<p>We just received information on next year's tuition rates at our children's schools, and the rates are going up at rates higher than the current inflation rate. </p>
<p>I'm not totally surprised by this - I have read threads in the past that discuss this topic - but I thought it might be a good discussion for parents currently making school decisions.</p>
<p>We do not receive any need-based financial aid, but our daughter does have a merit scholarship, which is a fixed annual amount.</p>
<p>How do schools handle need-based financial aid awards in subsequent years? Is the aid a "fixed dollar amount" (so the parent's total cost goes up in subsequent years as tuition increases), or is the award a "percentage of total tuition" (so the parent's cost would go up, but not as much on a year-to-year basis)?</p>
<p>I think most FA goes up by the same rate as the tuition but since nothing is guaranteed I doubt that’s in writing anywhere. Basically what they say is that you can expect funding at the same rate each year providing nothing changes in your finances and that your child continues to be in good standing. Our DD’s school increased tuition by 4% and our aid went up by slightly more than that (I think simply to round up the number).</p>
<p>My D’s award stayed the same. Tuition increased by $1,000. Her FA was about 85% first year, I haven’t refigured it. It’s still doable for us but if this happens every year…</p>
<p>We are lucky to have extended family pitch in (which we included in the FA paperwork) so I don’t have to come up with the whole extra $1000.</p>
<p>Need based awards generally stay the same, unless family circumstances change. Which is why families are sometimes asked to submit PFS documents earlier than new applicants so the school can budget if needed.</p>
<p>@alooknac, I admire your honesty. I often wonder how many families hide that help from view.</p>