What is EFC and how is it calculated?

Stafford Loan Benefits:
  • Fixed interest rate - as low as 5.6%
  • No payments while in school at least half-time

EFC stands for "Expected Family Contribution" and is a measure of your family's financial strength. The EFC is calculated using a formula that is established by law. Your family's taxed and untaxed income, assets, and benefits are all considered in the formula. Also in consideration are your family size and the number of people in your family who are attending college. All of this information is reported on the FAFSA and is used to determine your EFC.

Schools then use the EFC to determine your eligibility for financial aid. You can calculate an unofficial EFC right on the Internet, by clicking here.

Note: Your EFC is not the amount of money your family will have to pay for college. It is also not the amount of financial aid you will receive. It is simply a number used by your school to calculate the amount of federal student aid you will receive.

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