Financial aid can be a sensitive topic for families and schools alike. For families, financial aid can be the difference between attending a school or not. For schools, financial aid decisions are accompanied by paperwork, stress, and trying to match available funds to demonstrated need.
To add to the tension, there will inevitably be families that don’t receive the amount of aid they applied for. Some will accept this number and others will request a conversation with your financial aid decision-maker to hear your school’s reasoning for its award.
When it comes to these conversations, keep these tips in mind.
Point to your financial aid mission
Start with sharing your school’s financial aid mission statement with the family. Financial aid is not a giveaway. It serves the school and its larger mission, and your mission clearly defines that link. This mission should already be understood by applying families but don’t be afraid to reference it again with the family. Thank them for their interest in your school, acknowledge their child(ren), and remind them of your school’s goals looking ahead.
Reference your financial aid formula
Some parents may ask why they didn’t receive the award they thought they would. Others may question why they received a different financial aid award from your school than from an institution down the street, or why their friends received an award different from the one they were given.
Don’t be defensive. Your school should follow a formula when it comes to awarding aid. Whether your team manually calculates aid for each family, or uses a system that allows you to customize your award recommendations to reflect your defined policies, that formula should remain uniform for all families. This process remains a strong part of your response—your formula aligns with your mission, and is the same for every application.
Another point to mention is that applying for financial aid is not a guarantee of an award. This should be explained to families during the application process.
Remain poised and calm
Money is an emotional topic for many families. But if you remain calm and use the points above, you won’t add any fuel to the fire. Keep the lines of communication open and work to diffuse the situation before it escalates. Use these tips when speaking with families about their financial aid situations to ease any tensions and support your community going forward.
Financial aid should be a strategic tool that fills your seats with mission-appropriate students and ultimately grows your school. Want to learn more about making the right strategic financial decisions for your school? Enter to win a free seat at our Strategic Financial Planning workshop. It takes place February 1–2 in Houston, TX.
Additional ISM Resources:
The Source for Business and Operations Vol. 14 No. 6 Providing Financial Information to Parents
The Source for School Heads Vol. 16 No. 10 Consider These Suggestions for Your School’s Financial Aid Procedures
ISM White Paper 5 Elements to Consider When Setting Your Financial Aid Policy
Additional ISM resources for members:
I&P Vol. 40 No. 12 ‘Rainy-Day’ Financial Aid: The Need for Proper Communication
I&P Vol. 39 No. 13 Strategic Financial Aid: Filling the Empty Seat
