What financial variable is subtracted from the Cost of Attendance to determine Need Based Eligibility?

To determine Need Based Eligibility in the context of financial aid, the financial variable that is subtracted from the Cost of Attendance (COA) is the Expected Family Contribution (EFC). The EFC represents the amount a student's family is expected to contribute toward the student's education expenses, based on their financial situation.

When calculating Need Based Eligibility, the process is to take the total Cost of Attendance and deduct the Expected Family Contribution. The resulting figure represents the calculated financial need, which helps institutions understand how much financial aid the student may qualify for.

The Student Aid Index is a different concept and is not used in this calculation. While it plays a role in the financial aid process, it does not directly indicate what is deducted from the Cost of Attendance. Similarly, other forms of financial assistance and personal savings may impact the overall financial picture, but they are not the primary variable used in the standard calculation of need based eligibility under federal guidelines.