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Choosing an NPC

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By October 29, 2011, all postsecondary institutions that receive federal student aid funds and enroll first-time, full-time undergraduate students should have posted a net price calculator (NPC) on their Web sites. To meet this federal requirement of the Higher Education Opportunity Act (HEOA), institutions had the choice to install a product developed by the U.S. Department of Education, to build a net price calculator internally or to partner with an NPC service provider.

Among college administrators, views about the net price calculator mandate vary. Some college administrators have been enthusiastic about finding more effective ways to communicate their institution’s value, while others reluctantly accepted that “another unfunded mandate” must be accommodated. On many campuses, both views have been expressed. A common concern centered around the time, effort and funding needed to meet the fall 2011 deadline. Despite the concerns of some, many colleges and universities believe that net price estimates will demonstrate their institution’s affordability to prospective students, and they have moved forward with implementing highly accurate and customized net price calculators.

This white paper provides postsecondary decision makers, including financial aid and admissions officers, with the following information:

  • An overview of the federal requirement
  • Options for meeting the mandate
  • Issues and choices related to implementing a net price calculator

Student Aid Services, Inc. has thoroughly studied and researched the regulations and options related to the selection and implementation of net price calculators. We provide net price calculators to postsecondary institutions, and we believe that our technology most thoroughly meets the federal requirement and the specific needs of both prospective students and institutions. Nevertheless, we acknowledge that the “build your own” option or the federal template calculator may be a practical choice for some institutions, and other options may be considered as well.

Review the full executive summary of Meeting the Federal Mandate white paper.