Georgia Tech Financial Aid Award Letters

<p>There are a lot of OOS students who will find GT unattainable. I’m in the same boat.</p>

<p>So close, and yet so far…</p>

<p>Anyway, as to your FAFSA and EFC, the school can go over your records and make corrections. They cannot just willy-nilly add income. However, if they see an error on your return they can adjust the FAFSA figures. Perhaps they saw income improperly reported on the 1040 or a deduction taken twice. Who knows? You should call them and find out the details.</p>

<p>I have called and emailed…still waiting for my FA rep to call me back.</p>

<p>I have to start thinking about how to break it to the boy that he may not be able to go there…</p>

<p>Monica-</p>

<p>Log into FAFSA, and look at the most recent SAR. That’s the one that has the data input that GT corrected. Compare the data entry points with the SAR as it was when you submitted it, and look for anything that’s been changed. In particular, look at the parental income and asset numbers, and student asset numbers. Also the number of dependents, and perhaps the number in college. You’ll find there what they changed.</p>

<p>UCSC changed ours because I transposed a couple numbers when inputting, but it only changed our EFC by $1.</p>

<p>Great suggestion. I compared the data and found the line item that was changed by GATech was the “Parents’ Untaxed Portions of Pensions”. We showed a rollover of my husband’s 401k when he switched jobs last year. According to the IRS, this is not taxable income.
None of the other schools that sent awards letters used this amount to issue a correction, only GATech.
Can they add an item as income when the IRS doesn’t consider it income?</p>

<p>Yeah- it’s income, just not taxed income that’s included in your AGI. So it gets added to the AGI. It’s the difference between 16a and 16b on the 1040, right?</p>

<p>Just because it’s not taxes, doesn’t mean it’s not available for use for college. It gets added to the formula as income.</p>

<p>Wait-- it was a roll over? So it remains in a 401K? Or was it pension money you actually received, but was untaxed?</p>

<p>Caramba! They were the ONLY school that did this. </p>

<p>Does this now affect the awards other schools offered?</p>

<p>Looks like they took the number from 1040 line 16a (untaxes portion of Pensions), and added it to FAFSA Q95e (untaxed portion of parent’s IRA distributions) or 95f (untaxed portion of parent’s pension distribution). But the detailed instructions online clearly exclude rollovers:</p>

<p>“Untaxed portions of IRA distributions. Enter your parents’ untaxed portions of IRA distributions. This amount can be calculated from IRS Form 1040 (line 15a minus 15b) or 1040A (line 11a minus 11b). Exclude rollovers. If the result is a negative number, enter a zero here.”</p>

<p>So as long as it was a rollover, it shouldn’t count as income for FAFSA purposes, and GT made an error. If it was a distribution that you received, they are correct.</p>

<p>Well at least you are on the right track. You know where the change was made. If GT incorrectly counted that rollover as income, you need to contact them ASAP and have it changed back because all schools will go by the new FAFSA EFC, not just GT. They all must use the same report.</p>

<p>It was a rollover, not a distribution. </p>

<p>If so, can I challenge it?</p>

<p>^ Yup. If their error, get ahold of them asap, before the other schools start revising their award packages.</p>

<p>"It was a rollover, not a distribution.</p>

<p>If so, can I challenge it? "</p>

<p>Yes. Here’s the source on FAFSA that says to exclude rollovers in Q95e (that’s where they added it, correct?)</p>

<p>[Completing</a> the FAFSA 07-08/The Application Questions(78)](<a href=“http://studentaid.ed.gov/students/publications/completing_fafsa/2009_2010/ques5-2.html]Completing”>http://studentaid.ed.gov/students/publications/completing_fafsa/2009_2010/ques5-2.html)</p>

<p>You can try doing a FAFSA correction to fix it. Not sure if FAFSA correction will allow you to change data that was previously changed by a FAO, or not.</p>

<p>Thanks for all the info and advice!!</p>

<p>OK, after no replies from my designated rep to my voicemails and emails , I just called the main finaid office. Ironically, my rep answered the phone.
Anyway, she looked over everything and did see where the word “Rollover” appeared on our tax return and said she will be taking it to her director for review, and then the director will make any corrections they deem necessary. She said a new awards letter (if they make the correction) will be issued next week. I told her I’d be calling her back rather than waiting for a reply.
I will be calling her first thing Monday and incessantly after that until it’s taken care of. </p>

<p>I can’t believe they did this!</p>

<p>Great!</p>

<p>Remember that other schools now have the larger, incorrect EFC, too. So it needs to be corrected quickly or you’ll have collateral damage.</p>

<p>Do you think I should contact the other schools and let them know that there is a problem and that it’s being fixed?</p>

<p>IF GT doesn’t fix it today, I think I’d call any college that you’re still serious about and let them know what happened.</p>

<p>Agreed. Let them know or they will issue revised awards.</p>

<p>This is now the second or third time I’ve read of a school “correcting” the FAFSA data incorrectly. I think that there ought to be some notice to the student whose form it is of a proposed adjustment so that if there is disagreement that there is an opportunity to discuss it before action is taken. I also think that there ought to be a unit at the FAFSA processor that is empowered and required to fix problems once they have been reported.</p>

<p>I want to thank everyone again for all the help with this. I’m SO glad I found my way to this place.
I will update when things are resolved.
: )</p>