Definition of Financial Need

Financial need is defined as the difference between the cost of attending school and the student’s (and/or the family’s) expected family contribution (EFC). A Central Processor to whom the student’s Free Application for Federal Student Aid (FAFSA) is submitted conducts determination of the EFC, based on federal guidelines. The School’s Financial Aid Director or staff then determines the student’s Cost of Attendance, which generally consists of tuition and fees and average living expenses based on nationally published data. The federal need formula can be stated as follows: Cost of Attendance – EFC -- estimated financial assistance not received under Title IV = Financial Need. Financial need determines eligibility for different sources of student aid.