2025 | FAS

Better Peace of Mind: How Proactive Title IV Compliance Protects Your Institution

August 4, 2025

Clean financial aid audits never happen by chance. They are a result of embedding compliance best practices into your systems, staffing, and office culture. In many ways, compliance is the trust currency of financial aid. Without that trust, even the best technology or fastest packaging timeline can’t prevent the ripple effects—disrupted funding flows, leadership concerns, and weakened student confidence.

Why Compliance Can’t Be an Afterthought

Title IV regulations consist of over 1,000 pages of regulation and many of them read as densely as a tax code. While the rules are federally defined, institutions still face real-world challenges in applying them consistently.

The complexity of successfully following these rules is compounded by how differently institutions apply them in execution—based on local policies, staffing capacity and operational constraints.

And the stakes are higher than ever. When polled about the top challenges faced by financial aid teams, 48% of leaders cited changing federal, state, and local regulations. Because when institutions fall out of compliance, they don’t just get a warning, there is a significant risk of being placed on Heightened Cash Monitoring (HCM) status, a designation that disrupts aid disbursement, often overwhelms staff, and triggers immediate reputational risk.

The Hidden Cost of Non-Compliance

Besides the financial impact, the cost of compliance is also operational and reputational. Even under the best conditions, staying compliant with state and federal regulations can carry a steep cost. A multi-institutional study found that colleges and universities spend between 3% and 11% of their annual operating budgets (excluding hospitals) on federal compliance.

The hidden costs of non-compliance are too high to ignore. When an institution enters HCM status, an already understaffed financial aid department becomes solely focused on mitigating its compliance issues, and the student experience suffers. Add to the situation staff burnout, enrollment delays, and reputation loss – it’s clear the costly effects of not remaining in compliance.

When an institution is placed on Heightened Cash Monitoring (HCM), those costs accelerate, triggering staff challenges, delayed disbursements, and strained trust with students and leadership alike. Rebuilding credibility—not just compliance, can take years.

“Too many colleges and universities underestimate the financial risk they’re carrying around compliance, and those are consequences that can have a significant impact on your institution and your students.”
— Robert Heil, Challenges Deserve Solutions, Episode 4

Compliance is a Shared Responsibility

Compliance is not just a financial aid issue; it’s a university-wide concern. Managing Title IV aid demands collaboration between Academic Records, Financial Aid, and Information Technology Services to ensure consistent and precise reporting. When these departments align, they create the foundation for A Better Compliance Model—one of the four strategic pillars of the FAS Better Financial Aid Model.

Strategic Outcomes of a Better Compliance Model

When institutions embrace proactive compliance, they gain:

Fewer audit surprises

Consistent funding flows

Increased leadership confidence

Innovation without fear

What Keeps You up at Night about Compliance?

If compliance risk is pulling your team into reactive mode or keeping leadership on edge, it’s time for a better model. Connect with FAS today and let’s talk about building compliance operations that don’t just protect your institution but help it stay ahead of the curve.

You Can’t Market Your Way Out of a Bad Student Experience

July 31, 2025

This blog is part of our Better Financial Aid Model blog series. Explore how timing, operations, and compliance also impact institutional outcomes: The Domino Effect, Timing Is Everything, and The Cost of Chaos.

For today’s students, expectations have shifted. They’re digital natives, shaped by Amazon, Netflix, and on-demand everything. If your financial aid experience creates friction instead of clarity, it won’t just slow down the process—it can derail enrollment altogether. This is where A Better Student Experience becomes a competitive advantage, and a strategic necessity.

According to a recent survey by Ellucian, 87% of students report that a school’s tech savviness is important to them when applying. And yet, when these expectations meet the slow-moving reality of financial aid, institutions lose more than efficiency – they lose momentum.

As FAS CEO, Robert Heil puts it:

“You can’t market your way out of a bad student experience with financial aid. Institutions spend tens or even hundreds of thousands of dollars recruiting students—only to watch that investment unravel at the final step when delays and confusion in financial aid disrupt the student journey.”

Where Student Experience Breaks Down

Gen-Z is applying to your institution, but they’re also making one of the most significant financial decisions of their life, often without clear support or direction. The knowledge gap of the processes and impact creates anxiety, stress, and confusion during a time that should be filled with hope. But this gap also presents an opportunity for financial aid to ease concerns and build trust by offering:

One-on-one guidance
Clear, proactive communication
Timely updates and information

Unfortunately, many institutions miss this opportunity. According to an Inside Higher Ed survey, 80% of students report never meeting with a financial aid administrator one-on-one. When institutions stay laser-focused on how students experience enrollment and financial aid, something powerful happens: that point of connection drives real-world conversions.

When Experience Becomes a Differentiator

A Better Student Experience is one of the four strategic pillars of the Better Enrollment Model, and it becomes a true differentiator when financial aid offices prioritize fast, accurate, and student-centric support. When students experience friction in the process, just like in any other transaction, they disengage. But when they’re given the clarity and support to make an informed decision? That’s when trust turns into loyalty.

Let’s be clear: access alone isn’t a student experience strategy.

A self-service portal isn’t a silver bullet.
Chatbots without real human support are just a band-aid.
And unclear or inaccurate information, no matter how fast, doesn’t build confidence.

