One of the most frequently asked questions that I have received over the past 15 years working in admissions is… “We love your school, but how do we pay for this?” For many students, the answer includes some combination of scholarships, grants, loans and direct payments to the institution.
Let’s start with the basics. The Free Application for Federal Student Aid or the FAFSA is the tool that will determine a student’s eligibility for federal grants, federal loans, work study, and state grant programs. All institutions will use this information as a foundation for their institutional aid packages. Schools may also require the student to complete a supplemental institutional aid form. Once the FAFSA has been processed, the student will receive their Student Aid Report (SAR) which will include the student’s Expected Financial Contribution (EFC). The EFC is the dollar amount that the student is expected to contribute to the cost of their education. At the same time, the institutions listed on the FAFSA will receive an Institutional Student Information Record (ISIR) containing the student’s EFC.
Financial aid offices use this information to determine eligibility for federal, state, and institutional financial aid. If the student is determined eligible, the institution will assemble a financial aid package from federal, state, institutional and private sources. The financial aid office, then, sends a financial aid letter to the student to provide information about the financial aid package awarded to the student.
Most financial aid award letters (or notifications to view an award letter on the college’s portal) arrive either simultaneously or shortly after the student receives an offer of admission.
What do you need to file the FAFSA?
Filing is easier if you have gathered everything you need before you get started. If you are a dependent student you will need the following information for yourself, as well as your parents. If you are married you will need this information for your spouse also.
- Social Security Number
- Student’s driver’s license (if applicable)
- Tax return from the prior-prior year
- Bank statements, records of investments, and records of untaxed income (such as veteran’s non education benefits and child support)
- An FSA ID (The FSA ID is the username and password you use on federal student aid websites to electronically sign the form). Students and parents will each need their own FSA ID.