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Copyright 2005 CAD
Federal government
State government
Colleges and universities
Private agencies, companies, foundations, and your parents’ employers
Sources of Financial Aid
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Types of Aid
Gift Aid - Grants or scholarships that do not need to be repaid
Work - Money earned by the student as payment for
a job on or off campus
Loans - Borrowed money to be paid back, usually with interest
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Cal Grants
Cal Grant A Entitlement Awards – for students with a GPA of at least 3.0, family income and assets below the state ceilings, and who demonstrate financial need
Cal Grant B Entitlement Awards – for students from disadvantaged or low income families with a GPA of at least 2.0, family income and assets below the state ceilings, and who demonstrate financial need
Cal Grant C Awards - for students from low income families pursuing vocational programs of study
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Need-Based Grants
Federal GrantsPell Grants
- $4,050 maximum per year
Supplemental Educational Opportunity Grant (SEOG)
- $4,000 maximum per year
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Need-Based Grants
College Grants Community College Board of Governors’ (BOG) Fee Waiver
- Waives the California Community Colleges’ enrollment fee for financially needy California residents
- To learn more about this BOG Fee Waiver, go to:
www.icanaffordcollege.com
CSU State University Grant (SUG) – amounts vary
UC Grant – amounts vary
Independent College Grants - amounts vary
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Types of ApplicationsFAFSA
Cal Grant GPA Verification Form
Other applications or forms as required by the college such as
– 2005 federal tax returns (along with schedules and W-2s) or other income documentation
GPA Form
– CSS Financial Aid PROFILE – Institutional Scholarship and/or
Financial Aid Application
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Getting ReadyBefore starting the FAFSA, gather:– Student driver’s license – Student Alien Registration Card
– Student and Parent
Social Security cards
2005 W-2 Forms and other records of money earned
2005 federal income tax form (even if not completed)
Records of untaxed income
Current bank statements
Business, farm and other real estate records
Records of stocks, bonds and other investmentsCreate a file for copies of all financial aid
documents submitted
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Getting Started
Read all application instructions
If planning to submit the paper FAFSA:
– Use pen with black ink
– Print clearly in CAPITAL letters:
– Fill in ovals completely:
– Do not leave blanks (unless directed by instructions)
– Do not write comments or notes anywhere on form
– Do not use correction fluid
1 5 E L M S T
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The FAFSAA Seven-Step ProcessThe FAFSAA Seven-Step Process
Step One -- is about the student
Step Two -- asks for student income and assets
Step Three -- determines student dependency status
Step Four -- requires parental information for dependent students
Step Five -- is for independent students only
Step Six -- allows the student to list up to six schools
Step Seven -- Certification Statement asks for signatures and submission date of
the FAFSA
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4 5 6 7 8 9– List the student’s name and Social Security number exactly as they appear on the Social Security card (both will be compared through a database match process).
#8 Social Security Number
S U S A N J O N E S L
#1-3 Name
8 7 0 2 0 9#9 Date of Birth
– Be careful not to write the current year for student’s date of birth
PAGE 3 – Step One
1 2 3
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– Fill in the student e-mail address that will be valid at least until the student starts college
#13 E-mail Address
PAGE 3 – Step One
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#14 Citizenship Status
PAGE 3 – Step One
a. If the student is a U.S. citizen, status will be confirmed by Social Security match
b. Eligible non-citizens will be confirmed with DHS match These include:
• U.S. permanent residents with an Alien Registration Receipt Card (I-551)
• Conditional permanent residents with an I-551C status
• Eligible non-citizens with I-94
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If eligible non-citizen, write in the student’s eight- or nine-digit Alien Registration Number (ARN)
• Precede an eight digit ARN with a zero
• Copy of Permanent Registration Card might be requested by the financial aid office
0 1 2 3 4 5 6 7 8
#15 Alien Registration Number
PAGE 3 – Step One
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#14 Citizenship Status
PAGE 3 – Step One
c. If neither a nor b, student is ineligible for federal or state aid, but might still be eligible for a college’s own funds
Note: if the student is undocumented or under-documented– start inquiring in elementary, middle or high school to see if it is
possible for the student to become a permanent resident– apply for all private scholarships for which the student may be eligible– check with colleges and universities to see if institutional financial aid
is available– watch for changes in federal and state laws regarding the eligibility of
undocumented or under-documented students– for more information call:
(213)629-2512
– For a list of scholarships, go to
www.maldef.org/pdf/scholarships_072004.pdf
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Residency relates to the student’s permanent home state – if the student is dependent, the state of legal residence is usually the
state in which the custodial parents live.
