1	FINANCIAL AID PRESENTER USC Lancaster Kenneth T. Cole Director of Financial Aid
2	Why go to college? First step to success Earn more Get the job you want Expand your horizons
3	GETTING STARTED From your first year of high school you have begun working towards your college goals.
4	First Steps to Success Ask yourself these questions: What do you want to study? What program of study? sciences, mathematics, liberal arts, education, etc… What are you good at? What are your interests? Your decision isn’t permanent. What type of degree? How far do you want to go? 2-Year, 4-Year, Master, Dr. Don’t Stress, Prepare Try these sites: http://www.careervoyages.gov/ http://www.sccango.org/
5	First Steps to Success Ask yourself these questions: Where will you study? What universities offer the program you want to study? visit their websites Look at the programs they offer What can you afford? Their web sites will post their tuition and fees. Each school will offer a “Net Price Calculator” This is just an estimate, based on your situation. Consider the cost of living on campus, in an apartment, or traveling. Start looking for scholarships now. Plan your academics to give yourself the best financial aid possible. Examples of costs and financial aid will be given later.
6	First Steps to Success Ask yourself these questions: Where will you study… When I have chosen my schools, how do I get started with them? Call their admissions office and ask for an “Admissions Packet” or “application”. Ask for a campus tour or campus visit. Ask about scholarships and financial aid information specific to them. Try these sites: https://studentaid2.ed.gov/ http://www.sccango.org/
7	First Steps to Success Ask yourself these questions: What will you do now to prepare for this goal? What courses do you need to get admitted? Look at the course requirements for admissions at that college or university. Meet with your guidance counselor. Sign up for College Preparatory course work. AP and Dual-Credit courses are a big help. What academics do you need to maintain? You want at least a 3.0 GPA for Scholarships You want at least a 3.0 GPA for a 4 year school You want at least a 2.0 for a 2 year school. Class ranking is used in determining admissions and some scholarships, so keep an eye on it.
8	First Steps to Success Ask yourself these questions: What will you do now to prepare for this goal… What else will they look at? Make sure you take the SAT or ACT. Take it multiple times They only care about the final numbers. Extracurricular Activities: Sports Clubs Committees Get involved in the community. Showing an active interest in the world always gives you an edge in the admissions process.
9	First Steps to Success You CAN go to college It’s never too late to succeed! Grades are important, but you can get a second chance through a community college. Stay in school! Have more than one plan! 2 year institutions are less expensive You can start at a 2 year college and transfer later 3.0 GPA= $20,000 LIFE Scholarship Low Income students qualify for grants You can borrow loans
10	EDUCATION AS AN INVESTMENT
11	What does an education cost?
12	What’s an education worth? Median Annual Salary for workers with No HS Diploma $13,000 High School Diploma $21,079 Associate’s Degree $30,937 Bachelor’s Degree $40,166 About $20,000 a year for a Bachelor’s Degree Source: U.S. Census Bureau's annual survey comparing earnings with education levels. Based on 2005 year data. “Study Shows Higher Salaries for College Grads”, by Howard Schneider; Washington Post Staff Writer Thursday, March 15, 2007; 10:00 AM
13	So what’s it really worth? What is the cost of education? 2 year degree $29,384 4 year degree $81,000 Not considering what Financial Aid might pay What you could earn in 30 years? Without a School Diploma $632,370 With a 2 year Degree $928,110 With a 4 year Degree $1,204,498 What the degree is worth? 2 year degree $266,356 4 year degree $491,128 College is an Investment that has a 600% return
14	Is it worth it to you? Is 4 years of hard work worth $500,000 to you?
15	What is Financial Aid? It is assistance in paying your Tuition, Fees, Room, Board and other college expenses It most likely will not pay your entire bill
16	Sources of Financial Aid Federal Government (Grants & Loans) State (Grants & Scholarships) Institution (Grants, Scholarships & Loans) Private Agencies (Grants, Scholarships & Loans)
17	When to apply Scholarships: October 2011 Federal Aid: Before March 2012 After that, limited funds may be gone
18	How do you apply? Institutional Scholarships: Contact the admissions/financial aid office at the school. Private Agencies: Contact them or your High School Guidance Counselor Federal and State Aid: FAFSA www.fafsa.gov (not .com) Applying is FREE (there is no fee)
19	Scholarship Applications Common Requirements: 3.0+ GPA 1000+ SAT (Math+Verbal) or 22+ ACT Applications: Essay Letters of Recommendation Hi-light your extracurricular activities Explain how your experiences will lead to your educational goals Search Engines: Fastweb.com Schoolsoup.com
20	Filing the FAFSA When should I file? Starting January 1st As soon as you/your parents have completed your 2011 Taxes Before the end of March
21	Eligibility Requirements Must have a high school diploma or GED. Must be enrolled or accepted for enrollment as a regular student working toward a degree or certificate in an eligible program. Must be a US citizen or eligibile non-citizen. Must have a valid Social Security Number. Must be registered with the Selective Service, if required. There are other eligibility criteria, but rarely an issue.
