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Discussion Topics

What is Financial Aid?
Student Aid Index
Cost of Attendance (COA)
Financial Need
Sources and Types of Financial Aid
Changes for 2026 - 267
Forms to File – FAFSA, CSS, TAP, EXCELSIOR
Award notifications
Special Circumstances

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What is Financial Aid?

Financial aid consists of funds provided to students and families to help pay for postsecondary educational expenses

Includes grants, scholarships, loans, work-study, etc.

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General Eligibility Requirements�(for federal financial aid)

Be a U.S. citizen or eligible noncitizen
Attend a college approved for federal funding
Enrolled in an eligible degree or certificate program
Maintain satisfactory academic progress
Provide consent and approval to have your federal tax information transferred directly into your Free Application for Federal Student Aid (FAFSA^®) form
Sign the certification statement on the FAFSA form stating that you’re not in default on a federal student loan, you do not owe money on a federal student grant, and you’ll only use federal student aid for educational purposes

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What is the Student Aid Index (SAI)?

The SAI formula calculates the total financial resources of you and your parents then deducts the minimum amount needed for your family's normal annual living expenses.

Student contribution

Parent contribution

(for dependent students)

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What is Cost of Attendance (COA)?

Tuition and fees
Housing and food
Books and supplies
Transportation
Miscellaneous personal expenses

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What is the Financial Need?

Cost of Attendance (COA)

– Student Aid Index (SAI)

= Financial Need

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Financial Need: An Example

Tuition 53,416

Housing/Meals/Insurance 16,192

Books 850

Personal Expenses/Transportation 1,030

Direct Loan Fee 70

Cost of Attendance 71,558

– Student Aid Index (SAI) 20,000

= Financial Need 51,558

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Sources of Financial Aid

Federal Government

States

College and Universities

Private Sources

Employers

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Federal Government

Largest source of financial aid

Aid provided primarily on financial need

Must apply each year using the FAFSA

Eligibility requirements must be met

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Federal Student Aid Programs

Federal Pell Grant*

Federal Supplemental Educational Opportunity Grant (FSEOG)

Teacher Education Assistance for College and Higher Education (TEACH) Grant

Federal Work-Study (FWS)

Federal Direct Student Loans (Direct Loans)

Federal Direct PLUS Loans*

*Changes to program effective with 2026-27 award year

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Federal Pell Grant Changes

Creation of Workforce Pell Grant
Limitations on Pell Grant eligibility

Student is not eligible for the Pell Grant if:

SAI exceeds twice the maximum Pell Grant amount ($14,790); or
Student’s nonfederal grants and scholarships cover entire COA (even if otherwise eligible)

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Parent PLUS Changes

New borrowers on or after July 1, 2026:

Annual loan limit: $20,000 per dependent student
Aggregate loan limit: $65,000 per dependent student

Legacy borrowers may borrow at previous loan limits for the shorter of:

3 academic years; or
Time for student to complete program

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Colleges and Universities

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Private Sources

Foundations, businesses, churches, civic, and charitable organizations

Deadlines and applications procedures vary

Begin researching private sources early

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Employers

May have scholarships available to the

children of employees

May have educational benefits for their employees

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Categories of Financial Aid

Need-based aid

Non-need-based aid

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Types of Financial Aid

Scholarships

Grants

Work-Study Employment

Loans

Gift Aid

Self-Help Aid

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Gift Aid: Scholarships

Scholarships are typically not based on financial need
Academic and/or Talent components
Require full-time enrollment and cumulative grade point average (GPA) for renewal
Do not need to be repaid

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Gift Aid: Grants

Grants – federal, state, and institutional aid provided on the basis of financial need and typically do not have to be repaid
Institutional Grants

Usually limited at public institutions
Private institutions will have more resources; not all private colleges have the same funding levels to spend

Ask each college what type of aid they offer and whether it is based on financial need

Check each college financial aid websites or contact their financial aid offices

Awards may change from year to year if financial need changes (based on annual FAFSA and CSS Profile, if required)

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Self-Help Aid: Employment

Student Employment Opportunities
Federal Work Study based on financial need
Students normally work 10-12 hours a week and are paid directly for any hours worked

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Self-Help Aid: Loan Types

Federal Direct Subsidized and Unsubsidized Loans

Subsidized is need-based and interest does not accrue while the student attends at least half time. Current interest rate is 6.39%
Unsubsidized is not based on need and interest accrues from the time of disbursement. Current interest rate is 6.39%

Federal Direct PLUS Loan (PLUS = Parent Loan for Undergraduate Students)

Federal loan program available to parents of dependent undergraduate students. Current interest rate is fixed at 8.94%

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Self-Help Aid: Loan Types (continued)

Private, Alternative Loans

Loan programs that allow students/families to meet their educational costs
Usually require a cosigner for student borrowers and the student must be 18
Interest rates can be variable or fixed
ELMSelect – some schools partner with ELMSelect to make comparing private student loans easy.