Experience becomes a differentiator when every interaction reinforces your commitment to student success—in policy and in practice.

What A Better Enrollment Model Looks Like

Closing the experience gap happens when you create clarity, instill confidence and reinforce connection at every step of the financial aid journey. Here’s what it looks like in practice:

Automated Support that Feels Personalized
Offer multiple support channels such as chat, phone and in-person appointments to bridge the communication gap Gen-Z often experiences.

Real-Time Visibility and Updates
Provide dedicated portals for students to check their financial aid status. Pair that with FAQ pages to address common questions and explain the process in plain, approachable language.

Technology That Supports Your Team
Lean into technology that allows your team to focus on what matters most: high-touch, high-trust interactions. While they are tech-savvy, Gen-Z still values organic connections.

With these building blocks in place, your team will be positioned to deliver an experience that doesn’t just meet expectations—it strengthens yield, builds trust, and reinforces the value of your institution.

The Real ROI of an Intentional Student Experience

Implementing a student-centric financial aid model leads to measurable results. When students receive clear, fast, and personalized support, it leads to higher satisfaction, stronger Net Promoter Scores (NPS), and a more confident enrollment decision. The Better Student Experience also plays a critical role in reducing summer melt and attrition. Students are far less likely to transfer or disengage when their financial aid experience is smooth, supportive, and transparent.

Every positive interaction reinforces your brand, strengthens trust, and deepens engagement—building a loyal community that stays connected long after graduation. How do students feel during your financial aid process – and what does that say about your institution? Connect with FAS for an audit of the current student experience and uncover the friction points.

Wooden blocks spelling out 'Mistakes to Avoid' on a table, symbolizing the importance of strategies to avoid compliance mistakes in Title IV financial aid.

Avoid These 6 Compliance Mistakes in Financial Aid

July 29, 2025

When it comes to Title IV compliance, most mistakes aren’t malicious, they’re mundane. A missed file, a policy that was never updated, or a website link that points to last year’s SAP criteria can all trigger findings during an annual audit. At FAS, we’ve seen how small missteps can turn into major risks, especially when staffing is a challenge or internal processes haven’t been reviewed in months. The good news? Most of these pitfalls are entirely preventable.

Below are the most common (and costly) compliance mistakes, ranked by frequency in federal audits and program reviews—and what your team can do to avoid them. These insights are based on recurring findings documented in the U.S. Department of Education’s FY 2022 Top Findings Companion Report, which highlights R2T4, verification, SAP, and consumer information as common areas of noncompliance.

Return to Title IV (R2T4) Files Missing or Incomplete

Why it matters: R2T4 consistently ranks as one of the most frequent Title IV audit findings.
Common Misstep: Withdrawal dates aren’t accurately recorded, or R2T4 calculations are missing from the student file.
What to do: Build a workflow that flags withdrawals in real time and ensure completed R2T4 files are stored and reviewable.

Unverified ISIR Data Leading to Premature Disbursement

Why it matters: Disbursing aid with unresolved conflicting information is a major compliance violation.
Common Misstep: ISIRs contain missing or conflicting data, but funds are still disbursed before resolution.
What to do: Integrate ISIR checks into your disbursement process. Create guardrails that prevent aid from being released until eligibility is verified.

Missing or Misfiled Verification Documentation

Why it matters: Incomplete or lost verification records put aid disbursement into question and are a frequent audit issue.
Common Misstep: Verification documentation is inconsistent, paper-based, or missing from digital systems.
What to do: Use a centralized, auditable tracking system and review files regularly to ensure completion and retention.

Inconsistent Application of SAP Policies

Why it matters: Failure to apply Satisfactory Academic Progress policies uniformly can result in findings and equity concerns.
Common Misstep: Different staff use different timelines or documentation standards for SAP reviews.
What to do: Train staff on SAP application annually and standardize documentation templates for appeals and status changes.

Outdated Consumer Information on Public Websites

Why it matters: Website disclosures are a compliance requirement and among the easiest for auditors to spot.
Common Misstep: Cost of attendance or SAP info is outdated, or links are broken or missing.
What to do: Set a quarterly review cadence to check for accuracy across all public-facing pages.

Want to take this a step further? Explore how cross-campus partnerships impact compliance. The strongest institutions align their communication, policy ownership, and timing across departments—not just within the aid office.

Policy & Procedure Manuals That Don’t Reflect Current Practice

Why it matters: Auditors compare written policy to actual execution—and gaps are flagged quickly.
Common Misstep: Manuals haven’t been updated after staffing changes, regulatory shifts, or system transitions.
What to do: Review your policies annually and document updates to show continuous improvement.

Pro Tip: Build your compliance habits around the timing that matters most. The riskiest audit findings often happen after aid is disbursed—when schools shift from packaging to proving. Read more in The Compliance Window: Higher Ed’s Most Overlooked Audit Risk.

Mistake to Watch For: Treating Compliance Like a Once-a-Year Event

The institutions that perform best in audits aren’t perfect—they’re prepared. They’ve built compliance into the daily rhythm of their financial aid operations, not just the months before a program review. Compliance isn’t just a requirement. It’s a system of trust. And the more intentional your team is about building that trust, the fewer surprises you’ll face during a review.

