Financial/Merit Aid for Middle Income Families

<p>*It’s time to have a talk with your student about what you can afford. It’s a difficult one if you have raised a child so that s/he feels entitled to go to any school that admits her. S/he may totally believe the old party line of being able to go anywhere if she works hard and does well in her academics. It’s long past time that the reality of the situation is made clear. *</p>

<p>This is an issue for many high-achieving students. They’ve worked hard and therefore it seems the natural progression to be able to go to the best school that will accept them. The problem is worsened if they have friends who can afford to go wherever they want. </p>

<p>As long as you’re firm that your budget is all that you can afford, your child will come to terms with that sooner or later. </p>

<p>However, it’s a good thing that you get this out now. The situation is much worse when the money issue is confronted during spring of senior year.</p>

<p><a href=“http://www.usc.edu/admission/fa/private/docs/1011/uscScholarships2010.pdf[/url]”>http://www.usc.edu/admission/fa/private/docs/1011/uscScholarships2010.pdf&lt;/a&gt;&lt;/p&gt;

<p>Not sure anyone has mentioned USC. USC provides National Merit Finalist the half tuition $19285 (COA $53,618). 15,000 National Merit Semifinalist in the list of 16,000 will become a Finalist. It’s a sure thing to get $19285 for a NMFinalist. There is USC Trustee Full tuition Scholarship (approx. $38,570, approx. 100 awards), pls check the forms and deadline at USC.</p>

<p>^Good idea, JLS! Here’s a link to an updated list of NMF scholarships:</p>

<p><a href=“http://talk.collegeconfidential.com/national-merit-scholarships/649276-nmf-scholarships-updated-compilation.html[/url]”>http://talk.collegeconfidential.com/national-merit-scholarships/649276-nmf-scholarships-updated-compilation.html&lt;/a&gt;&lt;/p&gt;

<p>Also, here’s a link to a chart that illustrates what the EFC would be for various income levels at schools who have pledged to meet need with no/low loans. Click on the school’s name to see if you fit within their guidelines for the loan pledge as the income levels vary from including those with incomes under $40K to all students:</p>

<p>[Project</a> on Student Debt: What’s the Bottom Line?](<a href=“http://www.projectonstudentdebt.org/ncoa_chart.php]Project”>http://www.projectonstudentdebt.org/ncoa_chart.php)</p>

<p>One more thought, you may want to include some schools where you know you can meet costs even if no FA is offered other than loans. If you’re looking at LAC’s in the northeast, you should consider some “public ivies” such as Binghamton or SUNY Geneseo which are an incredible value even at OOS rates. Kiplinger’s list may be of use to identify other high-quality candidates:
<a href=“http://www.kiplinger.com/magazine/archives/2008/01/best-value-colleges-2008.html[/url]”>Top 100 Best Values in Public Colleges | Kiplinger;

<p>I don’t want to sound condescending when I post these things. To come clean, I’m one of those fool parents who did everything wrong and wanted to afford anything my kids wanted in terms of college, when we really had other priorities that were more important. It was and still is tough for me to swallow what I am writing to others.</p>

<p>^^^ Hey, it’s always helpful to let others learn from our own mistakes. </p>

<p>And, I’m sure there are many who have had second thoughts about what they spent and whether it was necessary…especially in light of the merit scholarships that are out there…</p>

<p>I remember a thread a couple of years ago where parents posted that “the glow” of having their kids (unnecessarily) attending a “big name pricey U” wears off after a few big tuition payments and the knowledge that the money was really needed for other things.</p>

<p>Hi Ariel, as a parent who just went through the process I hope my experience might provide some insight and benefit to others. Like you my kid has done well academically. She was accepted to Mit, Columbia, Wash U, U Chicago, Princeton, RPI and a couple of state back-up schools. She really wanted to got to MIT. The applications letters were coming in and we were seeing what we expected…zero financial aid. That’s a tough number for any parent.</p>

<p>I am self-employed and my income fluctuates, sometimes greatly. To make a long story a little shorter…we were shocked when Princeton offered us 29K in a Princeton Grant. My rather simplistic advice is: if your kid is looking at the IVY’s focus on the schools that have the largest endowments. Princeton, Yale, Harvard. </p>

<p>As an aside the financial aid departments of all the schools we dealt with were very helpful. Columbia was very organized and eventually matched the Princeton number, (although they claim they don’t match they did ask for a copy of the Princeton offer). Wash U increased her aid offer upon appeal. I will say that MIT was absolutely the worst. They did not return phone calls or emails, missed promised deadlines and in the end never gave us the results of our appeal. They did offer to postpone her decision deadline pending the financial aid appeal but also told us the appeal probably wouldn’t matter. In the end she fell in love with Princeton during campus preview weekend and will be attending in the fall.</p>

<p>Good luck. As an upper middle income earner I often fell hammered and hope my experience and advice may help others.</p>

