Do I qualify as a Dislocated worker?

Paying for College
1

<p>Our AGI for 2010 will be less than 30K and I have been unemployed for about 2 years now. Does that make me a dislocated worker and qualify S for 0 EFC? Just wondering..</p>

2

<p>When were you laid off?
Have you received benefits through your states Dislocated Worker program?
[State</a> Rapid Response Coordinators, Employment & Training Administration (ETA) - U.S. Department of Labor](<a href=“http://www.doleta.gov/layoff/rapid_coord.cfm]State”>Rapid Response Services | U.S. Department of Labor)
If you are already indentified as a dislocated worker by the state,I imagine you will qualify for fin aid.</p>

3

<p>With an AGI of less than $30k, I think you’ll have an EFC of 0 (with or without dislocated worker status) unless you have a high amount of savings/investments.</p>

<p>For a family of 4 with one in college that has a $28k AGI, the EFC is 0 (or very close to it) </p>

<p>But, if you need asset protection for assets greater than the protected amount for a married couple, then you may need the Auto 0 designation.</p>

<p>Hopefully, swimcatsmom or kelsmom can answer (or Thumper).</p>

<p>I wonder how long a person keeps their “dislocated worker” status? Can they keep it for all for four years while their child is in college? Or does at some point there is an assumption that the person isn’t looking for employment?</p>

4

<p>Dislocated worker status is not required to be documented as far as the feds are concerned. Some schools require the parent to explain/document their status, though, so it would depend on the school. Where I live, it would be conceivable that a parent could be unemployed (or certainly underemployed) for four years. I imagine schools with the most money to give out are stricter in requiring proof, but that is just an assumption.</p>

<p>Auto 0 EFC would be achieved for 2011-12 with AGI < $31,000 and the dislocated worker status as Yes. That automatically ignores all assets and ignores all student financial info.</p>

<p>And yes, EFC would probably be 0 or close to it even without Auto 0. Remember, too, that being eligible to file 1040A/1040EZ as well as receiving federal means tested benefits within the previous 24 months (including free/reduced lunch) also qualifies the family for Auto 0.</p>

5

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<p>I received benefits through states unemployment insurance program.</p>

<p>Although my AGI is less than 30K, our EFC is still substantial due to child support received (which will end come Feb 2011) and some assets and I am not eligible to file 1040A or 1040EZ.</p>

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<p>How do I document this?</p>

6

<p>If you are still unemployed, that would be pretty easy to document … if you no longer receive unemployment benefits, you would probably submit a signed statement of some kind. </p>

<p>If you are a dislocated worker, you would be eligible for auto 0 EFC by virtue of being a dislocated worker. Realize that this is for FAFSA schools. If you have assets and untaxed income, those may come into play differently at a Profile school (not saying they will … saying they may).</p>

7

<p>I guess my question is, is being in long term unemployment sufficient to claim as ‘dislocated worker’?
Yes, I am still unemployed and that part is easy to document. I am not sure how to document that I am a dislocated worker.</p>

<p>S is applying to some FAFSA only schools and some profile schools. I am considering sending a ‘special circumstances’ attachment to the profile schools.</p>

8

<p>In general, a person may be considered a dislocated worker if he or she:</p>

<pre><code>* is receiving unemployment benefits due to being laid off or losing a job and is unlikely to return to a previous occupation;

  • has been laid off or received a lay-off notice from a job;
  • was self-employed but is now unemployed due to economic conditions or natural disaster; or
  • is a displaced homemaker. A displaced homemaker is generally a person who previously provided unpaid services to the family (for example: a stay-at-home mom or dad), is no longer supported by the husband or wife, is unemployed or underemployed, and is having trouble finding or upgrading employment.
    </code></pre>

<p>If a person quits work, generally he or she is not considered a dislocated worker even if, for example, the person is receiving unemployment benefits. </p>

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<p>The above was written by the U.S. Department of Education & is in the directions for completing the FAFSA.</p>