AvScholars Online Bookstore

AvScholars eTimes
Free Newsletter

AvScholars Store
Channel Poll
Please rate:
Pay for School
5 = Excellent
1 = Poor

Add Comments:

Please complete:
Website Survey

  How financial aid is awarded
Financial aid is awarded to students based on:
Financial Need
Merit / Academic Achievements

Financial Need
Financial aid is usually awarded to students on the basis of financial need. Financial need is the difference between: Cost of Attendance (COA) and Expect Family Contribution (EFC).

Cost of Attendance (COA)
  The financial aid office of each school will calculate an estimate of how much it will cost you, the student, to attend their school for one academic year. Your COA will primarily depend on your residency (in-state or out-of-state student) and major/field of study. However, your estimated COA should assist you and/or your parents in planning a budget. Your COA will vary from one school to another.

In calculating your COA, the estimated total amount will typically include:
• Tuition and Fees
• Room and Board
• Books and Supplies
• Travel/Transportation
• Personal Expenses
• Miscellaneous Expenses

In many cases there is a standard fixed budget amount for some of these categories. For example, the budget amount for travel may vary depending on the student's home state. Likewise, room and board expenses may be reduced and travel expenses increased for commuter students. If you are interested in calculating an estimated COA for attending a specific school, contact each school and request a school catalog, housing brochure, and other information regarding the academic program you are seeking admittance for. For information on additional fees for certain programs, contact the department directly or a financial aid administrator. Remember, this is only an estimate, actual costs will differ than the school's estimated COA once school starts.

Expected Family Contribution (EFC)
  The Expected Family Contribution (EFC) is the amount of funding you and your parents are expected to contribute towards your education. The EFC is an estimate of the amount of money you (and your parents, for dependent students) could reasonably contribute toward college costs. However, this amount may not equal the amount your family can actually contribute.

Your EFC is calculated by completing the Free Application for Federal Student Aid (FAFSA). The FAFSA is used by the U.S. Department of Education to determine your Expected Family Contribution (EFC) and eligibility for certain Federal Aid Programs. In order to receive financial assistance from the federal government, you must complete the FAFSA. Many state education agencies and institutions also use the information submitted on your FAFSA to determine eligibility for State and Institutional Aid.

In calculating your EFC for one academic year, the following factors are considered:
• Income (Taxable and Non-taxable)
• Assets (i.e. stocks, bonds, savings, and business assets)
• Number of Children in Household
• Certain Debts
• Unusual Circumstances

The federal formula approved by Congress to calculate the EFC is called the Federal Methodology (FM). The federal methodology is used to determine eligibility for federal funds. If a college or university relies on a different formula for awarding its own funds, that formula is called the Institutional Methodology (IM). Different colleges and universities may use different institutional methodologies.

The EFC is the sum of the student contribution and the parent contribution:

EFC = Student Contribution + Parent Contribution

Click here for the next page>>
Calculating Financial Need


Gold Sponsors

Home | My AvScholars | About Us | F.A.Q. | Contact Us | Media Center
| Links | Alliances | Terms & Conditions | Privacy Policy

Copyright © 2003 - 2007 AvScholars Publishing, LLC. All Rights Reserved.

Web Design by Scott Daum
with programming by Willmaster


Glossary & Acronyms
Useful Links
Tell A Friend
Success Stories
• Communities
Calendar of Events
Message Boards
Ask the Experts
Career Speakers
Online Mentors
Photo Galleries
• Help Center