Financial Aid Definitions
Academic Year – The period during which school is in session, consisting of at least 30 weeks of instructional time and at least 24 credit hours.
Adjusted Available Income – In the federal Methodology, the remaining income after the allowances such as taxes and a basic living allowance have been subtracted.
Adjusted Gross Income – The total parent or students income before taxes, deductions and allowances have been subtracted.
Appeal – A formal request to have a committee review your special circumstances that resulted in your financial aid suspension. Only one appeal will be accepted for review. The committee decision is final.
Award Letter – An official list issued by a school’s financial aid office listed for viewed on the student’s online account. An email will be sent to each student when the award information is available online.
Asset – An item of values, such as a business, farm equity, real estate, stocks, bonds, mutual funds, cash, CDs, trust funds, and bank accounts, etc.
Base Year – The tax year prior to the academic award year for which financial aid is requested. The base year runs from January 1 to December 31 of the prior year.
Campus Based Aid – Financial aid programs are administered by the College. The federal and state government provides the college with a fixed annual allocation, which is awarded by the financial aid administrator to deserving students. Such programs include Federal Supplemental Educational Opportunity Grant, Federal Work-Study, and State Grants. You must apply early for consideration.
College Work Study or Federal Work-Study (FWS) – FWS is self help aid in the form of a part time job.
Cost of Attendance (COA) – The total averaged amount of the cost to attend school which includes tuition, fees, room and board, allowances for books and supplies, transportation, and personal and incidental expenses.
Custodial Parent – In the case of a divorce, the custodial parent is the one with whom the student lived the most during the past 12 months. The student’s need analysis is based on financial information supplied by the custodial parent.
Deferment – Occurs when a borrower is allowed to postpone repaying the student loan. If you received a subsidized loan, the federal government pays the interest charges during the deferment period. Most federal loan programs allow students to defer their loans while they are in school at least half time.
Emancipated – Court order that releases a child from the control of a parent or guardian.
Enrollment Status – Your enrollment as a full time, three quarter time, half time, or less than half time course load.
Expected Family Contribution (EFC) – EFC the amount of money that the family is expected to be able to contribute to the student’s education, as determined by the Federal Methodology need analysis formula approved by Congress.
Financial Aid Freeze Date – The financial aid freeze date is used each semester to lock in a student’s enrollment status for awarding financial aid. All classes a student is enrolled in on the freeze date each semester determines the maximum amount of federal aid the student is eligible to receive. This includes all federal Pell grant awards. If a student increases their credit hours after the freeze date, the Pell grant will not increase. It is important to register for all courses before the freeze date each term.
Need – Need is the difference between the cost of attendance and the expected family contribution (COA – EFC=Need).
Need Based – Need-based financial aid is awarded on the basis of the financial need of the student. The students must file a FAFSA application. The FAFSA calculates the students and/or parents’ information to determine the student’s Expected Family Contribution (EFC). The college uses the EFC to decide what types of financial aid a student is eligible to receive. The FAFSA must be completed each year for consideration of financial aid.
NEW *Pell Grant Life Time Limit – Effective July 2012, all students will have a life-time eligibility limit of 12 full-time semesters on Pell grant funding. This includes all grant awards the student has received in the past.
Refund – remaining balance on a student account that is paid within 14 days of the first day of class as long as the student remains eligible and attends class.
Unmet Need– Unmet need is the differences between need and other aid awarded (Need – ALL Aid awarded=unmet need).
Verification – if you are selected for verification by the FAFSA, all additional information listed in your myShelton account must be submitted before your award will be complete