Issues

• Schools may use any type of payroll period as long as students are paid at least monthly.

• WS may not be used for fringe benefits.• Payroll records must be reconciled

once/month.• Schools may make payments to students for a

period of time (not to exceed the award period) in which the student was prevented from working by the major disaster.

Enrollment Issues

• Half-time enrollment must be met• If a student withdraws & does not plan to

return then WS funds cannot be used to pay for work after the student withdrew.

Work-Study & Modules

• Series of modules can be combined into 1 term. • Students attending any of the modules can earn

Work-Study throughout the entire term.• The student’s financial need must be based on

the actual enrollment period.

Work-Study & Periods of Nonattendance

• Students may be employed during periods of nonattendance.

• Must plan to enroll & demonstrate need for the upcoming period of enrollment.

• Net earnings (earnings minus taxes minus job-related costs) apply to next period of enrollment.

• Must verify intent to enroll if student later does not enroll.

Taming the Job Search for the Student

Student Assigned to Job• Insures “hard-to-fill”

jobs are covered• Insures students start

working & earning funds quickly

Student Job Search• Communication to Student• Advertisement process• Job fair• Skill building • Student preference

Benefits of Student Employment

The Obvious• Financial resources• Work experience• Resume builder• References

The Not-So Obvious• Enrollment Retention• “Soft” Skills

conflict resolutionteam-buildingtime managementorganizational skillsproblem-solving

• Development of mentor relationships

Support for Supervisors

Be the “Circus Strongman” by providing support to your supervisors through•Email communication to supervisor listserv•Training•Web resources•Resources on dealing with difficult situations in the workplace – progressive disciplineand termination

Session Ringmasters

• Delores Hawkins – Des Moines Area Community College dwhawkins@dmacc.edugo.dmacc.edu/fin_aid/blog

• Cindy SeyferUniversity of Iowacynthia-seyfer@uiowa.eduwww.uiowa.edu/financial-aid/employerswww.uiowa.edu/financial-aid/employment

• Sue StevensMorningside Collegestevenss@morningside.edu www.morningside.edu/admissions/financial_forms.htm