Applying for

Financial Aid 2024-25

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Presented by Devan McFadden, East Bay Consortium

Training Agenda

Financial Aid Overview

FAFSA Line-by-Line

Break

AB 540 & CADAA

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Training Guidelines

• No general financial aid information provided, but is included on the PPT slides
• Questions during the training should be asked using the chat function which will be sent directly to EBC staff
• Will be addressed during designated Q&A sections
• Q&A at the end if time permits
• Training PPT, resources, and Q&A will be emailed after the training

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What Is Financial Aid?

• Money to pay for college

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• Financial aid can be borrowed, given, or earned money from different sources to help pay for college

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Types of Financial Aid

• Gift Aid - Grants or scholarships that do not need to be earned or 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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Sources of Financial Aid

• Federal government
• State government
• Colleges and universities
• Private agencies, companies, foundations, and employers

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FEDERAL AID

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Who Gets Federal Aid?

Eligibility Requirements:

• Demonstrate financial need
• Be a U.S. citizen or eligible non-citizen
• Have a valid Social Security Number
• Show you’re qualified to obtain a college or career school education by
• Having a HS diploma or GED
• Completing a HS education in a homeschool setting approved under the state law
• Maintain satisfactory academic progress in college or career school

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Federal Aid - Grants

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Federal Aid - Loans

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Federal Aid - Work Study

• Money paid for as a job on or off campus
• Flexible part-time jobs
• Student is paid at least federal minimum wage
• Funds depend on availability at school

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STATE AID

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State Aid - Cal Grants

Cal Grant High School Entitlement & Competitive Awards -

A & B

• A source of grant funds provided by the State of California for California students
• Students planning to attend a CA college or university may be eligible to receive one of the following Cal Grants
• High school Grade Point Average (GPA) is an important eligibility criterion for these grants. The Cal Grant GPA is calculated using grades from sophomore and junior years of high school and any summer grades after each of those years
• Awarded grants may be renewed if students and their families continue to meet all eligibility requirements for a maximum of 4 years

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Eligibility for Cal Grants

To be eligible for a Cal Grant, the student must also:

• Be a U.S. citizen, Eligible Noncitizen, AB 540 student
• Be a California resident
• Attend an eligible, accredited California college or university at least half-time in 2023-2024

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Residency Eligibility for

Cal Grant

• If unmarried and under 18 years of age, the student will be considered a legal resident of CA if:
• Parents have been legal residents of CA for one year immediately prior to September 20, or
• Student has lived in CA with other legal CA residents, other than parents, for two years immediately prior to September 20, or
• Parents who are active military duty, stationed in CA at the time the student enrolls in college, or parents’ military home of record is CA
• If married or 18 years of age or older, the student establishes his/her own residency status. The student must be a legal resident of CA for one year prior to September 20
• Undocumented students who qualify for AB 540 in-state tuition are considered to have satisfied Cal Grant residency requirements. This includes AB 540-eligible DACA students

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State Aid - Cal Grants

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REQUIREMENTS

AWARD AMOUNT

State Aid - Cal Grants

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REQUIREMENTS

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Middle Class Scholarship

• Undergraduates with family income and assets of up to $226,000 who:
• Submit 2024-25 FAFSA or CADAA by April 2, 2024
• Attend a UC or CSU
• Are U.S. Citizens, Permanent Residents, or have AB540 status
• Are California Residents, and
• Maintain satisfactory academic progress
• Annual award amounts:
• To be determined by the California Student Aid Commission
• Amount is determined by annual State Budget and # of eligible recipients
• Recipients are notified July 2024

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California Chafee Grant

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• The California Chafee Grant program provides up to $5,000 annually to current and former foster youth for college or vocational training at any accredited college in the U.S., based on available funding
• Foster youth must have been in California foster care between the ages of 16-18 and not have reached their 26th birthday before July 1, 2024
• Foster youth are encouraged to apply during their senior year of high school
• To apply, the foster youth must complete:
• 2024-2025 FAFSA or CADAA
• California Chafee Grant Program Application

To apply, go to www.chafee.csac.ca.gov

Private Scholarships

• Deadlines and requirements will vary
• Merit, Need-based, community service, athletics, etc.
• Corporations, small business, community organizations
• May cover expenses such as tuition, fees, books & supplies, personal expenses, etc.

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Undocumented Students

• And is applying to any California public college or university, check to see if they might be eligible for in-state tuition/fee costs (AB540)
• Visit www.CalDreamAct.org to learn more about the new California Dream Act signed into law in 2011
• Check with colleges and universities about CA Dream Act institutional financial aid and private scholarships and the timelines for applying
• Apply for all other private scholarships for which the student may be eligible

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For more information and a list of scholarships, go to�www.latinocollegedollars.org �www.finaid.org/otheraid/undocumented.phtml

www.immigrantsrising.org

If the student is undocumented...

