2009-2010 EFC formula guide - Page 4

swimcatsmom · 12-11-2008, 09:45 PM

Quote:

In general a person is considered a dislocated worker if they meet one of the following conditions:
• They have lost their job.
• They have been laid off or been laid off.
• They are receiving unemployment beneﬁts and are unlikely to return to a previous occupation.
• They are self employed but are unemployed due to economic conditions or natural disaster.
• They are receiving unemployment beneﬁts due to being laid off or losing a job and are unlikely to return to a previous occupation.
• They are self employed but is unemployed due to economic conditions or natural
disaster.
• They are a displaced homemaker. A displaced homemaker is generally a person who previously provided unpaid services to the family (e.g. a stay at home mom or dad) and is no longer supported by the husband or wife , and is having trouble ﬁnding or upgrading employment.

If a person quitswork, generally they are not considered a displaced worker even if, for instance, they are receiving unemployment benefits.

Note that the financial aid administrator at your school may require you to provide proof that you (or your spouse) is a dislocated worker.

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kelsmom · 12-11-2008, 11:46 PM

After tomorrow's Senate vote, I expect a HUGE percentage of students at my school will have parents who fit in this category. I expect the Pell grant eligible population to swell to huge proportions. Congress will be scrambling to find enough money.

And just think of all the newly-low EFC families who will have to come to terms with the fact that a low EFC doesn't necessarily translate into enough aid to close the gap.

swimcatsmom · 12-12-2008, 12:15 AM

I wonder if the Pell will be fully funded if a lot more people qualify for it. This last year the max was supposed to be $4,800 and ended up being $4731. I have always wondered how the $4731 figure came about.

Kelsmom - I am worried about what will happen tomorrow with the markets. Some of the world markets have really tanked overnight. @ 7% for the Hong Kong markets.

wecandothis · 12-12-2008, 12:38 PM

yes, I do meet the criteria for displaced homemaker...kelsmom, could I ask what state benefits are possibly available?
this is going to be very interesting, basically a whole new category of eligibility is opened up for all the dislocated/displaced workers... but where will all the money come from?

kelsmom · 12-12-2008, 11:03 PM

Wecandothis, your concern about where the money will come from is an important one. I honestly don't know the answer. As it is, the majority of federal aid is loans. I expect they'll just continue to raise the loan maximums. THAT is not good. I am predicting the next big bailout will be student loans ... I don't think people are going to be able to pay back what they are borrowing as it is, and loan limits were just raised this year.

My state has funding dedicated to displaced homemakers ... they offer help for job searches, training to get up to speed for the work force, and there is even some money available for college tuition. You should check with your state employment office. I live in MI, and we have MichiganWorks, which oversees these programs.