<p>This will be my first year as an independent student, trying to transfer to a UC. My financial aid counselor told me that if I have been on food stamps anytime in the past two years AND make below a certain amount of money this year, then my assets ( bank account) won't be considered in my EFC. Can anyone verify this? Two years ago I was on food stamps, but since then I have been working a lot and managed to save quite a bit in the bank (about 3000 now). And I plan on using this for college, that's what I have saved it for in the first place... but I don't understand why it won't be factored into my EFC.</p>
<p>Any links or explanations would be appreciated! Thanks!</p>
<p>It is a thing called the simplified needs test. If your AGI is below $50,000 and you meet one of the other criteria your assets are not considered. The other criteria are: you are not required to file a tax return or you are eligible to file a 1040a/ez tax return (don’t have to file a 1040), or you are a dislocated worker, or you received means tested benefits in the last 2 years.</p>
<p>Thanks for the information!
So even if I had a billion dollars in the bank my EFC will be the same, not considering the billion? Seems kind of strange.</p>
<p>Well…if you had a “billion dollars in the bank” I would hope you wouldn’t be fretting over how to pay for college. BUT one thing to consider…if you have over a certain amount in interest per year, I believe you have to file a regular 1040. With that amount of assets (assets ARE counted for the other means tests like food stamps and the like) you would not qualify for food stamps, free lunch, etc.</p>
<p>I’m sure there are lots of billionaires who would risk obvious fraud charges so that their kids can eat the $2.50 crispy chicken for free. :rolleyes:</p>