COMPLETING THE APPLICATION

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Types of Applications

• FAFSA = Free Application for Federal Student Aid

• CADAA = CA Dream Act Application

• Undocumented students covered under AB 540

• Cal Grant GPA Verification Form

Other applications or forms as required by the college such as:

• CSS/Financial Aid PROFILE

• Institutional Scholarship and/or Financial Aid Application

• 2022 Federal Tax returns (along with all schedules and W-2s) or other income documentation

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FAFSA/CADAA Changes

FAFSA

• Shorter form with only 46 questions
• Removal of save key
• List up to 20 colleges
• Gifts to Students
• Distributions from 529 college savings plans owned by a non-custodial parent or grandparent no longer affect aid eligibility
• The parent who provides 50%+ of financial support should be the contributor
• Family size is now based on:
• Student
• Parent(s) or spouse (if any)
• Dependents from applicable federal income tax return
• New Terminology
• Contributor: anyone asked to provide information on a student’s FAFSA
• Consent: all contributors must provide consent for federal tax data to be: transferred, used, and shared
• SAI: Student Aid Index (SAI), formerly Estimated Family Contribution (EFC)
• FSS: FAFSA Submission Summary (FSS), formerly Student Aid Report (SAR)

CADAA

• Question about Dream Service Incentive Grant (DSIG)
• AB540 Affidavit
• Electronic Parent Signature BEFORE Submission

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2024-2025 Cal Grant�Application Requirements

Check with your high school or college counselor for more details on how to file the Cal Grant GPA Verification Form, required of all students

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By April 2, 2024, complete and submit:

FAFSA

fafsa.ed.gov

Cal Grant GPA Verification Form

CADAA

dream.csac.ca.gov

OR

AND

CSS Profile

• Required by some private schools
• Different deadlines
• Does not award federal/state grants; used to determine institutional aid
• Cost:
• $25 for initial applications
• $16 for each school report
• Fee waivers available

https://cssprofile.collegeboard.org/

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What Students Will Need

• General student information (name, SSN/Permanent Residency Card, DOB, driver’s license)
• Parent(s) information (name, SSN/Permanent Residency Card/ITIN, DOB)
• Student and Parent
• 2022 W-2 and 1099 Forms and records of money earned and other taxable benefits
• 2022 federal income tax form (even if not yet completed)
• Records of untaxed income
• Current bank statements
• Business, farms, and other real estate records
• Records of stocks, bonds, and other investments
• Parent(s) marital status + marital date
• Household size & number in college
• College information
• Signature (FSA ID for FAFSA; Electronic Parent Signature for CADAA)

**Note: Only include financial information of biological, step-parent, or adoptive parent. Do not include information about grandparents, aunts/uncles, foster parents, etc.

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FAFSA on the Web (FOTW)

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• Internet application used by students and parents to complete electronic FAFSA at:

www.fafsa.gov

• Sophisticated online edit checks and skip logic help avoid errors
• Online help is available for each question
• All contributors will need a Federal Student Aid ID (FSA ID) to login, complete, and sign FAFSA

www.studentaid.gov/fsa-id

Using a FSA ID to Sign the FAFSA

• The FSA ID will allow contributors to access, complete, and electronically sign the online version of the FAFSA with a user-selected username and password.
• This login process is secure, since it eliminates the need for contributors to provide personally identifiable information (PII), such as their name, date of birth and Social Security Number (SSN), every time they access U.S. Department of Education web sites.
• Permits self-service password retrieval by email or phone number without requiring the applicant to reveal PII. It also allows for name changes (e.g., through marriage) without requiring an application for a new FSA ID.
• All contributors should get an FSA ID ASAP as many families have reported challenges in creating and using the FSA ID.

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FSA ID Problems

• Many problems caused by parents creating a FSA ID for the student or vice versa
• An email address can be used with just one FSA ID
• Don’t swap the student/parent name, date of birth or Social Security Number
• Student Social Security Number already in use error often caused by parent creating a FSA ID for the student without telling the student
• FAFSA must be started with the student FSA ID, not the parent FSA ID
• Look for a space or extra period or doubled letters in the email address
• Write down the username, password and answers to challenge questions
• Three unsuccessful login attempts will lock the FSA ID
• Password must be changed after unlocking the FSA ID or it will immediately relock
• Secure code must be entered within 10 minutes, so check spam or junk mail folder
• 30 minute delay before FSA ID can be used if unlocked using challenge questions

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FSA ID

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Create an FSA ID - studentaid.gov/fsa-id

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Make sure Name & Social Security Number entered MATCHES the Social Security Card!

