Change in FA next year with only one child in college

<p>S2 has narrowed his final choice down to two schools. Waited and waited for aid package from the second school, which finally arrive today (their housing deposit is due Tuesday - nothing like keeping us in suspense til the last minute). Am hoping someone here might have some advice.</p>

<p>School #1 gave him $18,000/year merit scholarship plus loans.</p>

<p>(Much) more expensive School #2 gave him no merit aid, but is offering $27,500 in scholarship/grants, plus loans.</p>

<p>The overall COA for the two actually end up being fairly close. </p>

<p>My questions is this: After next year, S2's college savings fund will have depleted quite a bit so he may qualify for more aid. However, since his older brother graduates next spring, will his financial aid decrease substantially (i.e. since we will have only one in college, not two)? Probably a dumb question, but don't know who else to ask. Will call both FA depts tomorrow.</p>

<p>Difficult to say what the exact impact would be, but yes it is likely it would reduce the aid next year. The part of the FAFSA EFC generated by parent income and assets is equally divided between the number in college. Any part generated a students own income and assets stays with that student. So if your parent income/assets generated a total parent EFC of say 15,000, and student A’s own income/assets generated the student part of his EFC of 1000, while student B’s was 1500, then student A would have an EFC of 8500 (15000/2 + 1000) while student B would have an EFC of 9000 (15000/2+1500). If student A was not in college then Student Bs EFC would be 16,500 (15000+1500). A higher EFC generally means less aid. </p>

<p>Parent assets over the protected asset allowances affect the FAFSA EFC by up to 5.6% of their value. So the depletion of the college savings may have less impact than you expect. If the savings were in the students name in an account other than a 529 account then they would affect the EFC by 20% of their value.</p>

<p>Schools that use CSSprofile will have different formulas for calculating the impact of a sibling in college.</p>

<p>School #1 shouldn’t change because the free money is all merit.</p>

<p>School #2 could change since none of it is merit.</p>

<p>I think that’s correct. Anyone else see it that way?</p>

<p>Wow - thank you, swimcats mom - very informative! They are both Profile schools, FWIW.</p>

<p>mom2 – yes, that’s the way I see it too. Am leaning towards school #1 as the safer bet. We were somewhat disappointed in their overall aid package, though, so am going to give them a call tomorrow. Don’t know what will come of it but figure it might be worth a try.</p>

<p>^^^</p>

<p>Well, since both are CSS Profile schools, you could ask why school #1 figures that you have less need than school #2.</p>

<p>Profile schools use the info and plug it into THEIR OWN formulas to determine the awarding of need based aid. There can and usually ARE differences in awards from Profile schools as these schools have varying formulas.</p>

<p>I’m not sure I understand the OPs concerns…didn’t she say that the cost of attendance at both school is about the same…despite the difference in the awards? </p>

<p>Re: continuation of awards…you need to contact the SCHOOLS to ask.</p>

<p>For need based awards, you aid is calculated annually. BUT in some cases, grants awarded by schools are a combination of need/merit. DD received a grant from her school. We asked the same question…what will happen when her brother graduates from college…we were surprised to hear that her grant was a combo need/merit and would be renewed based on her GPA with no concern about one less kid in college. We got it IN WRITING that this would be the case. In fact, her brother graduated and her grant was increased. Her EFC doubled.</p>

<p>OTOH…her brother didn’t receive a nickel of need based aid when he was a senior and his EFC halved with little sis’s entrance into college.</p>

<p>YMMV depending on the school. Call and ask…they will give you an answer…but make sure you also get it in writing.</p>

<p>Thanks, thumper. Yes, the question is re: continuation of awards, planning ahead for next year, the year after, etc.
Unfortunately, we have gotten a bit of a runaround - i.e. different info. from different people, getting referred to the wrong staff, etc. It’s very frustrating. When we called after he was first admitted were told by one person that only changes to FAFSA EFC would make a difference. As SCM said, am sure there are differences from school to school. Will make sure we get final answers in writing, though.</p>