<p>i'm a rising senior with bajillions of questions!
* my family has a $0 income but we receive social security disability payments every month. however, we have 400,000+ in savings(because of my late dad's life insurance policy being redeemed/cashed). my mom cant use any of this for my college expenses or my brothers b/c she has to live on that and the social security benefits from my dad(she is disabled as well, though not recognized federally).</p>
<p>my gramps has trust funds for me and my brother but its based on a stock or something so its value keeps going down due to our great economy :( . i dont really understand what he was talking about but now it's gone down to about 100K(it was 200K before). </p>
<p>should i apply to just my state schools(i live in MA) or would private schools be willing to hear appeals if i am accepted there with poor financial aid?</p>
<p>*when do i apply for scholarships? now or in the middle of next year?
*finally, every school i look at wants a copy of my parents tax returns. my parents didnt file any this year(we made no income, my mom called bunches of tax people and went on the IRS website, so its legit). how would i go around sending in returns? would i send a letter instead? does anybody else not file any returns? any suggestion is appreciated</p>
<p>sorry if this was wicked confusing!!</p>
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<p>400,000+ in savings>></p>
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<p>Is this in an interest bearing account? If so, I thought that if you had "unearned income" in excess of a certain amount you had to file taxes.</p>
<p>Now...having said all of that, if your income is really zero, you might want to consider applying to FAFSA only schools. I'm not all that knowledeable about the simplified needs test (others here can give you better info than I can), but my understanding is that if your income is below a certain threshold, you do not have to report your assets at all. </p>
<p>FAFSA only schools will not usually meet your full financial need, but you might be eligible for the maximum federal grants, etc (Swimcatsmom...perhaps you can verify this info).</p>
<p>It is wise that your are checkin this now. Good luck.</p>
<p>Before you apply to college, you need to understand the financial process and where you stand in it. Your family income is the main thing that the process examines. Assets are assessed at about 5% after an "allowance". The big question would be your trust funds. If they are in your name, the market value of the fund on the day you complete your financial forms would be a prime item to be assessed for aid. AS it should be since it is yours. You need to find out exactly what the asset is and whose name it's in. I am curious as to who is paying taxes on the interest or dividends that such asset should be generating. You need to talk to your grandparents and your parents and find out exactly what is available for you for college. If it 's in your name, it's yours and will be assessed for college. Without knowing that, which is essential, it is difficult to answer your questions.</p>
<p>If you apply to state school, aid is often based on FAFSA which is a form you must complete to get any aid anywhere. It assesses your eligibility for aid and comes up with an expected family contribution after taking into account all your parents' and your assets and income. Not your grandparents. THis number just gives you access to PEll grants and subsidized loans and any state money if your state has it . The rest is up to your college as to giving you additional fund; whether the college has other monies and wants to offer them to you. Nothing is guaranteed beyond the Pell and subsidized loans. The maximum Pell for a zero EFC is less than $5K. Most state schools do not meet full need. If your state school has merit money that you are a good candidate for, it is a good way to go. Otherwise , you are not likely to get full need met except with loans. However, depending on tuitions, it may be a good deal for you to apply to a state school where you can commute as it would lower costs substantially.</p>
<p>Most private schools require PROFILE which is usually more thorough than FAFSA a can include your home values which FAFSA does not. It will include your brother's trust fund as well as yours, if it is in his name, and yours is in your name. But there are private schools that offer 100% of need met, which can be great if you meet their definition of need and can get into the school, and if the packages are not loan heavy. Again, the stronger you are as an academic candidate, the better the chances of a good package.</p>
<p>As far as returns go, if you don't need to file, you tell them so. Can't come up with what you don't have. Some other verification of income/assets may be needed. They will let you know.</p>
<p>Typically, when the income is considerd untaxable and thus no tax return is required by IRS standards, schools wil request a copy of all sources of income, such as the SSA-1099 forms received each year. In some cases, the school may request a tax transcript, even if the tax return was not filed. Basically, this confirms that the return wasn't filed.</p>