This document provides information about financial aid for the class of 2015. It discusses the basics of financial aid including the main types (grants, scholarships, loans, work study). It covers how to apply for financial aid through the FAFSA and CSS Profile if required. Key deadlines are March 2nd to apply for Cal Grants and May 1st for the universal college acceptance date. The document provides tips for estimating income and assets for the FAFSA and differences in how assets are treated for the CSS Profile at private schools.

1. Financial Aid For
the Class of 2015
Presented by Cecilia E. Johnston, JD
•College Applications Educator
•Foothill Parent & Volunteer
•www.ceciliajohnston.com
•ceciliajohnston@ceciliajohnston.com

2. Tonight’s Presentation
Financial Aid Basics
The FAFSA
Misc. Topics in Handouts
CSS:Profile

3. Conquering Your Fears!
 For Students, the
scariest part of
College Admissions
is getting into the
college of their
choice.
 For their Parents,
the scariest part is
paying for it!!!

4. Knowledge is Power!
 Study Your Handouts & Recommended Reading.
 View this PowerPoint on Foothill Counselors’ web
page.
 Attend FAFSA Workshops at Ventura College and
other sites.
 “Help” function on Financial Aid Form websites
 Will give you the confidence to
successfully apply for financial aid!

5. What kinds of Financial Aid are
available?
 Your handouts do a great job of setting forth
information about all of the types of
financial aid. Refer to them.
 Two Main Types:
 Free
 Self Help

6. Free Financial Aid
 Grants
 Pell (Federal)
 Cal Grant
 Institutional Grants (from
the school)
 Other
 Scholarships:
 Institutional (from the
school)
 Private from other
sources

7. Self Help Financial Aid
 Loans
(Details in your handouts)
 Perkins: Federal, Low income, low interest rate.
 Stafford: Federal
 Subsidized: Need based, limited amount.
 Unsubsidized: All eligible students, limited
amount.
 PLUS Loans: Federal, taken out by parents up
to COA
 Private Loans: Banks, Credit Unions.

8. More Self Help Aid
 Work Study
(Federal)
 On campus
 Well paying
 Doesn‘t count as
“income” for
purposes of FAFSA
and CSS:Profile
next year.

9. NUMBER ONE Rule of Financial Aid
 Students AND their families have
the primary responsibility to pay
for postsecondary education
expenses.
 Doesn‘t matter if parents choose not
to contribute to student’s education.
 Therefore, it is very unusual for a
student who has just graduated from
high school to be “independent” for
purposes of Financial Aid.

10. How do I file for Financial Aid?
 Complete and file FAFSA
 FAFSA = “Free Application for Federal
Student Aid”
 Make sure that your gpa has been
submitted for Cal Grant consideration.
 AND Submit CSS:Profile and/or
other supplemental information if
required by colleges to which you
are applying.
 Usually private schools.

11. If You are an AB 540/Dream
Act undocumented student…
 You cannot file FAFSA.
 You do not qualify for Federal Aid.
 Special form for you:
 “California Dream Act Application”
 Qualify for California State Aid.
 See your Counselor.

12. How do I know if I need to file
the CSS:Profile?
 Are any of the
colleges/
universities to
which you are
applying listed
on the reverse
side of the
CSS:Profile
Handout?

13. NUMBER TWO Rule re:
Financial Aid
 Always, always, always apply for
financial aid.
 Doesn‘t matter if you think that you
won’t qualify.
 Will need to file to qualify for non-
need based federal loans.
 Many schools will NOT consider you
for merit or other scholarships unless
you apply for federal financial aid.

14. FAFSA Timeline
 Complete & Submit FAFSA as
soon as humanly possible.
 Use estimated 2014
income figures.
 About 100 questions—max.
 Will receive SAR (Student Aid
Report) via email within 3-5
days!
 Amend FAFSA after 2014 Tax
Return filed.

15. Seven Steps to filling out FAFSA
Step One: Gather information and go
to www.fafsa.ed.gov
 Be careful to use “ed.gov” website.
 FAFSA is always free!

16. FAFSA.ED.GOV HomepageFAFSA.GOV Homepage
15

17. Step Two: Information About the
Student
 Student Demographics
 Name must match Social
Security Number.
 Selective Service Registration
(males only)
 Use the Help & Hints section on
each page.

18. Step Three:
 School Selection:
 Add by Federal School Code
 List at least one California school first. (for Cal
Grants)
 All schools will have access to FAFSA.
 If applying to over ten schools:
 See “Blue Sheet” for procedure .

19. Step Four: Dependency Status
 In most cases, your student will be a
dependent.
 There are very few exceptions.

20. Step Five: Parent Information
 Required if student is dependent.
 Parents must answer both
demographic and financial
information to determine
 Custodial Parent for FAFSA
purposes.
 Ability to contribute to student’s
educational expenses.

