<p>Details from the</a> financial aid website pasted below. Also some good hypothetical examples at [url=<a href="http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/02/20/MNABV5LHM.DTL%5DSFGate%5B/url">http://www.sfgate.com/cgi-bin/article.cgi?f=/c/a/2008/02/20/MNABV5LHM.DTL]SFGate[/url</a>]</p>
<p>For the upcoming 2008-2009 academic year, Stanford has increased its need-based scholarship budget by $20.7 million, bringing the total amount to $97.2 million. The increase includes $5.2 million needed to keep up with rising student expenses, as well as an additional $15.5 million added to the base annual scholarship budget.</p>
<p>**Enhancements for 2008-2009</p>
<p>Zero Parent Contribution for Parents with Income Below $60,000**</p>
<p>For parents with total annual income below $60,000 and typical assets for this income range, Stanford will not expect a parent contribution toward educational costs. Students will still be expected to contribute toward their own expenses from their summer income, part-time work during the school year, and their own savings.</p>
<p>Tuition Charges Covered for Parents with Income Below $100,000</p>
<p>For parents with total annual income below $100,000 and typical assets for this income range, Stanford will ensure that all tuition charges are covered with need-based scholarship, federal and state grants, and/or outside scholarship funds. In most cases, the parent contribution will be no higher than the standard cost of room and board (around $11,000). Many parents in this group will see contribution amounts far lower than $11,000.</p>
<p>More Generous Method for Determing Family Contributions</p>
<p>Our methodology for calculating the expected family contributions for all applicants has been revised to be significantly more generous, while remaining true to the principles of need-based, equitable distribution of funds. Changes include:</p>
<pre><code>* Capping the amount of home equity in the parent asset calculation at 1.2 times the amount of total annual income
* Increasing the portion of total parent assets that are protected against assessment, for most families
* Adjusting the parent income calculation to reflect the higher cost of living in certain parts of the country
* Dividing the total calculated parent contribution evenly among multiple siblings in college
* Decreasing the assessment rate for student assets from 25% to 5% per academic year
</code></pre>
<p>Students Not Expected to Borrow to Meet Educational Costs</p>
<p>Students are no longer expected to borrow student loans as part of their financial aid packages. Instead, students can cover their expenses by working part-time during the academic year, with a standard earnings expectation of $2,500. The typical hourly wage for student part-time employment on campus is $11 per hour. At this rate, students would need to work an average of 7.5 hours per week to meet the earnings expectation. </p>
<p>Students can reduce or eliminate the earnings expectation by obtaining scholarships from outside agencies and organizations. Outside scholarships will reduce the earnings expectation on a dollar-for-dollar basis.</p>
<p>Frequently Asked Questions</p>
<p>Do the financial aid program enhancements apply to all undergraduate students?</p>
<p>Yes! All undergraduate financial aid applicants, including upper-classmen (continuing students) as well as newly admitted freshmen and transfers, will be evaluated using the new policies for the 2008-2009 academic year. This includes students admitted under the Early Action program as well as those admitted in the Regular Round. The enhancements do not apply to graduate or professional students.</p>
<p>Do I have to file a special application form to qualify for the new policies?</p>
<p>No. The standard financial aid application materials will give us all the information we need. Please see our Application Deadlines web page for a list of required materials and priority deadlines.</p>
<p>What do you mean by "typical asssets"?</p>
<p>For applicants who report total annual parent income up to $100,000, we generally consider typical assets to be an adjusted total net worth of less than $250,000. Adjusted total net worth usually reflects the sum of the following amounts:</p>
<pre><code>* Cash, savings, checking
* Investments
* Home equity, capped at 1.2 times annual income
* Equity in real estate other than the home
* Business net worth
</code></pre>
<p>We do not include formal retirement assets (401k, 403b, IRA, Keogh) in our analysis.</p>
<p>The Financial Aid Office reserves the right to make the final determination of the expected family contribution, in consideration of all factors affecting a familys overall financial situation and ability to pay.</p>
<p>My parents' total annual income is less than $100,000. Does that mean I don't have to pay tuition?</p>
<p>Students who qualify for this new policy will receive at least enough scholarship and grant funds to completely pay all tuition charges. You will not be expected to pay tuition charges out of your own pocket. However, you and your family may be expected to pay for some or all of your other educational expenses, including room and board, books and supplies, travel and personal expenses.</p>
<p>My parents' financial situation puts me just outside the income and asset ranges for some of the financial aid program enhancements. Should I apply for aid anyway?</p>
<p>Yes. We review each applicant's individual situation, taking into account all family circumstances that may affect the ability to pay. Especially if your family has unusual expenses (for example, high out-of-pocket medical costs), we will consider these factors in determining your eligibility for aid. Even if you are not eligible for need-based scholarship, we will still let you know about low-cost loans for which you qualify.</p>
<p>Are the financial aid enhancements retroactive to prior academic years?</p>
<p>No, these enhancements are effective starting in the 2008-2009 academic year. Expected family contributions for 2007-2008 and earlier will not be adjusted in light of the enhancements.</p>
<p>Do the new policies apply to international students?</p>
<p>There are many variables involved in the calculation of aid eligibility for international students, including differences in currency values, which make it difficult to say how any individual international student is going to be affected by these changes. We will continue to evaluate international applications on a case-by-case basis.</p>
<p>What if I still have specific questions?</p>
<p>We encourage you to call or visit the Financial Aid Office. Our toll-free phone number is (888) 326-3773. We are located in Montag Hall, 355 Galvez Street. We are open from 8:00 a.m. to 5:00 p.m. Pacific time (10:00-5:00 on Tuesdays). Please note that our office will be closed all day on Wednesday, February 20, 2008 for staff training. You may also submit questions by email; our email address is <a href="mailto:Financialaid@Stanford.edu">Financialaid@Stanford.edu</a>.</p>