The Essential of Financial aid
1) Increase access to higher education. Contrary to the misconception that leveraging is about buying a better class or ditching needy students for wealthier ones, financial aid leveraging promotes access by better using existing financial aid resources so that dollars are not wasted. It’s a data-driven process that finds the amount each student needs to enroll, greatly reducing overawarding of aid to some students and underawarding others. Furthermore, it can identify the aid they need across their entire academic careers, a key to student retention.
2) Align awarding policies with enrollment goals. Not surprisingly, cost increases have increased the enrollment implications of awarding policies. It’s more important than ever to make sure your institutional gift aid is in synch with your enrollment objectives. Leveraging can do that. You can make sure that your awards help shape your class and enroll the student populations you desire—in-state, out-of-state, underrepresented populations, students with specific academic profiles, or any other combination of student characteristics.
3) Pinpoint a student’s ability and willingness to pay. This is the heart of any good financial aid strategy. All students have certain financial needs that must be met if they are to enroll. However, they also have a more difficult figure to pin down: how much they are willing to pay, which can be quite different than their actual need. Leveraging can identify those points and make it easier for you formulate your award packages for each student.
4) Maximize your net revenue. With greater tuition dependency, net revenue has become a bigger factor for publics. Net revenue is what allows you to fulfill your mission of providing a quality higher education experience. The greater precision of financial aid leveraging means that you’ll maximize tuition net revenue by identifying the amount of aid each student needs to enroll.
5) Increase accountability in the aid process. Leveraging is a data-driven, transparent process that makes it very easy to justify every dollar that you award. You trade guesswork or less-reliable awarding metrics for a process that combines enrollment and financial aid data into a very clearl guide for awarding.