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FSA ID FOR NON-SSN HOLDERS

FSA ID holders are now able to choose “I don’t have a Social Security Number”.

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They will then receive this pop-up reminder to ensure they are choosing the correct option.

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FSA ID FOR NON-SSN HOLDERS

Non-SSN Holders will now have a “Identity Verification” section where they will need to answer a few knowledge-based questions to verify identity.

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FSA ID FOR NON-SSN HOLDERS

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FSA ID FOR NON-SSN HOLDERS

If the identity of a non-SSN holder is not verified:

1. Contact FSAIC at 1-800-433-3243
2. A customer service representative will look up the account and begin the identity verification process
3. You will receive an email with a case number and instructions for providing the proper documentation for us to verify your identity
4. Submit the required documentation
5. Within 1-3 days FSA will provide an email confirming that your identity has been verified

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Questions?

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Getting Started on FOTW

STUDENT PERSPECTIVE

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Getting Started on FOTW

Section 1 – Personal Circumstances

Section 2 – Demographics

Section 3 – Financials

Section 4 – Colleges

Section 5 – Signature

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Login Using FSA ID

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Getting Started on FOTW

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Getting Started on FOTW

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Getting Started on FOTW

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Getting Started on FOTW

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Student Identity Information

• Double check the student’s Name and Social Security Number when entering it on the FOTW

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• Both student name and Social Security Number will be compared through a database match

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Student State of Legal Residence

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Students should input the MONTH and YEAR of when they became a legal resident of their state

Consent & Approval

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Consent & Approval

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Section 1: Personal Circumstances

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Dependency Status

Series of questions to determine if a student is DEPENDENT or INDEPENDENT for federal and state financial aid purposes.

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If the student answers NO to all questions:

• Makes the student dependent
• MUST submit parent information

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If the student answers YES to any question:

• Makes the student independent
• NOT REQUIRED to provide parent information

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Section 1: Marital Status

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Section 1: College or Career School Plans

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When the student begins the 2024-2025 school year, what will be their grade level?

• First year
• Second year
• Other undergraduate (junior and beyond)
• Master’s, doctorate, or graduate certificate program

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When the student begins the 2024-2025 school year, will they already have their first bachelor’s degree?

• Students starting college in 2024-25 should mark “NO” to this question
• Only students who will be pursuing a graduate or professional degree during 2024-25 should mark “Yes”

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Section 1: Personal Circumstances

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Dependency Status

• Dependent students are required to report parent information on the FAFSA. Unless, they have a special circumstance
• A student is considered to be dependent even if:
• The student is financially self-sufficient
• The student does not live with his or her parents
• The student is not claimed as an exemption on the parent’s federal income tax returns
• The parents refuse to complete the FAFSA, participate in verification, pay for college or live in a foreign country

Criteria for Independent Student Status

• Age 24 as of Dec. 31st of the award year
• Married
• Graduate student
• Has children who receive more than half their support from the student
• Has other dependents who live with the student and receive more than half support from the student
• Active duty member of the U.S. Armed Forces for purposes other than training
• Veteran
• After reaching age 13 was an orphan, in foster care or a ward of the court
• Court-ordered emancipated minor prior to reaching the age of majority
• Court-ordered legal guardianship
• Unaccompanied youth who is homeless or self-supporting and at risk of homelessness

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College FAAs can grant a dependency override in unusual circumstances

Section 1: Other Circumstances

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Section 1: Your Dependency Status

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Students will be deemed PROVISIONALLY INDEPENDENT if they choose:

• “None of these apply” to the Personal Circumstances
• “Yes” to the Other Circumstances AND
• “None of these apply” to the question regarding who determined the students was homeless or at risk of becoming homeless.

Students will be deemed INDEPENDENT if they choose:

• Any of the Personal Circumstances OR
• “Yes” to the Other Circumstances AND that one of the options provided determined that the student was homeless or at risk of being homeless

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Section 1: Unusual Circumstances

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Student who answer …

• “None of these apply” to the Personal Circumstances AND
• “NO” to the Other Circumstances

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will be provided the “Student Unusual Circumstances” question.

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Answering “YES” = Provisionally Independent Student

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Answering “NO” = …

Section 1: Your Dependency Status

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Students will be deemed DEPENDENT if they choose:

• “None of these apply” to the Personal Circumstances
• “Yes” to the Other Circumstances AND
• “None of these apply” to the question regarding who determined the students was homeless or at risk of becoming homeless.

