Below are some of the questions students typically have concerning financial aid and paying for college:
How do I apply for financial aid?
To apply for most financial aid, you will need to complete the Free Application for Federal Student Aid (FAFSA). This form is used to determine federal, state and school aid. The FAFSA is available from high school counselors, financial aid administrators at the school you want to attend, or the Minnesota Office of Higher Education. You can also apply online. Learn more about how to apply for financial aid.
Why should I complete the FAFSA when I know I won’t qualify for aid?
Many colleges and universities also use the FAFSA to award institutional grants and scholarships.
How much financial aid can I receive?
It will depend on your and your parents’ income, living expenses, assets and savings. This is called the expected family contribution (EFC). Your eligibility is also determined by the cost of attendance at the institution you select. The FAFSA will determine your financial need from this information and will send a report to the schools you indicated. The amount of financial aid the student is eligible to receive is determined by subtracting the EFC from the total price of a specific school:
| Price of Specific School | ||
| – | Expected Family Contribution | |
| = | Financial Need |
Each school will offer a tailored financial aid package to meet this financial need, and may include a combination of grants, scholarships, work study and loans. Don’t rule out any school simply because of price. The student’s financial aid eligibility increases as the price of a school increases, but the expected family contribution stays the same:
| $5,000 | Price of College A | ||
| – | $3,100 | Expected Family Contribution | |
| = | $1,900 | Financial Need | |
| $15,000 | Price of College B | ||
| – | $3,100 | Expected Family Contribution | |
| = | $11,900 | Financial Need |
Use our financial aid estimator to calculate how much aid you may be eligible to receive.
You also can learn more about how financial aid works and your aid options by attending a local financial aid event.
Do families need to complete a separate FAFSA for each child?
Yes. The FAFSA uses each child’s social security number to identify the student.
Am I eligible for financial aid if I am not a U.S. citizen?
Yes, but you must meet certain criteria to be considered an eligible non-citizen.
Do I need to include my stepparent’s income on the FAFSA?
Yes. Your stepparent’s financial information must be included even if he or she is not helping you pay for your education.
If my parents are legally separated or divorced but filed taxes jointly this year, do I need to include their financial information on the FAFSA?
No. Only the parent with whom you resided the longest during the preceding 12 months should provide financial information. If you did not live with either parent or lived with both equally, then the parent who provided the most financial support should provide financial information on the FAFSA.
If I plan to get married after filing the FAFSA, should I list my status as married?
No. Because the FAFSA is based on the information provided on the date it was completed, your marriage status would be “unmarried” if you complete the FAFSA before you get married.
Does the FAFSA consider me an independent student if I am expecting a child during the academic year for which I will receive financial aid?
Yes. Also be sure to include the child under household size.
Will a family’s retirement assets decrease a student’s financial aid eligibility?
It depends on how they save for retirement. Certain assets such as pensions, life insurance and individual retirement accounts (IRAs) are not evaluated when determining financial aid eligibility. Nor is home equity included for the home in which the family resides. Other assets such as savings accounts, certificates of deposit, stocks, mutual funds and other real estate are included. However, the formula used to calculate the expected family contribution (EFC) assumes families are saving for retirement and provides an “asset protection allowance” according to parental age and marital status. This amount is subtracted from the total net worth of the assets, and of the remainder, only 12 percent is considered available assets. A smaller percentage of assets, six percent, is actually assessed for the parent contribution. Families should not need to tap into retirement savings to pay for college.