22	Filing the FAFSA Cont… What will I need to file my FAFSA? Your Taxes (2011) Your Parents’ Taxes (2011) Your PIN (Personal Identification Number) A PIN For your parents
23	Steps in Filing the FAFSA Get Ready: 2011 Taxes, SSN, Driver’s License Fill out the Web Worksheet Log on to www.fafsa.gov Select the “2012-2013” tab, and “Start new FAFSA” Answer questions about yourself and parents Answer income information Choose schools to send FAFSA to. Create a PIN for yourself, and sign Create a PIN for your parents’ and sign Submit the FAFSA, and print Confirmation
24	Notes for filing the FAFSA The FAFSA is filed by the Student, not the parent. Make sure you have the correct SSN. Be sure to enter the right School Code: USC Lancaster: 003453 USC Columbia: 003448 York Technical College: 003996 Make sure you sign it with a PIN Make sure your parents sign it with a PIN Check with the school 2 weeks later After you have submitted the application, you can go back and make changes so long as you have your PIN.
25	Filing the FAFSA Cont… You will be sent a Student Aid Report by e-mail if you provided an e-mail address by mail if you didn’t give an e-mail address The School will be sent your application electronically.
26	FAFSA.gov
27	Tax Law Changes "People claiming any of these three items - involving the state and local sales tax deduction, higher education tuition and fees deduction and educator expenses deduction as well as those taxpayers who itemize deductions on Form 1040 Schedule A - will need to wait to file their tax returns until tax processing," the IRS stated in a Dec. 23 press release. While the new tax law will affect those claiming the tuition and fees deduction, there will be no filing delay for those claiming only the American Opportunity Tax Credit and Lifetime Learning Credit.
28	FAFSA Demonstration The 2012-2013 Web Demonstration site http://fafsademo.test.ed.gov User ID: eddemo Password: fafsatest
29	FAFSA Demo
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39	Questions about the FAFSA Am I Independent?: 24 years old? Veteran or on Active Duty? Parents Deceased and not adopted? Married? Children or other dependents for whom you –the student- provide 50% of their support? Foster youth, emancipated minor, in legal guardianship, or unaccompanied youth who are homeless. Note: Living on your own doesn’t qualify you as Independent (you will need your parents’ taxes)
40	FAFSA Demo
41	Questions about the FAFSA My grandparents/aunt/uncle/friend raised me but did not adopt me, can I put their information on the FAFSA? No, you must have your parents info If you can not reach your parents, put zeroes in their section Ask for a “Dependency Override” from the school. I am in Legal Custody, do I put my Custodian’s information here? No, you should be Independent. My parents are Divorced, whose information do I use? Custodial Parent Step-Parent
42	FAFSA Demo
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46	Questions about the FAFSA Do my parents’ need to File Taxes? Yes, if… their total income is more than $9350 their taxable unearned income more than $950 they’re Self employed earning more than $400
47	FAFSA Demo
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50	FAFSA Demo
51	Questions about the FAFSA Do I need to File Taxes? Yes, if… your total income is more than $5700 your unearned income more than $950 you’re Self employed earning more than $400 Can I, the student, work and still be eligible for Financial Aid? Yes, up to $3750 a year is ignored Anything over that reduces your eligibility
52	FAFSA Demo
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59	Questions about the FAFSA What does the FAFSA tell me? It determines the Expected Family Contribution (EFC) It determines eligibility for Federal and State Grants It replaces a credit check for Federal Student Loans What is the EFC? What your family could contribute towards the total cost of living and paying for college How does the School use it? Determine Need (limits need based awards) Cost of Attendance (limits all awards) Need Formula: COA-EFC = NEED
60	What Next? After you hit submit, you can make changes by logging in with your PIN. If you did not do so originally, complete IRS data Matching. The FAFSA will be sent to the colleges you listed They will receive an electronic copy Check with the college 2 weeks later You may be selected for Verification Your college will notify you if you need to provide more information. Once your application is complete with the college, they can award you financial aid. Every college has their own process, learn it!