Ready to Take Action?

No matter where your team and institution is in the compliance journey, FAS can help you turn compliance from a risk into a rhythm. Connect with a consultant to assess your biggest compliance vulnerabilities, and how to get ahead of them.

Man working on the computer to convey the idea of audit risk in higher education.

The Compliance Window: Higher Ed’s Most Overlooked Audit Risk

Part 3 of the Strategic Timing Series

July 22, 2025

When most leaders think about compliance and audit risk, they picture corporate boardrooms, quarterly reports, and spreadsheet-heavy risk assessments. But in higher education, particularly in financial aid, compliance risk is more dynamic, more visible, and more immediate. It’s cyclical. It’s personal. And when institutions land on heightened cash monitoring, it’s public.

The Compliance Window, which spans from aid disbursement through census (typically May to September), is when timing mistakes turn into audit findings—and operational missteps threaten institutional credibility.

What Is the Compliance Window?

The Compliance Window is the post-deposit, post-disbursement period when institutions transition from packaging aid to delivering it. Once aid is disbursed, schools must be ready to document, justify, and prove that all aid was awarded, applied, and managed in full compliance with federal regulations.

It’s when:

ISIRs have been imported
Funds are being disbursed
SAP policies go into effect
Consumer information must be accurate and accessible
Audit-readiness becomes a real, time-sensitive priority

Why Timing Still Matters

Even though the aid has been awarded, your work isn’t done. In fact, this is the phase when timing misalignments are most likely to trigger a compliance audit or program review. Late isn’t just inefficient—it’s risky. According to the Ellucian 2024 Student Voice Report, approximately 70% of Title IV audit findings are caused by delays or incomplete processing of financial aid files.

Risk Area	Timing Breakdown
Disbursement delays	Incomplete or unverified ISIR data
Incorrect SAP application	SAP policies applied out of sync with academic term start
Return to Title IV Issues	Withdraw dates aren’t recorded in real time
Audit documentation gaps	Required materials not retained within defined timeframe

And remember: You don’t control when a program review is triggered—but you do control how ready you are when it is.

The Real Strategy? Build a Culture of Compliance

The best compliance plans fall short in cultures where policies are inconsistent, or accountability is siloed. Schools that thrive under federal review aren’t just good at paperwork—they’ve built daily habits, cross-team clarity, and shared ownership into their operations. The timing risks are real—but so is the opportunity to lead from a place of readiness.

Strategy Over Scrambling

Don’t wait for a compliance audit or program review to build your process. When your compliance workflow is built into your timing strategy—not tacked on later—you reduce burnout, avoid reputational damage, and protect enrollment revenue tied to aid integrity.

Close the Window Without Increasing Audit Risk

The Compliance Window closes out the financial aid cycle—but opens a new layer of visibility and vulnerability. This is where your systems, staff, and documentation processes face their final test.
If your team built trust during the Momentum Window, and moved with clarity through the Decision Window, then this is your opportunity to close strong—and stay audit-ready year-round.

Magnifying glass highlighting a risk gauge with levels from low to high—needle pointing to medium risk. Visual concept representing audit readiness in financial aid operations.

Beyond the Checklist: Building a Culture of Audit Readiness

July 16, 2025

With federal oversight increasing, Title IV guidance evolving, and Return to Title IV (R2T4) updates drawing sharper scrutiny, audit readiness can no longer be treated as a once-a-year event. The institutions that will emerge stronger are those treating compliance as a daily discipline—and building it into the rhythm of their operations.

Why It’s Time to Shift from Reactive to Ready

In 2025, compliance isn’t a static checklist—it’s a moving target. Presentations at NASFAA 2025 and recent federal updates all point to increased oversight in areas like satisfactory academic progress (SAP), professional judgment, and data-sharing protocols. At the same time, financial aid teams are navigating staffing shortages, technology transitions, and unclear ISIR timelines—making it easy for compliance to slip into “reactive mode.” But here’s what we’re seeing: the institutions that build a culture of audit readiness aren’t just surviving—they’re gaining trust, efficiency, and long-term resilience.

Additional Reading from FAS:

Is your institution preparing for a program review? Don’t miss this blog, “I Will Survive a Program Review” which covers lessons learned, practical tips, and advice you can apply today.

Culture Is the Carrying Force for Compliance Readiness

Whether you’re scaling a million-dollar tech startup and need to spark innovation, or leading a higher ed institution preparing for an audit, success isn’t just about the strategy—it’s about the culture that carries it.

Healthy cultures that support audit readiness are rooted in:

Shared Purpose
Clarity of Roles and Expectations
Accountability
Trust and Transparency

What That Looks Like in Practice

In our consulting work, we’ve seen that the most successful institutions aren’t the ones with the largest teams—they’re the ones that encourage and reinforce shared responsibility. Below, we have outlined the key components to consider when you work on building (or rebuilding) a compliance-ready culture.

Quarterly Self-Audits

Instead of waiting for year-end audits, pull a random sample of files throughout the year. Vary aid types, student scenarios, and program categories. This isn’t just to flag issues—it gives your team practice operating under audit-like conditions.

