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FAFSA Results

• Student notified of FAFSA processing results by:– E-mail notification with link to student’s

SAR online if student’s e-mail address provided:• FAFSA on the Web (takes 1-2 days if

electronically signed with PIN; 2 weeks if mailed in signature page)

• Make sure student adds federal email address to address book to avoid delivery problems FederalStudentAidFAFSA@cpsemail.ed.gov

– If student has a PIN, can view SAR online at www.fafsa.gov and make corrections

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Results of FAFSAEFC

• Expected family contribution (EFC)

• COA-EFC=Aid Eligibility

• If the EFC is greater than COA…is there aid?

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Professional JudgmentTip #7• Normally, a family’s Expected Family

Contribution (EFC) is based on income for the previous tax year

BUT…Financial aid administrators can use their “professional judgment” to alter data/income

• Adjustments are typically performed as corrections by the financial aid office after the original FAFSA is submitted and verified

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Professional Judgment

• Common examples include:– Significant change in income from past tax

year based on unemployment, underemployment, death, divorce, military service or natural disaster

– Unusually high medical expenses– Nursing home expenses– Elementary or secondary school tuition paid– Significant college costs for dependent

student’s parent attending college– Dependency override

• Family should contact financial aid administrator to discuss unusual circumstances

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What is a Dependency Override?• Gives financial aid administrator authority to allow

otherwise dependent applicant to apply as independent applicant due to unusual circumstances

– Parental abuse, abandonment, incarceration, etc.

– Not used simply because student lives outside parent household after age 18 or parents object to providing data

• Must be supported by documentation, preferably by someone outside immediate family

• Student should contact financial aid office for instructions after submitting FOTW without parental data

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Award Notification

• Student should receive award notice from each college listed on the FAFSA once admitted to college

• Financial aid varies depending on the cost and mix/composition of financial aid available

Sources of Financial Aid

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Federal Methodology EFC Calculation

Automatic Zero EFC Formula

Simplified Formula (assets ignored)

Regular Formula (both income & assets)

Parents’ Income < $24,000 ANDParents non-filers or eligible for short tax form ORParent dislocated worker ORFamily received need-based benefits (SSI, SNAP, Free/Reduced Price Lunch, TANF, WIC)

Parents’ Income < $50,000 ANDParents non-filers or eligible for short tax form ORParent dislocated worker ORFamily received need-based benefits (SSI, SNAP, Free/Reduced Price Lunch, TANF, WIC)

Used if conditions for Automatic Zero EFC and Simplified formulas not met

(worksheet in packet)

#9

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Federal Grants & Scholarships

Name Application Amount Eligibility

Pell Grant FAFSA $587 - $5,730*Award does not vary with price of college

EFC < $5,157(Income < $65k for family of 4).

FSEOG FAFSA Up to $4,000 Low-EFC Pell Grant recipients.Limited funding.

TEACH Grant FAFSA + TEACH Agreement(https://teach-ats.ed.gov)

$4,000(slight reductions under sequestration)

Not need-based. Becomes loan if 4-year teaching requirement not met.

*Pell Grant maximum for 2015-2016 not yet established

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State Grants & Scholarships(for MN residents attending college in MN)Check out Handout #10 for Pell & State Grant Look-Up Chart!

Name Application Amount Eligibility

MN State Grant FAFSA no later than 30th day of term. FOTW links to online state questionnaire.

$100 - $10,745Avg: $1,700

Higher income ranges than Pell. Varies based on price of college. Limited to 4 years of attendance.

MN Indian Scholarship

FAFSA + On-line program application.Priority deadline July 1.

Up to $4,000 undergrad; $6,000 graduate

¼+ American Indian ancestry. Show need for Pell or State Grant.

Postsecondary Child Care Grant

FAFSA + Paper program application available at college.

$100 - $2,800 per child for FT student. Less if PT.

Based on income and household size. Limited to 4 years of attendance.

MN GI Bill FAFSA + On-line program application prior to end of term

$1,000 Semester$3,000 Year

Cost minus Pell Grant, State Grant, Federal military benefits. Military service requirements.

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Minnesota Dream Act

• MN Dream Act signed into law May 2013• Qualifying undocumented students now eligible:

– In-state tuition rates at MnSCU and U of M

– State financial aid programs

– Private scholarships administered by MnSCU/UM

• To meet MN Dream Act requirements:– Attend MN high school for at least 3 years

– Graduate from a MN high school or earn MN GED

– Comply with Selective Service requirements

• Males 18 to 25 years old must register

– Apply for lawful immigration status once a federal process for doing so exists (not yet applicable)

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MN Dream Act Online State Financial Aid Application

• Cannot apply using FAFSA• Link to online MN Dream Act state financial aid

application and instructions posted on:– www.ohe.state.mn.us/MNDreamAct

• OHE contracted with Need Access for 2014-2015 MN Dream Act application – Paid application fees on behalf of applicants

• OHE building its own 2015-2016 MN Dream Act application– Will be more like FAFSA on the Web– English and Spanish– Easier for students to understand

• Please get the word out to your undocumented students

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Institutional Scholarships

• Many of these listed in central location on OHE website:

• http://www.ohe.state.mn.us/sPages/scholarshipsAll.cfm

College Type Average Scholarship % Receiving

MnSCU 2-Year $ 970 5%

MnSCU 4-Year $ 2,016 28%

U of M $ 4,450 57%

Non-Profit 4-Year $15,354 93%

For-Profit 4-Year $ 2,417 46%

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Private Scholarships

• Student should check with local businesses, civic organizations, parents’ employers

• Free internet search sites: www.collegeboard.com/paywww.scholarshipamerica.orgwww.fastweb.comwww.studentscholarshipsearch.comwww.gocollege.comwww.careeronestop.orgwww.scholarshiphelp.org

• Students should be sure to report any private scholarships to the financial aid office

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Federal and State Work Study

• Undergraduate or graduate students are eligible

• Employment may be on or off campus – resume builder!

• May work during summer

• Wages won’t count against student’s future financial aid eligibility on FAFSA

• Respond ‘Yes’ to Work Study question on FAFSA– Contact financial aid office for further

information

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Tuition Reciprocity

• Allows MN residents to attend in neighboring states at rate similar to MN resident rate

• Students need to apply (some assume it’s automatic)– Apply directly to ND or SD college if recent MN

high school graduate– Apply directly to colleges in Manitoba– All other students must submit application to

Office of Higher Education in MN– Apply on-line for 2015-2016 after March 1, 2015 at:

– www.getreadyforcollege.org• Reduced rates for MN residents attending select

schools in Illinois, Indiana, Kansas, Michigan, Missouri, Nebraska under Midwestern Student Exchange Program (MSEP)

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Federal Higher EducationTax Advantages

• American Opportunity Tax Credit • Lifetime Learning Tax Credit• Tuition and Fees Deduction• Penalty Free IRA Withdrawals• Coverdell Education Savings Account• Student Loan Interest Deduction