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MSCSA

October 17, 2014

Susan Ant

Director of Financial Aid & Scholarships

Normandale Community College

FINANCIAL AID UPDATE

TYPES OF FINANCIAL AID

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Grants and Scholarships

Loans

Student Employment and Work-Study

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Almost all financial aid in Minnesota comes

from:

The US Department of Education

The State of Minnesota

Higher Education Institutions

Private Sources

SOURCES OF FINANCIAL AID

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The largest Federal financial aid programs are:

Stafford Direct student loans

Pell Grants

SEOG grants

Perkins loans

College Work-Study

US DEPARTMENT OF EDUCATION

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The main MN programs of aid are:

Minnesota State Grants

Student Education Loan Funds (SELF)

Minnesota State Work-Study

Minnesota Post-Secondary Child Care Grants

MN GI Bill

STATE OF MINNESOTA

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COMPUTATION OF

STATE GRANT AWARD

Tuition and Fees (cap for 2 yrs) 5,808

Living and Miscellaneous Expense 8,490

Cost of Attendance $14,298

Less Student Share (50% of COA) 7,149

Less Adjusted EFC ???

Less Pell Grant Eligibility ???

Annual State Grant Award ???

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MN STATE GRANT EXAMPLE

MNSCU 2 Year

Private College

or

Univ. of MN

Tuition and Fees (capped) $ 5,808 $13,000

LME $ 8,490 $ 8,490

COA $14,298 $21,490

Student Share (50% COA) $ 7,149 $10,745

Less Adj Parent

Contribution $ 3,300 $ 3,300

Less Pell Grant Eligibility $ 2,280 $ 2,280

MNSG eligibility $ 1,569 $ 5,165

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Applies only to MnSCU students who enroll for fewer than 15 credits per term and who work while in school

Pilot for FY 13 and FY 14

Adjusted EFC> $ 0 will be prorated to the level of the student’s enrollment (the cost of attendance is already prorated)

This will produce larger grants for most working, part-time MnSCU students

Effects of the pilot on student time to completion will be measured at the end of 2013-14

MN PART-TIME WORKING STUDENT

GRANT PILOT PROGRAM

Increase in LME

Reduction in Student Share

Five yrs/Nine Sems of eligibility

Further reduction of federally calculated

family contribution

POSSIBLE CHANGES TO THE STATE FINANCIAL AID PROGRAM THAT WOULD

BENEFIT MSCSA STUDENTS

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Reauthorization of Federal Aid programs

Student Debt; the long repayment process for loans places a significant burden on students as they enter the work force and become consumers and tax payers.

Increasing MnSCU student loan default rates are a serious concern for some schools

Federal Pell Grant shortfalls

Effects of movement toward Competency-based education

Regulation of for-profit schools

KEY ISSUES - FINANCIAL AID

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MN State Grant P-T student pilot

When Pell grants are increased, the MN State

Grant formula reduces the recipients’ State

Grants, dollar for dollar.

Independent students are not treated fairly by the

State Grant formula, which expects them to pay

the same dollar twice.

KEY ISSUES - FINANCIAL AID

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QUESTIONS?

Chris Halling, System Director for Student

Financial Aid, MNSCU System Office

christopher.halling@so.mnscu.edu

651/201-1658

FINANCIAL AID UPDATE