Your EFC is an index number that college financial aid staff use to determine how much financial aid you would receive if you were to attend their school. Your EFC is not the amount of money your family will have to pay for college, nor is it the amount of federal student aid you will receive.
An EFC number is the “expected family contribution”, or the amount a family is expected to pay for their student’s college education. It short, the EFC has an effect on how much federal grant money you will be given for college expenses.
Also, how do I lower my fafsa EFC? Increase College Attendance Among Family Members If you are considered a Dependent student on the FAFSA, the college enrollment status of your family members are important. If others in the family are also enrolled in at least a half-time enrollment status while you are attending college, then this can lower your EFC.
Thereof, what EFC qualifies for financial aid?
According to the FAFSA official site, “The Expected Family Contribution (EFC) is a measure of your family’s financial strength, and is calculated according to a formula established by law” The EFC will be expressed as number equivalent to a dollar amount. For example, 12000 is $12,000.
Is an EFC of 10000 good?
Ultimately, your EFC helps the federal government and your school decide how much need-based federal aid you can receive. If your COA is $10,000, for example, and your EFC is $5,000, you can’t receive more than $5,000 in need-based aid.
What is the average EFC?
An Expected Family Contribution is a dollar figure that represents what financial aid formulas believe a family should be able to pay for one year of a child’s college education. No. 2: The EFC for the average American household with an AGI of $50,000 will usually range from $3,000 to $4,000.
Why is my EFC so high?
For most students, a high household income will be the reason for a high EFC. This makes it perhaps the most important factor in the EFC formula. The EFC formula takes into account both parents’ incomes and the student’s income, with higher-income families expected to contribute more to their student’s education.
Is the EFC number a dollar amount?
The student’s EFC is the minimum amount the student is expected to contribute toward the cost of college. Thus, EFC represents a dollar amount. It is the “output” of the aid forms and calculations.
What does it mean if your EFC is 0000?
Being a full-need student means that you will get more aid from schools than someone with a higher EFC, but it does not necessarily mean that all of your financial need will be met. Unfortunately, a zero EFC doesn’t mean school is free.
Does EFC include room and board?
Colleges subtract your EFC from the total cost of attending their institution for one year. The total cost — which includes tuition, fees, room and board, books and supplies, personal expenses, and transportation costs — minus your EFC is how much financial aid they estimate you’ll need to attend the college.
How much money will fafsa give me?
How much financial aid does a FAFSA® applicant usually get? The maximum Federal Pell Grant Award (which is the main grant for college undergraduates through the FAFSA®) for the 2019-20 award year is $6,195. Schools may offer less than the full amount depending on the student’s need or academic load.
Where do I find my EFC?
Your EFC will be displayed in the upper right-hand corner of the Student Aid Report (SAR).
Why is my EFC higher than last year?
If you have a high EFC, it means the feds think your family will be able to cover a bigger portion of your cost of a higher education —especially if your EFC is more than the cost of the college your student is attending. Number of kids in college. Student income and assets. Parent income and assets.
How fafsa EFC is calculated?
The financial aid staff starts by deciding upon your cost of attendance (COA) at that school. They then consider your Expected Family Contribution (EFC). They subtract your EFC from your COA to determine the amount of your financial need and therefore how much need-based aid you can get.
What is the EFC limits for a Pell Grant?
For 2019-2020, the maximum Pell Grant award is $6,195. Factors such as the amount of your Expected Family Contribution and enrollment status (full-time vs part-time) will affect how much money you can get. You can learn more about calculating your EFC with our Pell Grant Calculator guide.
What is the maximum income to qualify for fafsa?
The maximum award for the 2015-2016 academic year is $5,775. Your eligibility is decided by the FAFSA. Students whose total family income is $50,000 a year or less qualify, but most Pell grant money goes to students with a total family income below $20,000.
Is fafsa EFC per year or total?
(The EFC is an annual amount.) Families with a combined adjusted gross income of around $150,000 can expect to have an EFC that exceeds $30,000 for the year just from income. This is more than the annual cost of most state schools.
How can I maximize my financial aid?
8 Strategies for Parents to Maximize College Financial Aid Roll custodial accounts like UTMA/UTGA accounts into 529s. Spend down children’s assets for college expenses ahead of parental assets. Maximize saving in retirement accounts like 401ks and IRAs. Pay debt to reduce parent assets. Be skeptical of advice to convert liquid assets into annuity/insurance assets.
How can I get the most financial aid?
The US Department of Education awards $120 billion to students every year—here are 5 ways to get the most financial aid Step 1: Fill out the FAFSA. Step 2: Apply for state aid. Step 3: Send your information to schools. Step 4: Review your aid packages. Step 5: Appeal.