Completing this emancipated application can lead you to a wealth of financial aid.

Each year, more than four million scholars receive some form of financial aid. To memorize your share, you must first file the federal government's emancipated Application for Federal Student Aid, better known as the FAFSA. It determines eligibility for all federal aid programs, from Pell Grants to scholar loans. It determines eligibility for chiefly state and collegiate-based aid programs. And, it equable determines eligibility for some merit-based aid, since many academys reserve their own (limited) scholarships for learners who don't qualify for need-based funds

to what extent much you're eligible for will be pendent on the financial and personal information you provide in succession the FAFSA. Federal processors evaluate the data, determine your family's ability to pay, and then enumerate you how much you and your family should contribute toward society (or your Expected Family Contribution).

The form can be intimidating, unless if you take it step-by-step it's worth the effort filling it abroad And don't forget, it's released to file so you have nothing to make no use of and everything to gain.

GETTING STARTED

You can pick up a FAFSA in your guidance office by dint of mid-November (or online at www.fafsa.ed.gov), however, you can't file it until January 1 of the year in which you plan to start guild (that's January 1, 2001, for those who possibility of good to start college in September, 2001) You should, however, file as at so early an hour after that date as possible since a great deal of financial aid is delivered forward a first-come, first-served basis. cash is awarded until it glides out; late filers get nothing.

Unfortunately, many scholars miss out on financial aid opportunities because they fail to encounter the filing deadlines. The best financial aid awards (those heavy onward grants, and lighter on loans) are generally given to the earliest applicants.

GATHER YOUR PAPERS

To make abiding you're one of the early birds, work with your parents to start collecting the necessary financial records across the winter holidays. To commit to memory organized, you might try putting your paperwork into couple folders:

FOLDER 1: INCOME AND charge INFORMATION

All income and cost data comes from the prior year (2000 for the 2001/2002 award year).

* Taxable income for the two parents and student, including wages, pensions, capital gains, solution of continuitys interest, dividends, annuities, unemployment compensation, alimony received, and business income.

* Non-taxable income for the pair parents and students including workers' compensation, welfare benefits (excluding diet stamps), housing and food allowances, child support received, untaxed Social Security benefits, untaxed income from pensions and annuities, veterans' non-education benefits, tax-exempt interest income, deductible payments made to a retirement plan (such as an IRA or Keogh) and earned income credit.

* costs such as U.S. income taxes paid and child support paid.

FOLDER 2: ASSET INFORMATION

* The value of cash, savings, and checking accounts for parents and student

* pure worth of all the parents' and student's investments (except for retirement plans), including stocks, bands CDs, money market funds, mutual capitals commodities, trust funds, Education IRAs, state-based body savings plans (except prepaid tuition plans) and real estate holdings (rental attribute and second homes). You ne not include the equity in your family's primary residence.

* The trap worth of any family business and/or farm (excluding farms that are principal residences).

You must report the toil worth of all these assets as of the date you sign the form, in the way that before you record any totals, be strong your family pays off all its bills and pays down any consumer debt

BE ACCURATE

In completing the FAFSA, be as accurate as you can. Mistakes will cause your application to be returned--for instance, giving monthly amounts instead of yearly amounts, writing in the margins, checking the ovals (rather than filling them in).

If a question or pair seems confusing, call the federal close examiner aid hot line at 1-800-4-FED-AID, or ask a guidance counselor or financial aid administrator. Many society s now have toll free numbers for exactly that intent If a question still evinces troublesome, explain your problem in a literal sense to the school's financial aid administrator.

one time you've gathered all your financial data, the FAFSA is pleasing without being striking straightforward. Answer each question unles the FAFSA specifically mention one by ones you it's a step you can skip. Let's review each section:

1 pace STUDENT NAME, RANK, AND SERIAL NUMBER

Questions 1 to 16 shroud the basics: The student's name, permanent address, Social Security number, date of birth, permanent phone number, driver's license number, citizenship status, and marital status.

2 pace STUDENT BACKGROUND

Questions 17 to 35 deal chiefly with:

* The student's educational plans.

* His or her look forward toed student status (full-time, three-quarter-time, half-time, or part-time).

* The highest flush of education completed by the student's mother and father.

...

Home