FINANCIAL AID:

THE BASICS

Philosophy of Financial Aid

To the extent they are able, parents should,
and will, have the primary responsibility of
paying for their childrens college education.
Students ALSO have a responsibility
for a reasonable portion.

How to apply?

Financial aid begins with the FAFSA

Free Application for Federal Student Aid
Key requirement for Federal and State Aid
Available October 1st of senior year - for 2017-2018 school year and

thereafter
Majority of universities & colleges have priority filing dates for the

FAFSA. Be sure to check the priority dates.

Apply online at www.fafsa.ed.gov

Create a FSA ID username/password for student and for parent.

This can be created now or when student fills out FAFSA they will
be prompted to create one.

The CSS Profile the other FAFSA

Determines nonfederal financial aid for almost 400 colleges and scholarship
programs
Not free - $25 for registration and first school; $16 for each additional school
An additional $16 reporting fee for each school
Fee Waivers are available (covers registration and up to six schools) and
confirmed during registration

A student can not submit the CSS

Profile if it is not required by the
school

A Comparison
The FAFSA

The CSS Profile

About 100 questions

About 300 questions

Free to file

Charged a fee to file

Income Driven

Online filing only

Tax Return 1040, 1040A or

1040EZ
Adjusted Gross Income (AGI) of
both the student and parent(s)

Income Information
Same as for FAFSA
Asset Driven

Asset Information

Asset protection for parents

Home Equity & Retirement Savings

Prior Year & Future Year Income (est.)

Special Circumstances
Special Circumstances

Can't be reported on FAFSA,

must report to each school

Open narrative box to add information

or circumstances

Expected Family Contribution

The number used by schools to
calculate how much financial aid a
student receives

Expected Family Contribution

Factors include:
Household income (parent and student)
Assets (parent and student)
Household size
Number of students enrolled in college

Factors excluded:
Personal debt
Primary home

Co-op earnings

Federal Work-Study earnings

How is My Information Used?

The financial aid office will calculate your need based on the following
formula:

How Much it Costs - COA

Tuition and Fees
+ Student Activity Fee
+ Room and Board
+ Books and Supplies*
+ Travel
+ Miscellaneous Living Expenses*
= $ Cost of Attendance
(per year vs. per semester)
*Keep in mind that schools may include
some or most of these in their
publications. You will most likely have
to pay for ALL the above expenses
either on your bill or out of pocket.

Types of Aid
Need Based & Non-Need Based
Gift Aid & Self-Help Aid

What is need-based & non-need based aid

Gift Aid - Grants

Amounts typically depend on:
Financial need
Cost of attendance
Enrollment status (full-time or part-time)

Visit studentaid.gov for more information on grants

Gift Aid - Scholarships

Scholarships may be awarded on the basis of:
Academic Merit
GPA
Rank
Rigor of coursework

Financial Need
Talent/Performance
Athletics
Art
Dance
Band, orchestra, choir

Member of a particular group or organization

Leadership and participation
Writing sample (essay)
All or any combination of the above

Gift Aid - Scholarships

Many schools automatically consider you for grants and scholarships
when you apply for admission. For grants and scholarships not offered
by your school, the best place to start looking is on the Internet.
Websites to consider include:

Fastweb.com sends you personalized options for

grants and scholarships
Scholarships.com you customize your search
results based on your profile

Self-help Aid Federal Work Study

Part-time employment funded by the government that
allows students to earn money that can be used to
help pay for college.
Students work either on-campus or off-campus through a private

nonprofit organization or public agency.

Undergraduate students are paid by the hour and earn

at least the federal minimum wage.

Income from Work-Study does not impact future

eligibility for financial aid.

Self-help Aid Loans

When evaluating loan options, consider origination
fees, interest rates, repayment options and the total
cost of the loan.

Self-help Aid Federal Loans

Federal Direct Parent PLUS Loans allow parents to borrow up to the full
cost of education, less any other financial aid.

Compare Options
If you need to borrow, compare federal and private student loans and
choose the loans that best fit your needs.
When evaluating student loan options, we encourage you to carefully
consider:
Fees
Interest rates
Monthly payment
Total loan cost
Student loan options should be evaluated based on your financial situation.

Award Letter

The Award Letter outlines

how much financial aid
you will receive.

The Award Letter

Award Letters are typically sent to students and parents in early April to midMay.
The Award Letter may include:
Expected Family Contribution
Unmet Need
Cost of attendance
Grants and Scholarships
Work-Study
Federal Loans
Award Letter templates can vary, so carefully review each letter as you
compare financial aid packages.

Sample Award Letter Public Institution

Estimated Cost of Attendance
Tuition

$9,456

Fees

$2,340

Room and Board

$10,376

Books and Supplies

$1,000

Personal Expenses

$800

TOTAL

$23,972

Aid Program

Fall

Spring

Summer

Total

Decline

Grant/Freshman

$3,000

$3,000

$0

$6,000

Federal Direct
Stafford Loan
(subsidized)

$1,750

$1,750

$0

$3,500

Federal Work-study

$1,250

$1,250

$0

$2,500

TOTAL

$12,000

$23,972 (COA)
$10,000 (EFC)

$12,000 (Total Aid)

$1,972 (Unmet Need)

= Cash out-of-pocket
= Cash out-of-pocket

Apply Early
Planning ahead can minimize surprises later.
Get an early estimate of your Expected Family Contribution (EFC) at:

fafsa4caster.ed.gov
View the schools Net Price Calculator on their website to determine how

much you can expect to pay after subtracting grants or scholarships received

Helpful Websites
www.CollegeforAllTexans.com
Information on Exemptions and Waivers
www.AdventuresinEducation.org
College and Career Planning
Student Loan Inquiry

www.FinAid.org
SmartStudent Guide to Financial Aid
Calculate your Expected Family Contribution (EFC)
www.Collegecovered.com
Helpful tips and information as you navigate the college

planning process
Tips on applying for scholarships and searching

Contact Information
Derek J. Nido 11
Regional Advisor- East Texas
Texas A&M University
(817) 375-0960
Dnido@tamu.edu