61	Verification What is Verification? A review and correction of your application information Applications are randomly selected The schools will notify you Each school will need to verify you What will you need to do? You (and your parents) must complete IRS data-matching OR provide a Federal Tax Transcript You (and your parents) must complete, sign and return the “Verification Worksheet”; and You (and your parents) may be required to send copies of other forms: W-2s,1099-R, 1099-G, tax schedules, etc… You must do this promptly
62	Satisfactory Academic Progress This is a Federal Requirement Minimum required academics to receive aid Required for almost all awards Two Measurements: Qualitative: GPA (Grade Point Average) Usually a 2.00 cumulative GPA Quantitative: Hours attempted vs. Hours Earned Limit is 1 ½ the time it should take to complete the degree Checked at end of Spring or Summer Once you have lost eligibility you can appeal: Complete the proper form Give an acceptable reason for appeal (“poor judgment” or “lack of maturity” are not acceptable). Provide a detailed plan to complete your degree.
63	What types of Aid are available? Scholarships (free money, earned) Grants (free money, usually need based) Loans (borrowed money, has to be paid back) Work Study (money you earn while at school)
64	Federal Grants PELL Grant Based on EFC Guarantee if eligible Based on FAFSA $602 to $5550 ½ per full-time semester 301 to 2775 No more than 2 Full-time semesters per year Maximum of 12 semesters Adjusted for enrollment status SEOG Need based grant Usually awarded to 0 EFC students Not guaranteed $100 to $4000 Each school awards it from limited funds
65	Other Federal Aid Perkins Loans Need based loan No credit check 5% interest rate Up to $5500 annually Each school awards it from limited funds Direct Loans No Credit Check, just file FAFSA Further detail on later slide Work Study Does not apply to the bill, has to be earned Awarded based on need Job is supposed to work around school schedule
66	State Aid Palmetto Fellows Scholarship LIFE Scholarship HOPE Scholarship Lottery Tuition Assistance Need Based Grant or Tuition Grant
67	Palmetto Fellows Scholarship $6700 limit a year Must file a Palmetto Fellows Scholarship Application during Sr. Year Eligibility Requirements: SC resident Meet these 3 requirements: 3.5 GPA on the SC UGS scale SAT 1200 (not including Writing) or 27 ACT Top 6% of Class in sophomore or junior year OR, at end of Senior Year 4.00 GPA on the SC UGS scale SAT 1400 or 32 ACT no felony or drug/alcohol convictions in prior academic year must enroll as a full-time degree-seeking undergraduate student Awarded for 8 Terms only Renewal requirements: 30 Credit Hours, 3.0 GPA Science and Math Majors: Earn 14 hours of Science/Math courses in 1^st year and get a bonus of $2500 each year after.
68	LIFE Scholarship $5000 per year ($2500 per semester; max= T&F+$300) No application required. Eligibility Requirements: SC resident 4 year College: Meet two of these three requirements 3.0 GPA on the SC UGS scale SAT 1100 or 24 ACT (writing sub-section not counted) Top 30% of Graduating Class 2 Year College: Meet only the 3.0 GPA requirement NO SAT/ACT or class rank requirement for two year schools no felony or drug/alcohol convictions in prior academic year must enroll as a full-time degree-seeking undergraduate student Awarded for 8 Terms only (4 terms at a 2 year school) Renewal requirements: 30 Credit Hours, 3.0 GPA College credits earned in High School count towards the 30 hours. Science and Math Majors: Earn 14 hours of Science/Math courses in 1^st year and get a bonus of $2500 for each year after.
