<p>The title is self explanatory. Can families share where they got decent aid from with high assets? My parents income is around 35K but assets around 400K. THANKS</p>
<p>We are from NJ btw where typical real estate are above 300K -_-</p>
<p>If the only real estate asset is a primary residence, your answer will depend in large part on whether or not the school considers the primary residence in the financial aid equation. Many do not, including some selective schools. Some schools that do consider home equity will cap it at some income multiplier, like two to three times income, so if income is $35k, only $70k to $105k of home equity would be considered.</p>
<p>We opened 529 accounts early and put in a little money aside in each account. It added up and has helped. We’re in California, so we “get” your real estate situation. Also, you have to apply within the university to get stipend money. </p>
<p>@MiddKid86 the house is a primary residence however it is a two family home. We do receive around 1K each month from rent but the land tax is over 12K a year. Do you think the rent won’t be looked at as much since the tax is so high? Thanks!</p>
<p>@aunt bea unfortunately my parents saved up money for years to buy the house (last year) so there’s not much savings left. :C</p>
<p>@Jay2631 </p>
<p>do your parents own a business?</p>
<p>@mom2collegekids yes. However it’s a very small business and the only employees are my mom and dad. The market value is less than 100K for sure.</p>
<p>Your situation isn’t cut and dry. </p>
<p>For that two family…only half is your primary residence. The other half is a rental property. I believe it will need to be declared as such on your financial aid forms. </p>
<p>You say your family income is. $35,000? Is that the adjusted gross income? You have $12,000 in rental income, which would mean your family only earns $23,000 from their business. Is that true?</p>
<p>Rental income and business ownership complicates things. I don’t think that anyone here can give you an accurate idea of what kind of aid you might get at any specific school without a close-up look at the family finances.</p>
<p>I agree with Middkidd. Your situation is complicated by the business ownership, and the rental properties. The net price calculators won’t be accurate for you either.</p>
<p>As an example…you say you get $12,000 a year rental income, but the property tax is $12,000. BUT that is the property tax on the whole property, not just the rental half. For arguments sake, let’s say that 1/2 of that was considered tax for the rental…you would still have $6000 in income. PLUS, the equity in that half if the dwelling would be an asset.</p>
<p>This is a complicated situation.</p>
<p>is there a mortgage on the home or did your parents pay cash? how much is the mortgage? (I am guessing that the parents paid cash since their income is too low to qualify for a big mortgage)</p>
<p>Is the $35k income their NET business income after they have deductions and pay FICA and taxes? </p>
<p>Is the $12k in rent in addition to the $35k?</p>
<p>Is the home a duplex where your family lives in half of the building, and the other family lives in the other half of the building?</p>
<p>The 35K is the net business income (12K rental income isn’t added yet)</p>
<p>We bought it as a foreclosure so we had to pay cash although my parents still owe around 40K in private loans. </p>
<p>The property is 2 floors and my family lives in one.</p>
<p>Thank you all!</p>
<p>Ok…</p>
<p>So, the business income is actually much higher, but after deductions and taxes/FICA, the net is $35k. So, the AGI is higher.</p>
<p>Also, at schools that use CSS Profile, I suspect that they will be adding in a whole bunch of deductions back in.</p>
<p>I don’t think CSS schools are going to be very generous to you.</p>
<p>How much will your family pay towards college?</p>
<p>@mom2collegekids opps my bad. I meant the 35K is without any deductions nor taxes. Sorry I’m not so familiar with this income/business language sorry.</p>
<p>I’ve heard my parents mention that they could afford the sticker price of our state school (24K) but when I ask them how much could they pay, they never give me a straight answer.</p>
<p>Something isn’t adding up. Their gross income is $35k, they are self-employed (so they pay both ends of FICA) and they can afford $24k per year for college. And will they be living on ramen noodles and using candles?</p>
<p>What kind of business is this?</p>
<p>Some CSS schools don’t consider your primary residence’s value, while others cap and yet others consider its full value. This post should provide you with a basic list.
<a href=“Will Your Home Equity Hurt Financial Aid Chances?”>http://www.thecollegesolution.com/will-your-home-equity-hurt-financial-aid-chances/</a></p>
<p>Your parents probably can’t afford much for college, have vaguely discussed whether they may be able to afford the cost of your flagship, and won’t give you a straight answer because they don’t want to think about it but know they can’t pay what you wish they would.
In other terms, affordability is going to greatly limit your college choices and you need to design your college list after running NPCs and with lots of “financial safeties”.</p>
<p>1° get a straight, firm answer - a financial commitment of sorts. It may well be $5,000.
2° run NPC’s
3° apply to colleges where your stats place you in the top10% applicants. Apply to their honors colleges.
4° it sounds like their income is below 65k nevertheless so you may get a shot at one of the very/highly selective colleges that meet 100% need. Be aware that “need” is defined by the college and that you need good stats. The colleges from that “very selective” list that can be reachable if you have good stats but not national/international level distinctions would be Gettysburg and St Olaf.</p>
<p>
Look at the pinned threads at the top of this forum for some merit aid options. You would need to get the SAT/ACT score up to get better money.</p>
<p>If their gross income is $35,000 a year, they won’t be able to afford ramen noodles if they are paying. $24,000 a year for college.</p>
<p>Out of that gross income of $35,000, they are required to pay federal and state income taxes, and their full FICA payments. </p>
<p>These financial figures do not “add up”. How would a family with $35,000 in gross income afford to pay cash for a house even with a short sale?</p>
<p>I think the OP needs to show his parents information about costs of colleges. It might be that they have no idea how much this will really cost them per year.</p>
<p>I felt it was weird at first when they mentioned they could afford 24K a year as well. </p>
<p>They own a dollar store.</p>
<p>I have asked them various times how much could they pay but I never got a straight answer. I will continue to ask. My cousin is currently a Freshmen in college and so is my mom’s best friend’s daughter so I believe they know the cost of college.</p>
<p>Thank you!</p>
<p>What your cousin and friend can pay each year have no bearing on what YOU will be paying.</p>
<p>You need to be very certain that you will have affordable options for college.</p>
<p>I’ll put it out there…unless you can garner admission to a very select college that meets full need (and will deal with the business and rental in some way that doesn’t affect need based aid), OR you have the stats to garner significant merit aid someplace, it is going to be mighty hard for a family with a $35,000 a year gross income to pay more for college than a community college would cost. </p>