<p>*She was accepted to Mit, Columbia, Wash U, U Chicago, Princeton, RPI and a couple of state back-up schools. She really wanted to got to MIT. The applications letters were coming in and we were seeing what we expected…zero financial aid. That’s a tough number for any parent. I am self-employed and my income fluctuates, sometimes greatly. To make a long story a little shorter…we were shocked when Princeton offered us 29K in a Princeton Grant. My rather simplistic advice is: if your kid is looking at the IVY’s focus on the schools that have the largest endowments. Princeton, Yale, Harvard. *</p>

<p>Yes, it seems that those 3 are the ones that have a unique formula up to a certain income. Someone with an income of - say 150k - will likely get a $30k grant from one of those 3 schools because of their lowish parent contribution expectation for those who aren’t in the super high income brackets. </p>

<p>The problem is that people know that those 3 are generous to the upper middle class so they get bombarded with apps.</p>

<p>I would not count on any other school matching that aid if shown a package from those 3.</p>

<p>Umm, depends. I know of a number of cases where schools have upped their awards upon being shown a package from top schools. My son got his merit award doubled upon telling his school that he would turn down ivy to go there if they could increase the merit money. CMU blatently says they will deal. You had better believe they would be interested in someone who is thinking of turning for them if the money is matched. Yes, they will deal. But MIT, STanford, other like schools may not be as eager to deal since many of their student have offers from HPY as well. They don’t need to deal to get the caliber.</p>

<p>Wow, I came back to find a lot of very useful posts–thank you all so much!</p>

<p>Cptofthehouse: I didn’t take your remarks as condescending. I was just grateful that you wanted to warn me of pitfalls to avoid. This IS a complicated process with all sorts of emotional and parenting issues wrapped up in it, so the more I know the better.</p>

<p>JLSparent: Thank you for the suggestion of USC, which I think would be a fabulous choice.</p>

<p>sk8rmom: I’ll check out the public ivies, and thank you for the useful charts.</p>

<p>O.K–so I think I have a tentative grip on at least the basics of helping my student craft a reasonable list. It seems as if thoughtful variety and careful balance are the way to go. And flexibility… </p>

<p>Thanks again.</p>

<p>One thing that helped us- is that I wrote up what we could pay- what were the limits of loans that I wanted my kids to accept and other guidelines.
Having in writing, I hope was less personal and clearer- than giving a big lecture about what we could/would pay for.</p>

<p>Also since kids don’t seem to hear everything- writing it down, is important so that small but important details don’t get missed.</p>

<p>Yes, good idea! Writing a plan/guideline down would help me be clear as well.</p>

<p>Woofwoof: “Good luck. As an upper middle income earner I often fell hammered and hope my experience and advice may help others.”<br>
Thanks so much for sharing your story. It sounds like the process was stressful to say the least–but I’m so glad that everything worked out well for your family. </p>

<p>Just wondering: Why do some schools negotiate when they say they don’t? Also, if a school other than HYP “matches” an offer from an Ivy, does that mean that this school offers merit aid, or does the school designate such an award as financial aid? Very confusing!</p>

<p>First, never use the word negotiate, you ask a school to review your FA package. No, this is not merit aid, it is still your need based FA package. Remember, when it comes to institutional monies, colleges can do what they like in determining your ‘need’.</p>

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<p>We experienced something similar to Woofwoof and I agree somewhat with his advice. But I warn very strongly that it should be only a very small part of an overall academic and financial strategy for selecting which schools to apply to. Sure these schools offer by far the best FA, but only if you’re accepted. Also, ‘looking at the Ivies’ is very different from being a highly competitive candidate for the Ivies/selective schools.</p>

<p>

I found this strategy interesting … I typically would communicate how much we as parents are willing to pay and help the kids work through their options given this budget … state school, merit scholarship, live at home, while discouraging lots of loans. Why be that directive and tell the kids they should pursue a specific path? To ensure they have that option when it comes to decision time in the spiring? (I am not being critical I’m interested_</p>

<p>No, of course I wouldn’t use the word “negotiate” when approaching a college–seems sort of tacky to me, especially in an educational setting. I was responding to something someone else said. But in a sense if a school “reviews” one’s pacakge and makes an adjustment based on another school’s offer, that does seem like negotiating in some sense.</p>

<p>I completely agree with you that the Ivies are a chancy prospect for any student, so one needs a strategy that offers more likelihood of success than that.</p>

<p>None of the schools other than CMU use the term “negotiate”. They will look at other offers and see how their peers looked at certain items on the financial applications. This is where institutional judgment comes into play. There are schools that belong to a consortium of sorts that are supposed to use the same methodology for defining aid. If schools in that group come up with differences, certainly something is subject to interpretation that can be changed. </p>

