Return to Title IV Funds (R2T4)
Federal R2T4 Policy
The federal government requires colleges to monitor the enrollment activity of each federal financial aid recipients. A return to title IV funds process (R2T4) must be performed on students who totally withdraw from class prior to the end of the term. This process identifies the percentage of funding that the student earned, which often results in a reduction in the student’s award for said term. Students who totally withdraw prior to the 60% point in the term are normally required to repay federal funds received.
Financial Aid applicants who completely withdraw from school while attending ATC are subject to the Federal Return to Title IV Policy. Federal law requires a mandatory recalculation of financial aid eligibility prorated to reflect the student's actual period of attendance. This may mean the student has not earned some, or all, of the financial aid paid to him/her. The amount of assistance earned is determined on a pro-rata basis. For example,if the aid applicant attended 30% of the payment period of enrollment, the applicant only "earned" 30% of assistance. The withdrawal date is the official date recorded from the Office of Registrar in which the student began the official withdrawal procedure; or the last date of an academically related activity as determined by ATC.
Financial Aid is awarded with the assumption that students will remain enrolled for the entire semester. The Office of Financial Aid is required by federal regulations to determine if the school and student is required to return Title IV funds if students withdraw or dismissed from the institution.
If students are withdrawing they must first meet with the Office of Registration (ATC) and obtain a signed and dated Withdrawal Process Form. The Office of Registrar or designated person must indicate on the Withdrawal from Schoolform the action that applies to the student. Also the effective date must be entered because it is the official date of the withdrawal.
An official withdrawalis when a student submits both the Withdrawal Process Form and the Withdrawal from School to the Office of the Registrar or when the student withdrawals from all of his/her classes.
An unofficial withdrawis when a student stops attending all of his/her classes during the semester, does not follow the college procedure to officially withdraw as outlined by the Office of the Registrar,andfails to successfully complete the term (i.e., receives all final grades of F, WF or a combination of both).
When a student completely withdraws from Atlanta Technical College while receiving Title IV aid, the Office of Financial Aid must determine what portions of the student’s aid will be returned to the federal aid programs. The financial aid office uses the Federal Return of Title IV Funds formulaprovided by the Department of Educationto calculate the amounts of "earned” (can keep) vs. “unearned” (cannot keep aid).
Number of days completeddivided by theTotal days in the semester= percentage of aid earnedFunds are returned to the appropriate federal programs based on the percentage of unearned