I just received my son’s SAR and it says our EFC is 022133. Our household income was $109, 536, but we have 3 dependents because my mother-in-law lives with us. Our asset worth was around $22,700. First question - does this EFC seem accurate? Second question- does this mean that all we’ll be able to get in financial aid are high interest loans? Thanks.
Yes, that EFC looks accurate. Through the FAFSA, you are reviewed to see what federal aid your son qualifies for, which is the Pell Grant, SEOG, and the Federal Direct loans. The EFC is way out of the Pell range, so you will only be offered the $5500 Stafford loan. The school might use the EFC and determine if there is any need based institutional aid they could offer…but that simply depends on which school your son might attend.
Yes that EFC sounds right for that income.
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my mother-in-law lives with us
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Does MIL receive Social Security? pension? Medicare? Anything? If so, then likely you can’t claim her.
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Second question- does this mean that all we'll be able to get in financial aid are high interest loans? Thanks.
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Is your child only applying to FAFSA only schools ??? What are the net price calculators showing on those schools’ websites?
That EFC sounds just about right to me.
Did you run the net price calculators on the websites for the colleges to which your son applied? Do that.
I don’t think a loan with an interest rate under 6% is a “high interest” loan. But that is my opinion.
Your student will be eligible for $5500 in Direct Loans in his name only.
There is no way to predict or even guess what your financial aid potential is without knowing the colleges to which your son applied. Do the schools meet full need? Do any of the schools require the Profile? Will your son be eligible for any merit aid at any of his potential schools?
It just means you are out for federal aid except the student loan. Federal loans aren’t really considered high interest. the student is at 4.66. The Parent Plus loan is currently at 7,21.
So the fafsa efc doesn’t really mean anything. Some schools don’t give anyone much of anything beyond the federal entitlements so yes you would pay the full amount. A few colleges are very generous and give aid based on their own formula. Others are in between for your income bracket.
What schools is your son applying to?
It really depends on the school so if you could give us an idea… for example:
The top “meet need” colleges (like Harvard, MIT, Williams, Pomona…) would offer very good packages to you.
Public universities in Illinois or Pennsylvania would offer nothing.
Some universities meet need, most don’t.
Some have preferential packaging (merit aid on stats only, or better packages depending on stats+need)
All students automatically get the$5,500 loan (with $2,500 subsidized, so, low-interest).