Student Resources - Deemed Summer Savings
Students are expected to work full time during the summer months and contribute some of the savings to their academic expenses. As part of the Financial Aid Application, students are required to submit their final summer paystub showing their gross earnings (total earnings before taxes and other deductions) from all sources. If work commenced before the beginning of summer (May 1) or the student worked with the company/organization previously in the same calendar year, students are also asked to provide their end-of-April paystub showing gross earnings as of that date, thus allowing the Financial Aid Office to calculate the earnings for summer months only.
The Financial Aid Office calculates students’ expected savings based on their gross earnings as well as their living situations during the summer. The following formula is applied:
For students living with parents/guardians during most of May to August
•The first $3,340 of a student’s gross summer income is exempted.
•Students are expected to save 50% of gross summer income between $3,340 and $10,000 and 70% of gross summer income over $10,000
Thus, a student living at home earning $15,000 will be expected to save $3,330+$3,500=$6,830
For students living independently during most of May to August
•The first $9,160 of a student’s gross summer income is exempted.
•Students will be deemed to save 50% of gross summer income between $9,160 and $10,000 plus 70% of gross summer income more than $10,000.
Thus, a student living independently earning $15,000 will be expected to save $420+$3,500=$3,920
Students with eligible dependent children will be allowed $2,000 per dependent child to be subtracted from the summer income deeming formula above.
Students not employed over the summer
Students going on an exchange or not working full time (for any reason other than medical)will be deemed to save the following amounts:
Illness/Medical condition
Students not working during the summer months due to a medical condition require to provide medical documentation from attending medical professional.
Volunteer/Unpaid employment
Students who do volunteer work during the summer need to provide supporting documentation with the contact information for volunteer organization supervisor and a letter confirming that they worked 40 hours per week for a minimum of 12 weeks.
