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In This Issue:
Continuing U-M Students: Apply Now for Fall/Winter 2009-2010 Aid
U-M students who want to be considered for the Michigan Competitive Scholarship (MCS) for Fall/Winter 2009-2010 must submit a 2009-2010 Free Application for Federal Student Aid (FAFSA) in time for the State of Michigan to receive it by their March 1 deadline. If your FAFSA is received by this date, you will be considered for the MCS and all other aid programs. Complete the FAFSA at www.fafsa.ed.gov.
The Office of Financial Aid (OFA) urges all students to apply early! Even if you are not eligible for the MCS, filing your FAFSA early is a very good idea. Why? By applying early, you will ensure that (1) the federal processor has enough time to process your results and send them to U-M before U-M's April 30 deadline, (2) you have enough time to clear up any problems that might occur with your FAFSA, and (3) your FAFSA is off your to-do list by the time spring fever sets in!
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Did You Know?
The federal processor will reject a FAFSA if it is missing information. If your FAFSA is rejected for any reason, your application will not be processed and you will need time to resolve the problem before the deadline. Avoid this unfortunate scenario by applying soon! |
Better Early Than Late! If OFA receives your FAFSA after April 30, you will still be considered for financial aid. However, available funding may be limited and you could miss out on important grant funding.
See the complete financial aid application instructions.
Note: If your family has not filed a tax return for 2008 or plans to request an extension, you should complete the FAFSA using estimated data so that you can meet the March 1 deadline. If necessary, estimated data can be corrected later, after your 2008 tax return is completed.
IMPORTANT Fall/Winter 2009-2010 Dates:
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MARCH 1, 2009 |
APRIL 30, 2009 |
MAY 31, 2009 |
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State of Michigan Deadline |
U-M Priority Deadline |
U-M Secondary Deadline |
| Deadline for Michigan residents who want to be considered for the Michigan Competitive Scholarship (MCS). Note that the State must receive your FAFSA from the federal processor by this date, so you should apply well before the deadline. |
Deadline for students who want to be considered for all sources of aid other than the MCS. Note that OFA must RECEIVE your FAFSA from the federal processor by April 30, so you should apply well before the deadline. |
If you are asked to submit additional documents, OFA must receive them by this date to consider you for all aid programs. |
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Spring/Summer 2009 Financial Aid Information 
IMPORTANT Spring/Summer Dates:
 MARCH 6, 2009
The first priority deadline for Spring/Summer aid applications. For complete instructions see www.finaid.umich.edu/forms/ssrff09.
April 2009
The Office of Financial Aid will begin emailing Spring/Summer award notifications to students registered at least half-time for Spring and/or Summer.
May 15, 2009
Final date to apply for Spring term financial aid.*
July 17, 2009
Final date to apply for Summer term and the combined Spring/Summer term financial aid.*
*Only limited funds will be available for applicants who do not meet the March 6 priority deadline.
KEEP IN MIND:
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Grant aid for Spring/Summer is very limited. Be sure to apply by March 6. Note that your financial aid award for Spring/Summer might be less than the award you received for Fall/Winter.
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Register for Spring/Summer classes during your appointed enrollment time. If you will enroll in both Spring term and Summer term classes, you must enroll for both terms during your appointed enrollment time to be considered for aid for both terms.
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You must be registered for classes at least half-time in order to receive any financial aid.
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Financial aid for Spring/Summer is initially awarded to applicants based on the assumption that they will be enrolled full-time. If you enroll less than full-time, your aid will be reduced after the drop/add period.
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OFA will monitor your enrollment level throughout your award period. Changes to your enrollment may result in reduction or cancellation of previously offered aid, and you may be required to repay any funds already disbursed to you.
RECEIVING YOUR FINANCIAL AID (DISBURSEMENT):
Your financial aid (except Work-Study) will be applied against charges on your student account; any amount beyond what you owe (called a refund) will be sent as a check to your local address. If you have direct deposit, your refund will be deposited directly into your bank account. If you have not made arrangements for direct deposit, click on Direct Deposit in your Student Center on Wolverine Access.