State of legal residence is also used – in the need calculation to determine the appropriate allowance for
state and other taxes paid by that state's residents
– to determine eligibility for state grants such as the Cal Grant
C A
#18-20 Student’s State of Legal Residence
PAGE 3 – Step One
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– Male students who are 18 years of age or older must be registered with Selective Service to receive federal and state aid.
#21-22 Selective Service Registration
PAGE 3 – Step One
#22
– Answer “yes” only if the student is male, aged 18-25, and has not yet registered. The student may also register by going to:
www.sss.gov
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– Indicate the student’s degree or certificate objective for 2006-2007.
1
#23 Degree Objective
PAGE 3 – Step One
#24 Grade Level
0
– Indicate the student’s grade level beginning with the 2006-2007 school year.
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– Requirement to receive Federal and State Aid– Home schooling may fulfill requirement
#25 High School Diploma or GED?
PAGE 3 – Step One
– If high school senior, the answer is ‘NO’
#26 First Bachelor’s Degree?
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If the student is interested in either student loans or student employment, mark “yes” to each question
– Answering “yes” does not obligate the student either to borrow or to work, nor will it cause the student to lose grants and scholarships
– Answering “no” may restrict some options for limited loans and work-study funds
#27-28 Student Loans and Work-Study
PAGE 3 – Step One
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#29-30 Parents’ Educational Level
PAGE 3 – Step One
– Indicate highest level of schooling completed by biological or adoptive parents (for state award purposes only)
– Use birth parents or adoptive parents - not stepparents or foster parents
– This definition of parents is unique to these two questions
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DO NOT SKIP THIS QUESTION
The student should:– Answer “NO” if:
•Conviction was for alcohol or tobacco•Conviction was removed from record or occurred before age 18 (unless tried as an adult)
– Answer “YES” if the student has been convicted of possessing or selling illegal drugs
#31 Drug Conviction Question
PAGE 3 – Step One
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#32-45Questions are identical to those we will cover in the parents’ income and asset section of Step Four. In Step Two:
– Report the student’s 2005 income and current assets
– If student is single, ignore references to “spouse”
– If student is married, report spouse’s income and assets
– Complete Worksheets A, B, and C for the student on Page 8
Step Two:Student Income and Asset Information
PAGE 4 – Step Two
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– If student is eligible for veterans’ education benefits, report monthly amount expected. (If not applicable, answer zero)
– Number of months should equal number of months attending school. (If not applicable, answer zero)
For more information, contact the VA at:
(800) 827-1000or
www.va.gov
#46-47 Student Veterans’ Education Benefits
PAGE 4 – Step Two
0 0
0
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Step Three: #48-54 Determination of Dependency Status
PAGE 4 – Step Three
– If the student answered “no” to all questions in this step, go to Step Four. For FAFSA filing purposes, the student is considered a dependent student and is required to provide parental information.
– If the student answered “yes” to any question in this step, skip Step Four and go to Step Five. For FAFSA filing purposes, the student is considered an independent student.
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Step Four:Parent Information
See Page 7 of FAFSA instructions about who is considered a parent
– Biological or adoptive parent(s)
– Stepparent•Regardless of any prenuptial agreements
PAGE 5 – Step Four
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Step Four:Parent Information (cont.)
PAGE 5 – Step Four
Do not provide information on:– Foster parent(s)
• Student is automatically considered an independent student
– Legal guardian(s)• Must attempt to get biological parental
information if guardianship ends at age 18• Colleges may use Professional Judgment to
allow the student to file as an independent student
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#55 Parents’ Marital Status as of Today
PAGE 5 – Step Four
#56 Month and year parents were married, separated, divorced, or widowed
M M Y Y Y Y
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NOTE: This information should be provided for the parents who are required to give information for Step Four.
#57-64 Father’s and Mother’s SSN, Last Name, First Initial, and Dates of Birth
PAGE 5 – Step Four
J O N E S
2 3 4 5 6 7 8 9 0
3 4 5 6 7 8 9 0 1
J O N E S S
S 0 6 1 8 4 9
0 4 0 3 4 4
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– Include in parents’ household:• the student applying for financial aid
• the custodial parent(s)
• parents’ other dependent children, if parents provide more than half their support or the children could answer “no” to every question in Step Three, regardless of where they live
• other people, if they now live with the parents, and if the parents provide more than half their support, and will continue to provide that level of support from 7/1/06 through 6/30/07
#65 Parent Household Information
PAGE 5 – Step Four
0 5
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– Always include the student even if he/she will attend college less than half-time in 2006-2007
– Include other household members in #65 only if they will attend at least half time in 2006-2007 in a program that leads to a college degree or certificate
– Always exclude parents
NOTE: Some financial aid offices will require proofthat other family members are attending college
#66 Family Members Attending College
PAGE 5 – Step Four
2
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– Question #67: Indicate the two-digit state code for parents’ permanent address
– If the answer to #68 is “no,” in Question #69, enter the month and year residency began for the parent who has been a legal resident of that state the longest
#67-69 Parents’ State of Legal Residence
PAGE 5 – Step Four
C A
M YYM Y Y
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Step Four:Parent Income and Asset Information
– If the answer to any question is zero or the question does not apply, enter 0:
– Report whole dollar figures:
– Recommendation: If parents have not filed their 2005 federal tax return, use W-2 forms and/or other employment records to estimate total income
PAGE 5 – Step Four
,$ 0
1 2 $ 3 5 6 (no cents),
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– Indicate parents’ current tax filing status for 2005
– Which tax return did or will parent(s) file for 2005?
