Title: 2.23 Return to Title IV (R2T4) Policy
Number: AP 2.23
Adopted:
Reviewed: February 2026
Revised: February 2026
Purpose:
In support of a respectful and supportive learning environment, this policy establishes guidelines for students to address complaints with the College.
Policy:
A student who receives Federal Title IV funds (i.e., Federal Pell Grant, Federal Supplemental Educational Opportunity Grant (SEOG), Federal Direct Loans or Federal Direct PLUS loans) and withdraws from all courses at Nicolet College before the end of the term is subject to the Return of Title IV Funds (R2T4) calculation.
The R2T4 calculation is a federally mandated formula used to determine the amount of federal financial aid a student earned based on the length of time the student attended during the term. Any Title IV funds disbursed in excess of the amount earned must be returned to the federal government by Nicolet College and/or the student.
If a student received a financial aid refund intended for education-related personal expenses, the student may be required to return a portion of those funds to the school. This amount represents aid that was intended to cover educational expenses through the end of the term. The amount owed is based on institutional charges, refunds received, and the portion of federal aid that must be returned.
The amount of Title IV aid earned is calculated using the student’s official withdrawal date or, in the case of an unofficial withdrawal, the student’s last date of academically related activity.
An official withdrawal occurs when a student follows Nicolet College’s published withdrawal process prior to the course’s withdrawal deadline indicated on the student’s class schedule.
To determine the amount of aid earned, Nicolet College’s Financial Aid Office calculates the percentage of the term the student completed. This percentage is equal to the number of calendar days completed divided by the total number of calendar days in the term. Scheduled breaks of five or more consecutive days are excluded from the calculation. The resulting percentage is applied to the total Title IV aid disbursed or eligible to be disbursed to determine the amount of aid the student earned and is allowed to keep.
Any unearned Title IV aid must be returned to the federal government within 45 days of the date Nicolet College determines the student withdrew. The Financial Aid Office will notify the student if funds must be returned and provide instructions for repayment.
After the R2T4 calculation is completed, any funds returned are applied in the following order:
1. Federal Direct Unsubsidized Loan
2. Federal Direct Subsidized Loan
3. Federal Direct Parent PLUS Loan
4. Federal Pell Grant
5. Federal Supplemental Educational Opportunity Grant (SEOG)
6. Federal Teach Grant
A student may be eligible for a post-withdrawal disbursement if the student earned more federal aid than was disbursed prior to withdrawal. Any eligible post-withdrawal disbursement will be processed, and a refund issued within 14 days of the credit balance.
If the post-withdrawal disbursement includes loan funds, Nicolet College must obtain the student’s written permission before disbursing the loan. Students may accept or decline all or a portion of the loan funds to avoid additional debt.
Nicolet College may automatically apply post-withdrawal grant funds to outstanding tuition and fees. The student’s permission is required to apply grant funds to other institutional charges. If permission is not granted, the student will be offered the funds directly.
Students should be aware that accepting a post-withdrawal disbursement of funds increases total student loan debt and must be repaid under the terms of the Master Promissory Note. Accepting post-withdrawal grant funds will reduce the remaining lifetime eligibility for those grants.
Withdrawal Definitions
Official Withdrawal
The official withdrawal date is the date Nicolet College receives the completed Course Withdrawal Form or the student withdraws from the course in Self-Service.
Unofficial Withdrawal
A student is considered an unofficial withdrawal if a student receives:
- All “FX” grades, or
- A combination of “FX” or “W” grades for the term
A student who receives all “F” grades but participated in at least one course throughout the entire term and earned the grade of “F” will not be considered an unofficial withdrawal.
The student’s last date of attendance or participation in an academically related activity is used to calculate the R2T4 determination.
For courses offered in modules, a student is not considered withdrawn if Nicolet College obtains written confirmation that the student will return to complete a later module within the same payment period or period of enrollment no later than 45 calendar days after the module the student ceased attending. Prior enrollment alone does not constitute written confirmation.
No Shows
Students who fail to participate in a registered course(s) are considered “no shows” for those courses and will be administratively dropped per AP 2.18 Administrative Drops Policy. These courses are not eligible for financial aid.
Students are strongly encouraged to consult with the Financial Aid Office prior to withdrawing to discuss how a withdrawal may affect their financial aid. Students who wish to dispute a financial aid award or calculation must submit their concerns in writing to:
Financial Aid Manager
Nicolet College
PO Box 518
Rhinelander, WI 54501
financial_aid@nicoletcollege.edu