<p>My school is having this thing where you can bring your family's 2007 income tax ...stuff (I don't know exactly what) and they will estimate EFC and submit your FASFA instantly. And I'm having problems with this. My mom recieved an inheritence from her sister in 2007 that was of a substantial amount. Most of it was spent within a the year. Come tax time, we ended up in a higher tax bracket. If we would use this for the FASFA, it WOULD NOT be an accurate statement of my family's income and I wouldn't get near enough financial aid. So what do I do?</p>
<p>I haven't asked about using 2006 tax info, which would be better when it comes to finanical aid. Also, my aunt, a former guidence councilor, is saying that she'll help us do it with our 2008 taxes. But, knowing my mom, she won't file until, like, the last minute, so that's not going to do much. I don't know what to do. If I don't get enough aid, I really have no idea what I'm going to do about school next year. Any advice? Anyone been here before?</p>
<p>FAFSA is not that hard. You can do it yourself and estimate 2008 income. If all other income is about the same as 2007 you can use the 2007 tax return adjusted to omit the inheritance. Your actual aid will not be paid to you until a 2008 return is actually filed. Your Mom needs to understand that this is not the year to file late. </p>
<p>Anything left of the inheritance will have to reported as an asset and may affect your EFC.</p>
<p>Um - just a thought - I did not think an inheritance was reported as income?</p>
<p>Well...first of all....your final financial aid for NEXT year will be based on your 2008 earnings...not your 2007 earnings (and certainly NOT your 2006 earnings). Many folks submit ESTIMATED FAFSA's at this point in time and they DO use the 2007 tax returns for the estimates. However, if you KNOW there is a significant difference (higher OR lower) from 2007, it is wise to adjust your estimates to reflect this.</p>
<p>I'm only guessing...you have to talk to your school to find out...but my guess is they are using the 2007 return to do your estimated FAFSA. Then when your family has completed their taxes, you can amend to reflect the 2008 information.</p>
<p>Now...things to check. WHEN IS YOUR SCHOOLS DEADLINE FOR SUBMITTING THE FAFSA? If it's after February 1, you might just be better off doing this yourself with your families completed 2008 tax return...which is what the FAFSA requires for next year's financial aid calculation anyway.</p>
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she won't file until, like, the last minute
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<p>This is not a time to be delaying filing taxes. When your kids are in college AND you need financial aid...you really NEED to get these done as soon as you possibly can.</p>
<p>Will you be a freshman in college next year?? If so, try to explain to your mom that getting financial aid requires her to complete the forms using 2008 tax information within the proper deadlines.</p>
<p>If you are a returning student...what did you do last year????</p>
<p>Agreed with Swimcats...an inheritance is NOT usually considered income...but if the money was IN your savings it would have counted as an asset.</p>