Cash for College
October 2015
Cash for College Partners and Sponsors
Office of Mayor Eric Garcetti
Bixel Exchange
California Cash for College
City of Los Angeles
City of Los Angeles Economic and Workforce Development Department
Edvisors.com
FamilySource
Financial Aid TV
Los Angeles Area Chamber of Commerce
Los Angeles City Workforce Investment Board
Los Angeles Community College District
Los Angeles County Department of Children and Family Services
Los Angeles Unified School District
UNITE-LA
WorkSource California
YouthSource
2
College Is Power!
A College Education Opens Doors
to a Better Life, A Better Job and Many Other Benefits
Workshop Overview
 Why Should Students Go To College?
 College is the pathway to success and a better life
 College graduates earn more money and get better
jobs
 Jobs of the future will require more skills than those
provided by a high school education alone
 Unemployment rates are lower for college graduates
 College is a lot of fun!
 How To Pay For College
4
Who Wants a Million Dollars?
Average Lifetime Earnings
High School Graduate
Bachelor's Degree
Master's Degree
Doctorate (Ph.D)
Professional Degree
College graduates
earn over $1.2
million more during
their lifetimes
than high school
graduates
$1,531,400
$2,742,160
$3,337,800
$4,449,440
$5,612,760
5
What Does Financial Aid Offer?
 Access to funds to help pay for
 4-year public and independent colleges and
universities
 Community colleges
 Private career colleges
 Choice among schools
 Choose the best academic, career, cultural, and social
fit rather than the least expensive program
6
How To Pay For College?
 Financial aid myths
 Financial aid concepts
 Types of financial aid
 Sources of financial aid
 How to apply for financial aid
 Free scholarship searches
7
Financial Aid Myths
• The unclaimed aid myth falsely claims that
billions of dollars went unclaimed last year.
• There’s a penalty for savings, so you will get
more financial aid if you don’t save.
• I will win a free ride through scholarships.
8
More Financial Aid Myths
 My family can’t pay much, so that means I can’t
go to college
 Obama Student Loan Forgiveness
9
What are the Basic Concepts of
Financial Aid?
 College’s Cost of Attendance
 Expected Family Contribution
 Student’s Financial Need
10
The Costs of Going to College
Tuition & Fees
Books & Supplies
Room & Board
Personal Expenses
Transportation
11
What is the
Expected Family Contribution?
 The Expected Family Contribution (EFC) is
the amount a family (parents and student)
is expected to contribute from income and
assets over time
12
What is Financial Need?
Cost of Attendance
- Expected Family Contribution
Financial Need*
*Financial Aid Eligibility
is based on Financial Need
13
How the Formula Works
Cost*
EFC
Need
CC
CSU
UC
$14,000
- 500
$13,500
$24,500
- 500
$24,000
$32,300
- 500
$31,800
Independent
$55,000
- 500
$54,500
In the best of all possible worlds, full “need” will be met with
financial aid awards made up of grants and scholarships along
with reasonable amounts of work and loan. Some schools are
not able to meet full need which increases what families pay.
*Assumes student will live away from home. Total “Costs” for
students living at home are lower.
14
What are the Major Types
of Financial Aid Funding?
 Gift Aid
-
Grants or scholarships free money that does not need
to be repaid
 Work
-
Part-time jobs where students
earn while they learn
 Loans
-
Borrowed money to be
repaid, usually with interest
15
What are the Primary Sources
of Financial Aid?
