Sample Cash Advance Calculations

Here are four examples to illustrate the cash advance calculation process. They are as follows:

Example 1 - An Entering Student

Total Amount of Financial Aid (All Grants and Loans)=$81,900
Minus Tuition (standard)-$54,850
Minus Loan Fees (Direct Stafford Loans use 1.072% of total - Direct GradPLUS use 4.288% of total)-$855
Minus Health Fee and/or BC/BS **-$2,360
Minus Dormitory Charge (if any)-$9,250

 

Equals Annual Living Expense Allowance=$14,585
Divided by Two/2

 

Equals Cash Advance Check Amount for Each Semester=$7,293

How to budget the Example 1 cash advance check for the semester
This $7,293 should be divided by 4.5 months (1/2 the academic year) = $1,621 per month for the first 4 months and $809 for the first part of January. Second semester checks will be cut by December 19th this year.  If you charge crimson cash, dental work, pharmacy purchases, or any other expenses to your e-bill after the cash advance has been issued, you will be responsible for paying the charge on the bill with the money from the cash advance check you received for the semester. Likewise, if your credits change (decrease in grant assistance or loan assistance), you will be responsible for paying any balance due. Charges accrued during the fall semester must be paid before we will cut your second semester echeck and likewise, all outstanding charges must be paid in full prior to pre-registration in April.

Example 2 - A Returning Student

Total Amount of Financial Aid (All Grants and Loans)=$81,900
Minus Tuition (standard)-$54,850
Minus Loan Fees (Direct Stafford Loans use 1.072% of total - Direct GradPLUS use 4.288% of total)-$855
Minus Health Fee and/or BC/BS **-$2,360
Minus Dormitory Charge (if any)-$10,375

 

Equals Annual Living Expense Allowance=$13,460
Divided by Two/2

 

Equals Cash Advance Check Amount for Each Semester=$6,730

How to budget the Example 2 cash advance check for the semester
This $6,730 should be divided by 4.5 months (1/2 the academic year) = $1496 per month for the first 4 months and $746 for the first part of January. Second semester checks will be cut by December 19th this year. If you charge crimson cash, dental work, pharmacy purchases, or any other expenses to your e-bill after the cash advance check has been issued, you will be responsible for paying the charge on the bill with the money from the cash advance check you received for the semester. Likewise, if your credits change (decrease in grant assistance or loan assistance), you will be responsible for paying any balance due. Charges accrued during the fall semester must be paid before we will cut your second semester check and likewise, all outstanding charges must be paid in full prior to spring registration (2Ls) or graduation (3Ls).

Example 3 - A Student Living Off-Campus

Total Amount of Financial Aid (All Grants and Loans)=$81,900
Minus Tuition (standard)-$54,850
Minus Loan Fees (Direct Stafford Loans use 1.072% of total - Direct GradPLUS use 4.0288% of total)-$855
Minus Health Fee and/or BC/BS **-$2,360
Minus Dormitory Charge (if any)-$0

 

Equals Annual Living Expense Allowance=$23,835
Divided by Two/2

 

Equals Cash Advance Check Amount for Each Semester=$11,918

Note: The cash advance for this student is higher since he/she pays rent to an off-campus third party.

How to budget the Example 3 cash advance check for the semester
This $11,918 should be divided by 4.5 months (1/2 the academic year) = $2,648 per month for the first 4 months and $1,325 for the first part of January. Second semester checks will be cut by December 19th this year. The first step to budgeting this money, for this particular situation, is to subtract all of your rent for the semester so you may put that amount of money away until the monthly rent is due. If you charge any crimson cash, dental work, pharmacy purchases, or any other expenses to your e-bill after the cash advance check has been issued, you will be responsible for paying the charge on the bill with the money from the cash advance check you received for the semester. Likewise, if your credits change (decrease in grant assistance or loan assistance), you will be responsible for paying any balance due. Charges accrued during the fall semester must be paid before we will cut your second semester check and likewise, all outstanding charges must be paid in full prior to spring registration (2Ls) or graduation (3Ls).

Example 4 - A Student Living in Affiliated Housing where the rent is charged monthly to the e-bill

Total Amount of Financial Aid (All Grants and Loans)=$81,900
Minus Tuition (standard)-$54,850
Minus Loan Fees (Direct Stafford Loans use 0.5% of total - Direct GradPLUS use 2.5% of total)-$855
Minus Health Fee and/or BC/BS **-$2,360
Minus Dormitory Charge (if any)-$0

 

Equals Annual Living Expense Allowance=$23,835
Divided by Two/2

 

Equals Cash Advance Check Amount for Each Semester=$11,918

Note: Since this student is living in Affiliated Housing, where the rent is charged to the e-bill on a monthly basis, his/her cash advance check may be lower than the $11, 918 calculated above depending on how many months rent has already been charged to the e-bill when the cash advance is processed. In other words, if the Student Financial Services Office is processing the cash advance check in mid-September, the September rent charge will show on the account and we are required to deduct this amount from the cash advance check amount. The student will be responsible for paying the remaining monthly rent charges October-December with the remaining funding from his/her Semester I Cash Advance. January rent  most likely will be taken out of the Semester II Cash Advance, leaving the student responsible for rent payments from February through May.

How to budget the Example 4 Cash Advance Check for the semester
Start by subtracting all of your rent for the semester so that you may put that amount of money away until the monthly rent is due. For example, let’s assume that your monthly HRE rent is $1350. This means that after subtracting your monthly rent for September - 1/2 January ($1350 x 4.5 = $6,075) from your $11,918 cash advance check, you will have $5,843 (or $1298 per month) to spend on your other expenses (personal, books, travel, etc.) for the fall semester. Second semester checks will be cut by December 19th this year and any rent not already charged to your e-bill will be your responsibility to pay on a monthly basis from the proceeds of your Semester II Cash Advance. If you charge any crimson cash, dental work, pharmacy purchases, or any other expenses to your e-bill after the cash advance check has been issued, you will be responsible for paying the charge on the bill with the money from the cash advance check you received for the semester. Likewise, if your credits change (decrease in grant assistance or loan assistance), you will be responsible for paying any balance due. Charges accrued during the fall semester must be paid before we will cut your second semester check and likewise, all outstanding charges must be paid in full prior to spring registration (1Ls and 2Ls) or graduation (3Ls).

DO NOT PAY YOUR RENT BEFORE IT IS CHARGED TO YOUR E-BILL. If you pay your monthly rent before it is charged, it will likely create a credit on your account. We are required to release any credit on a student’s account, therefore, if you make an e-payment before the rent is charged, you will automatically receive a refund check in the amount you just paid, since there is no outstanding balance due.

Last modified: July 09, 2014

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