Shared Responsibility Across Teams

Compliance isn’t a one-person or one-department job. Successful institutions define clear roles, document their processes, and foster shared ownership. You may have a designated audit liaison, but that individual should be backed by a well-prepared and aligned team.

Documentation That Enables Action

When core processes rely on institutional memory or outdated guides, transitions become risky. Leading institutions are investing in documentation that is actively maintained and easy to follow—so staff can act quickly and confidently.

Allocated Budget for Upgrades

It’s easy to say no to compliance investments—especially in tight budget cycles. But when the team has done the groundwork, funding becomes less of a cost discussion and more of an outcome and impact discussion.

Live Compliance Dashboards

From R2T4 calculations to SAP alerts, forward-thinking teams are building dashboards that offer real-time visibility. These tools turn reactive problem-solving into proactive monitoring—and help leadership stay informed without getting into the weeds.

The Case for Building it into Institutional Culture

When audit prep is built into your rhythm—not rushed when the deadline hits—you avoid:

Costly errors that jeopardize Title IV eligibility
Institutional reputation risks
Strained team dynamics and last-minute stress

And you gain:

Clearer decision-making
Leadership confidence
A more resilient operation overall

Audit Readiness is a Muscle, not a Moment

The campuses we support that perform best during audits don’t wait for the deadline. They’ve built compliance into the rhythm of their operations. If your team hasn’t updated its compliance documentation, R2T4 procedures, or audit prep strategy in the last six months—it’s time. Reach out to FAS and strengthen your compliance foundation—before the next audit cycle begins.

The Decision Window: How Financial Aid Timing Shapes Enrollment Decisions

Part 2 of the Strategic Timing Series

June 30, 2025

When it comes to enrollment, the financial aid process is no longer a back-office function—it’s increasingly a deciding factor. And the weeks following FAFSA completion are where institutional momentum meets student choice. This phase is known as the Decision Window—it’s when your preparation is tested, and students make the choice: enroll, defer, or walk away.

When Is the Decision Window for Enrollment Decisions?

The Decision Window runs January through May. It’s the time when students evaluate aid packages and finalize enrollment plans. It’s also when institutions either gain or lose ground. You’re delivering clarity, earning trust, and student expectations—all in a single email or letter: the financial aid offer. If your institution invested in the Momentum Window, this is where the results start to show up.

Why Financial Aid Timing Matters: The Data Is Clear

A delay of just two to four weeks can derail an admissions strategy. Your financial aid timeline doesn’t just support enrollment—it shapes it. According to the March 2024 Ellucian Student Voice Report:

76% of students said financial aid—both the amount and the process—shaped their college decision.
22% would enroll elsewhere if delays exceeded two weeks.
73% would switch institutions if processing took more than four weeks.
92% would choose another school if delays surpassed eight weeks.

The Operational Side of Enrollment Decisions

Success during the Decision Window depends on the work you do months prior. If systems weren’t tested, staff weren’t trained, or communication wasn’t ready—you’re not operating at your best, you’re putting out fires.

Here’s how being prepared turns into progress:

If you’re team is prepared with…
Optimized, tested software
Tailored staffing support
Pre-built communication
Progress tracking

Your strategic advantage is…
Accurate, fast packaging
Increased capacity
Engaged students and families
Clear early warning signs

Decision Window Planning in 2025

Right now, most institutions are facing two timelines: closing the Decision Window and preparing for the Momentum Window. In any year, this pressure is challenging. But in 2025, with industry uncertainty, it’s an opportunity for institutions to steady operations, protect yield, and get ahead on next cycle planning—all at once.

Now is the time to:

Package remaining aid offers quickly and accurately
Communicate clearly with students still deciding
Support students through verification and appeals
Monitor melt risks and respond in real time
Capture insights to improve next cycle planning

From Offers to Outcomes: What Success Looks Like

Institutions that get the Decision Window right:

Deliver aid packages quickly and clearly
Meet the two-week student expectation window
Reduce melt by building into every interaction
Support students through verification or special circumstance updates
Strengthen overall enrollment yield by reinforcing trust

See how a Midwest liberal arts institution used interim staffing to maintain packaging timelines, reduce delays, and keep students engaged during peak season.

Read the Case Study

Financial Aid Isn’t Just a Factor—It’s the Filter

Today’s students are savvy. They’re evaluating outcomes, return on investment, and how your institution handles complexity. Fast, accurate, and human-centered financial aid communication isn’t a bonus—it’s a baseline. If you want to influence enrollment decisions, your packaging timeline, your systems, and your staff need to be aligned well before ISIRs hit the inbox.

The Window Is Open—Are You Ready?

You’ve got one chance to get this right each year. The students in your funnel right now are making decisions—with or without you. Make sure your operations are ready to support them when it matters most. Ready to align your operations with enrollment goals?

Download the Operational Calendar Connect With a FAS Team Member

→ Download the Operational Calendar Tool
→ Explore The Domino Effect eBook

Reduce Summer Melt: Practical Strategies for Higher Education

Delinda Hall, EdD, MBA Executive Consultant, Financial Aid Services

June 26, 2025

The summer crunch is here, and institutions are looking for effective ways to reduce summer melt. At the same time, high school graduates and their families are navigating big decisions—identifying the best educational fit and finalizing a plan to cover the cost.

