<p>I have an appointment with a guy whose business it is to explain the financial options with regard to tuition. Other than bringing last year's tax return, I'd like your opinions in what we should cover. How to fill out the FAFSA, going over IM vs FM... what do you suggest?</p>
<p>Unless you have a really complicated financial situation, you can run your own numbers through a couple of the financial aid calculators (finaid.org or the college board for example) and get a really good idea as to where you stand. After that it is a matter of looking at schools and seeing what their financing options are. (Berkowitz, who is the director of Financial aid at MIT does answer general questions on the financial aid forum here on CC. He also has a blog that you can link to. Sblake7 also gives really great FA advice).</p>
<p>FAFSA which only determines your eligibility for federal aid (pell grants and loans) and the CSS profile which is what the college uses to determine how they are going to distribute their institutional funds .</p>
<p>I would recommend running your numbers on the college board's FA calculator using both the federal and the institutional methodology.</p>
<p>Differences between the IM and FM models are</p>
<p>IM collects information on estimated academic year family income, medical expenses, elementary and secondary school tuition and unusual circumstances. FM omits these questions.</p>
<p>IM considers a fuller range of family asset information, while FM ignores assets of siblings, all assets of certain families with less than $50,000 of income, and both home and family farm equity.</p>
<p>FM defines income as the “adjusted gross income” on federal tax returns, plus various categories of untaxed income. IM includes in total income any paper depreciation, business, rental or capital losses which artificially reduce adjusted gross income.</p>
<p>FM does not assume a minimum student contribution to education; IM expects the student, as primary beneficiary of the education, to devote some time each year to earning money to pay for education.</p>
<p>FM ignores the noncustodial parent in cases of divorce or separation; IM expects parents to help pay for education, regardless of current marital status.</p>
<p>FM and IM apply different percentages to adjust the parental contribution when multiple siblings are simultaneously enrolled in college, and IM considers only siblings enrolled in undergraduate programs.</p>
<p>The IM expected family share represents a best estimate of a family’s capacity (relative to other families) to absorb, over time, the costs of education. It is not an assessment of cash on hand, a value judgment about how much a family should be able to use current income, or a measure of liquidity. The final determinations of demonstrated need and awards rest with the University and are based upon a uniform and consistent treatment of family circumstances.</p>
<p>Except in the most extraordinary circumstances, Colleges classifies incoming students as dependent upon parents for institutional aid purposes, even though some students may meet the federal definition of “independence.”</p>
<p>Students enrolling as dependent students are considered dependent throughout their undergraduate years when need for institutional scholarships is determined.</p>
<p>For institutional aid purposes a student may not “declare” independence due to attainment of legal age, internal family arrangements, marriage or family disagreements.</p>
<p>Your COA (cost of attendance) is tuition, room board, books travel expenses and some misc. expenses associated with attending college.</p>
<p>As a student, there are cumulative limit of $23,000 which you can borrow for an undergraduate education using stafford loans.</p>
<p>Thanks, sybbie, for the promo. The blog is at http//daniel.mitblogs.com and I am happy to answer any questions I can. In general, though, I would adivise against using a personal consultant for financial aid application assistance. I view it at a waste of your money, and you probably won't get much out of it anyway.</p>
<p>Actually, self-employed folks have several options with regards to building a college fund if done soon enough; such an advisor can be worthwhile in these instances. But, if your kid will be going to college next year, it's way too late. If you are like a lot of wage earners, W-2 earnings, then using such an advisor would likely be a waste of time and money -- which the counselor should tell you up front.</p>
<p>he said I was much more knowledgeable than most parents at this stage of the game, was on the right track, and didn't charge me. Thanks, CC! :-D</p>
<p>You're welcome. I am so sorry that I misspelled your namd :(</p>