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Scott SeibringDirector of Financial AidIllinois Wesleyan University
Financial Aid Terminology Factors used in determining eligibility Review some of the questions on the FAFSA Show a few financial aid scenarios Open up to question
Scholarships are typically based on “merit” Academic, fine arts, athletic, leadership qualities Awarded by colleges and universities,organizations,businesses, clubs Requirements for renewalGrants typically based on “need” Awarded by state and Federal gov’t Colleges/universities Evaluated each year
Free Application for Federal Student Aid(FAFSA) Expected Family Contribution (EFC) CSS PROFILE Illinois Student Assistance Commission (ISAC)
Read Instructions carefully Know institutional deadlines and applications Use a completed Tax Return if possible Carefully review all of your figures Make copies of all the forms you send
Student’s Social Security Number Dependency Questions Parent’s Marital Status Family Size Taxes Paid (not amount withheld on W-2)
Investments carefully read what is included and excluded Business/Farm Additional Financial Information Untaxed Income College Selection Signatures
Parent Contribution Student ContributionFamily Contribution
Cost of Education- Family ContributionFinancial Need
Family Income (AGI plus untaxed income)Family SizeNumber of Children in CollegeParents AssetsAge of ParentsStudent’s IncomeStudent’s AssetsOther .
Gift Assistance Grant in AidScholarshipsState Funds (MAP Grant)Federal Funds - Pell, SEOGLoan Assistance Stafford Loans Perkins Private, PLUS, Home Equity loans Employment Campus Work Study (On/Off Campus)
Low-interest student loan The FAFSA must be completed Interest rate for 2015-16 is 4.29% Repayment begins 6 months after the studentgraduates or falls below half-time
Financial Need Subsidized need based Unsubsidized not based on need Payment of interest Subsidized- Federal Government pays while studentis in college Unsubsidized - interest is accruing
Freshman 3500 Sophomore 4500 Junior 5500 Senior 5500 2000 added opportunity for StaffordUnsubsidized Loan
Stafford and PLUS Interest Rates 10 year treasury note plus 2.05 for Stafford and plus 4.6for PLUS. 2015-16 rates were 4.29% for Stafford and 6.84%for PLUS. Cap of 8.25% for Stafford and 10.5% forPLUS IRS Data Retrieval Tool Pulls data from IRS into FAFSA Prior year income vs Prior Prior year incomeNeed based aid vs Merit based aidInstitutional Methodology vs FederalMethodology
Professional Judgment - with factual and verifiableinformation Early retirementDivorce, separation, widowedPrivate school expensesMedical expenses not covered by insuranceOne-Time taxable incomeElder care
Can accept or reject any portion of a FAproposal Understand scholarship renewal qualifications Be aware of scams Juniors or younger – use Net Price Calculatorson school website for estimates. Don’t fileFAFSA. Consider possibility of graduation in 4 vs 5years
ingforcollege.com
Stafford and PLUS Interest Rates 10 year treasury note plus 2.05 for Stafford and plus 4.6 for PLUS. 2015-16 rates were 4.29% for Stafford and 6.84%