21. Divorced or Separated Parents
 Provide information for parent who
student has spent at least 51% of time
with in past 12 months.
 Remarried Parent? Provide info about
parent AND step-parent regardless of:
 Agreement of non-support
 Prenuptial Agreement
 Divorce Decree

22. Divorced or Separated (Part 2)
 Parent filling out FAFSA need not be
the custodial parent per divorce
decree.
 Parent filling out FAFSA need not be
the parent who claims the student as
an exemption for income tax
purposes.

23. Non-Married Parents Living
Together
 Dependent students’ FAFSA must include
income and other information about
both of the student’s legal parents
(biological or adoptive) if the parents are
living together, regardless of the
parents’ marital status or gender.

24. Cute Kitten Break

25. Parent Income & Assets:
 You will see a list of types of Assets on
FAFSA—click the box next to the asset and
you will be asked questions about those
assets.
 FAFSA looks at Adjusted Gross Income.
 Use 2014 Estimates.
 529 Accounts are considered Parents’
assets, not student’s assets.
 Some assets that FAFSA does not consider
including:
 Your family home
 Your Retirement Accounts
 Your small business (less than 100
employees)

26. Tip:
 Cal Grant wants asset information.
 Always include info on assets even if
you are given the option to skip that
section.

27. Step Six: Student’s Assets
 Same list of Assets to click on.
 Tip: Most of student’s assets are expected to be
used for education expenses. What may make
sense for tax savings may not make sense for
financial aid. Ask your accountant or financial
advisor for assistance.

28. Rule Number Three of Financial Aid
 Do not do anything that could get
you in trouble with the IRS!
 In general, you want to look as poor
as possible for FAFSA purposes.
 Again, do not do anything that could
get you in trouble with the IRS!!
 If you have questions, talk to your
accountant or financial advisor.

29. A few helpful hints:
 Fill out FAFSA the day after you have paid
your mortgage and big bills.
 Value of assets is NET, not gross.
 Asset protection allowances are built into
the formula based on age of oldest parent.
Ranges from about $8,000 (Single parent)
to $40,000 (Married parents)
 Questions: Call FAFSA or on line chat.

30. Step Seven: Submission
 Student and Parent(s)
electronically Sign and Submit.
 Both Student and one
Parent apply for a PIN to
sign.
 Do not use same PIN for
Student and Parent.
 Save PINs BUT
 New system as of April 15.

31. Confirmation Page
You will receive an electronic Confirmation
Page with:
Confirmation Number
Estimated EFC Index Number
List of Colleges
Next Steps
Option of transferring parents’ data to
sibling’s FAFSA!

32. Student Aid Report Notification
 Arrives electronically in 2-5
days.
 Has EFC and other important
info.
 If you have special
circumstances or expenses:
 Contact individual colleges which
can exercise “Professional Judgment
Override.”

33. “EFC”
“Expected Family Contribution”
 A Misnomer.
 IS NOT what your family will pay for a
year of college.
 IS an index number that indicates
your family’s financial strength.
 Lower the better.
 Used to determine your financial
need.

34. Your EFC is just ONE of the
factors used to determine how
much you will pay.
 Colleges & universities vary in how
they calculate Financial Need and
what they will give you.

35. The “GAP”
 Not every school meets
 100% of your Financial Need.
 Example: (On your “Blue Sheet”)
 COA (Cost of Attendance) $35,000
 Your Financial Need $15,000
 School gives $10,000 in Financial Aid.
 You pay not only $20,000 ($35,000 minus $15,000) but
in addition, the $5,000 of your Financial Need not met by
the school (the GAP), for a total of $25,000.

36. A Few Financial Aid Tools:
 Net Cost Calculators:
 School Data:
 www.collegecost.ed.gov/scorecard/
 www.collegedata.com
 www.collegenavigator.gov
 Info: www.finaid.org
 All links may be found on your
“BLUE SHEET” handout.

37. BOTTOM LINE:
 You do not know what your family will
pay until you receive your financial
aid award.

38. Cute Puppy Break!

39. VERIFICATION
About 30% of FAFSAs are subject to verification.
If you see an “*” next to your EFC on your SAR—
you will need to verify your FAFSA by submitting
supporting documentation to each school on your
FAFSA.

40. More Verification
 You will get letters from schools to which you
applied with instructions.
 Your Financial Aid Package is on HOLD until
verification completed.

41. “The Magic Button”
 The IRS Data Retrieval Tool
 Only on FAFSA
 Not available until February 2.
 Will automatically populate FAFSA with your 2014
Federal Tax Return Information.
 Easy to use for returning college students with later
FAFSA due dates.

