<p>Why would that bother you? People time weddings for all kinds of reasons -- waiting until one or the other person finishes school, getting married sooner than planned because of a pregnancy, waiting for a couple of years until one is eligible for retirement and can move from a long-term job to a new location, and so on. Add to that that some seniors don't marry because doing so would be financially disastrous for them.</p>
<p>Marriage has a lot of facets to it, a lot of different things to consider, and the financial aspect is one of them.</p>
<p>Masslouo, I am divorced, and when I got divorced I gave up on other things to reach an agreement that my X would pay our children's college expenses. I think it is X's and my responsiblity to pay for our children education, we brought them into this world. Knowing what I know now about college aid, I would never marry someone whose kids are not out of school yet. I wouldnt think it is my responsibility for a stepchild's education expenses (maybe I would feel different if I were younger, and knew children longer), and I wouldnt want to step in the way of a stepchild's aid.</p>
<p>^^^ But marriage creates an array of new obligations, including the education of the step children. A number of DD's friends are "keeping house" and delaying marriage to take advantage of grad school loan forgiveness programs - - once married, the spouse w/ the loans would be required to acknowledge his/her partner's income, which in most cases would render the spouse w/ the loans inelig for the forgiveness prgm. </p>
<p>One such couple recently set the daye b/c the woman (the one w/ the loans and loan forgiveness) received an inheritance and was inelig for further aid from the forgiveness prgm. That she would have been better off financially had the inheritance come after the school had forgiven her debt doesn't make the program or it's process unfair. No was the couple's delaying marriage to take advantage of the loan forgiveness unfair (by delaying the marriage, one risk that it might never occur).</p>
<p>I'm not sure what a "fair" system would look like. Where ever you draw the line, it will be a hardship for some and a windfall for others.</p>
<p>I think sometimes it's a toss up when it comes to paying your own loans back vs paying for a kids education. There are a lot of tax breaks for married individuals that make marriage attractive for a host of reasons. I of course have no idea what that is because frankly we have an accountant. But I know lots of people who, when their divorce has yet to be finalized still file jointly for tax purposes.</p>
<p>"I agree that FAFSA doesn't take into account unusual circumstances at all. I'm desperately saving money to try to pay for a spouse's nursing home care. The spouse will require several years of care before dying. FAFSA looks at this chunk of money as being available to pay for our kids' college."</p>
<p>Neonzeus,</p>
<p>I was in a similaar situation with a husband who was vey sick for a long time. Obviously I don't know anything about your finances or your situation, but have you explored the possibility of putting as much money as you can into retirement accounts? FAFSA doesn't count the money in IRAs and 401ks and the like, and, at least in our case, we were allowed to draw money fom the retirement accounts well before age 65 because my husband was considered legally disabled, which counts as retired. </p>
<p>Forgive me for being presumptuous if this is not helpful to you.</p>
<p>Usually any extra money put into retirement accounts is counted as available for college expenses - so no savings there. but Neonzeus - you should definitely explain this situation to the college financial aid departments, and provide all documention of your situation. I'm sorry that you are in this situation. :(</p>
<p>
[quote]
I agree that FAFSA doesn't take into account unusual circumstances at all. I'm desperately saving money to try to pay for a spouse's nursing home care. The spouse will require several years of care before dying. FAFSA looks at this chunk of money as being available to pay for our kids' college
[/quote]
nonzeus - FAFSA does not but the school can make adjustments to FAFsa where there are special circumstances. Ask your school for a special circumstances adjustment. This is set up for people who have unusual circumstances such as high medical bills, loss of income etc. I'm not sure how it works if you are saving for a future expense rather than a current one, but it does not hurt to ask. </p>
<p>We had one my daughter's first year of college because we had very large medical bills in the preceding year and would have loss of income in the current year. After the adjustment was approved the school went into FAFSA and reduced our income to reflect the adjustment. Then the numbers were run through the formula again, producing a lower EFC.</p>
<p>"Usually any extra money put into retirement accounts is counted as available for college expenses "</p>
<p>correct
This is our situation
Retired, no income, living off investment account - no future income - but these savings are considered to be available for educational purposes. And yes, we do consider part of them to be set aside for that, but will take a huge hit if dream schools come through, as they will most certainly come without merit aid and our EFC is 100%.</p>
<p>Re delaying marriage to get a financial benefit:</p>
<p>I read somewhere that older couples are also forgoing marriage because to get married could mean the cessation of pension benefits, etc. There are a lot of ins and outs to getting married because marital status can affect so many contracts and obligations.</p>
<p>
[quote]
but these savings are considered to be available for educational purposes.
[/quote]
</p>
<p>The solution is to move the 'savings' to a retirement-like vehicle, such as an annuity. Of course, then the payout then becomes 'income' in the year paid out.</p>
<p>BrownParent's idea is brilliant. Get an annulment. Your new husband's income is creating financial stress because it increases your EFC AND he apparently is not contributing to your child's tuition. I am sure he is a lovely man who contributes to and improves your life in many ways, but really, you need to annul that marriage YESTERDAY. You can always re-marry him in four years.</p>
<p>I'm one of the "delaying marriage" people. OR, to be more precise, I have made it clear to my partner of 9 years that I have NO interest in getting married any time in next 7 years, so he shouldn't ask (or worry about it, if he doesn't want to ask.) </p>
<p>Is it unfair? Well, it's what I can do for my children. I see it as no different than families who make fiscal choices to benefit their college children -- sacrificing to send them to private schools, tutoring, things like that. I can't give my children the advantages that money brings, but I can set aside marriage for their benefit. It's not that onerous to give up. I suppose if I was uncomfortable living with someone while unmarried, that would be different.</p>
<p>Momsey, the EFC computes an expected FAMILY contribution. Your new husband is now part of your family. He is contributing to "family" expenses....things like housing, utilities, food, clothing, other necessities as well as discretionary spending. Since he is a member of the family, his income is considered in the FAFSA formula.</p>
<p>Just FYI...there is no LEGAL requirement that even biological parents pay for college costs. BUT if they are family members, their income is CONSIDERED in the formula.</p>
<p>
[quote]
Waiting to marry until kids are through college/financial aid issues...</p>
<p>This kind of manipulation of the system really irks me. Maybe it shouldn't, but I gotta tell you-- it DOES!
[/quote]
Irk away, but ask yourself....is it any more fair for the system to be manipulating us? ;) </p>
<p>IMO the whole need-based system is (at best) set up to adequately parse aid between Leave it To Beaver families who have two-part paycheck jobs (with traditional pensions and retirement) and home ownership. For the rest of us it's like having our financial futures decided by a "not-overly-bright" Pomeranian.</p>
<p>Think of the impact of parents who marry while students are in college and are not contributing at all? The effects would be disastrous to the students. For some, waiting to marry until the students graduate can be the most unselfish thing they can do. There are too many uncertain facets of this whole process in the years to come. Job losses, financial aid reductions, declines in enrollment, endowment declines etc. One thing you can be certain of is getting married will only hurt the student's situation for financial aid.</p>
<p>Is anybody but me beginning to think the availability of aid is in itself a problem? Because there is this huge system of financial aid, colleges can increase tuition and families, instead of looking to less-expensive alternatives, just start planning and arranging assets so that they can qualify. </p>
<p>When a third party pays, there is going to be manipulation and inefficiency. We as a society have decided it is more important for education to be accessible than it is for this type of distortion to be eliminated from the system.</p>
<p>I'm not offering any brilliant suggestions to fix it; just observing that it is what it is right now.</p>