 Federal government
 State governments
 Colleges and universities
 Private agencies and organizations
16
Need-Based Grants for Current Year
 Federal Pell Grants ($5,775 maximum per year)
 Federal Supplemental Educational Opportunity Grant (FSEOG)
 $4,000 annual maximum
 State Cal Grants (financial need; sophomore and junior years cumulative GPA)
 CSU’s - full educationally related system-wide tuition and fees ($5,472)
 UC’s - full educationally related system-wide tuition and fees ($12,240)
 Independents (up to $9,084)
 Private Career Colleges (from $4,000 to $9,084)
 Grants from Colleges and Universities
 Community College Fee Waivers (BOG)
 CSU State University Grants (SUG)
 UC Grants
 Independent and private college/university grants
17
Student Employment Earnings
 Work-Study - Work program during school year or
summer for students with financial need
 Regular work earnings during school year
 Summer jobs
 Studies show most students who work in part-time
campus-sponsored jobs earn as good or better
grades than non-working students and they are more
likely to graduate in four years
18
Education Loans:
An Investment in Your Future
 Federal Direct Stafford Loans
 Federal Direct Parent PLUS Loans
 Private or Institutional Loans for students and
parents
 Institutional Monthly Payment Plans
 Some families use home equity loans for college
 Interest paid on student loans is deductible on
federal tax returns for many middle income students
and parents
19
2016-2017
Cal Grant A Entitlement
 All students who have earned a high school GPA
of 3.0 or greater, demonstrate financial need, meet
parental income and asset requirements, and file by
March 2, 2016 may receive up to four years of
 system-wide fees at UC ($12,240) and CSU ($5,472)
campuses
 as much as $9,084 toward tuition and fees at
independent California colleges and universities
 may range from $4,000 to $9,084 toward tuition and
fees at eligible California private career colleges and
universities
20
2016-2017
Cal Grant B Entitlement
 All students who have earned a high school GPA of 2.0
or greater, demonstrate financial need, meet parental
income and asset requirements, and file by March 2,
2016 may receive up to four years of
 a $1,656 stipend for living expenses for up to four years at
all California colleges and universities
 plus
 system-wide fees at UC ($12,240) and CSU ($5,472) campuses
for second through fourth years
 as much as $9,084 toward tuition and fees for second through
fourth years at independent California colleges
 may range from $4,000 to $9,084 toward tuition and fees at
eligible California private career colleges and universities for
second through fourth years
21
Possible Cal Grant and Federal
Pell Maximum Awards
If the student qualifies for
Cal Grant, amounts vary
depending on the
college/university
attended, financial need,
year in college (full- or
part-time)
If the student qualifies for
the Federal Pell Grant,
amounts vary depending
on family contribution and
enrollment status (full- or
part-time)
Other eligibility
requirements may apply
Cal Grant* (From $5,472 to $12,192)
 FAFSA or - for AB 540 students - the
California Dream Act Application
 Verified GPA
 Apply by March 2, 2016
+
Federal Pell Grant (up to $5,775)
 FAFSA
=
$11,247 to $17,967
annually depending on the
college/university the
student attends and financial need
* Check for eligible schools at: www.csac.ca.gov
22
Community College Fee Waiver
 The California Community College Board of
Governors’ Enrollment Fee Waiver (BOG Fee Waiver)
covers the California Community College enrollment
fee for California residents:
 who are eligible for need-based financial aid, or
 who receive CalWORKs/TANF, SSI, or General
Assistance payments, or
 whose family income falls below published income
ceilings
 Learn more about the BOG Fee Waiver at
www.icanaffordcollege.com
23
Middle Class Scholarship
 Undergraduates with family incomes of up to $150,000
and net worth of assets of up to $150,000 who:
 Submit 2016-17 Free Application for Federal Student Aid




(FAFSA) by March 2, 2016
attend a UC or CSU
are U.S. citizens, permanent residents, or have AB 540
status,
are California residents, and
maintain a 2.0 cumulative GPA
 Annual award amounts:
 To be determined by the California Student Aid Commission
24
California Chafee Grant
For Foster Youth
 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.