For students from diverse socio-economic backgrounds, the period between graduation and move-in is often filled with uncertainty. Reversing the melt trend takes more than reminders—it demands strategic, student-centered outreach from every corner of the enrollment team.

So what can enrollment management leaders—from admissions and advising to financial aid, the registrar, and student accounts—do to help students cross the enrollment finish line? This post outlines practical, high-impact strategies to reduce summer melt and support students through this critical transition.

What Strategies Reduce Summer Melt?

The drivers of summer melt are often a mix of financial uncertainty and communication gaps. Students who commit in May quietly disengage by August—not because they’ve changed their minds, but because they’ve lost clarity, confidence, or connection.

That’s why reducing melt starts with resources two key actions:

Ensuring resources are visible and accessible
Delivering outreach communication that feels personal and timely

When institutions meet students where they are—and stay with them through every step—they build the trust and momentum needed to carry students from commitment to campus.

Make Student Support Accessible

The specific needs of students may vary, but the accessibility of opportunities to engage should not be based on speculation or guessing. The short answer is always to meet the student where they are.

Ask 10 students about their preferred method of communication and you might get 10 different answers. That’s why a multichannel approach is the foundation for success. To stay engaged with students throughout the summer, focus on multiple forms of accessibility and communication – depending on the tools and capacity within your institution.

Email reminders with links to key action items
Text messages for deadline nudges or check-ins
Direct mail with welcome letters or cost breakdowns

Social media messages or polls to surface concerns
Personalized videos to introduce staff or next steps
Phone calls for high-risk or high-need students

Multi-channel means giving students options in how they communicate and receive information. In pre-cycle planning, review your CRM or Student Information Systems to set up preferred methods and use that data to tailor your approach.

Use Polls and Surveys to Identify Student Concerns

Don’t speculate what students are concerned about, it today’s digital age, the access and anwsers are there, all you have to do is ask. Provide surveys or “polls” using social media or email to engage the student in identifying their biggest fears or questions around showing up in the fall.

What’s causing hesitation?
What are they unsure about?

For example, fear of the unknown, fear of not fitting in, fear of lack of funding, etc. Respond to the identified areas on a one-on-one level using personalized video messaging, emails, phone calls, texts, and other methods to address their specific concerns and offer reassurance.

Help Students Understand College Cost Breakdown

The saying “money talks” holds true in higher education, too—especially in the weeks between high school graduation and the first day of class. Even students that are academically prepared will hesitate in the face of financial uncertainty.

Ellucian’s Student Voice Report reinforces how even modest aid changes matter:

“Almost half of students say a $5,000 difference in scholarship aid would change their top school choice.”

Financial aid clarity is a key factor to ensure follow through on enrollment. Institutions should go beyond award letters and offer transparent breakdowns of actual costs and what is due out of pocket. A simple “Plan to Pay” worksheet can help students and families understand the financial reality.

A variety of examples are available online to draw inspiration from:

The goal is clarity. When students and families can visualize the financial path ahead, they’re more likely to stay on track.

Offer Virtual One-on-One Financial Planning Sessions

When students have a clear cost breakdown, providing personalized support can make all the difference in getting them to take action.

Financial aid is becoming more central to enrollment, but 80% of students who applied for financial aid say they never met one-on-one with an aid administrator. It’s often a capacity issue – with many financial aid professionals managing over 2,000 cases per year, it doesn’t leave a lot of time for personal outreach. That’s where virtual sessions become a great tool.

High-Impact Virtual Session Checklist:

Keep it short and structured (15–30 minutes)
Include both financial aid and student accounts staff
Review the award letter together
Confirm the itemized student bill
Use the “Plan to Pay” worksheet live with the student
Clarify payment options and deadlines

Strategically using technology can create space for high-value touch points—especially students who are at risk of melt without them.

Want to get more from your tech stack?
Read Build a Financial Aid Technology Strategy for Maximum ROI for actionable insights that help you align tools, teams, and timelines.

Connect Prospective Students with Peers

Providing opportunities for incoming students to connect with current students from a range of financial backgrounds can help reduce melt. Peer connections offer valuable insight into how others have successfully managed both academics and finances during their first year.

These peer connections can take many forms:

In-person meetups with current students
Virtual Q&A panels or student-hosted webinars
Phone introductions or text-based welcome messages
AI-powered chatbots designed with real student stories and FAQs

Want to see what this looks like in practice?
Read FAS Consultant Sean Hudson’s experience as a first-year parent, as he and his family navigated Xavier University’s student engagement strategy—from stadium welcome events to ongoing peer-led engagement. 👉 Read the blog [at this link.]

Provide a Summer Task Checklist

Make a task checklist available via the student portal or an AI chatbot. This checklist should guide students through key steps, such as completing Loan Entrance Counseling and signing the Master Promissory Note for those using federal student loans. Ensure deadlines and requirements are clearly explained and easy to follow.

Turn Down the Heat with Financial Aid Services

Don’t let the summer overwhelm your financial aid team. Let’s start a conversation on ways to help your team implement strategies to beat the summer melt and prepare for a strong fall term.

