Title IV Examples

The Calculation for Return of Title IV Fund is Based on the Percent of Aid Using the Following Federal Return of Title IV Funds Formula: Percent of Aid Earned = Number of days completed ÷ Total number of days in semester (excluding breaks of five days or more)

Funds are Returned to the Appropriate Title IV Program Based on the Following Formula: Title IV Aid to be returned = 100% of aid - Percent of aid earned x Lesser of the amount of aid disbursed or amount of qualified institutional charges

Federal Regulations Require Title IV Aid to be Refunded in the Following Order:

Federal Direct Unsubsidized Stafford Loans
Federal Direct Subsidized Stafford Loans
Federal Direct Graduate PLUS Loans
Federal Direct PLUS Loans (for parents)
Federal Pell Grants
Federal TEACH Grants
Federal Supplemental Educational Opportunity Grants
Iraq & Afghanistan Service Grants

An Example of a Return of Title IV Official Withdrawal:

The student is a freshman living on campus during the Fall semester.

The student’s financial aid package includes:
Pell Grant: $2,500
Subsidized Direct Loan: $4,000
Total Aid: $6,500

The student’s charges include:
Tuition and Fees: $2,000
Housing: $2,500
Meal Plan: $1,800
Total Charges: $6,300

Using Federal Aid Awarded in Computation:

The student withdraws on day 50 out of 111 days in the semester. 50 ÷ 111 = 45% of the semester completed (This student earned 45% of Title IV funds.)

Total amount of Title IV funds x Percent of earned Title IV funds
$6,500 x 45% = $2,925
$2,925 is the amount of earned Title IV aid.

Total amount of Title IV funds - Earned Title IV funds = Funds to be returned to Department of Education
$6,500 - $2,925 = $3,575
$3,575 is the amount of Title IV funds to be returned.

Using Qualified Charges (Tuition, Housing, Meal Plan, and Books) in Computation:

The student withdraws on day 50 out of 111 days in the semester. 50 ÷ 111 = 45% of the semester completed (This student earned 45% of Title IV funds.)

Total amount of qualified charges x Percent of earned Title IV funds
$6,300 x 45% = $2,835

Total amount of qualified charges - (Total amount of qualified charges x Percent of earned Title IV funds) = Funds to be returned to Department of Education
$6,300 - $2,835 = $3,465
$3,465 is the amount of Title IV funds to be returned.

The University must return the lesser of the two computations above to the Federal DOE Program. In this case, based on the order of Title IV repayments, $3,465 would be returned to the Subsidized Loan Program and the student would then owe this amount to the university. This amount would be placed on the student’s accounts receivable, prohibiting any registration activity and/or the receipt of academic transcripts or diplomas until these funds are repaid. If these funds are not repaid to the University, UWF will turn the charge over to a collection agency.

Students who withdraw from all courses during the published 25% refund period, will have their refunds applied to their accounts receivable. In addition, students with extenuating circumstances may request a refund of tuition through the fee appeals process. Amounts awarded via the appeal process will be applied first to the student’s accounts receivable.