Financial Aid PPT 2


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Larry Spialek, retired Guidance Counselor at PCHS, speaks to students & parents at College Night, 2010

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Financial Aid PPT 2

  1. 1. Freshman Financial AidFreshman Financial Aid
  2. 2. FINANCIAL AIDFINANCIAL AID  Financial Aid-money from sources outsideFinancial Aid-money from sources outside the familythe family  Two “pools” of financial aid moneyTwo “pools” of financial aid money  -gift aid-gift aid  -self-help-self-help
  3. 3. GIFT AIDGIFT AID ScholarshipsScholarships- merit based- merit based -- beware of scams and mythsbeware of scams and myths -sources of information: guidance office,-sources of information: guidance office, college, employer, organizations, Webcollege, employer, organizations, Web GrantsGrants-need-based, federal and state, (Pell,-need-based, federal and state, (Pell, SEOG, MAP)SEOG, MAP)
  4. 4. FEDERAL GRANTSFEDERAL GRANTS  -Pell max. award $5,550 for 2010-2011-Pell max. award $5,550 for 2010-2011  -SEOG max. award $4,000 (normal range-SEOG max. award $4,000 (normal range is $500-$1,000 per student)is $500-$1,000 per student)
  5. 5. STATE GRANTSTATE GRANT  Monetary Award Program $4,968* forMonetary Award Program $4,968* for 2010-20112010-2011  *estimated cap based on State of Illinois*estimated cap based on State of Illinois fundingfunding
  6. 6. SELF-HELPSELF-HELP LoansLoans -Federal Direct Loans (students) $5,550-Federal Direct Loans (students) $5,550 -Subsidized (need-based) 4.5%-next year rate-Subsidized (need-based) 4.5%-next year rate goes to 3.4%goes to 3.4% -Unsubsidized 6.8%-Unsubsidized 6.8% -Perkins (need-based) 5%-Perkins (need-based) 5% -Federal PLUS (parents) 7.9%-Federal PLUS (parents) 7.9% All the above are direct loans through the federalAll the above are direct loans through the federal government. Application is done online.government. Application is done online. Private Loans (not recommended, adjustable rate)Private Loans (not recommended, adjustable rate) WorkWork Federal Work Study (need-based)Federal Work Study (need-based)
  7. 7. Free Application for FederalFree Application for Federal Student AidStudent Aid (FAFSA)(FAFSA) FREE onlineFREE online application from the federal governmentapplication from the federal government Both parent and student completeBoth parent and student complete Complete after Jan.1, 2011Complete after Jan.1, 2011 Watch for college financial aid deadlinesWatch for college financial aid deadlines Get a PINGet a PIN Sites to avoid: & chargeSites to avoid: & charge fees to complete FREE federal formfees to complete FREE federal form
  8. 8. Expected Family ContributionExpected Family Contribution (EFC)(EFC) Expected Family Contribution (EFC)Expected Family Contribution (EFC) -income, assets-income, assets -family size-family size -age of older parent-age of older parent -number of children in college-number of children in college $ government says a family is expected to provide for$ government says a family is expected to provide for education expenseseducation expenses $ is constant number regardless of the cost of the college$ is constant number regardless of the cost of the college
  9. 9. Cost of Attendance (COA)Cost of Attendance (COA) Cost of Attendance (COA)Cost of Attendance (COA) -tuition-tuition -fees-fees -room and board-room and board $ varies from college to college$ varies from college to college
  10. 10. NEEDNEED COA-EFC=NeedCOA-EFC=Need College A 25,000-5,000=20,000College A 25,000-5,000=20,000 College B 15,000-5,000=10,000College B 15,000-5,000=10,000 College C 10,000-5,000=5,000College C 10,000-5,000=5,000 Financial Aid Package-can includeFinancial Aid Package-can include combination of federal, state, institutionalcombination of federal, state, institutional aidaid
  11. 11. FINAL REMINDERSFINAL REMINDERS  Money is available to help pay for collegeMoney is available to help pay for college  Apply, apply, apply for scholarshipsApply, apply, apply for scholarships  Be aware of scamsBe aware of scams  Get a PIN and file the FAFSA earlyGet a PIN and file the FAFSA early  Don’t be intimidated by the processDon’t be intimidated by the process  Watch for deadlinesWatch for deadlines