42. Problem for Incoming Freshmen
 IRS Data Retrieval Tool not available until February 2,
2014.
 Must wait 3 weeks after electronic tax filing and 8 weeks
after snail mail tax filing.
 Many colleges have Financial Aid Form due dates in
February (and even January!)
 What to do?

43. Financial Aid Filing Strategy
 Details on “Blue Sheet”
 Complete and submit FAFSA & CSS:Profile with
Estimated figures by Feb. 1st. or College Due Date.
 File Income Tax Returns Electronically ASAP.
 Wait three weeks.
 Update FAFSA with IRS Data Retrieval Tool. (Automatic
Verification!)
 Submit required CSS:Profile
documentation via I-Doc by
College Due Date. (If needed.)

44. Cute Hedgehog Break

45. Ventura College Promise Grant
 Available on a first come, first serve
basis. (Only about 800 available.)
 Covers a Ventura County high school
graduate’s first year fees at Ventura
College. (Tuition)
 Must file FAFSA to be eligible.
 Don’t miss Field Trip to VC in May to
matriculate!!

46. CAL GRANT
Key Points:
 Automatic application when
Submit FAFSA.
 Based on GPA & Need (see income
ceilings on on Blue Sheet)
 May only be used at a California
School.
 Deadline to submit FAFSA and gpa is
March 2. (Don’t worry about gpa
submission—done by high school
registrar in fall 2014.)

47. More about Cal Grants
 Different amounts depending on
which California school you
attend:
 CSU: $5,970
 UCs: $12,192
 Private: $9,223
 Different types of Cal Grants:
A,B & C
 Info. In Handouts
 Some schools are not Cal
Grant eligible. (ex. ITT Tech,
U of Phoenix…)

48. Middle Class Scholarship
Program (MCS)????

49. California Aid Report (CAR)
 You will receive your CAR electronically.
 Will notify you if you will receive a Cal
Grant (and possibly the Middle Class
Scholarship.)

50. Financial Aid Packages
 You will receive your
financial aid package
shortly after you
receive your offer of
admission from a
college or university.
 Compare the
packages.
 The more Free Money,
the better the
package.

51. Universal College Acceptance Date
 MAY 1, 2015
 The last day to pay your deposit to the
college or university of your choice!
 Deposit is usually between $500-$1000.

52. Remember:
 Need to fill out FAFSA and
CSS:Profile every year.
 Save all PINs, usernames and
copies of submitted
paperwork.
 Much of info is transferred
from this year’s form to next
year’s form!
 Due dates are later in the
Spring for continuing
students.

53. WARNING:
 “Certified College
Financial
Planners/Advisors”
are also Licensed Life
Insurance Brokers
who are trying to sell
you expensive
financial products to
“shelter your assets.”
Please be careful!!!

54. Confused? Overwhelmed?
 Read your Handouts .
 This PowerPoint on FTHS Counselors’ page
on website.
 Talk to your Guidance Counselor.
 Use the “Help” function as you
are filling out forms. Call or ‘On Line
Chat’ with FAFSA
 Ventura College FAFSA
Workshops

55. Book Recommendations
 “Paying for College
Without Going Broke” by
Kalman Chaney
 2015 ed.
 Freebie! Download
“Filing The FAFSA”
(updated for 2015-16)

57. CSS Profile and other Financial
Supplements
 Some Private Schools use
FAFSA and CSS Profile and/or
their own supplemental
Financial Aid Forms.
 CSS Profile on line. Costs $
(Waivers available.)
 Looks more deeply into
family finances.
 Fill out one form for all
colleges: different questions
for different colleges

58. CSS-Profile Differences
 Many schools require
that Non-Custodial Parent
fills out Supplement.
 Considers Family Home
as an asset.
 For valuation: subtract mortgage from value
as determined by Federal House Price Index
Calculator or Zillow.
 Don’t forget to subtract mortgages, down
payment loans from value.

59. More Differences:
 Value of Businesses: NET Worth
 Most Service Businesses have a very low net worth
for Financial Aid Purposes.
 Assets held in sibling’s names are counted
 Retirement funds counted
 Not a free form. Use College Board id and
password to access. (Save this info. for next year!)
 Space to explain Unusual Circumstances: ie. large
medical expenses etc.

60. Even More Differences!
 Contribution from Student’s
Parents:
 One expert recommends that you wait
until you get SAR, take the EFC and
reduce it by 30%.
 Estimate Prior Year and Future
Income.
 CANNOT amend CSS-Profile so make
sure that your estimates are very
close.
 IDOC: free service where you submit
supporting documentation-not all
schools use this.

61. CSS-Profile: Finally,
 Every school that uses CSS
Profile or own Supplements
will treat your assets and liabilities
differently; many times in your favor!
 Questions? Use the CSS:Profile toll free
number on the CSS:Profile handout.

62. Cute Panda Cub Says
Goodbye,Thank you and Good Luck!

63. Questions?