The Momentum Window: Financial Aid Packaging Starts Before the FAFSA

Part 1 of the Strategic Timing Series

June 24, 2025

For students, financial aid isn’t just paperwork—it’s the gateway to their education. For institutions, it’s a race against time to deliver funding and give students the confidence they need to choose your institution. So how do you ensure your financial aid packaging process runs smoothly when the clock starts ticking?
You start before it starts.

The Momentum Window: Your Strategic Advantage

The Momentum Window spans the months leading up to the FAFSA opening (July–September) and continues through the first 90 days after it opens (October–December). This is where:

Operational readiness is tested before peak volume hits
Early engagement strategies build student trust
Your packaging timeline either accelerates—or breaks down

In a typical year, this phase sets the tone. But in 2025, it’s more than strategic—it’s corrective.

After the delays and confusion of the 2024 FAFSA rollout, this year’s October 1 start date offers institutions a clean slate. The Momentum Window isn’t just about early preparation. It’s a chance to reset operations, rebuild trust and reframe expectations for students and your financial aid team.

Momentum Planning in June 2025: Your Pre-FAFSA Advantage

Summer melt might be top of mind right now, but institutions that want to avoid repeating last year’s scramble need to shift focus forward.

We’re standing at the edge of the Momentum Window. Now is the time to:

Finalize your operational calendar
Hire and train key staff
Test your systems and integrations
Launch your early outreach strategy

Get ahead now:

The High Cost of Missing the FAFSA Momentum Window

As one of our longest-tenured consultants, Sean Hudson is fond of saying, “If you wait until the ISIR arrives, you’re already too late.” His blog Start Early & Scale Smart was an early call to action for institutions to stop treating the FAFSA timeline as a fixed start date—and start treating it as a strategic window of opportunity. Nearly 50% of all FAFSA completions occur within the first three months of the cycle. If your institution isn’t ready, delays are inevitable—and students will look elsewhere.

According to the Ellucian Student Voice Report:

22% will enroll elsewhere if aid delays exceed two weeks.
73% would switch institutions if packaging takes over four weeks.
92% say they’ll go elsewhere if it takes eight weeks or more.

These aren’t theoretical numbers. These are enrollment decisions walking out the door.

Start Early to Package Smart

A successful financial aid packaging process is only as strong as the preparation that precedes it.

Student Information System Readiness

Audit your SIS and financial aid systems
Validate FAFSA data mapping and logic
Run test packaging to identify weak spots early

Financial Aid Staffing and Capacity

Plan for interim or surge staffing
Train on new regulations and automation tools
Prepare for peak volume with built-in buffer zones

Strengthening Student Engagement

Send proactive communication—even before ISIRs
Introduce counselors via email or social content
Host FAFSA prep workshops or office hours

What Gets in the Way of an Optimized Financial Aid Process

Even the strongest operational strategies can stall without the right foundation. These common obstacles disrupt packaging timelines, erode trust and brand reputation, and ultimately impact institutional enrollment goals.

Operational Gap	Downstream Impact
Delayed Planning	Slower Packaging, Lost Yield
Understaffed, Under Resourced	Less Student Support, Increased Risk of Burnout
Missed Communication	Decreased Trust, Brand Perception
Technology Misalignment	Processing Errors, Compliance Risk

So, What Does Success Looks Like in Financial Aid?

According to the Ellucian Student Voice Report, students weigh both the amount of aid and the ease of the process when deciding where to enroll. In other words—timely, accurate packaging isn’t just nice to have, it’s a decision driver.

Institutions that maximize the Momentum Window:

Launch FAFSA season with confidence
Package early filers faster and more accurately
Reduce verification-related melt
Build relationships that boost enrollment and retention

Finish Early to Start Strong

Financial aid packaging doesn’t start with the FAFSA. It starts with the systems, staffing, and strategy you put in place months earlier. The 2025–26 cycle gives your institution a rare opportunity to do things differently. Timing isn’t just about efficiency—it’s about equity, trust, and outcomes.

📅 Ready to sync your team and hit every critical deadline?

Download the Operational Calendar Connect With a FAS Team Member

Two students using a laptop with an admissions webpage on the screen, taking notes together—symbolizing college enrollment, and efforts to reduce summer melt through improved support and communication.

Navigating Summer Melt in Higher Education

Sean Hudson, Consultant, Financial Aid Services

June 17, 2025

According to the Brookings Institution, 10-20% of high school seniors who are admitted to a college and indicate that they intend to attend never actually show up on the first day of class. This drop in enrollment is well known in the higher ed industry as the summer melt phenomenon. According to the Enrollify.org Blog, “Some is just inevitable, but research shows that much of it can be prevented with strategic engagement and support.”

Reasons Behind Summer Melt

There are many reasons behind the Summer Melt. Simply put, some families are willing to sacrifice non-refundable tuition deposits to keep options open. This stresses the need for admissions offices to start recruitment as soon as a potential student submits an inquiry.

