Facts About the FAFSA Application Process for Beginners

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What is the FAFSA and How Do I Fill It Out?

The FAFSA stands for Free Application for Federal Student Aid. The FAFSA is the form required at all colleges that accept and award financial aid. It’s the form that provides your college financial aid officers with the information they need to go ahead and create your financial aid package. The form helps determine the awarding of over $150 billion in federal aid, as well as state aid. To complete the FAFSA you’ll need to provide information from, in this case, your parents' most recent tax return, W-2’s and bank statements. (If your parents are divorced or separated, it’s based on the parent you spent the most time within the previous year). You must file a new FAFSA each academic year you want aid.

When is the FAFSA due?

Every state has its own deadline for the FAFSA. Some states and colleges distribute aid on a first come, first-serve basis, so file as soon as you can. High school seniors should fill out a 2017-18 FAFSA as soon as possible. Wherever you live, you should check with your college guidance counselor to find out your college choices deadline for the FAFSA. The FAFSA gives you a full 18 months to file, so don’t worry if you’re late. This means that students who started college in the fall of 2016 can still file the FAFSA as late as June 30, 2017, and receive federal grants or loans.

Who is Eligible to apply for the FAFSA?

Everyone is encouraged to apply. Low-income students who fill out the FAFSA typically receive full tuition from colleges if they come from disadvantaged backgrounds. Students, who do come from a low-income are still encouraged to apply; In some cases, the student’s family may be asked to pay a portion of the tuition if not full. However, students who are undocumented are not eligible for federal student aid. If the parents aren’t documented but the student is, you can still apply.

All in all

Now you know the important facts of the FAFSA. You know what the FAFSA stands for, when it’s due and who’s eligible to apply. Though all of this information may seem intimidating, don’t shy away from it. You never know what will happen.

Things to Do When You Are Too "Rich" for Financial Aid and Too "Poor" to Afford College

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Shortly after I started senior year of high school, I attended a FAFSA informational meeting. I walked in into the meeting room to hordes of parents and their uninterested children crowded around the front of the room near the speaker. Throughout the meeting, parents raised their hands and took pages of notes but at the end, the most common asked question from the parents was whether their child would qualify when they are more than well-off (combined your parents make over 150-200K). Parents at the end of the session waited in line to speak with the presenter to tell them of their situation, among them were my parents. They asked whether they should even attempt to fill out the application among other things. However, the one answer that the presenter told everyone was that the parents should definitely file out the FAFSA. FAFSA, or Free Application for Federal Student Aid, is a FREE form that the federal government, states, and colleges/universities use to award grants, scholarships, work study and student loans. The maximum amount college students received from the 2014-15 financial aid award year was $5,730. The grants and scholarships are free but any loans have to paid back. This year, the FAFSA has received a few changes. The form is available in October instead of January and parents are allowed to use the prior-prior year tax information instead of the prior tax year. This gives students more time to apply for aid as well as allow for parents to file for FAFSA before filling their previous year’s taxes.

1.Change in Situation

Filing for financial aid is a good idea just in case your family experiences a change in financial circumstance such as a job loss. Some schools may not be able to reconsider applications for assistance after their deadlines, even if a family’s financial status changes. Do notify them however as soon as possible. It will make the process easier. Having a FAFSA form filled out allows for you to get the option to request reconsideration due to the fact your status changed. Some colleges do have contingency funds for such situations. Money is limited but schools might give priority to the students who have their FAFSA on file.

2.Siblings could equal more money.

Financial aid is calculated based on the difference between the cost of attendance and the expected family contribution, or EFC, which is calculated on the FAFSA. So if you have siblings, especially if they are in your age group, you are in luck! Students from well-off families could qualify for aid at expensive colleges, especially if multiple children from the family are in college at the same time.

3.Loans

The government requires students to complete a FAFSA if they want to be eligible for any federal student loans or grants. When you fill out the FAFSA, they send you a letter with information regarding your applications as well as any grants and loans you would could earn. There are non-need-based loans that students from wealthy families can qualify for.  If you want to consider borrowing money for your student, you will need to complete a FAFSA to access government college loans. Some colleges may also require a FAFSA in order to be considered for certain non-need-based scholarships.

Now, if you do not get money the first time, you can apply for FAFSA every year so if your EFC changes as mentioned above changes, it adjusts to your needs. However, make sure you keep up with your grades to earn the maximum amount of money.

I hope these tips will help you out this upcoming year. Leave a comment down below if you have any questions. And as always make sure you follow us on Instagram and Facebook.

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It's All About the Money: Preparing to Pay for College Early

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August 1st has come and gone, which means that college application season is now in full swing. As students across the country decide which schools they want to commit four or more years of their lives to, the subject of money weighs heavily in the back of their minds and influences where they apply. It’s no secret that a higher education puts a dent in your pocket, but knowing what financial aid options you have can make it less severe.

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File the FAFSA.

The Free Application for Federal Student Aid (FAFSA) is the most common form of financial aid. In fact, most colleges require students to fill it out so that they can be considered for the schools’ own merit or need-based scholarships and grants. Depending on your financial situation, the FAFSA might do a lot for you, or barely anything at all- still, even if you think that you don’t qualify for aid, you should still file, because you’ll never know what you might get until you do.

Two big changes have been made for the 2017-2018 application cycle: one, you can use your income information from 2015 instead of 2016, and two, the FAFSA will be available on October 1st, 2017, which is the earliest it’s ever been accessible. So, mark your calendars and when October comes around, make the wise choice of filing your FAFSA. For more information, check out this website.

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Look for Scholarships.

Scholarships are probably the most obvious form of financial aid, but many students wait for scholarship opportunities to find them instead of taking matters into their own hands. It is better to be proactive throughout the coming months by researching what you are eligible for first on a local, then national scale. Make sure to talk to your counselor for assistance. If you want more insight into how to find scholarships, check out Joi Wade’s post, How to Get Scholarships for College!.

Find out if you qualify for participation in Regional Exchange Programs.

These programs are not often talked about, so here’s the scoop: by being a part of one of them, you can pay in-state tuition at an out-of-state school. For example, when participating in the Southern Regional Education Board’s Academic Common Market, a student who is a resident in South Carolina can get the in-state tuition at colleges in many other states, from Georgia to Alabama to Maryland.

Be wary of these programs, though; it is usually the case that someone is only eligible to take part in them if their major is not available in their home state. Learn more here.

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Apply for federal loans.

Whenever the word “loan” is mentioned, students and parents alike get a bit uneasy. The thought of graduating with debt to pay back for years to come is unsettling for most people, but there are multiple options for loans that you can research. It is recommended that you apply for federal loans before searching for private ones, with the most popular being the Stafford and Perkins loans.

There are two different types of Stafford Loans: subsidized and unsubsidized. The subsidized Stafford Loan is available to students who qualify for aid based on the FAFSA, and interest that accrues is covered by the government until six months after the student leaves school. The unsubsidized Stafford loan is available to any student who has filed the FAFSA, regardless of need, but interest payments are the students’ responsibility from the get-go.

The Perkins Loan is for students with exceptional financial need. The student’s school acts as the lender, using funds provided by the federal government, which also pays the student’s interest throughout their college career. Not all schools are a part of the Perkins Loan program, so it would be wise to contact the schools you apply to so you can verify their participation status.

For more information on these loans and others, check out this website.

Hopefully by knowing your options for financial aid, you will feel more confident about paying for your higher education, and won’t be deterred from applying to certain schools simply because of their price tag! Remember that these are not the only options and just a few to get you started. Always talk to a trusted family member about all of your financial options for paying for school.

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