Financial Aid Presentation 2019-2020 - Genesee Community College 1 College Road Batavia, NY 14020 - schoolsites

Financial Aid Presentation
       2019-2020

       Genesee Community College
             1 College Road
            Batavia, NY 14020
              585-345-6900

Topics to Discuss

What is financial aid?
Cost of attendance (COA)
Expected family contribution (EFC)
Financial Need
Categories, types and sources of
 financial aid
Free Application for Federal Student Aid
Special circumstances

What is Financial Aid?

   Financial aid consists of funds
provided to students and families to
    help pay for postsecondary
       educational expenses.

Goals for Financial Aid

To assist students in paying for their educational
 investment

To evaluate the family’s financial ability to pay for
 educational costs

To distribute limited resources in an equitable
 manner

What is the Cost of Attendance (COA)

                   Direct Costs
                   Indirect Costs

                   Direct and indirect cost
                    combined into the cost
                    of attendance

                   Varies widely from
                    college to college

Cost of Attendance

 Tuition and Fees
 Room and Board
Books and Supplies
  Transportation
Personal Expenses
    Loan Fees

Principles of Needs Analysis
 To the extent they are able, parents have the primary
  responsibility to pay for their dependent children’s education

 Students also have a responsibility to contribute to their
  educational costs

 Families should be evaluated in their present financial
  condition

 A family’s ability to pay for educational costs must be
  evaluated in an equitable and consistent manner,
  recognizing that special circumstances can and do affect its
  ability to pay.

Federal Methodology

Federal methodology is the formula created
  by Congress to determine the Federal
   Expected Family Contribution (EFC).

What is the EFC?

Amount a family can reasonably be expected to
 contribute

Calculated using data from a federal application
 (FAFSA) and federal formula

Stays the same regardless of college
   Two Components
   Parent Contribution
   Student Contribution

Definition of Financial Eligibility

         Cost of Attendance (COA)
    -Expected Family Contribution (EFC)
            Financial Eligibility

Price vs. Cost

Happy College                Fancy University

Cost $18,375                    Cost $59,355

EFC $1,125                      EFC $1,125

 Eligibility                     Eligibility
  $17,250                          $58,230

Applying for Financial Aid
Free Application for Federal Student Aid
 (FAFSA)

State Specific Applications – New York – NYS
 TAP
Excelsior Scholarship

College Scholarship Service (CSS) Profile Form

Institutional Applications

Who files the applications?
 The student – the
                           The custodial parent and the
  applications are          custodial parent’s spouse
  always filed from the
  student’s perspective       If the custodial parent is
                               remarried (not to the
                               student’s biological/adoptive
                               parent) then the spouse
                               must provide their
                               information on the FAFSA.

                              As of 2014-2015 students
                               must provide information for
                               biological parents who are
                               unmarried, but living
                               together

Definition of an Independent Student

 Born before January 1, 1996

 Married

 Graduate or professional student

 Currently serving on active duty in the U.S.
  Armed Forces

 Veteran of the U.S. Armed Forces

 Have legal dependents (not spouse) who
  live with and receive more than half of
  their support from the student

 Have children who receive more than half
  their support from the student

Definition of an Independent Student

 Age 13+ both parents were deceased, you were in foster
  care or are a dependent/ward of the court

 An emancipated minor (determined by court in state of legal
  residence – NYS does NOT recognize emancipation)

 In legal guardianship (determined by court in state of legal
  residence)

 Homeless or at risk of being homeless

 Determined to be independent be a financial aid
  administrator

Website: www.fafsa.gov

2019-2020 FAFSA on the Web available starting
 October 1, 2018

Good reasons to file electronically:
  Built in edits to prevent errors
  Skip-logic allows student and/or parent to skip
   unnecessary questions
  Option to use Internal Revenue Service (IRS) Data
   Retrieval Tool to import taxes

Free Application for Federal
   Student Aid (FAFSA)

More good reasons to file electronically:

 More timely submission of original application and
  necessary corrections

 More detailed instructions and “help” for common
  questions

 Ability to check application status online

 Simplified application process in the future

Documentation needed to complete
          the FAFSA

                 2017 Federal Income tax
      2017 information is not required for the 2018-2019 FAFSA

                       All 2017 W-2’s

         Balance of cash/savings/checking accounts

      New worth of investments (not primary residence!)