 To be eligible, the foster youth must have been in
California foster care on his or her 16th birthday and not
have reached his or her 22nd birthday before July 1, 2016
 To apply, complete the:
 2016-17 Free Application for Federal Student Aid (FAFSA) or,
for AB540 students, the 2016-17 California Dream Act
Application
 California Chafee Grant Program Application
 To learn more about the Chafee Grant, go to
www.chafee.csac.ca.gov
25
26
How Students Apply for
Financial Aid in 2016-2017
 Book about filing the FAFSA available for
free download at www.edvisors.com/fafsa-book
 By March 2, 2016, complete and submit
 2016-17 FAFSA (Free Application for Federal Student Aid)
www.fafsa.ed.gov
 2016-17 Cal Grant verified GPA as submitted by the school
 After submitting the completed and electronically signed
2016-17 FAFSA online, Confirmation Page will show
 Estimated Federal Pell Grant eligibility
 a federal grant whose value ranges from $588 to $5,775 based on the
student’s calculated federal need and enrollment status
 Estimated Federal Direct Student Loan eligibility
27
How Students Apply for
Financial Aid in 2016-2017
In addition,
 Some colleges may request:
 CSS/Financial Aid PROFILE
www.collegeboard.com
 2015 parent and student Federal Tax Returns (including all
schedules and W-2 forms) or other income documentation,
such as Federal Tax Return Transcripts
 Other required forms as requested by the colleges to
which the student applies
28
Undocumented Students
 Undocumented students, while not eligible for federal aid, may
be eligible for state aid in California
 start inquiring in elementary and high school to see if it is possible





for the student to become a permanent resident
apply for all scholarships for which the student may be eligible
check with colleges and universities to see if institutional financial
aid is available
watch for changes in federal and state laws regarding the eligibility
of undocumented or under-documented students
for more information: call MALDEF at (213) 629-2512
for a list of scholarships, go to
http://www.maldef.org/assets/pdf/1415_MALDEF_Scholarship.pdf
29
California
Undocumented Students
 California state laws affecting undocumented students
 AB 540 - allows some undocumented students to qualify for
in-state tuition at California public colleges and universities
 Student must have attended an accredited California high school
for at least three years and graduated, or will graduate from the
school; or
 have attained a G.E.D.
 AB 130 - allows AB 540 students to apply for non-state-
funded scholarships for California colleges and universities
 AB 131 - allows AB 540 students to apply for state-funded
financial aid, such as Cal Grants and the California Dream
Loan program
30
How Do AB 540 Students Apply
for 2016-17 State Financial Aid?
For AB 540 eligible students, by March 2, 2016,
complete and submit:
• The 2016-17 California Dream Act Application at
www.caldreamact.org
•
Cal Grant verified GPA
31
Financial Aid Eligibility for Formerly
Incarcerated Students
•
•
Convicted of sale/possession of illegal drugs while
receiving federal student aid  suspension of aid
Otherwise, may still be eligible
Suspension of eligibility
Possession of Illegal Drugs
Sale of Illegal Drugs
First offense
Second offense
Third and next offenses
1 year from date of conviction
2 years from date of conviction
Indefinite period
2 years from date of conviction
Indefinite period
Indefinite period
32
Special Circumstances
 Contact the Financial Aid Office if there is a change in your
family circumstances, such as:
 A loss or reduction in parent or student income or assets
 Reduction in child support, Social Security or other income or
benefits
 A death or serious illness of a parent or family member
 Or if there are unusual circumstances, such as:




High family medical or dental expenses not covered by insurance
Additional expenses for special needs children
Financial responsibility for grandparents
Any other unusual circumstances that affect your family’s ability
to contribute to your education
33
Financial Aid Awards
 After the student is admitted to one or more colleges or
universities and his or her financial aid application is complete,
the Financial Aid Office at each school will provide a:
 Financial Aid Award Letter or Notification that contains details on
the types and amounts of aid such as grants, work-study and lowinterest loans the college is offering
 The student should then:
 compare the awards offered to the costs of the college that made
the offer
 subtract gift aid from total college costs to get the net price
 compare the amount of loans offered by each college or university
 decide whether the you should borrow or if you and your family
should pay the loan amount from your own resources
34
Useful Websites
 www.studentaid.ed.gov
 www.fafsa4caster.ed.gov
 www.fafsa.ed.gov
 www.edvisors.com
 www.collegeboard.com
 www.fastweb.com
 www.studentscholarshipsearch.com
These sites contain useful financial aid
and scholarship information
35
Scholarships
 Scholarships, like grants, are funds that don’t have to be repaid!
