Student Expense Survey and its Ramifications for Budget Construction

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Student budgets'have always been a ma,jor concern to financial aid administrators. The financial aid profession has an obligation to manage public resources carefully and effectively, to combine the quest for efficiency with compassion for vulnerable and disadvantaged students, and to restore the public's trust for the integrity of the financial aid profession and the programs. Those of us who have the responsibility to spend the taxpayer's dollars must ensure that those resources are not ~isused, and should also strive to provide each student with the financial aid resources to which he or she is eligible. -, The main purpose of financial aid programs is to assist students who would. otherwise be unable to continue their education in meeting the costs of their education. Increasing public awareness of financial aid programs produces more applicants, generally exceeding the amount of available funds. This necessitates and reinforces the need for efficient use of financial aid funds. In this era of accountability, and with expanding student financial aid programs, the U.S. Office of Education and financial aid administrators have an increasing concern about the development of proper methods of determining educational costs and student budget construction. Unless these costs are clearly stated in a consistent manner, the whole process of budget construction, determining need, and awarding financial aid may not necessarily be the most efficient way of spending public resources. Unrealistic budgets can have a profound effect on the federal funding of student aid to institutions as well as on individual student aid applicants through the packages of aid awarded to them in their local campus environments.