2020 2021 Financial Aid High School Presentation New

2020 - 2021 Financial Aid High School Presentation New Jersey Higher Education Student Assistance Authority Presenter – Aisha Hill

Topics We Will Discuss 1. How Do I Apply? 2. How Awards Are Determined? 3. What is Financial Aid? 4. What Happens Next? Higher Education Student Assistance Authority 2 Financial Aid High School Presentation - 2

How Do I Apply? Higher Education Student Assistance Authority Financial Aid High School Presentation - p 3

ile rof P S S FAF S C A NJ HESAA Higher Education Student Assistance Authority Financial Aid High School Presentation - 4

FAFSA The Free Application for Federal Student Aid (FAFSA) is used to ensure maximum consideration for Federal, NJ State, and institutional financial aid. PLEASE NOTE: On September 13, 2015, the U. S. Department of Education announced a change in how & when students complete the FAFSA. Families will now begin to complete their FAFSA on October 1 st using income from two (base) years prior. The change closely aligns the financial aid application with the admission’s application. Higher Education Student Assistance Authority Financial Aid High School Presentation - 5

AW ü 2020 -2021 FAFSA is available October 1, 2019 ES OM E ü The application can be completed on the app for i. OS & Android !!! ü FSA ID will be used for student & parent to sign electronically ü FAFSA will use prior (base) year (2018) income information ü IRS Data Retrieval Tool is a convenient option Higher Education Student Assistance Authority Financial Aid High School Presentation - 6

To Be Eligible, Students Must: 1. Have a Valid Social Security Number 2. Be Enrolled in a Program of Study (Degree, Certificate, or other recognized credential) 3. Be a U. S. Citizen or Eligible Noncitizen 4. Be Registered with Selective Service Administration (males between 18 -25 years old) Higher Education Student Assistance Authority Financial Aid High School Presentation - 7

FAFSA Components: 1. 2. 3. 4. 5. 6. 7. 8. Student Demographics Student Income &/or Assets, if applicable Student Status: Dependent or Independent Parent Demographics, if Dependent Household Size Parent(s) Income &/or Assets, if applicable Federal Benefits, if applicable College Choices (up to 10) Once submitted, the U. S. Department of Education will send students an e-mail summary (within 3 days) in a Student Aid Report (SAR). It includes what they submitted on their FAFSA and an estimate of financial aid eligibility. Higher Education Student Assistance Authority Financial Aid High School Presentation - 8

Common FAFSA Mistakes: ü ü ü ü Names on Social Security Card Social Security Number Date of Birth (Parents) Parent Section vs. Student Section Divorced vs. Remarried Households Parental & Student Assets Missing Parent Signature, if Dependent Gender Question Higher Education Student Assistance Authority Financial Aid High School Presentation - 9

NJ HESAA 1. Complete the 2020 -2021 FAFSA by the NJ deadline ~ 9/15/20 2. Use the link in the FAFSA confirmation for HESAA 3. Students can also log onto the NJ Financial Aid Management System (NJFAMS) www. njfams. hesaa. org 4. Complete the ‘Additional Data Elements’ for NJ awards 5. HESAA will notify students of their status via e-mail & portal Higher Education Student Assistance Authority Financial Aid High School Presentation - 10

OR Higher Education Student Assistance Authority Financial Aid High School Presentation - 11

All students must have a HESAA NJFAMS (Financial Aid Management System) User ID & Password to access the portal on https: //njfams. hesaa. org to: 1. View their eligibility for NJ Grants & Scholarship programs 2. Receive notification about verification requirements Students should visit https: //njgrants. org to: ü Learn about New Jersey grants & scholarships ü Utilize the NJ TAG Estimator ü Upload documents through our electronic portal *Students should always check their award status online before calling Customer Care Higher Education Student Assistance Authority Financial Aid High School Presentation - 12

NE W! Under a policy signed into law by Governor Phil Murphy, graduates of New Jersey high schools who do not have documented immigration status may be eligible for financial aid. Higher Education Student Assistance Authority Financial Aid High School Presentation - 13

CSS Profile Nearly 400 Institutions use the College Scholarship Service (CSS) profile to determine how they will award institutional funds. 1. 2020 -2021 CSS Profile will be available 10/1/19 2. Collects more comprehensive income, asset & household information than the FAFSA 3. Use of prior (base) year income (2018) 4. Payment required *$25 for first profile & $16 for additional profiles Higher Education Student Assistance Authority Financial Aid High School Presentation - 14

How Awards Are Determined? Higher Education Student Assistance Authority Financial Aid High School Presentation - p 15

Cost of Attendance • • Tuition & Fees Room & Board Books & Supplies Transportation Personal Expenses Study Abroad Costs Dependent Care Disability Equipment/Services Higher Education Student Assistance Authority Financial Aid High School Presentation - 16

Unexpected Costs • • Remedial Classes Change in Major Transferring Schools Winter & Spring Breaks Pledging Costs Moving Expenses/Storage Supplies (specific laptops, calculators, etc. ) Higher Education Student Assistance Authority 17 Financial Aid High School Presentation - 17

Expected Family Contribution ü Uses a Federal formula that calculates ‘need’ from the information on the FAFSA ü Is the guideline used to determine Federal financial aid awards ü EFC is not equal to a family’s out-of-pocket costs Higher Education Student Assistance Authority Financial Aid High School Presentation - 18

Sample EFC • • Hayes Family lives in New Jersey Married Parents Household Size = 4 (1 child going to college) Parent’s 2018 Income = $140, 000 Parent’s Assets = $20, 000 Student’s 2018 Income = $0 Student’s Assets = $0 EFC = $20, 830 Higher Education Student Assistance Authority 19 Financial Aid High School Presentation - 19