69	HOPE Scholarship Funded by the State of South Carolina $2800 per year ($1400 per semester; max t&f +$300 books). No application required. Eligibility Requirements: SC resident 3.0 GPA on a 4.0 scale no felony or drug/alcohol convictions in prior academic year must enroll as a full-time degree-seeking undergraduate student Awarded for 2 Terms only of Freshman year only
70	Lottery Tuition Assistance 2 year schools only (USCL, York Tech, etc…) Current per credit hour rate = $75.00 (maximum $900.00)* Award amount cannot exceed tuition and fees minus Federal/State grant aid Some general eligibility requirements include: Completed FAFSA on file with school Enroll in at least 6 credit hours as a degree-seeking student Be a SC resident Must Not be receiving a LIFE Scholarship Renewal Requirements: 2.0 GPA after first 24 hours *Amount for Spring 2010, subject to change dependent upon sufficient proceeds from the S.C. Education Lottery
71	SC Need Based Grant (Public) Awarded to neediest students first Max award $2500 per year ($1250 per semester) Institutions may award less Amount determined after all other Grants and Scholarships have been applied Some general eligibility requirements include: Completed FAFSA on file with school Enroll in at least 6 credit hours as a degree-seeking student Be a SC resident Life Time Limits: $10,000 for 1^st Bachelor’s Degree, $5,000 for first Associates Degree. Awarded for 8 Terms only (4 at a 2 year school) Renewal Requirements: 24 credit hours, 2.0 GPA If half-time, 12 credit hours
72	SC Tuition Grant (Private) FAFSA must be on file by June 30th Max Award of $2600 per year ($1300 per semester) Awarded to neediest students first, but academic requirements Eligibility Requirements: Enroll in at least 6 credit hours as a degree-seeking student Be a SC resident The student must meet one of these academic requirements: Top 75% of graduating High School Class OR 900+ on SAT (M&V only) / 19+ on ACT OR 2.0 High School GPA on the SC UGS Awarded for 8 Terms only (4 at a 2 year school) Life Time Limits: 4 year limit Renewal Requirements: 24 credit hours, 2.0 GPA If half-time, 12 credit hours
73	Will I need to borrow Loans? After all of this available aid, will you need to borrow a student loan? Example of a fairly inexpensive school COA: Tuition + Fees + Books + Supplies + Room + Board
74	Stafford Loans Direct Loans: Federal Government is the Lender Fees: Currently 0.5%, out of each disbursement (up to 1.5%) Eligibility: Must file FAFSA No Credit Check Must sign Promissory Note Entrance Counseling Payments? None required while in college at least ½ time Payments start 6 months after stop attending college Sub or Unsub? Subsidized: No interest while in school, based on need Unsubsidized: Interest always accrues, not need based
75	Stafford Loans, cont… Interest Rate: 6.8% (subsidized=no interest in school) Base limit is combination of subsidized and unsubsidized Can request $2000 additional unsubsidized per year. Annual Stafford Loan Limits: Freshmen $3500 Base + $2000 Unsub ($2750/semester) Sophomore $4000 Base + $2000 Unsub ($3000/semester) Junior $5500 Base + $2000 Unsub ($3750/semester) Senior $5500 Base + $2000 Unsub ($3750/semester) Aggregate (Total) Loan Limits: Dependent student: $31,000 ($23,000 Sub limit) Repayment: $125/month per $10,000 borrowed. About $450/month for 10 years if borrow $31,000
76	Other Loans Available Parent Loans (PLUS) 8.50 % interest, up to 3% in fees Credit Check Required Goes into repayment immediately Teacher’s Loans Apply early (available in February) Paid off when you teach in a high need area and/or high need program 8.80 % interest rate if goes into repayment Alternative Loans Variable interest, often higher than Stafford Loans Credit Check Required and Cosigner Leroy Springs Student Loan (Springs Close Foundation)
77	Leroy Springs Student Loan NO Interest Loan http://www.thespringsclosefoundation.org/ Requirements: FAFSA on file SAT (820 on Verbal and Math) or comparable ACT Top 50% of graduating class and/or HS GPA of 2.5 Application, Letter of Recommendation, Interview Preference given to applicants who are residents of Lancaster County, Fort Mill Township and Chester Township or whose parents or guardians work full-time in one of these areas. Applications available April 1 and must be completed and returned to the Springs Close Foundation by May 1. You must apply each year, and must maintain a 2.5 GPA as a Full-Time student (12 hours/semester) Pays Tuition, fees, Room, Board and books (up to $3,500)
78	USC Lancaster Scholarships Must complete a scholarship application including a short essay by February 1 of each year. (You can apply as a continuing student) Merit Based: Financial need is not a consideration. Requirements: 3.0 GPA, 1000+ SAT (M+V) Awards are made for the regular academic year, fall and spring semesters, and are not available in the summer. Students must enroll full time in order to receive their awards. Awards based on funding ($500 to $2000)
79	College Goal South Carolina Free professional help to file the FAFSA
80	Important Dates November: Schools begin admitting January: Scholarships awarded January 1 FAFSA available February 18^th College Goal SC - USCL March Have FAFSA filed April Schools begin awarding April 15^th USCL’s Priority Deadline June 30^th Deadline for SC Tuition Grant June Award Letters sent August 1^st USCL’s Deadline for Fall August Bills due, School begins
81	Remember! You must reapply for financial aid each year by renewing your FAFSA If you change schools, your aid does not necessarily transfer with you. Add the School Code on the FAFSA Contact their Financial Aid Office to get it started There are many other sources of Aid. Search for scholarships in your community. Search the Web Don’t pay for a scholarship or grant application
82	Questions? USC Lancaster Kenneth Cole BY MAIL: PO Box 889 Lancaster, SC 29721 BY PHONE: (803) 313-7068 Visit Us: 127 Starr Hall, Hubbard Drive BY WEB: http://usclancaster.sc.edu/ This presentation is available to anyone at the USC Lancaster Financial Aid Office Website