FAFSA RENEWALfor 2016-2017 academic year

Changes for 2016

• FSA ID required to complete FAFSA:

• Create a FSA ID at fsaid.ed.gov

• Perkins Loan expired on September 30, 2015

• Students who received at least one

disbursement prior to Sep 30, 2015, may

continue to receive Perkins Loans

• Schools will not award Perkins Loans to new

borrowers

• Illinois MAP Grant

• MAP grant awards are made until funds are

depleted. Suspense date has moved up each

year as more students complete FAFSA.

• This year’s suspense date likely earlier than

February 22, 2015

FAFSA

Year

MAP Suspense

Date

FY2006-

2007

8/26/2006

FY2008-

2009

7/26/2008

FY2010-

2011

4/19/2010

FY2012-

2013

3/20/2012

FY2014-

2015

2/28/2014

FY2015-

2016

2/22/2015

FY2016-

2017

Likely earlier than

2/22/2015

FAFSA Renewal

Timely Completion: Deadlines

• Complete FAFSA renewal with estimated financial informationJan 1st-Feb 1st

• MAP GRANT DEADLINE: to remain eligible you must have submitted and SIGNED your FAFSA with at least estimated financial

February

• UPDATE FAFSA with parents & student 2015 tax information

• Complete CSS profile(if necessary)

February-March

• Submit verification documentation to school

• Docs include: W2, Independent or Dependent Verification Form, Tax Return Transcript 2015(if Data Retrieval did not work)

March- May

Terms to know….• AGI

Adjusted gross income

• COA

Cost of Attendance

• EFC

Expected Family Contribution

• Financial Need

COA minus EFC

• Merit Based Funding

Scholarship

• Need Based Funding

Grants

Glossary https://studentaid.ed.gov/sa/glossary

Getting started: What documents do I need

• 2014 Federal Income Tax Return(Parent & Student)

• -IRS 1040, 1040A, 1040EZ

• 2014 W2s

Alternative to above: 2015-2016 SAR

• Social Security Number(student & documented Parents)

• Parent birthdates

• FSA ID(for yourself & 1 parent)

• If parents are divorced or separated (month and year of divorce)

• Estimated amount in Parent’s savings account

• Estimate of business or rental income investment

START

at FAFSA.ED.GOV

Getting started- File the correct year

-2016-2017

-Begin with FAFSA

RENWAL

Getting started- Skip Introduction Page

-click NEXT

Student Demographic Information

• Check SSN. Inaccuracy here can delay aid

• Update demographic information.

Such as your email or home address

• When you begin college in 2016-2017

what will your grade level be?

"Grade level" does not mean the number of

years you have attended college, but refers to

your grade level in regard to completing your

degree or certificate.

• 0-30 credits 1st year

• 30-60 credits 2nd year

• 60-90 credits 3rd year

• 90-120 credits 4th year

• Are you interested in work-study? • YES

• All Men should select “YES” for Selective Service

School Selection

Make sure to add your

• Current school

• School you may attend during the summer

• School you may transfer to

You can add up to 10 schools

Dependency Status

Most of these questions will stay the same unless:

1. You are now married

2. You became a parent & provide support for your child

3. You are currently serving on active duty

5. On or after July 1st you were homeless or at risk of being homeless?

• If you answered yes…your dependency status will change to independent.

Dependency Status

If selected as a DEPENDENT student choose “I will provide parental

information” unless either of these apply to your biological/adopted parents

-your parent/s are deceased

-your parent/s are incarcerated

-you have had no contact and can not reach them.

Please contact your Alumni Counselor if you have any further questions

Parent Demographic Information

Parent Social Security number should already be entered from last year. It will appear as “XXX-XX-7890” below text. Last 4 digits will vary.

What is your parents’ state of legal residence?

Select “Illinois” even if undocumented

Household size should include all people living in the home even if

not claimed on federal taxes. Make sure to include yourself.

Did your parents become legal residents of Illinois before

Jan 1, 2011?

Select YES, even if undocumented

Update with current parent and

household information

Parent Financial Information

• Select WILL File if your parents file taxes

• Filing status can be found on the first page of your parent’s federal taxes here

Parent Financial Information

“type of income tax return” can

be found the first page of your

parent’s federal taxes

Parent Financial Information: continued

Adjusted gross income can be found at the bottom

of the first page of your parent’s federal taxes

Dislocated worker:

• A dislocated worker is someone who meets ONE or more of the following:

• Lost their job or been laid off

• Is receiving unemployment benefits and is unlikely to return to a previous occupation. (like a telephone switchboard operator, for example)

• Is self employed but is unemployed due to economic conditions or natural disaster

• Is a displaced homemaker - someone who previously provided unpaid services to the family, like a stay at home parent, is no longer supported by a partner, and is having trouble finding a job

• A dislocated worker is NOT:

• Someone who quit

• Someone who got fired for cause

• Someone who just doesn’t want to work

Calculating net worth of real estate

Net Worth Formula for real estate investment.

(Market Value – Amount Owed)

Example: Your parents own an investment property valued at $100,000; however,

$75,000 in debt is owed on the property. The net worth of the investment is $25,000

($100,000-$75,000 = $25,000).

Include rental units

Do not include the home

you live in.

Student financial InformationCommon question:

1. Should I file taxes? See next slide

2. If I “will file” taxes for the first time

what should I include on FAFSA

today?

For now do the following.

Select IRS 1040

Estimate your income

Put 0 for income TAX paid

Put 0 for exemptionsYou can update your responses once you file your

taxes

2. If I worked but “will not file” taxes do I

need to put how much I made? Yes.

Common mistakes:

1. Adding parent income twice. Make sure

you did not put your parent’s income in the

student section.

2. Claiming yourself as an exemption on the

student section when your parent’s claimed

you on theirs.

Do I have to file taxes? These are general guidelines. Officially check if you are required to file here

• Did you work in 2015?

• Select “Will not file”

• Enter 0 for income

questions

Did you make more than $6,300 in 2015?

Yes, I worked in 2015No, I did NOT work in 2015

You are required to file

taxes.

• Select “Will file”

• Enter estimated amount

you earned

You can choose to file your

taxes.

• Select either “Will file” or

“Will not file”

• Enter estimated amount you

earned.

Yes, I made

more than

$6,300 in 2015

No, I made less

than $6,300 in

2015

Student Financial

Information

Exemptions:

If someone else will

claim you like your

parents and you have no

dependents enter 0

COMMON MISTAKE

Students often enter 1

even though parents

claim them on their

taxes

Sign & Submit

• Are you a

preparer?

Answer NO

• Agree to terms

• Sign for yourself

• Sign with

parents FSA ID.

If parent does NOT

have a FSA ID.

Print a signature

page and mail it

out.