Applying for FAFSA with money in the bank?

<p>Im a senior in high school and I'll be applying for FAFSA in January. I have about $5,000 in my personal bank account from my part time job. How much will this affect me when applying for FAFSA? I'll make sure to spend 1k on a new laptop before I apply, but what about the other 4k? Thanks!</p>

<p>I think it will raise your EFC by a couple thousand. You’re better off spending it on college related things (dorm stuff??) or giving it to your parents to pay for your “living expenses” this year, and then they can put the same amount towards “college costs”.</p>

<p>If you have $4000 in your bank account when you file your FAFSA, 20% of that amount will be included in your EFC. The $4000 will increase your EFC by $800.</p>

<p>Any money that you have needs to be reported on the FAFSA, so naturally it would effect you, unless you preemptively purchase it on college related items you would need naturally.</p>

<p>Assets of students are assessed at 20%. So if you have $4000 in the bank, $800 will be added to your EFC (not a couple thousand dollars). You would still have $3200 in the bank. Personally I think you would be wiser spending that $800 on college costs than trying to fritter away your savings in hopes that you will get more aid.</p>