Hiring Your Next Chief Student Financial Aid Officer  

By: Tiffany Motyka, EdD – Senior Consultant 

Institutions requesting Federal Financial Aid under Title IV must designate which employee holds the title Chief Student Financial Aid Officer. This role is commonly referred to as: Financial Aid Director, Assistant Vice President of Financial Services, or Chief Student Financial Officer. These positions oversee a university’s financial aid office, ensuring compliance for different types of aid management and disbursement.  

While over 34% of those holding these positions have worked in student financial aid for over 10 years (CUPAHR, 2024), our industry still faces a significant challenge. With 54% of financial aid personnel suggesting the likelihood of seeking employment elsewhere in the coming months (CUPAHR, 2023) – it has left many institutions questioning their retention and recruitment strategies for these critical roles. 

In this blog, we explore key strategies for addressing these challenges, including: 

• Tools for assessing regulatory expertise and technical skills. 

• Tips for matching candidates’ experience with institutional technology needs. 

• Guidance on leveraging micro-credentials to identify standout candidates. 

Whether you’re facing leadership turnover or looking to strengthen your financial aid team, these resources will help you ensure compliance, operational success, and a smooth leadership transition. 

Key Responsibilities of the Chief Student Financial Aid Officer 

University leaders must know the office’s responsibilities and unique needs to find the right fit for their next chief student financial officer. An institution’s Financial Aid Officer can apply for and receive approval from the Department of Education to use Title IV grants and loans. These officers also manage institutional grants and scholarships while working with state-funded grants, scholarships, and loan programs. In addition, many outside scholarships, employment incentives, and college investment programs may require logistical management. Given the broad scope of these responsibilities, finding a candidate with the right mix of regulatory expertise, technical skills, and leadership ability is important. 

Challenges in Hiring and Retaining Financial Aid Leaders 

Institutions need a central officer to liaise between the funding sources, the student, and the college. Without strong leadership, institutions risk delays in funding, compliance violations, and diminished student satisfaction, ultimately affecting institutional reputation and revenue. Currently, nearly 6,000 colleges and universities are participating in Title IV funding. These are all potential employers for a financial aid director (NCES, 2022).  

Given the diversity of technology platforms, eligibility requirements, and regulatory interpretations used by institutions, how can executive leadership identify the best candidate for the Chief Student Financial Aid Officer role? Suggestions for hiring managers include the development of student financial aid-specific assessment tools, institutional technology matching, in addition to increased emphasis on micro-credentials. 

Ensuring Financial Disbursement Regulatory Compliance 

The US Department of Education provides information about grants and loan programs in Title IV federal financial aid. These programs include Pell Grant, Supplemental Educational Opportunity Grant, and Direct student and parent loans. Participating institutions must understand and follow all Title IV regulations. This is necessary to keep funding provided by the Department of Education (FSA Handbook, 2024).  

All Title IV-eligible schools offer similar financial aid office employment experiences. Therefore, anyone who has worked with one of these schools should understand the federal financial aid requirements.  

  Examples of these general understandings include: 

• Federal student loan annual and aggregate loan limits 

• Free Application for Federal Student Aid (FAFSA) life cycle 

• Institutional reporting requirements 

• Required processes for funding eligibility 

 Processes that define funding eligibility: 

• Return to Title IV 

• Satisfactory Academic Progress 

• Loan Counseling and notifications 

• Consumer Information Report 

Development of Student Financial Aid-Specific Assessment Tools  

Due to the specific nature of financial aid leadership, assessment tools should be developed to validate knowledge in the field of federal financial aid. These tools can include specific questions on which an entry-level financial aid staff member may be trained. Along with the responses to the question, the tool should also show where to find the explanation among the many resources for eligible Title IV institutions.   

Institutional Technology Matching  

Chief Student Financial Aid Officers must understand financial aid regulations and use technology platforms proficiently. Preparing for a smooth transition during leadership onboarding is essential to set up any new hire for success.  Onboarding is the initial knowledge-sharing that occurs at the start of new employment. Hiring managers should review institutional-specific technology platforms as they consider what techniques to use in the onboarding process.  

Finding the Right Candidate: Tips for Successful Recruitment 

Research suggests that accessing the job-specific knowledge of employees who previously held a similar role is essential to help new hires gain the competencies required to fulfill their roles and responsibilities more rapidly (IJKM, 2024).  

The technology platforms in higher education institutions are extensive. Although they all meet the same needs, their functionalities are different. During the development of those competencies needed to identify qualified applicants, it is necessary to identify all software platforms used by the institution’s Financial Aid Office and the incoming Chief Student Financial Aid Officer.  

For example, if an institution uses a specific Student Information System such as Banner, Colleague, PowerFAIDs, filtering for resumes with this technology experience may be beneficial. In addition, if an applicant has experience using specific reporting platforms, employee time recording systems, email/chat/calendar systems, and document management software, this can expedite the onboarding process and allow the new employee to begin managing a financial aid office.  

Review Candidates’ Micro-Credentials  

In addition to validating knowledge related to federal financial aid regulations and technology platforms, it is vital to review candidates’ credentials. Consider bachelor’s or master’s degrees and identify candidates with relevant micro-credentials or micro internships.  

These smaller, more specialized certifications may help improve labor market matches. Research suggests that evidence of micro-credentials decreases employer uncertainty over worker ability (JHR, 2024). This extra filter ensures your next Chief Student Financial Officer knows the field well. It also helps identify whether they take the initiative to seek these validations. 

Micro-credentials can be a valuable addition to traditional academic qualifications. For example, the National Association of Student Financial Aid Administrators (NASFAA) offers twelve courses on key areas of federal financial aid compliance and management. Participants who complete these courses receive a certificate and a recognized credential from NASFAA. These additional credentials and mentorships can assist a hiring manager in identifying exceptional candidates for the position of Chief Student Financial Aid Officer.  

Expert Support for Hiring and Onboarding Financial Aid Leaders
Struggling to recruit or retain your next Chief Student Financial Aid Officer? Schedule a consultation with our experts today. Our experienced financial aid professionals can guide you through onboarding, training, and optimizing technology to ensure your new hire drives compliance, efficiency, and student success from day one.