Students should answer “NO”

Section 1: Who is a Parent?

Who is considered a parent?

• Biological or adoptive parent(s)
• Including same-sex parents
• Including unmarried parents living together
• In case of divorced or separated parents who don’t live together, provide information about the parent who provided 50%+ financial support for the student in the last 12 months
• Stepparent (regardless of any prenuptial agreements), if currently married to the student’s custodial parent

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Section 1: Who is Not a Parent?

Do NOT provide information on:

• Foster parents or legal guardians
• If the student is in foster care or has a legal guardian, they are automatically considered an independent student
• Grandparents or other relatives are not considered parents unless they have adopted the student
• If this is not the case, the student must attempt to get biological parental information
• Colleges may use Professional Judgment to allow the student to file as independent

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Section 1: Student’s Parents

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In both of these scenarios, the student would need to provide information for both of their legal (biological or adoptive) parents

Section 1: Student’s Parents

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NOTE: if both parents provided an exact equal amount of financial support or if they don’t support the student financially, select “No,” and refer to the parent with the greater income or assets in next question.

Section 1: Student’s Parents

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Students can invite one or both parents to provide information on the FAFSA.

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NOTE:

• If parents are married and filed jointly, only ONE parent will need to be invited as a contributor.
• If parents are married and filed separately OR not married but living together, they will BOTH need to provide information, thus both will need their own FSA ID.

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If a parent does not have a SSN, they will be asked to provide their mailing address instead.

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Once student clicks “SEND INVITE”, the Continue button will appear.

Questions?

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Section 2: Student Demographics

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Section 2: Student Demographics

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Section 2: Student Citizenship Status

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• If U.S. citizen, status will be confirmed by Social Security match
• If eligible noncitizen, status will be confirmed by Department of Homeland Security (DHS) match. This includes:
• U.S. permanent residents with I-551
• Conditional permanent residents with I-551C
• The holder of an Arrival-Departure Record (I-94) from the Department of Homeland Security showing any of the following designations: “Refugee,” “Asylum Granted,” “Parolee” (I-94 confirms paroled for a minimum of one year and status has not expired), T-Visa holder (T-1, T-2, T-3, etc.) or “Cuban-Haitian Entrant;”
• The holder of a valid certification or eligibility letter from the Department of Health and Human Services showing a designation of “Victim of human trafficking.”
• A resident of the Republic of Palau (PW), the Republic of the Marshall Islands (MH), or the Federated States of Micronesia (FM)
• Canadian-born Native American under terms of the Jay Treaty

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Section 2: Eligible Noncitizen

• If eligible noncitizen, write in the student’s eight- or nine-digit Alien Registration Number (ARN)
• Precede an eight-digit ARN
• Copy of the student’s Permanent Registration Card may be requested by the financial aid office
• If neither a citizen nor eligible noncitizen, the student is ineligible for federal aid. Such students should check with their college financial aid office for other aid opportunities.
• If the student is undocumented as defined in AB 540, they may be eligible for state financial aid. Learn more at www.caldreamact.org

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Section 2: Questions About Parents

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Section 2: High School

Completion Status

What will the student’s high school completion status be at the beginning of the 2024-25 school year?

• High school diploma
• State-recognized high school equivalent (e.g, GED certificate)
• Homeschooled
• None of the above

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Section 2: Search for HS

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Questions?

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Section 3: Your Finances

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Section 3: Your Finances

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Section 3: Your Finances

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Questions?

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Section 4: Select Colleges

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Section 4: Select Colleges

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• The student will be asked to enter the location and name or the federal school code for each school to which they want FOTW information sent

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• If the student does not know the federal school code, enter the state in which the college/university is located and search for the federal school code by the college/university name

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Section 4: Select Colleges

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Section 4: School Selection

Strategies for Listing Colleges

• List a California college or university first (for Cal Grant consideration)
• Then list those colleges 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 20 colleges, wait for the processed FAFSA Submission Summary (FSS) and then add additional colleges, deleting previous colleges if necessary
• Via the Web, using the student FSA ID
• By phone, using the DRN from the SAR

NOTE: Each UC and CSU campus must be listed separately

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Questions?

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Section 5: Review & Sign

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Section 5: Review & Sign

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Section 5: Review & Sign

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Questions?

