Understanding Your Financial Aid Award
Understanding how your financial aid is determined is essential to making informed decisions about paying for college. Two key factors that influence your financial aid package are the Cost of Attendance (COA) and the Student Aid Index (SAI) (previously known as the Expected Family Contribution, or EFC).
Cost of Attendance (COA)
The COA is an estimate of your total annual costs to attend college, including:
- Tuition and Fees: Costs required for enrollment.
- Room and Board: Living expenses, which vary depending on whether you live on-campus, off-campus, or with family.
- Books and Supplies: Necessary course materials.
- Transportation: Travel expenses between home and campus.
- Personal Expenses: Miscellaneous costs, such as clothing, personal items, and other necessities.
Knowing your COA helps you budget effectively and ensures that your financial aid
package is tailored to your actual cost of attendance. To learn more about Cost of
Attendance click here.
Student Aid Index (SAI)
The SAI reflects your family’s ability to contribute to college costs and is determined
by the information provided in your Free Application for Federal Student Aid (FAFSA)
or California Dream Act Application (CADAA), based on:
- Income
- Assets
- Household Size
A lower SAI indicates greater financial need, potentially qualifying you for more
need-based aid. For more information on SAI click here.
How Financial Aid Eligibility is Determined
Financial aid eligibility is calculated with this formula:
COA - SAI = Financial Need
For example, if your COA is $20,000 and your SAI is $5,000, your financial need is
$15,000. This financial need amount helps guide the aid package you may be offered.
Example Calculation
| Cost of Attendance (COA): | $22,000 |
| Minus Student Aid Index (SAI): | $6,000 |
| = Total Financial Need: | $16,000 |
Sample Aid Package
- Pell Grant: $5,000
- Cal Grant: $3,000
- Work-Study: $2,000
- Subsidized Loan: $3,500
- Unsubsidized Loan: $2,500
Total: $16,000, meeting the financial need without exceeding COA.
Types of Financial Aid
- Grants and Scholarships: Aid that doesn’t require repayment, often awarded based on financial need. Examples include the Pell Grant and Cal Grant.
- Work-Study: A program that allows you to earn money through part-time work to help cover educational expenses while gaining job experience.
- Loans: Federal loans, which must be repaid with interest. Subsidized loans are need-based and do not accrue interest while you’re in school.
Additional Factors Affecting Financial Aid
- Special Circumstances: If your family’s financial situation changes significantly (e.g., job loss or unexpected medical expenses), reach out to your financial aid office to request a re-evaluation of your aid. For more information click here.
- Dependency Status: Dependent and independent students have different financial aid eligibility, as independent students typically receive more aid due to fewer family resources being considered in the SAI calculation.
Conclusion
Why COA and SAI Matter
Understanding these factors is essential for planning financially for the school year
and making the most of your financial aid package.
Get Support from Your Financial Aid Office
If you have questions about your COA, SAI, or how your financial aid was calculated,
reach out to the financial aid office for personalized assistance. They can help you
navigate financial aid options and make the best choices for your education journey.