 Some funds are awarded based on financial need (the difference between
the costs and expected family contribution)
 Some funds are based on academic, artistic or athletic merit or other skills
and activities
 Some funds are based on unusual criteria
 Creating a prom costume out of duct tape (www.stuckatprom.com)
 A scholarship for left-handed students (Juniata College)
 A scholarship for students with a last name of Zolp (Loyola University of Chicago)
 Be sure to check out scholarships such as the:
 Gates Millennium Scholarship
 www.gmsp.org
 Application deadline - January 13, 2016
 Dell Scholars Program
 www.dellscholars.org
 Application deadline - January 15, 2016
36
How to Apply for Scholarships
 Use FREE Scholarship Searches
 Available from colleges, companies, community-based groups and






other agencies and organizations
Usually require separate applications and may require transcript,
essay, interview, or audition
Check with your high school, college or university about other
scholarship opportunities
Don’t miss application deadlines
Make sure the application is complete
Only apply for scholarships for which you meet all eligibility
requirements
Beware of scholarship search companies that charge a fee
 Never pay money to get money
 Never share your or your parent’s SSN, credit card, debit card or bank account
numbers
37
Tips for Winning Scholarships
• Search for scholarships ASAP and during the SUMMER
• Use a free scholarship matching site like
•
•
•
•
StudentScholarshipSearch.com or Fastweb.com to find
all of the scholarships for which you are eligible
Answer the optional questions for more matches
Pursue less competitive scholarships, such as small
awards and essay contests
Don’t miss deadlines
Tailor your application to the sponsor’s goals. Read and
follow the instructions carefully
38
More Tips for Winning
Scholarships
• Personalize your essay and be passionate
• Clean up your online presence, including the content of your
•
•
•
•
Facebook account, removing inappropriate and immature
material
Proofread a printed copy of your essay and the application
for spelling and grammar errors
Make a photocopy of your application before mailing it
Send the application by certified mail, return receipt
requested or with delivery confirmation
Beware of Scholarship Scams
39
Don’t Be Fooled!
 Beware of false claims!
 “Thousands of dollars in scholarships go unclaimed each
year”
 “Guaranteed or your money back!”
 “Give me your credit card or bank account number to hold
this scholarship”
 “The scholarship will cost some money”
 “You’ve been selected. . .”
 “You’re a finalist in a contest” (that you never entered)
40
Beware of Scholarship Scams
• Scholarships are about giving away money, not getting
•
•
•
•
money
If you have to pay money to get money, it is probably a
scam
Don’t invest more than a postage stamp to get
information about scholarships or to apply for
scholarships.
Nobody can guarantee that you will win a scholarship
Do not give out personal information like bank account
numbers, credit card numbers and Social Security
numbers
41
Before Deciding on a College
 Make a list of colleges and universities that have
academic majors and programs of interest to you
 Consult with your school counselor
 Compare the net price of each college
 Consider all factors – not just cost – when making
the final decision
42
Things to Remember
 College is possible for anyone who works hard and is
determined to succeed
 College is affordable
 Financial aid and scholarships help you pay for
college
 By March 2, 2016, complete and submit
 The FAFSA; or
 For AB 540 students, the California Dream Act
Application
 Cal Grant verified GPA
 Be sure to apply for scholarships
 Don’t miss deadlines
 Ask questions
43
If You are Graduating From High
School This Year?
 You and your family should participate in all financial
aid information sessions offered at the high school
and local colleges and universities
 Attend a Cash for College FAFSA Workshop on
Saturday, January 30, 2016
 for help completing the 2016-17 FAFSA or, for AB 540
students, the 2016-17 California Dream Act application
(both due by March 2, 2016) and
 a chance to win one of many scholarships
 To find a location close to you, visit:
www.lacashforcollege.org
44
If You are Here Today
 In addition, if you are here today and you are in high
school or middle school:
 attend a College Life or Career workshop here at the Cash
for College Fair;
 Enter online, or visit Exhibit Hall G to enter for a chance to
win a $1,000 Cash for College Scholarship today!
Good luck!
“Like” us on facebook.com/LACashforCollege
or
follow @LACash4College on Twitter for additional
scholarship opportunities!
45