…but remember that you get more bees with honey. A negotiation is a conversation – not a battle of wills! Financial aid offers will vary and if there’s one school who you are really in love with and their offer is a little soft, pick up the phone and call. You have nothing to lose!
Everyone should apply for aid, regardless of what type of salary they earn. You never know when life might change and if a situation should arise where you want to take out a loan, you will need to have filed a FAFSA to qualify.
Don’t let sticker price stop you from considering a school. Use a net price calculator to find the “real” cost. Especially with private colleges, the net price is considerably less than the sticker price.
Now that January has arrived, it’s time for high school seniors and their parents to fill out the FAFSA, or Free Application for Federal Student Aid. The FAFSA is the form you are required to fill out if you want colleges to consider you for financial aid.
While families have their own unique circumstances, here are some of the top questions I come across this time of year and my answers which will hopefully help you along the way as well.
1. We make too much money, we probably shouldn’t bother filling out the FAFSA, right?
Wrong. Regardless of how much (or how little) you make, you should always fill out the FAFSA. Even if your EFC is very high, there are still non-need based loans like the Direct Unsubsidized Loan or Parent PLUS Loan which can help you spread out the costs. But, to qualify you must fill out a FAFSA.
2. How do parents who have joint custody and are both remarried with new spouses file the FAFSA??
When students come from divorced families, financial aid eligibility is based on the income and assets of the custodial parent. This is the parent who the student lives with for the majority of the year, even if it’s six months and one day. Even if the non-custodial parent has a considerably higher salary than the custodial parent, this parent’s income and assets are not factored into the federal financial aid eligibility calculation.
3. We’re going to have two kids in college at the same time, how will this affect our financial aid eligibility?
How many kids you have in college at the same time has a very big impact on financial aid eligibility. Consider that your EFC is divided by the number of children enrolled in college. If you have one child in college and your EFC is $40,000, then that’s what colleges would expect you to pay. If you have two kids in at the same time, the EFC will be $20,000 each. This is why it’s also important to file a FAFSA each year. Even though you may not get a lot with one child in college, if you have a second one entering a year or two later, you may end up qualifying for something.
4. We won’t have our taxes done until late March, can we just apply for financial aid then?
You can, but you shouldn’t. Financial is aid is very much a first-come, first-serve process. Additionally, some states like Connecticut have February deadlines for state grants which you don’t want to miss. If you wait until after you file your taxes, colleges won’t have as much money to give out as they would have if you had applied in January. File your FAFSA now with estimated income and then use the federal data retrieval tool after you file your taxes to update your information.
5. My daughter’s grandfather has put away money in a 529 for her which we plan on using this year. Since it’s his money and not ours, do we have to report it on the FAFSA?
Yes, you have to report any distribution from a 529. The more important factor here is that the 529 is owned by a grandparent and, therefore, may reduce your aid eligibility considerably. Where a distribution from a 529 owned by either parent is considered a parental asset, a distribution from a 529 owned by someone who is not the parent is considered student income. When calculating aid eligibility, student income and assets are assessed at a much higher level than parental assets so even though the intention is a good one, the outcome may not be helpful.
If you want some help and guidance on your college application and financial aid process, check out what other families are saying about Dobler College Consulting and then contact me today to set up an appointment for a free consultation.
Last week I talked about the importance of paying attention to a college’s personality. Campus culture is often overlooked but colleges do have unique characteristics which make them WHO they are. It is these characteristics, these personalities, that often make a campus feel like home or nothing like it.
If you missed the post, you can catch it here.
Today, I’d like to take a step back and talk about the characteristics that make a college WHAT it is.
With over 4,000 colleges in the country, students must do their research and thoroughly investigate the schools they are interested in to determine if these schools really are worthy of their interest. Here’s a few characteristics you should be paying attention to if you’re not already:
1. Size
There’s a big difference between a large research university like Penn State with 37,000 undergrads and a small liberal arts college like Assumption which tops out at 2,000. You are going to stand out a lot more at a smaller school where classes are built on active discussion and debate, and where professors teach undergrads and will have time to meet with you to talk about internships and your career aspirations. At larger schools, you are more likely to be just one in the crowd. And sometimes that crowd can be to the tune of as many as 400 other students in your Introduction to Business course.
2. Location
Location, location, location. It’s the buzz word in real estate and it can also be rather important in choosing colleges. Visit Brown University and there’s a lot of hustle and bustle going on around you in downtown Providence, Rhode Island. You’ll be in a concrete jungle surrounded by businesses, restaurants, and traffic not to mention thousands of other students from Johnson & Wales, Rhode Island School of Design, Providence College and Rhode Island College. Visit Susquehanna University in rural Selinsgrove, Pennsylvania and you’ll find a very open and green campus nestled alongside a small college town where you’ll quickly become a “regular” at the local coffee shop.
3. Majors
Colleges aren’t created equal and neither are majors. As a graphic design major, will you have to produce a portfolio? For nursing, will you have to complete pre-requisite courses in your freshman year before you can be admitted to the major? As a business major, do you start taking business-related courses right away? Regardless of your major, is there a required internship? Is there an involved alumni-mentoring program? How are graduates of the program doing and where have they ended up? You want to know the answers to these questions so that you know what it takes to get into your program and, more importantly, what it’s going to do for you.
4. Cost
Cost matters, but it matters even more when you pay attention to how strong of a candidate you are at each college. The stronger your candidacy, the more likely you are to receive a merit scholarship. This is especially true at private colleges where tuition and fees far exceed those at public schools. So, while you might have a dream school like Boston College, you need to understand that, even if you do get in, you probably won’t get much, if anything, in the way of merit money and will be stuck with a sizable bill that may not work for you and your family.
If you would like some assistance with your college search or financial aid process, contact me today for a free 60-minute consultation.
Here’s what other families like yours are saying about how Dobler College Consulting made a difference for them.
