Financial Aid Handbook 2013-2014 - Peralta Colleges

HOW FINANCIAL AID ELIGIBILITY
IS CALCULATED
Financial aid comes in the form of grants (gift aid), low interest loans (that must be repaid),
work-study, and scholarships. The financial aid programs are funded and regulated through
Federal, State, and local agencies, and through the colleges themselves. Most of the financial
aid available is based on need. The process used to determine how much financial aid is
needed is initiated when a student completes the Free Application for Federal Student Aid
(FAFSA). The information supplied on the FAFSA is processed through a formula which
produces an Expected Family Contribution (EFC) based on the unique student and/or family
information provided. The EFC is the amount of money the student and family are expected
to pay toward the student’s annual college costs. The difference between the college costs
and the Expected Family Contribution is the student’s need, or eligibility for financial aid as
demonstrated below:
Cost of Education
- Expected Family Contribution
= Student’s Financial Need
UNDERSTANDING THE COST OF EDUCATION
The cost of education is an estimated amount that a student will need to cover costs related
to college attendance. Nine month student budgets are constructed using surveyed costs of
California students based on their living and enrollment status as follows:
Away From Home At Home