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Outside Resources

Explore Community Foundations and local organizations such as Rotary Club, Kiwanis, 4-H
Check with your employer
Scholarship websites:

www.fastweb.com
www.finaid.org/scholarships
www.careeronestop.org/GetMyFuture/Toolkit/find-scholarships.aspx
https://bigfuture.collegeboard.org/pay-for-college

Never pay to apply for scholarships

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Free Application for Federal Student Aid (FAFSA^®)

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Free Application for Federal Student Aid (FAFSA^®)

For the 2026-27 academic year, the FAFSA will be available by October 1st

https://studentaid.gov/

Colleges may set FAFSA priority dates
Collects demographic and financial information
Information is used to calculated the student aid index (SAI)

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What do I need to get started?

Get an FSA ID and password (create account)

https://studentaid.gov/fsa-id/create-account/launch
Student and parent must create own FSA ID
Create FSA IDs as soon as possible – can typically get an FSA ID and complete a FAFSA form on the same day, but may have limited functionality

Decide which colleges should receive information
Bank statements and investment records
Social Security Card

ensure social security number and name match what is on the card

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FUTURE Act Direct Data Exchange (FA-DDX)

Allows for an individual’s federal tax information (FTI) to be directly transferred from the IRS to the FAFSA
Consent is required by all contributors on FAFSA
IRS transfers information to populate FAFSA income questions for most tax filers
Eliminates manual entry of tax and income information

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Common FAFSA Mistakes

Not creating a studentaid.gov account before starting your FAFSA.
Not knowing state and school deadlines.
Not providing consent to have tax data transferred.
Not inviting the required contributor (parent).
Inputting SSN incorrectly.
Forgetting to sign.

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CSS PROFILE

Used by most private colleges to award institutional funds

https://cssprofile.collegeboard.org/

Available on October 1^st each year
$25 initial application fee (one time charge)

$16 charge for each additional report

Approximately 200 questions
Must be filed electronically

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NYS TAP

https://www.tap.hesc.ny.gov/totw/
Application opened on July 1, 2025
Based on family’s NYS taxable income – up to $125k
Awards currently range from $1000 - $5665
Must attend an eligible NYS institution
Awards are for 8 semesters of full-time attendance

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NYS Excelsior Scholarship

www.hesc.ny.gov/excelsior
Must be NYS resident at least 12 months prior to first day of enrollment
Federal AGI cannot exceed $125,000
Must attend SUNY or CUNY (State or City college in NY)
Student must be enrolled in at least 12 credits each semester of award; must earn 30 credits per year
Must agree to live and work in New York State for a duration equal to the number of years you received the scholarship
Maximum award is $5,500

if eligible, the recipient will receive a tuition credit

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What happens after I apply?

A FAFSA submission summary is sent to the student and colleges listed.

Verify that the information is correct

If corrections are needed, return to studentaid.gov and make corrections as soon as possible

Review the Student Aid Index

Schools will use this number to determine aid eligibility

Colleges will send communication outlining a financial aid package

Read financial aid information carefully
Some colleges require students to accept or reject some or all aid offered

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What happens after I apply?

After submission, you'll receive a confirmation email with your estimated Student Aid Index (SAI).
Review your Student Aid Index (SAI)

The Department of Education processes your form and sends it to your chosen colleges within 1-3 days.

Colleges will send communication outlining a financial aid package

Read financial aid information carefully
Some colleges require students to accept or reject some or all aid offered

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Award Notification

Financial aid packages are released once all forms have been submitted and the student has been accepted for admission

Single release date – colleges may hold all packages and release on one set date
Rolling release – colleges release on a daily basis as packages are completed

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Special Circumstances

Conditions exist that cannot be documented with the FAFSA
Send written explanation and documentation to your college’s financial aid office
College will review and request additional information if necessary
Decisions are final and cannot be appealed to U.S. Department of Education

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