Financial Need for Hayes Family Bergen Community College Rutgers University (County College) (State College) $5, 860 $25, 561 $45, 676 EFC $20, 830 Financial Need $0 $4, 731 $24, 846 College COA (Annual) Higher Education Student Assistance Authority 20 St. Peter’s University (Private College) Financial Aid High School Presentation - 20

Sample EFC • • Jones Family lives in New Jersey Single Parent Household Size = 2 (1 child going to college) Parent’s 2018 Income = $32, 000 Parent’s Assets = $0 Student’s 2018 Income = $2, 000 Student’s Assets = $0 EFC = $0 Higher Education Student Assistance Authority 21 Financial Aid High School Presentation - 21

Financial Need for Jones Family Rowan University Centenary University (State College) (Private College) $5, 860 $25, 561 $45, 676 EFC $0 $0 $0 Financial Need $5, 860 $25, 561 $45, 676 College Ocean County College (County College) COA (Annual) Higher Education Student Assistance Authority 22 Financial Aid High School Presentation - 22

What is Financial Aid? Higher Education Student Assistance Authority Financial Aid High School Presentation - p 23

Types Sources ü U. S. Department of Education (Federal) ü New Jersey (State) ü Institutions ü Grants ü Scholarships ü Loans ü Employment Opportunities ü Outside Organizations Higher Education Student Assistance Authority Financial Aid High School Presentation - 24

U. S. Department of Education Ø Ø Ø Pell Grant Supplement Educational Opportunity Grant TEACH Grant Work Study Perkins Loan Direct Loan • Subsidized Stafford Loan (no interest accrued) • Unsubsidized Stafford Loan (interest accrued) Ø Direct Parent Loan for Undergraduate Students (PLUS). Higher Education Student Assistance Authority Financial Aid High School Presentation - 25

New Jersey Ø Tuition Aid Grant (TAG) Ø Educational Opportunity Fund (EOF) Ø Governor’s Urban Scholarship Ø Governor’s Industry Vocation Scholarship Ø Community College Opportunity Grant (C. C. O. G. ) Ø NJ STARS (Community College) Higher Education Student Assistance Authority Financial Aid High School Presentation - 26

Scholarships Awarded annually based upon various criteria, which usually reflect the values and purposes of the donor or founder of the award. They are not required to be paid back. Factors that may influence eligibility: ü Academics ü Athletic Ability* ü SAT’s ü Geographic Diversity ü AP Courses ü Legacy (child of alumni) ü Activities ü Talent ü Academic Track ü Gender/Ethnicity ü H. S. Attended ü Class Rank *Athletic awards offered by NCAA Division I & Division II schools only Higher Education Student Assistance Authority Financial Aid High School Presentation - 27

Alternative Solutions 1. 2020 -2021 – NJ CLASS Loan • • • 10 Year Fixed Rate (starting at 3. 99% APR with a 3% origination fee) 15 Year Fixed Rate (starting at 4. 45% APR with a 3% origination fee) 20 Year Fixed Rate (starting at 6. 50% APR with a 3% origination fee) *families can make interest only payments while student is in school 2. Monthly Payment Plans 3. Campus Employment 4. Specialized Campus Opportunities • • • Resident Advisors Student Ambassadors Student Tour Guides Internships CO-OP’S Higher Education Student Assistance Authority Financial Aid High School Presentation - 28

College Savings Plan 1. HESAA’s NJ BEST is the only 529 College Savings Plan to award scholarships ranging from $500$1, 500, plans are tax free when used to pay for the qualified education expenses of an NJ BEST beneficiary & there are limits on amount contributed annually 2. Uniform Gifts to Minors (UGMA) Accounts 3. Education Savings Accounts (ESA) Higher Education Student Assistance Authority Financial Aid High School Presentation - 29

What Happens Next? Higher Education Student Assistance Authority Financial Aid High School Presentation - p 30

Financial Aid Cycle October - January Complete Admission Applications, FAFSA, & CSS Profile (if applicable) February - May Colleges Send Award Letters June –July Colleges Send Fall Bills *Remember to also meet all deadlines from Institution, Scholarships, CSS Profile, & NJ State Higher Education Student Assistance Authority Financial Aid High School Presentation - 31

Net Price Calculator ü All institutions are required to have a this posted on their websites ü Students can estimate the price of the institutions they’re interested in ü Based on full-time enrollment & first year Higher Education Student Assistance Authority Financial Aid High School Presentation - 32

Verification is a process that the U. S. Department of Education and NJ HESAA uses to confirm the information provided on the FAFSA. If your FAFSA is randomly selected, please remember: ü Institutions are responsible for verification to determine Federal financial aid eligibility ü Institutions send requests for information &/or documentation by mail, e-mail, or portal ü NJ HESAA is responsible for verification to determine NJ State financial aid eligibility ü Check your NJFAMS account for ‘to-do’ list (this will contain the request for information &/or documentation) ü Be sure to meet deadlines Higher Education Student Assistance Authority Financial Aid High School Presentation - 33

Award Letter An official notification that outlines financial aid awards. It is intended to help you understand your COA, EFC, and ability to pay. It also defines the financial assistance offered and helps determine if you need additional help to afford the institution. Higher Education Student Assistance Authority Financial Aid High School Presentation - p 34

Contact U. S. Department of Education www. studentaid. ed. gov 1 -800 -433 -3243 NJ HESAA www. hesaa. org 609 -584 -4480 CSS Profile www. student. collegeboard. org 305 -829 -9793 Higher Education Student Assistance Authority Financial Aid High School Presentation - 35

Thank you for your time. Higher Education Student Assistance Authority