Your (Educational Funding) Questions: Answered!

Your (Educational Funding) Questions: Answered!

This has been great to hear from therefore many excited admitted students, but we know that many families still have lingering aid that is financial. We thought it would be beneficial to compile a list of the questions that are common have received and have the workplace of school funding respond. Please see the post below for responses to common questions you may have about financial aid at USC:

Why is the EFC based on USC various than the EFC reported on FAFSA?

The information you provided on the FAFSA is used to calculate eligibility for federal student aid (including Pell give, Stafford Direct and Perkins Loans, and Federal Work-Study), utilizing a formula called Federal Methodology (FM). FM takes into consideration:

• Total earnings (taxable and nontaxable).
• Asset equity (not such as the family’s house and/or business or farm, if the family is just a majority owner with significantly less than 100 employees).
• Allowances for basic cost of living and retirement.
• Family size and number of children in college.

Eligibility for university grant funding and other college aid that is need-based determined by taking into account the additional data provided on your CSS PROFILE, federal income tax information and other supporting documents, using a formula known as Institutional Methodology (IM). This formula may include some sources of untaxed income along with house and business or farm equity. In addition, certain other allowances and adjustments may be considered which the FAFSA does not. Using this information permits us to more accurately measure a household’s economic strength so that you can distribute university-funded need-based grants since equitably as you possibly can.

Your FAFSA EFC determines the kind and quantity of federal student help you qualify for, while the IM EFC determines the total amount and kind of university need-based aid that is financial are awarded.

What if my family can’t afford the EFC?

Bear in mind that the EFC is not a bill however a measure of your power to contribute to the fee of advanced schooling, considering your family’s financial power. Your expense, or family share, will be based on your actual cost of attendance minus any aid that is financial. The family contribution is intended to be paid by way of a mix of sources including income that is current college or other savings, and/or longer-term financing such as for instance parent and student loans.

Besides finding how to reduce costs, families may think about these possibilities at USC:

• The USC Payment Plan is an interest-free installment plan that allows the household to pay all or even a portion of the student’s university fees each semester in five equal month-to-month payments for the $50 fee/semester.

• The Federal PLUS Loan program and private loan program(s) enable families to spread the cost of education over several years.

Many families use a combination of the USC Payment Plan and the Federal PLUS Loan to greatly help cover the price of attendance. We encourage families to evaluate their short- and resources that are long-term develop a plan that works most readily useful for his or her situation.

Families ought to borrow since conservatively as possible. Students and parents should exhaust all federal help available, including the Federal Direct Stafford Loan and the Federal Direct Parent PLUS Loan, before considering a private student loan program, because the credit and payment terms of federal loan programs may be more favorable than those for private loan programs.

Using private education loan programs to cover the cost may result in the pupil accepting an unrealistic and ultimately unmanageable debt load. For pupils whom elect to apply for private loans, applying having a co-borrower that is credit-worthy the reality of qualifying and can lower the interest rate.

Although a lot of loans are deferred, parents should start thinking about interest that is making while the pupil is in school, when possible, to reduce the general expense of borrowing.
Finally, that you believe was not taken into consideration when determining your EFC, please be sure to let us know by submitting an appeal if you have a special circumstance.

What if I don’t qualify for educational funding but can not afford to send my son or daughter to USC?

Regardless of financial need, all learning pupils are qualified to receive Unsubsidized Federal Direct Stafford Loans. File a FAFSA to determine simply how much your student can receive.

We also encourage families who do maybe not qualify for need-based school funding to think about these options provided by the university:

• The USC Payment Plan is an interest-free installment plan that allows the family to pay all or even a percentage of the student’s university charges each semester in five equal monthly premiums for the $50 fee/semester.

• The Federal PLUS Loan program and loan that is private enable families to spread the cost of education over a long period.

Can we stack scholarships?

If you should be maybe not a financial aid recipient, merit-based scholarships may be stacked. Please be aware that if you get awards that can just only be used to pay for tuition, the amount that is total of awards may not surpass the price of tuition for the year. You ought to refer to the scholarship guide that you received for details on how scholarships may be combined.

Whenever coordinating scholarships with school funding, our workplace makes every attempt to preserve any need-based university grant you may have been awarded. In many cases, a new merit scholarship gotten after your initial monetary aid prize will reduce the amounts of Federal Work-Study and federal loans you get. The total aid that is financial may also increase, allowing your Stafford Loan to assist with all the household contribution. In some cases, however, the college need-based grant may be reduced because the quantity of gift help exceeds the determined need.

Who is eligible for work-study and how much can they get?

To be entitled to Federal Work-Study, you must have a USC-determined financial need. In addition, you must have met all application deadlines, be considered a U.S. citizen or eligible non-citizen and enroll for the amount of devices your aid that is financial award based on. New first-year students who meet these skills may receive up to $2,500 in work-study.

Should you not receive work-study funds, you can still work on campus. Many employers that are on-campus employ students that do perhaps not have work-study. There is jobs on campus through the ‘ConnectSC’ portal on the USC Career Center web site.