<p>Neither of my parents work, so the 'income' bit on tax returns shows up as very low, but they have a respectable amount of property and investments under their name -- just, not real jobs, and virtually no income. I'm applying to financial aid. How should I expect schools to respond to my situation?</p>
<p>Expect that your parents will be expected to pay an amount equal to about 5% of their assets per year towards your education. There is an exact formula, but 5% is a rough rule of thumb. Google "EFC estimator" to get something more accurate.</p>
<p>Most people with investments aand properties do earn income from those assets. That income will be treated the same as earned income. The assets will also be "assessed" about 5% as Dt123 says. Your family has to be getting some cash from somewhere to pay for things like groceries, utilities, etc.</p>
<p>Try the CC EFC</a> Calculator.</p>
<p>Roger,
Can CC update that calculator? It appears to be a little old as it is asking for 2003 income and the year of birth of my student is not available as a drop-down choice. I know it still works but.....</p>