       New worth of business and/or farm investments

                 Child support paid/received

                     Veteran’s Benefits

Federal Student Aid ID (FSA ID)
 Website: https://fsaid.ed.gov

 Sign FAFSA electronically

 Can request now, or at the time of FAFSA filing

 May be used by students and parents throughout the aid process,
  including subsequent school years

 Your ID is unique to you – parents do not need to create multiple accounts

Federal Student Aid ID (FSA ID)

IRS Data Retrieval Tool
  While completing FAFSA online, applicant may submit real-time
                     request to IRS for tax data
                        within 3 weeks of e-filing
                     within 8 weeks if filed by mail
             Available Immediately – 2017 Tax Information
              IRS will authenticate taxpayer’s identity
 If match found, IRS sends real-time results to applicant in new pop
                             up window
  Applicant chooses whether or not to transfer IRS data to FAFSA
       Reduces documents requested by financial aid office
  Income information will be obscured to comply with IRS ID Theft
                                policy

IRS Data Retrieval Tool

Why some won’t be
eligible to use the DRT:

 Filed an amended tax
  return

 No Social Security
  Number was entered

 Student or parent is
  married, but filed
  separately

 Tax filing extension

Frequent FAFSA Errors

 Parent and student Social Security Numbers

 Divorced/remarried parental information

 Income earned by parents/stepparents

 Untaxed income

 U.S. income taxes paid

 Household size

 Number of household members in college

 Real estate and investment net worth

FAFSA Processing Results

 CPS sends Institutional Information Record (ISIR) to colleges
  listed on FAFSA approximately 10 to 14 days after FAFSA is
                            submitted

        CPS notifies student of processing results by:
                        Email or Mail
  Student with PIN can view Student Aid Report (SAR) online
                       at www.fafsa.gov

          Corrections may be made at www.fafsa.gov

Verification
 Collect documentation from student to compare with data
                           on FAFSA
  If student/parent did not use IRS match, student/parent
           would have to submit IRS Tax Transcript.
        (Copies of tax returns no longer acceptable!)
 Student/parent must request IRS Tax Transcript from IRS
      either online www.irs.gov (tax filers can now set up
             accounts) or by phone (800) 908-9946
            Federal W-2 forms may be required
               Household size will be verified
 Untaxed income (including food stamps) will be verified
   Keep everything that you get from employers, social
 services, etc. with respect to any type of income or support

Types of Financial Aid
               GRANTS AND SCHOLARSHIPS:
                       Federal Pell Grant

 Federal Supplemental Educational Opportunity Grant (SEOG)

                    Federal TEACH Grants

                  New York State Programs –
                           TAP
                         Excelsior
                   Enhanced Tuition Awards
           University/College Scholarships and grants

 External Sources (private scholarships, employee benefits, etc.)

Pell Grant

Annual minimum and maximum varies

$652 minimum 2018-2019

$6,095 maximum 2018-2019

Maximum of 12 semesters

Only for undergraduate students
without a bachelor’s degree

Based on financial need

Federal Supplemental Education
   Opportunity Grant (SEOG)

              $100 annual minimum

             $4,000 annual maximum

 Amounts vary based on available funding at each
                college/university

Only for undergraduate students without a bachelor’s
                       degree

             Based on financial need

Teacher Education Assistance for College
 and Higher Education Grant (TEACH)
 $4,000 annual maximum ($16,000 undergraduate aggregate
  limit)

 3.25 GPA or qualifying score on admissions test

 Agree to teach full time for at least 4 years within 8 years of
  graduation at a school serving a high percentage of low
  income students

 Agree to teach a specific subject

 Repayment required if student does not fulfill teaching
  requirement. The grant funds turn into the Federal Direct
  Unsubsidized Stafford Loan

New York State Tuition Assistance
         Program (TAP)
 Annual minimum and maximum vary based on the tuition cost of
                      college/university

 Maximum amount at SUNY schools can be 100% of tuition cost

    Maximum amount at private schools can be up to $5,165

  Maximum of 8 semesters (6 of which may be at a community
                           college)

     Must be enrolled for full time (at least 12 credits) study

                Must meet income requirements

New York State Excelsior
                    Scholarship
 Effective for Fall 2017
 Eligible applicants must meet the general eligibility rules for all New York
  State Grant and Scholarship Programs
         New York State resident for one year prior to Fall 2017
         U.S. citizen or eligible non-citizen
         Hold a U.S high school diploma, GED or equivalent
 Must attend full-time at a SUNY or CUNY
 Will cover the cost of TUITION only (not room & board)
 Maximum Scholarship $5,500
 A tuition credit may be used to cover any additional tuition cost above
  $5,500 at SUNY or CUNY schools
 Must apply- - the award is not automatic
 Prior, prior year federal adjusted gross income (AGI) will be used
 Income thresholds:
    2019-20 School Year – 2017 income $125,000

New York State Excelsior
                      Scholarship

 Considered a “Last Dollar In” scholarship

 Students receiving other federal and state aid may not be eligible for the Excelsior
  Scholarship if their other aid covers 100% of tuition

 Other scholarships not designated as “non-tuition” (books, room & board) scholarships would
  also be included in the calculation of the Excelsior Scholarship

 Scholarship recipients must agree to reside in NYS after leaving college for the same
  number of years in which they receive the Excelsior Scholarship award

 The recipient does not need to be employed during this post-separation period; however, the
  recipient cannot be employed in another state.

