<p>Trying to plan for college aid. The ex has DD as tax exemption, dependent etc, DD IS 18 so the court order is now void and we can mover her around as an exemption as needed. (amazing - we couldn't cooperate when married and now....) Currently his income is such that DD qualifies for and will receive a Pell grant for her freshman year. But he is remarrying at the end of summer. If he continues to carry DD as a dependent will the new stepmom be considered a "parent" on the FAFSA? I was looking at the FAFSA forecaster app and got confused as it asks which parent's income will be reported (plug in father's) and it is not clear to me anyhow if "fathers" income means just his, or he and his new wife's income.</p>
<p>The FAFSA doesn’t care who takes her as a tax deduction. Her ‘household’ is where she spends the most night. If your ex marries, yes, his new wife’s salary and assets will count if that is her home. If she lives with you, you (and your new spouse’s financials) are used for FAFSA.</p>
<p>The custodial parent AND spouse is the one whose financials go on FAFSA. The custodial parent is defined as the parent with whom the student has lived with the most in the 12 months prior to filling out the form. Tax info, custody agreement, etc, don’t matter. FAFSA has its own definition </p>
<p>There is “play” in that definition in that you can plan when to fill out the form and make sure that the parent that comes out more favorably in terms of need is the custodial parent. Easier to do when both parents are local to each other My friend did this a couple of years ago. She generally keeps the kids the bulk of the time, but made sure her ex who makes little money took the college bound high school junior/senior just a tad more than her having him for that crucial time period which meant he got PELL and subsidized loans and some other goodies. He would not have gotten a dime in aid if she were listed as the custodial parent. </p>
<p>But yes, if your ex or you marrry, the spouses financial info–assets and income has to be included on FAFSA for the custodial parent defined. Again, it doesn’t matter who is claiming your DD as a dependent. It’s just the time spend living with the parent that determines who is the custodial parent.</p>
<p>For schools that also require PROFILE as a financial aid app, mainly the private schools that tend to give good aid, both parents’ info is needed and both spouses. Can have 4 parents’ financials all taken into consideration. </p>
<p>If your D spends equal time with each parent, then the parent household with the highest income gets reported.</p>
<p>As mentioned above, tax reporting doesn’t matter. Whose home does she spend the most nights? </p>
<p>If that is YOUR home, then your income and your spouse’s income (and assets get counted). if that is the ex’s home, then HIS income and new wife’s income (and assets) get counted. It wont matter that they wont be married the whole year.</p>
<p>however, if your D applies to a school that gives the best aid, then CSS Profile is likely used and ALL parents/step-parents info is used.</p>
<p>Most schools do NOT give great aid. most do not meet need. </p>
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Currently his income is such that DD qualifies for and will receive a Pell grant for her freshman year. But he is remarrying at the end of summer.
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<p>If your D lives mostly with him, it sounds like his household income will rise too high for Pell.</p>
<p>The reason that both parent and step-parent’s income/assets are used is because both incomes are used for the household. Your ex would not be the only one paying rent, utilities, etc, for his home. So, the formula assumes that he can contribute towards college costs.</p>
<p>I know at least one couple who have been engaged for years but will not marry until the younger kid is a junior in college and the final FAFSA has been filed, so that the new spouse-to-be’s income is not included in financial aid calculations. One possible avenue if the father and new step-mother are willing.</p>
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<p>No, it’s the parent household that provided the most support in the preceding 12 months.</p>
<p>^^^^ Which is typically the parent household that earns the most.</p>
<p>So it should be, Kelsmom, but not in a lot of cases, I know. My friend’s ex lived in a hole in the wall and spent little money on his kids though he made about a half million dollars a year. Tried to get half custody so he could reduce the child support even further and got turned down as he didn’t even have bedrooms for the kids as he was sharing the house with another child from another marriage and another ex wife. But I do believe that there were years the kids spent as much time with him as my friend because he had no rules, and they liked that freedom.</p>