So why do students melt? Years of research data show that the reasons include:

Student Stress Factors
- Social anxiety
- Teenage tendency to procrastinate
- Financial concerns
- Distance from the campus
- Absence of parental guidance (especially among first-generation students)
Financial Aid Process Friction
- Unclear deadlines
- Confusion over paperwork
- Inconsistent communication

New Challenges with Summer Melt

In 2025, institutions are dealing with an even more challenging summer melt experience. Some colleges have adopted the term “Intentional Melt” in recent years to describe the trend of students who deposit at more than one school, giving them more time to decide and appeal for additional financial aid. At the same time, college applicants and their families are looking for a better student experience.

Institutions can meet these expectations and improve melt by offering:

Faster financial aid packaging
Personalized, consistent communication
Robust online portals that are user friendly
Guidance on FAFSA completion and next steps

When students feel informed and supported, they are more likely to follow through and show up in the fall.

Mitigating Melt

What have colleges done in the past to mitigate melt? Institutions have learned that they must start the recruitment process early and provide estimated financial aid awards faster, even if it is just a Merit scholarship to acknowledge student success.

Colleges can keep incoming students engaged by:

Promoting alumni success stories
Highlighting professor-to-student ratios
Emphasizing great things about the campus
Publishing faculty experiences & accomplishments

Admissions offices also realized that they must employ a multi-model approach and connect with potential students via different communication channels such as texts, emails, phone calls, and social media.

Schools started tracking things such as the number of emails opened, how many times the student visited campus, how much the student is logging into the college portal, have they completed items off a new student check list (such as speaking with advisement and completed dorm surveys, and finally have they completed the Free Application for Federal Student Aid (FAFSA).

Using AI to Estimate Melt

With recent advancements in artificial intelligence (AI), Admissions offices have a powerful tool to better estimate summer melt. AI enables financial aid departments with faster calculations and datapoints to generate predictive modeling, assign melt scores, and personalize communications to prospective students. But AI is just one piece of the puzzle. Institutions can make an impact by aligning cross-functional teams, simplifying communications, and improving student follow-up.

Reducing Summer Melt: Georgia State University

One of the first colleges to utilize AI to help reduce summer melt was Georgia State University (GSU). As highlighted by the Brookings Institution, GSU implemented a chatbot named Pounce to answer student questions 24/7 via text messages.

GSU shares on their website, “In 2016, during the first summer of implementation, Pounce delivered more than 200,000 answers to questions asked by incoming freshmen, and the university reduced summer melt by 22%. This translated into an additional 324 students sitting in their seats for the first day of classes at Georgia State rather than sitting out the college experience.”

GSU’s research showed how, nine years ago, a chatbot could make a substantial difference. With the daily advancements in artificial intelligence now available, summer melt might not be the profane phrase it used to be.

Xavier University’s Strategy for Summer Melt

When colleges treat onboarding as more than just paperwork—and instead focus on human connection and student confidence—the impact is felt from day one. Lauren Parcell, Dean of Admissions at Xavier University, puts it this way:

“The leap from high school to college can feel daunting, and summer often amplifies that uncertainty. We believe a smooth transition is key to student success, which is why we’re dedicated to supporting both students and families from the moment they choose Xavier. Beyond our onboarding tools, we offer personal, human-centered guidance to ensure everyone feels like part of the family, right from the start.” – Lauren Parcell, Dean of Admissions

I’ve worked in financial aid and student accounts for 23 years—and this fall, my own son will start as a freshman at Xavier University in Cincinnati. From both a professional and personal lens, I’ve been deeply impressed by how Xavier approaches summer melt: not as a problem to solve, but as a moment to support and engage.

Xavier makes onboarding a campus wide priority and it shows:

Local Outreach Events: We attended an Accepted Students event near us at Highmark Stadium, where alumni and parents of currently enrolled students from Western New York were present for Q&A. In the spirit of making it engaging, we also received a behind-the-scenes tour of the stadium.

Celebratory Commitment Moments: During Preview Day on campus for students who were ready to commit and deposit at the school did so in the Cintas Center, their basketball arena where they were treated like 5-star recruits – complete with mascots and photo ops.

Summer-long Engagement: Over the summer, Xavier offers bi-weekly webinars for students and parents on a wide range of topics, including financial aid, dorm selection, advisement, and registration. If we are unable to attend, pre-recorded videos are available on the user-friendly student and parent portals.

Transparent, Accessible Information: Information portals provide easy access to financial aid award letters, payment plan information, and reminders of what needs to be completed next on a checklist.

At Xavier, it is evident that onboarding new students is a campus-wide priority, and all staff and faculty are bought in. Xavier also offers a program for students who require additional support during the transition to college. This is a huge help to first-generation students.

Finally, I found Xavier and specifically my son’s program on LinkedIn and started following both. The information on LinkedIn solidifies that my son made a great college choice, and we are proud he will be a Musketeer this fall.

Easing the Summer Melt Headache

Summer Melt used to be a headache for colleges. It made it difficult to predict the eventual class size, which is crucial information for colleges to plan accordingly, including housing and the number of faculty needed. However, a new era of financial aid is here. Institutions like Xavier University and Georgia State University have demonstrated that summer melt can be mitigated by employing innovative approaches.