– Even if parent(s) did not file a 1040A or 1040EZ, read the instructions to see if they would have been eligible to do so
#70-72 Parent Tax Return Filing Status for 2005
#70
#71
#72
PAGE 5 – Step Four
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– If parents have not yet filed their 2005 federal tax return information, it is okay to estimate information for these questions. Do not use 2004 income
– If parents have completed their 2005 federal tax return, use 2005 tax return information to fill out Questions #73-75. Pay attention to specific line-items
Reminder: If the answer is zero or the question does not apply, enter 0
#73-75 Parent Income and Tax Information
PAGE 5 – Step Four
4 5 2 5 0
2 1 3 0
0 5
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– This figure is often different than the adjusted gross income figure on the parent tax return. Use W-2 forms and other records to list all income in 2005 earned from work (including income earned from self-employment)
#76-77 Money Earned from Work by Parent(s)
PAGE 5 – Step Four
4 0 5 0 0
1 3 2 0 0
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#78 Worksheet A: Untaxed Income & Benefits
– To answer, carefully complete the right column of Worksheet A (Page 8 of instructions)
NOTE: Students should keep a copy of the worksheet because the financial aid office may request a copy
1 2 5 0
1 2 5 0
PAGE 5 – Step Four
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#79 Worksheet B: Untaxed Income & Benefits
1 7 0 0
6 2 0 0
5 0 0
8 4 0 0
PAGE 5 – Step Four
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0
PAGE 5 – Step Four
#80 Worksheet C: Exclusions to Income
1 2 5 0
8 4 0 0
0
Totals from Worksheets A, B, and C should be entered in Questions 78, 79, and 80 on Page 5 of the FAFSA
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#81-83
– List the net value of parent assets as of the day the FAFSA is completed
– If net worth is one million dollars or more, enter
Step Four:Parent Asset Information
PAGE 5 – Step Four
,$ 9 9 9 9 9 9
– If net worth is zero, enter 0 (do not leave blank) ,$ 0
NOTE: Some financial aid offices may request supporting documentation for the answers to these questions
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– Report the current balance of cash, checking and/or savings accounts as of the day you complete the FAFSA
#81 Parent Asset Information (cont.)
PAGE 5 – Step Four
2 1 5 5
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– Net Worth means current value minus debt– Investments include:
real estate (other than parents’ home)
trust funds
money market and mutual funds
certificates of deposit
stocks and stock options
bonds and other securities
Coverdell IRAs
college savings plans including 529(c) plans for parents and all children including the student applicant
installment and land sale contracts
commodities, etc.
#81-83 Parent Asset Information (cont.)
PAGE 5 – Step Four
5 0 0 0
0
7 9 0 0
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– Business/Investment Farm includes:
market value of land, buildings, machinery, equipment, and inventory. Debt means only those debts for which the business was used as collateral
#81-83 Parent Asset Information (cont.)
NOTE: DO NOT include the home you live in, the value of life insurance and parent retirement plans (pension funds, annuities, non-education IRAs, Keogh plans, etc), or the value of any prepaid tuition plans
PAGE 5 – Step Four
5 0 0 0
0
7 9 0 0
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#84– Complete this step only if the student
answered “yes” to any question in Step Three (Questions 48-54)
– Include in the student household:the student (and spouse if there is one)
student’s children, if the student will provide more than half their support
other people, if they now live with the student and the student provides more than half their support, and will continue to provide that level of support from 7/1/06 through 6/30/07
Step Five: (Independent Students)Household Information
PAGE 6 – Step Five
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#85– Count the student even if he/she will attend
college less that half-time in 2006-2007
– Include others counted in #84 only if they will attend at least half-time in 2006-2007 in a program that leads to a college degree or certificate
Step Five: (Independent Students) Family Members Attending College
PAGE 6 – Step Five
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0 0 1 1 1 7 C A CA INDEPENDENT UNIVERSITY
COMMUNITY COLLEGE ABC
CAL STATE UNIVERSITY
UNIVERSITY IN ARIZONA
C A
C A
A Z
0 1 2 3 4 5
0 2 3 4 5 6
0 3 4 5 6 7
Step Six:#86-97 School Information
PAGE 6 – Step Six
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Step Six:School Information (cont.)
