<p>For example, $50,000 in a place like New York City is hardly comparable to $50,000 elsewhere. Do they take into account where you live? My gut says no but I hope they do :(</p>
<p>The FAFSA formula does not include any factors for cost of living.</p>
<p>The only difference location makes to the FAFSA EFC is that certain allowances against income calculated in the formula have different percentages based on your state of residence. They are more related to state taxes than the cost of living in any one State though, and probably make a fairly minor difference in the EFC. For instance the allowance for New York is 8%, while the allowance for Texas is 2%. So an applicant from New York would end up with a slightly lower EFC than one with the exact same income before allowances from Texas.</p>
<p>I’m in a very low cost of living place and I would like to point out that my salary is also significantly lower here than it would be for the same job in a higher cost of living locale.</p>
<p>Well, yes, woodswoman, but for the purposes of a financial-aid discussion, low salary translates more or less into getting financial aid. On the other hand, having a higher salary so you can afford the bloated real estate prices in New York or San Francisco translates into looking well paid when you’re really just getting by–and then into not getting need-based aid.</p>
<p>Considering very few schools meet financial need, low salary does not translate into more financial aid.</p>
<p>I don’t quite understand the question. If you are asking if there is a housing differential or COA adjustment given to the FAFSA EFC, no, it is not. </p>
<p>If you are asking if where the SCHOOL is located, like NYU, for instance located in Manhattan with housing costs that are higher than a lot of other schools, that is take into account in that your need is the school COA minus EFC, and the COA would be higher for a more expensive school. Not that it matters in most cases when a school does not met full need (and most don’t).</p>