Note: If you have ever made a cash payment to your account, any refund you are owed will not automatically be sent to you. Instead, a credit (negative balance) will appear on your acount. You can have the refund released to you by contacting Student Financial Services.
DISBURSEMENT DATES:
Spring/Summer funds are scheduled to be available to students on these dates:
SPRING TERM: May 4, 2009
SUMMER TERM: June 29, 2009
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Education Tax Credits: Are You Eligible?
The federal government offers two education tax credits to help families offset the cost of higher education by reducing the amount of their income tax. The Hope Scholarship Credit is a tax credit for first- and second-year undergraduates or their parents. The Lifetime Learning Credit is for eligible students who are beyond their second year of college or their parents. Eligibility for the credits is based on income and other criteria.
To take advantage of these credits, taxpayers must submit IRS Form 8863: Education Credits (Hope and Lifetime Learning Credits) and Form 1098-T, Tuition Statement, along with their federal tax return, to the IRS.
Form 1098-T is supplied by U-M's Student Financial Services, and students can access it on Wolverine Access. It lists the amounts that students are billed for qualified tuition and expenses as well as the amounts of each student's grants and scholarships. Form 1098-T also shows the demographic information (name, Social Security number, etc.) that the University provides to the IRS for each student.
For more information, see the information about the education tax credits on the Office of Financial Aid website, the Student Financial Services website, and the IRS website. Please note that these education tax credits must also be reported on your 2009-2010 Free Application for Federal Student Aid (FAFSA).
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After You Apply: Your Student Aid Report
After you submit your FAFSA, the federal processor will review your information, calculate your Expected Family Contribution (EFC), and send a record of this information to our office. In addition, the federal processor will send you a record of your FAFSA information, called a Student Aid Report (SAR).
Be sure to review your SAR information carefully! Look to see if any comments need to be addressed. If corrections are needed, be sure to make them as soon as possible and follow the directions to submit the updated information. Confirm that the record will be sent to the University of Michigan-Ann Arbor, federal school code 002325.
Note about signatures: One of the most common mistakes students make when completing or correcting the FAFSA is to forget to provide signatures for themselves and one parent (a parent signature is required if you are a dependent student or if you are a Pharmacy or Dental student applying for Health Professions Loan funds). If you forget a signature, your FAFSA will be rejected and you might miss the priority deadline date to be considered for all aid programs.
You and your parent can provide your signatures electronically with separate Personal Identification Numbers (PINs) at www.fafsa.ed.gov (select "Sign Electronically with your PIN"). To request a PIN, go to www.pin.ed.gov. Alternatively, if you received a paper SAR, you and your parent can sign and return your paper SAR to the federal processor.
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Tax Reporting for Grants, Scholarships, Fellowships, and Work-Study
Part or all of your grant, scholarship, or fellowship may be taxable even if you do not receive a W-2 form. If you are in a degree program, amounts you use for expenses other than tuition and course-related expenses are taxable.
To determine the taxable amount, add up all grant, scholarship, and fellowship awards received in a calendar year; then subtract all tuition, fees, and book and supply expenses. If the remaining amount is a positive number, it must be reported as income on your taxes AND on your 2009-2010 Free Application for Federal Student Aid (FAFSA). If you are not in a degree program, the full amount of the grant, scholarship, or fellowship is taxable. For more information, including a worksheet to use to calculate your taxable amount, see our frequently asked questions.
You must also report Work-Study earnings as income on your taxes. You should receive a W-2 form from your employer showing your earnings. You will also need to report these earnings on your 2009-2010 FAFSA.
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A Note to Students Affected by the U.S. Financial Crisis
If your family is facing severe financial problems due to job loss, foreclosures, or business declines and your college funds are in question, contact the Office of Financial Aid for a review of your financial aid eligibility. Financial aid officers can work with you and your family to find the best mix of resources to keep you enrolled. For many students and parents the best available option for this year will be a federal loan. However, if you have experienced a significant and prolonged decline in family income, you might be eligible for additional financial aid funds, either this year or next year. For more information, see the information about the financial crisis on the OFA website. Or send email to financial.aid@umich.edu.
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