FAFSA & College Financial Aid Facts

Getting all of the aid for which you are eligible

By James Maroney

Many people believe that private scholarships are the panacea for their college-funding woes. While you may have heard that millions of dollars in academic college scholarships go unclaimed each year, that simply is not true. In reality, private scholarships provide only a small percentage of college funding.

The vast majority of financial aid and grants are provided by the federal and state government and by schools. The following information will help you get all of the need-based aid for which you are eligible.

Need-based aid is determined by considering the Estimated Family Contribution (EFC) and the total Cost of Attendance (COA). The COA should reflect tuition, fees, room and board, transportation, books, and personal expenses. Need-based aid is then calculated by subtracting the EFC from the COA. Colleges will offer financial aid packages that meet your needs to varying degrees.

The first step in filing for financial aid requires you to file the Free Application for Federal Student Aid (FAFSA), which is available in paper format in the high school guidance office or online at http://www.fafsa.ed.gov/. Filing the FAFSA for financial aid online has many advantages. First, the online form is processed in two weeks as opposed to four weeks for the paper form. Second, the online form will check your responses and will not let you submit the application with mistakes. If you have submitted the paper form with an error, it will be returned for corrections and will need to be resubmitted.

Finally, the online form automatically generates an estimate of your EFC.

It is extremely important that you file the FAFSA application before financial aid priority deadlines. Information from tax forms is necessary in order to complete the FAFSA.
The following analogy from a dean of admissions illustrates the importance of filing FAFSA early for college: Financial aid is like a pot of soup. The first couple of ladles are going to be full, but at the end you are going to be scraping the bottom of the pot for what is left. Make sure you are getting your full ladle.

In order for you to receive all of the financial aid money for which you are eligible, make sure you know the requirements of all of the schools to which you are applying. It's also important that you complete the forms as accurately as possible and that you file the applications before the priority deadline.

James Maroney is an educational consultant for First Choice College Placement http://www.firstchoicecollege.com/.