The summer melt challenge is an opportunity for institutions to adopt strategies that lead to:

A better enrollment model
A better operating model
A better student experience
Better peace of mind

Ready to go deeper?
Summer Melt is just one symptom of a larger challenge—and the institutions seeing real results are building smarter financial aid models from the ground up.

Explore our free eBook: The Domino Effect – Aligning Financial Aid for Maximum Impact.
Discover how your financial aid office can drive enrollment, protect capacity, and build trust that lasts beyond Decision Day.

I Will Survive… A Program Review!

Dotti Davidson, FAS Consultant

May 30, 2025

I’ve had the pleasure of surviving and conquering a program review by the Department of Education. Ahead of their scheduled visit, there was a call from ED in August saying, “Congratulations, you are the lucky winner of a program review to be conducted in September.” Of course, it was the same week the annual audit was taking place. Going through that nerve-wracking encounter reinforced the importance of conducting consumer information audits at institutions to ensure they will pass with flying colors when the day comes that they get an early Christmas present of a program review.

Based on many past experiences, there are consistent issues that schools need to correct. Here are some questions to consider as you prepare your institution for a program review.

Disability Services
Do you have information about facilities and services available to students with disabilities on your school’s home page? If you don’t have a link for disability services on that page, get it updated. Although the regulations don’t state this, ED has indicated this is an expectation.

Intercollegiate Sports
Does your school participate in an intercollegiate athletic program? If so, is The Report on Athletic Program Participation Rates and Financial Support Data, commonly called the EADA Report (Equity in Athletics), posted on your website? Was a link to this report provided in the annual disclosure notice? Or was a separate notice sent to students about this report? Ensure you have proof that the notice was sent.

Academic Program Disclosures
Does your school offer a program that prepares students for initial state certification or licensure (ex., teacher licensure)? You must provide a general disclosure to prospective and enrolled students whether a program leading to professional licensure or certification meets educational requirements in each U.S. state and territory. The regulations apply to all types of instruction (e.g., in-person and online). Here is an example of a university’s disclosure page.

National Student Loan Data System (NSLDS) Notice
Do you have the appropriate NSLDS notice on your website? Many institutions don’t have this on their financial aid website. Schools that enter into an agreement with a potential student, student, or parent of a student regarding a Title IV, HEA loan are required to inform the student or parent that the loan will be submitted to the National Student Loan Data System (NSLDS), and will be accessible by guaranty agencies, lenders, and schools determined to be authorized users of the data system. It is best practice to add a statement to the financial aid webpage that discusses Federal Direct Loans.

Substance Abuse Prevention Program
Is the Drug and Alcohol Abuse Prevention Program (DAAPP) notification being provided to all employees and students? Yes, you say we send it annually. That’s great, but if it’s sent only once a year, that is insufficient. You must ensure EVERY student and employee receives this. Therefore, if you send it in August, what about the student who enrolls in October for one of your modules? One school updated its portal to require every new hire and student to acknowledge receipt of the DAAPP. Does it outline the applicable legal sanctions under state, local, and federal law? Multiple schools have neglected this portion.

Substance Abuse Program Review
Is the Drug and Alcohol Abuse Prevention Program biannual review published on the website? The document asks, “Is the school complying with the spirit and not just the letter of the law?” Furthermore, the guide states, “Many campuses that have conducted successful and productive biennial reviews have included program inventories, policy inventories, and enforcement analyses. Their reports have included supporting documentation for each of these categories, such as descriptions or copies of the programs and policies, procedures for annual notifications, and descriptions of and supporting documentation for the means of assessing program effectiveness and enforcement consistency.” Have you also informed current and prospective students about school policies regarding vaccinations?

Student Voter Registration Forms
What department is making a good faith effort to distribute a voter registration form to each student enrolled? You must ensure this is done 120 days prior to the deadline for registering to vote within the state, except for states that have same-day registration at the time of voting. I’ve recommended that schools create a basic webpage for voter registration and send out an email notification. Proof of this email notification should also be retained for your records.
Constitution Day Celebration
What department is ensuring that Constitution Day, September 17th, is being acknowledged and celebrated? Many schools hand out mini-Constitutions at a booth set up in the Student Center or they held a Lunch-and-Learn hosted by the Political Science Department. However, they did not document this was being done. They now take pictures of the event and save them in their Consumer Information Constitution Day file.

Copyright Infringement Warnings
Do you have a statement on the Information Technology webpage that explicitly informs students that unauthorized distribution of copyrighted material, including unauthorized peer-to-peer file sharing, may subject them to civil and criminal liabilities? The penalties for violating federal copyright laws and the school’s disciplinary action must be listed. Most statements I have encountered are not fully comprehensive and must be updated.

Here is a comprehensive example.

More common issues can be mentioned, but you’re undoubtedly overwhelmed and frantic about complying with the topics listed. It’s recommended that a consumer information calendar/log be created to track each notification that must be sent. Correspondingly, create a consumer information folder where you save each notification sent each year. This will give you peace of mind for the inevitable Program Review.

For added peace of mind, consider collaborating with a Financial Aid Services (FAS) consultant to assess your institution’s preparedness for a program review. Our consultants can deliver a comprehensive action plan to ensure your institution successfully navigates its next program review.