#86-97– List up to six schools to which the student is applying
– For faster and more accurate processing, write in both the Title IV school code and the school name.
Check with each college’s financial aid office, the student’s high school counselor, or the U.S. Department of Education’s website (www.fafsa.ed.gov) for a listing of federal school codes of the colleges to which the student is applying
– Select the housing plan that best describes the type of housing the student expects to live in while attending each listed school
PAGE 6 – Step Six
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Step Six:
In Question #86, for Cal Grant consideration, list the most expensive California school to which the student is applying
In Questions #88–97, list those schools with the earliest financial aid deadlines, regardless of whether they are in-state or out-of-state
If the student is applying to more than six schools, wait for the processed SAR and add additional schools via the Web or by phone
NOTE: Each UC and CSU campus must be listed separately
Strategies for Listing Colleges
School Information (cont.)
PAGE 6 – Step Six
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#98 Expected Enrollment Status at the start of 2006-07 academic year
PAGE 6 – Step Six
– Provide information about the college the student is most likely to attend
• If in doubt, report “Full-time”
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– Read the statement in Step Seven before submitting the FAFSA
– Fill in the date the student and parent completed the FAFSA
– Student and at least one parent must sign the FAFSA – If submitting FAFSA on the Web, the student and at least one parent
must provide their own individual PINs
– Be cautious about paying someone to complete the FAFSA– You can do it!
#99-100 Read, Sign, and Date
PAGE 6 – Step Seven
0 2 1 5
Student Signature
Parent Signature
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FAFSA ON THE WEB
Internet application used by students and parents to complete electronic FAFSA at
www.fafsa.ed.gov
Processed more quickly than paper version
Sophisticated on-line edits so that errors are less likely to be made
Student and at least one custodial parent should get a federal PIN at
www.pin.ed.gov
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Application Filing Tips FAFSA on The Web
Gather necessary documents ahead of time
Complete a Pre-FAFSA Worksheet available at www.fafsa.ed.gov
Allow ample time to complete form for submission by deadline
Check the FAFSA for accuracy prior to submission
Save all work periodically
Sign the application using student and at least one parent’s PIN
Print out a copy of the FAFSA before submitting data
Keep a copy of the Submission Confirmation Page
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File early and meet all deadlines
Check the FAFSA for completeness and accuracy
Sign and date FAFSA
Make a copy of the FAFSA before mailing
Mail the FAFSA and stamped self-addressed postcard in the envelope provided– Do not write any comments on the FAFSA Do not include letters, tax forms, or worksheets Use regular mail (not Registered or Certified)
Obtain a U.S. Postal Service Certificate of Mailing (cost is only $0.90)
Application Filing Tips Paper FAFSA
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Student Aid Report (SAR)
Regardless of whether student uses FAFSA on the Web or submits a paper FAFSA, a SAR will be sent to the student – An electronic SAR will be sent if student provides an email
address
– A paper SAR will be mailed if no student e-mail address is provided
An electronic copy will be sent to each college or university listed by the student in Questions 86-97
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What Happens Next?
Students and colleges receive Student Aid Report (SAR) from federal processor
Students who complete FAFSA and Cal Grant GPA Verification Form receive California Aid Report (CAR)
Students and families review SAR and CAR for
important information and accuracy of data
Colleges match admission records with financial aid applications and determine aid eligibility
Colleges mail notices of financial aid eligibility to
admitted students who have completed all required financial aid forms
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Special Circumstances
Contact the Financial Aid Office if there is:– Loss or reduction in parent or student income or
assets– Death or serious illness– Unusual medical or dental expenses not covered
by insurance– Reduction in child support, social security benefits
or other untaxed benefit– Financial responsibility for elderly grandparents– Any other unusual circumstances that affect a
family’s ability to contribute to higher education
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Summary of the Financial Aid Process
Submit all required forms, including FAFSA, by each college’s published deadlines (but no later than March 2)By March 2 submit a Cal Grant GPA Verification FormKeep a copy of all forms submittedReview the electronic Student Aid Report (SAR) Acknowledgement or the paper SAR sent to the studentReview the California Aid Report (CAR)Watch for financial aid award notifications from colleges to which the student has been admittedBe sure to apply for financial aid this year and every year as soon as possible after January 1 to receive the best financial aid award possibleASK QUESTIONS!
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Questions and Answers
