Glossary

Academic Honors Diploma - One of three diploma types offered by the State of Indiana. The Academic Honors diploma (AHD) reflects a curriculum that exceeds the General diploma and CORE 40 requirements and requires students to complete additional credits in various subject areas. The AHD is considered the most academically rigorous diploma of the three certified by the State of Indiana, and students must maintain at least a B average to receive the AHD.

ACT – One of the most common college entrance exams, often required for admission to many colleges. The ACT consists of four sections including math, science, English and reading as well as an optional writing assessment and is usually taken for the first time in the spring of the junior year and again in the senior year.

Adjusted Gross Income (AGI) - Total taxable income (including wages, interest, capital gains, etc.) adjusted downward for certain deductions but not including standard or itemized deductions.

Admissions Office - The office on a college campus which houses the people who recruit, interview and admit students to the college.

AP – Advanced Placement (or AP) refers to college-level classes offered by some high schools in various subject areas. Students participating in AP courses often take national AP exams prior to the end of the school year for placement purposes in college and/or for testing out of certain college requirements. Students can earn college credits at many Colleges and Universities for receiving certain scores on the AP exams.

Combination Financial Aid - Financial aid awarded based on both the financial situation and the merit of the student.

CORE 40 - One of three diploma types offered by the State of Indiana. The CORE 40 diploma reflects a curriculum that exceeds the General diploma requirements and requires students to complete additional credits in various subject areas. The CORE 40 is considered the minimum college-track diploma.

Cost of Attendance - The total cost of attending a given college including tuition & fees, room & board, books, transportation, personal expenses and all other necessary expenses associated with going to that college.

CSS Profile- a secondary financial aid form administered by the College Board sometimes required by colleges using the Institutional Methodology.

Dependent Student- a student who is dependent for financial aid purposes and is required to file the FAFSA using both student and parent information and who does not meet any of the criteria required for independent student status.

Early Action - An admission application option in which a student files for early admission to his/her top choice college (or colleges) early in the senior year (sometimes as early as October but usually no later than the beginning of December). In contrast to Early Decision, the student is not committed to attending a particular college at the point of acceptance under this option. (Note: Some colleges do not allow students applying to their institutions to submit multiple Early Action applications, so check with the colleges you are considering to see if this applies.)

Early Decision - An admission application option in which a student files for admission to his/her top choice college early in the senior year (sometimes as early as October but usually no later than the beginning of December) under the guiding principle that the student will be bound to attend that college if accepted.

Expected Family Contribution (EFC) - The amount of money a student/family is expected to pay toward college costs in a given academic year for a given student according to the federal formula.

Federal Methodology (FM) (or federal formula) - The federal calculation that is used to determine a student’s EFC.

This formula is used to figure out a student’s eligibility for federal grants, loans and/or work-study grants.
Many states use the same formula to determine a student’s eligibility for state grants, and many colleges use it to award their need-based scholarships.

Federal Work-Study Program - A student work program on college campuses that enables students to work during the school year to earn money to help cover their expenses. Federal work-study jobs are awarded to students based on financial need.

Financial Aid Office - The office on a college campus that is responsible for processing students’ financial aid.

Financial Aid Packages - The financial aid awards offered by colleges after a student has been admitted and all necessary financial aid paperwork has been processed. Includes the total cost of attendance, the student’s EFC, and all of the sources of financial aid that a student may be eligible for in the coming year at the given university.

Financial Need - The difference between a college’s listed cost of attendance and the student’s EFC.

Free Application for Federal Student Aid (FAFSA) - Federal form a student must file in order to qualify for federal funds, state grants and college need-based financial aid.

This form must be filed each year.
Some states require that the form be completed prior to the year in question. In Indiana, the student must complete the form in the spring semester of his/her senior year of high school (and each year thereafter) between January 1 and March 10 (current deadline).
Some colleges have an additional (sometimes earlier) deadline by which they request all applicants file the FAFSA.
The information provided on the FAFSA is used to calculate a student’s EFC.

GED (General Education Development Diploma) - High school equivalency diploma for those who have not received a traditional high school diploma from the State. The GED requires completion of a test that covers writing skills, math, social studies, science, literature and the arts. It is sometimes referred to as a general equivalency diploma.

General Diploma - One of three high school diploma types offered by the State of Indiana. The General diploma reflects the minimum diploma requirements necessary to receive a diploma from an Indiana high school. The General diploma is not considered a college-track diploma.