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Getting Started on FOTW

CONTRIBUTOR (PARENT) PERSPECTIVE

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Getting Started on FOTW

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Getting Started on FOTW

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Getting Started on FOTW

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Consent & Approval

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Getting Started on FOTW

Section 1 – Demographics

Section 2 – Financials

Section 3 – Signature

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Section 1: Parent Demographics

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Section 1: Parent Demographics

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Section 2: Finances

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Section 2: Federal Benefits & Tax Filing Status

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Tax Filing Income Threshold

Thresholds as provided by IRS:

• Single: $12,950 or more
• Married, filing jointly: $25,900
• Head of Household: $19,400

(Defined as someone who paid more than half the costs of keeping up a home for the year)

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Section 2: Family Size & # In College

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• Always include the student even if they will attend college less than half-time in 2024-2025
• Include other household members only if they will attend at least half-time in 2024-2025 in a program that leads to a college degree or certificate
• Never include the parents in the number in college
• NOTE: Some financial aid offices will require documentation that other family members are attending college

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Section 2: Tax Return Information

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Section 2: Parent Asset

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• If asked, parents should report the annual child support received, current balances of their parents’ cash, savings, and checking accounts as of the day they complete the FOTW
• Provide information about the net value of parent investments such as real estate, rental property, money market and mutual funds, stocks, bonds and other securities
• In addition, they may be asked questions about the net value of parent businesses and investment farms
• They should not include the home in which they live or the value of life insurance and retirement plans

Section 2: Other Parent Information

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NOTE:

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This is NOT inviting the second parent to be a contributor. Since the parents are married, information about the other parent is still needed.

Section 3: Review

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Section 3: Sign

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NOTE:

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Since the application is FULLY completed, the parent will see “Sign and Submit”

Section 3: Confirmation

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Student & Parent Finances

CONSENT DECLINED

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Student & Parent Finances

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Tax Return Filing Status

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Student & Parent Finances

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What Happens Next?

Students and the colleges the student listed receive FAFSA Submission Summary (FSS) from federal processor

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Students who complete FAFSA/CADAA and Cal Grant GPA Verification Form receive California Aid Report (CAR)

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Students and families review FSS and CAR for important information and accuracy of data

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Colleges match admission records with FAFSA/CADAA and other required financial aid forms to determine aid eligibility

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Colleges provide notices of financial aid eligibility to admitted students who have completed all required financial aid forms

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Always contact the college or university you plan to attend for important deadlines and additional information

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How Does Financial Aid Work?

Colleges determine and offer their students financial aid based on the following equation.

Also known as “Need Analysis.”

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Cost of Attendance (COA)

• Student Aid Index (SAI)

Financial NEED (Financial Aid Eligibility)

Special Circumstances

Contact the Financial Aid Office if there are circumstances which affect a family’s ability to pay for college such as:

• Loss or reduction in parent or student income or assets
• Death or serious illness
• Natural disasters affecting parent income or assets
• 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, or
• Any other unusual circumstances that affect a family’s ability to contribute to higher education

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Better FAFSA Workarounds 1/23

1. If a student incorrectly selects "eligible noncitizen" and completes the demographic section, they will not be able to submit their FAFSA after correcting their citizenship status.
1. Workaround: Delete the current application and start a new one.
2. Student or parent who returns to signed and saved FAFSA that still requires contributors will find the FAFSA no longer has their signature.
• Workaround: Re-sign the FAFSA.
3. College names are truncated and difficult to distinguish between when colleges have multiple programs.
• Workaround: Search by federal school code (can be found HERE).

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Better FAFSA Current Issues 1/23

At this time, there are no workarounds for these issues. Students and contributors will not be able to move around these issues until the system is fixed.

1. Parent with no SSN is unable to start FAFSA for student or contribute to an existing FAFSA.
1. Glitch with creating FSA ID with identifying questions not appearing and being directed to call FSAIC to verify identity.
2. FSAIC is overwhelmed with calls and parent(s) are not able to get through.
3. If parent(s) do get through, verification process takes 7-10 business days to process.
2. Parent with foreign legal residence is unable to submit FAFSA when they have not filed taxes due to earning no income.
3. Married student or parent who does not provide spouse’s information before leaving FAFSA form will not be able to complete and submit form upon re-entry.

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FOTW Demonstration Website

Better FAFSA Prototype

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• Scenarios included:
• New Applications
• In-Progress Applications as the Parent, Other Parent, Student Spouse
• Correction Applications

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OTHER RESOURCES

FSA Toolkit

Better FAFSA Toolkit

FSA Outreach Youtube Page

CSAC Outreach Youtube Page

10 Things to Know Regarding Mixed-Status Families

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Devan McFadden

devan@eastbayconsortium.org

www.eastbayconsortium.org