The Fury of Financial Aid

Make sure to use your PIN to check the SAR onmuch the family can afford, but rather what they
your FAFSA and see if your EFC will qualify you for abelieve you should be able to afford. This may
PELL grant.require you to take out an extra loan as a family or
Say what?withdraw savings, but the number helps decide how
If you're having trouble navigating your way throughmuch aid you are eligible to receive. Your EFC is given
the modern financial aid system, you're not alone.to you when you submit your FAFSA. It is located on
Finding, applying and receiving different types ofyour SAR.
financial aid can be one of the biggest headachesThe SAR is your Student Aid Report and it's a
associated with college-bound children orsummary of all the answers and information you've
grandchildren. But it doesn't have to be that way.entered into the FAFSA form. You always want to
With only a little know-how and some financialprint a copy of your SAR to keep for your own
planning, you can easily find your way through therecords. That way, when you fill out the individual
maze known as financial aid. The confusion aboveschool financial aid forms, your information will be
can disappear with just a small amount of studying.consistent.
(Besides, your kids are expected to study hard theOnce your school receives your information, they will
next few years, so you should set a good example!)put together a financial aid package and present it to
One of the most crucial pieces of advice that collegeyou. Your package can contain a wide variety of
planners have to offer is to ALWAYS apply foroptions for you to choose from, including grants,
financial aid, even if you believe you won't qualify.loans, and scholarships. If your EFC is low, you may
So how do you apply for it? Simple. It's a form calledbe offered a PELL Grant. Pell's are grants that help
FAFSA and it can be filled out quickly and easilypay for college and do not need to be paid back.
online. When you apply, you are given a PIN, whichYour financial aid package may also include an option
functions just like a PIN that a bank gives you. Youof work-study, where your child can work at a
use this PIN to log on to and off of your forms andcampus job and make extra money. Most packages
sign them when you are finished.also include a variety of loan options. Some loans are
The most basic financial aid to fill out in the Unitedgovernment-subsidized others are not. There are
States is nicknamed FAFSA, one of many acronymsmany different types of loans available to parents
I'll tell you about. FAFSA stands for Free Applicationand students and you should analyze your current
for Student Financial Aid. It is administered by the U.S.financial situation carefully before choosing one.
Department of Education and for years has givenGovernment subsidized loans are offered
lower income students a chance to go to college. Butinterest-free while your student is in school, and allow
it's not just for lower income families. Anyone andthe student to wait until six months after college
everyone can apply and depending on how soon yougraduation to pay back the principal. However, there
apply and the money available, families with manyis a limit to how much you can borrow and you must
different levels of income can receive some type ofcomplete your degree by a certain date, so make
aid.sure you plan wisely.
It is recommended that every family fills out aSo the next time someone asks if you used your
FAFSA form as well as the financial aid formsPIN to check the SAR on your FAFSA to see if you
required by the schools you have applied for. Eachare eligible for a PELL, you can reply with a
school will put together a financial aid award packageresounding and confident "Yes!"
based on the results of your FAFSA form.I hope I've been able to guide you through the maze
FAFSA forms have a mathematical formula whichof financial aid and shed some light on the whole
determines your EFC. EFC stands for Estimatedprocess. It can be intimidating to say the least, but
Family Contribution. It is the amount of money awith a little work, the whole process may be
family is expected to contribute towards a child'stransformed into one of the most rewarding college
education. This number does not represent howplanning experiences you will have- literally.