GQE (Graduation Qualifying Exam) - Also known as the 10th grade ISTEP exam, this test is required by the State of Indiana in order to receive an Indiana high school diploma. The test consists of English and mathematics sections and is first administered during the 10th grade year. Students have up to five chances to pass the test before graduating from high school.

Independent Student - a student who is independent for financial aid purposes and can file the FAFSA without submitting any parental information (spousal information is required if the student is married); students must meet one of the following criteria in order to qualify as an independent student:

The student is an orphan or ward of the court (or was a ward of the court until age 18)
The student is married
The student has a child for which s/he provides more than half of the child's financial support AND/OR another dependent (other than a spouse) that lives with the student for which the student provides more than half of that person's financial support
The student will be 24 years of age or older by January 1 of the academic year in which s/he is applying for financial aid
The student is enrolled in a graduate or professional degree program
The student is a veteran of the U.S. armed forces

International Baccalaureate Diploma (IB) - The IB diploma is awarded to students who pursue rigorous pre-college coursework and successfully complete required examinations. It is based on a curriculum that involves languages, sciences, humanities and mathematics and is intended to be an academically challenging program for highly motivated students. The IB diploma is offered at a very limited number of high schools.

Institutional Methodology (IM) - A modified version of the federal formula used by some colleges and universities that looks at additional assets and/or resources in a student’s household. The way student and parent contributions are calculated also is different.

Use of an “institutional methodology” won’t affect federal or state need-based grants but it may mean the college will expect more money overall from a family.
Not all colleges use the Institutional Methodology. Most of the colleges that use the IM are selective, private colleges.
Many colleges that use the IM require that students fill out a second financial aid form called the CSS Profile.

ISTEP (Indiana Statewide Testing for Educational Progress) - State mandated achievement test required for all Indiana students grades 3-10 (as of Fall 2004). The test assesses English/language and mathematics skills, and a science component is included in the 5th grade exam.

Merit-Based Financial Aid - Financial aid awarded based on the talent (academic or otherwise) of the student. Merit-based aid can be awarded for athletics, art, music, academics, community service, leadership, and many other factors. The factors considered vary among colleges and scholarship providers.

NCAA Eligibility Center - Students who plan to play Division I or Division II sports during their freshman year of college must register with the NCAA during their senior year of high school. This registration process certifies that the student has met certain academic and other standards, as required under NCAA guidelines in order to compete and receive athletic-based financial aid.

Need-Based Financial Aid - Financial aid awarded based solely on the financial situation of the student. Need-based aid eligibility is determined based on the FAFSA and sometimes additional financial aid forms required by a college.

Parent Contribution (PC) - The portion of the EFC that is expected from the income and assets of the parent(s)/stepparent in the student’s household.

PLAN - Often referred to as the “pre-ACT”, it is a practice test for the ACT assessment exam. The PLAN test is offered in the sophomore year in high school.

PSAT - A practice test for the SAT college entrance exam. The Preliminary SAT is a junior-level test but is often taken in the sophomore year for practice and again in the junior year. The PSAT in the junior year serves as the National Merit Scholarship Qualifying Test.

Room & Board - The fees charged by a college for a dorm room (or other living facility) and meals during the school year.

SAT – One of the most common college entrance exams often required for admission to many colleges. The SAT consists of verbal, math and writing sections and is usually taken for the first time in the spring of the junior year and again in the senior year, as needed.

SAT Subject Test - Tests (largely multiple choice) that measure a student’s knowledge of specific subject areas. These tests can be required by some colleges for college admission and/or college placement in certain subjects.

Student Aid Report (SAR) - The report that is processed and sent to a student, showing the student's EFC, after s/he files the FAFSA.

Copies of the report also are sent to the student’s state grant agency and the colleges the student lists on the FAFSA.

Student Asset Contribution (SAC) - The portion of the EFC that is expected from any assets (cash, checking, savings, investments, trust fund, etc.) in the student’s name.

Student Income Contribution (SIC) - The portion of the EFC that is expected from student income (if the student earns more money in a calendar year than the amount allowed under the Federal Methodology).

Tuition & Fees - The prices charged to students to enroll in classes, including any fees that are required as a part of enrollment. These fees can be charged per class, per credit hour, or per semester.

Twenty-first Century Scholars - Scholarship program offered by the State of Indiana to students who enroll in the 7th or 8th grade year of school and fulfill the program requirements. The program guarantees college tuition at a public, in-state college/university or a comparable amount an independent, in-state college/university. There is a one-time financial eligibility requirement that must be met in order to qualify for the program.

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