 Failure to fulfill the post-separation residency requirement will result in the Excelsior
  Scholarship award amounts being converted to an interest-free loan, 10-year repayment
  terms

New York State Enhanced Tuition
             Awards (ETA)

 The Enhanced Tuition Awards program provides tuition awards to students
 who are NYS residents attending a private college located in New York State

                    Same requirements as Excelsior:
                                Income
                    Live/Work in NYS after graduation

 An Enhanced Tuition Awards recipient can receive up to $6,000 through a
  combination of their TAP award, ETA award and a match from their private
   college. For example, a student who receives a $1,000 TAP award would
  receive an additional $5,000 – half of which would be paid by the ETA and
                           half by his or her college

Types of Financial Aid
              Loan Programs:

Federal Direct Stafford Loans (Subsidized and
                 Unsubsidized)

Federal Direct Parent Loan for Undergraduate
             Students (PLUS)

          Private/Alternative Loans

Federal Direct Stafford Loan

Subsidized: Must demonstrate “need”

Unsubsidized: Not based on “need”

Base annual loan limits (combined subsidized
 and unsubsidized):

                $5,500 Freshman
               $6,500 Sophomore
            $7,500 Junior and Senior

Federal Direct Stafford Loan

        Subsidized loan has interest rate of 5.05%

              Unsubsidized loan has interest rate of
                              5.05%

                                     Up to 1.062% loan fee

Interest rates as of October 1, 2017 – subject to change

Federal Direct Stafford Loans

Repayment begins after 6-month grace
               period

Maximum repayment period between 10
and 30 years depending on repayment plan
                 chosen

 Deferment and cancellation provisions
               available

PLUS – Parent Loan for
          Undergraduate Students
 Loan program for parents of dependent
  undergraduate students

 Annual loan limit: COA minus other aid

 Fixed interest rate of 7.65%

 Fixed 4.248% loan fee based on principal
  amount of each loan

 Repayment begins within 60 days after loan
  fully disbursed for parent borrowers
                                    Interest rates as of October 1, 2017 – subject to change

Other Financial Aid Programs

             Federal Work Study

              Non-Work Study

            Alternative Programs
          (Internships, Co-Ops, etc.)

Scholarships

                Institutional

            Local and National
Keep these things in mind when applying for
scholarships:

• Focus on you, the student
• Understand where the scholarship is coming from
• Never give your bank account or credit card
  information out!

Reviewing Awards
         Happy College             Fancy University
•Eligibility        $17,250   •Eligibility   $58,230

•Pell Grant        $4,945     •Pell Grant      $4,945
•SEOG Grant        $1,000     •SEOG Grant      $2,000
•TAP Grant         $4,050     •TAP Grant       $5,165
•Stafford Ln (s)   $3,500     •Stafford Ln (s) $3,500
•Stafford Ln (u)   $2,000     •Stafford Ln (u) $2,000
•Work Study        $1,755     •Work Study      $2,500
                              •Fancy Grant     $38,120
Total:             $17,250
                              Total:         $58,230

Reviewing Awards

   Bentley Burns College        Lincoln Brutus University

Eligibility        $24,500   Eligibility        $34,500
Pell Grant         $4,945    Pell Grant         $4,945
SEOG Grant         $500
                              SEOG Grant         $1,000
TAP Grant          $5,165
                              TAP Grant          $5,165
Stafford Ln (s)    $3,500
Stafford Ln (u)    $2,000    Stafford Ln (s)    $2,000
Work Study         $1,500    Work Study         $1,000
Sunny Grant         $3,000   Snobby Grant       $20,390
PLUS Loan           $3,890
                              Total:              $34,500
Total:              $24,500

Questions to ask…

   What are the financial aid application
 procedures and deadlines? Which forms are
                  needed?

    Does the school meet full eligibility?

  What is the process for appealing if my
          circumstances change?

 Is institutional aid based on merit or need?

         What happens next year?

Next Year…

The 2020-2021 FAFSA will be available on October 1, 2019

The 2020-2021 FAFSA will require student and parent income
 from 2018

Don’t wait until January to file the FAFSA and TAP applications

Check with your school to determine when they want financial
 aid applications (including scholarships) filed

If you remember nothing else…

   The   first “F” in FAFSA means
                  FREE!
   Apply    for Financial Aid early!

      If   you don’t know, ask!

Resources from the Web
                          Internet

         U.S. Department of Education: www.ed.gov
                 FSAID: https://fsaid.ed.gov
              FAFSA On Line: https://fafsa.gov
     Federal Direct Student Loans: www.studentloans.gov

        College Board Online: www.collegeboard.com

    New York State Higher Education Services Corporation:
                       www.hesc.ny.gov
           Internal Revenue Service: www.irs.gov
      Genesee Community College: www.genesee.edu
 Fastweb Scholarship Search (free service): www.fastweb.com

Resources by Phone
           Telephone Contacts

       U.S. Department of Education
              (800) 433-3243

 NYS Higher Education Services Corporation
             (888) 697-4372

       Genesee Community College
            (585) 345-6900

         Internal Revenue Service
              (800) 908-9946

SUNY FINANCIAL AID DAY

Saturday, October 13, 2018
        FLCC, MCC

Saturday, November 17, 2018
        GCC, University of Buffalo

Visit www.suny.edu/attend to register for events