<p>I have not personally seen a whole lot of big changes in awards, by the way. Usually it comes down to more loans and a small additional grant. I’ve heard second hand and on CC of some nice revisions, but I’ve not known of anyone personally who got a lot more financial aid unless there was a mistake made. In our case it was a merit award, but it was not big bucks either.</p>

<p>*I would INSIST that my child apply to AT LEAST 3-4 schools that give BIG MERIT! One or two can be competitive merit, but at least 2 schools need to give ASSURED big merit.</p>

<p>I found this strategy interesting … I typically would communicate how much we as parents are willing to pay and help the kids work through their options given this budget … state school, merit scholarship, live at home, while discouraging lots of loans. Why be that directive and tell the kids they should pursue a specific path? To ensure they have that option when it comes to decision time in the spiring? *</p>

<p>I am talking about a situation where the parents are rather certain that they can only pay XX dollars, which is a lot less than their likely expected family contribution. It sounds in this case, the parents EFC will be about the COA of a private school, but they’ve determined that they can only pay $25k-30k per year. That would leave a $20-25k shortfall every year.</p>

<p>Because of that issue, there’s a risk to applying to a bunch of top schools that will only consider need and only one financial safety. You’ll end up with a bunch of unaffordable schools and the child feels like he’s being railroaded into the only affordable choice.</p>

<p>It’s ok to apply to some of those top schools that don’t give merit, just to see what might happen, but to ensure some choice, some affordable merit schools should also be included.</p>

<p>However, schools with competitive merit cannot really be considered financial safeties if the school isn’t affordable without getting the scholarship. And…often schools with competitive scholarships are “matches” not “safeties”.</p>

<p>Some kids mistakenly only apply to a competitive merit school as their “safety,” only to find out that they didn’t get the award they were expecting. So, the school is not really a safety because it ended up not being affordable. </p>

<p>Schools that have assured big merit can be safeties because you know ahead of time what you’ll be paying. If you know from the website (not just rumors) that your child’s stats will get - say - free tuition, and you can afford to pay for the room, board and books, then that school is now a financial safety. </p>

<p>Some ascribe to the idea that a child only needs one financial safety that he likes/loves. The problem is that a safety school a child likes in the fall may not be liked in the spring. Another problem is that if the other schools aren’t affordable, the child feels like he never really had a choice - which I think can affect the child psychologically when he begins at that school.</p>

<p>So, by having at least 2 schools where the student will received assured big merit, the student will - at least - be able to choose among two schools in the spring.</p>

<p>Obviously, when money isn’t an issue or when families can pay their high EFCs, then a different strategy can be used.</p>

<p>Mom2collegekids, I know you have kids who opted for the assured full-tuition scholarships at Alabama and have been very happy there. I’m aware that Auburn and Ohio U. also have assured programs. What others do you know of?</p>

<p>USC has an assured scholarship for NMFs. Fordham has an assured scholarships for NMFs who are in the top 10% (or close to it).</p>

<p>Indiana, UDayton, and USeattle have assured scholarships. </p>

<p>Here’s a link about more…</p>

<p>AUTO $$$ CC Important links to Auto Scholarships…
<a href=“http://talk.collegeconfidential.com/financial-aid-scholarships/848226-important-links-automatic-guaranteed-merit-scholarships.html[/url]”>http://talk.collegeconfidential.com/financial-aid-scholarships/848226-important-links-automatic-guaranteed-merit-scholarships.html&lt;/a&gt;&lt;/p&gt;

<p>We first sat down and made clear our budget and also that no loans will be co=signed so that the Stafford was the max loans the kids took out. </p>

<p>My D, a NMS had only one financial safety, our flagship state school. After considering all the NMF award and other possible merit scholarship schools, it was the one she was most interested in as a back-up to her dream need only schools. A couple of those came through with what I considered affordable packages. Interesting that her one school that offered her their largest merit award, was one of the most expensive options. </p>

<p>gadad, we also got solicitations from UCF, University of Oklahoma, and UT-Dallas (full rides)</p>

<p>There are a number of schools that have some merit money. Getting the big awards from a name school is the tricky part. More difficult to land those than getting into some of the most selective schools of all. </p>

<p>So you vary the eggs in the basket. Try a few on line calculators and see if the most selective school with the best financial aid would give you some $$s. Try for some of the big merit money as well. Those are reaches. Then look for some schools where your student would likely qualify for some merit money. Schools like Fordham, Pitt, U Denver, Gettysburg, Dickinson, Lafayette, USC, some OOS flagships that are not super selective, Boston U, etc are likely to give some merit money and admissions is definitely a strong, strong match. Then the financial safeties would be guaranteed scholarship program and local possibilities. You do have to cast a wide net if you want or need the money. </p>

<p>We did that. We hit a few unexpected jackpots, but also got zilch at some schools that you might think would have given some merit, given the ones that did. You just can’t predict with certainty. Ended up with a school with not the best award, but just affordable and we’re all pleased because it was his first choice.</p>