<p>kelsmom - I first learned about equity packaging from your post a month ago where you said you thought it was fair because it increased the number of students who could receive need-based aid. On this thread, you seem to have the opposite opinion (you said you disagreed), but I’m sure I’m missing some subtle point - having to do with gaps, perhaps?</p>
<p>
</p>
<p>SteveMA: The argument for this approach is that need-based aid is a limited pool, and the school wants to help as many students with need as possible. Those who have earned merit scholarships have less financial need. Their goal is to help everyone. Remember that this is need-based aid, not merit-based aid; so it’s based on need.</p>
<p>Edit: Many schools have need-based aid that also has a merit component.</p>
<p>* Also, then, explain why it is ok to get full-ride scholarships, either merit or athletic, if your aid package can’t exceed your need *</p>
<p>When a pkg consists of Big Merit, then need isn’t considered. Kelsmom made it clear that merit is handled differently. She’s talking about need based aid being reduced when aid exceeds COA - EFC… (except Pell).</p>
<p>So, a student with NO NEED, can get a full ride merit scholarship and keep all of it. A student with SOME NEED can get a full ride scholarship and then see need based aid go “bye bye”…because the merit covered the need.</p>
<p>People are forgetting that schools do not have some endless treasure chest of money. Their models depend on that a certain number of kids will get outside merit or other merit which will reduce need. That frees up their institutional aid for others.</p>
<p>MisterK: When my son was accepted he received merit awards from most schools, with varying amounts, depending on the competitiveness of each school. That was back in December/January. Now that the Financial Aid decisions are coming in, the letters listing all the aid either show total removal of Merit aid or a lesser amount of merit aid awarded in place of higher financial aid.
I was under the mistaken impression that Financial aid was financial aid, and merit scholarships were merit scholarships. I do understand now that the schools have to try to help as many students as they can with limited funds. Our actual family contribution is a few thousands off from FAFSA’s EFC even taking into account various loans.</p>
<p>mom0809 - That’s interesting, and it’s a bit different from what we normally hear. I wonder if kelsmom can comment on this.</p>
<p>But the actual total of “free money” wasn’t reduced, was it? In other words, they exchanged merit aid for FA grants, not work-study or loans, correct? I would be really upset if the free money decreased!</p>
<p>I guess that the free money wasn’t reduced since the school-based grants were generally more than the original merit scholarship. I guess I was hoping that with the school-based grant, federal grant, and the merit award, I could reduce the amount of loans that also appeared on the final Financial Aid package.
Like I said, with the other two children, they were never awarded any merit scholarships so I had no past experience with this type of situation.
Maybe I’m not being very articulate, and it’s partly not wanting to divulge too much information as we’re still in the decision-making process. I do apologize for this.</p>
<p>School gives out merit aid first. If after getting merit aid there is additional need, they should give enough need based aid (preferably starting with grants and/or maybe work study) to make up the difference to meeting full need. In no case should the merit scholarship end up being reduced, but the need based grant could most definitely end up being reduced. Therefore if the auditioned merit aid would exceed the need, then the student should still get the full merit. I don’t think merit awards should normally be limited to the max need amount either… and the ones we have aren’t.</p>
<p>My d got merit awards, and in both cases she then got no need based aid because the amount of the merit awards was higher than what she would have gotten as need based aid. This still seemed logical to me. Merit is still nice because it’s for all four years whereas the need based aid might change if our financial situation changed.</p>
<p>That’s a good point about the need-based aid possibly changing. What if the schools decides to replace FA grants with loans in subsequent years? Or if mom0809’s family income goes up significantly, and the need goes below the original merit grant level? Those could be good reasons to ask the school why the merit scholarship has been exchanged for FA grants.</p>
<p>I feel better about the merit aid being reduced rather than less fin. aid because the merit money usually has a stipulation of maintaining a certain gpa. The financial aid S has received so far only has the stipulation of remaining in ‘good academic standing.’</p>
<p>I’d be more worried about my financial situation changing than falling below the gpa level required, but I suppose that would be something each person could weigh.</p>
<p>My financial situation will be more predicatable than DS’s performance in college. :-). Just saying that with a college freshman, a 2.89 or a 3.0 could separate you from your scholarship.</p>
<p>I think the system is very unfair. We have a high EFC, but S got lots of merit. He also got institutional work study (vs federal work study). Bottom line he had more job choices and could work unlimited hours vs the federal W/S kids. I felt very bad when I read on the parents board for S’s school about federal W/S kids who depended on the W/S money not being able to find jobs. I highly suggest anyone looking for W/S jobs to start looking the same day they arrive on campus. Do not wait. S found a job the day before orientation. Many kids waited a few weeks and nothing was left. And based on our experience I would ask for institutional W/S vs federal.</p>
<p>I think too many mistakenly believe that their S or D will automatically keep those merit awards for all 4 years and assume that $$ as a given. Maintaining the GPA requirement is not easy for many and I’m sure the colleges are well aware of what % of merit receivers don’t keep those scholarships.</p>
<p>MisterK-this is what Kelsmom wrote—she specifically mentions scholarships (merit aid) and again at the end states that merit aid can not offset EFC so basically what it comes down to, if an family’s EFC is $20,000 they are pretty much stuck paying $20,000K no matter what they bring to the table. Again, I don’t agree that if a student brings OUTSIDE scholarships from say the local VFW that it should reduce the merit or need based aid from the school. That is money the student brought to the school, through their own efforts and in my mind how is that any different then a student bringing a check from Mom and Dad to cover that $20,000?</p>
<p>In the OP’s case (I REALLY wish we could do direct quotes here) her son’s MERIT aid was reduced. Merit aid should be taken out of the equation all together, I think. That is a separate consideration, much like an athletic scholarship would be. It also doesn’t address the inequity of someone getting a full ride from a college even though their EFC exceeds the cost of the school (just for example).</p>
<p>Basically what the school is telling the OP’s son is “thanks for working so hard in high school but you still have to shell out big bucks to come here” ESPECIALLY since this came AFTER he was given the merit aid. How do you plan ahead for colleges and expenses if they do that? </p>
<p>In our personal situation, our kids are looking at schools that they come in at the top 25% expressly so they can qualify for high Merit Aid awards because we fall in that gap of not really getting “financial aid” but not really having all that much to put toward college since we are on kid 3 and 4. Since we have 2 going off at the same time, we are expecting that our total EFC will be basically split between the two of them and were off-setting the remainder with merit aid. From what it sounds like, that won’t happen. Their alternatives are inexpensive state schools, which, in our state, come in under our EFC. so no help there either.</p>
<p>I still don’t see how this is even remotely logical. It’s pretty arbitrary if you ask me.</p>
<p>To add on to above because I don’t know if there is a character/post limit–another example:</p>
<p>Former bosses DD got half athletic/half merit aid offer at the school she attends. His HOUSE PAYMENT is more than our family makes in a year. He is worth at LEAST 20 Million dollars. If the OP’s son’s merit aid can be reduced because he qualifies for a work study job or Pell grant, how is it equitable that this girl is even in consideration for merit aid from the school if the schools want to “help as many students as possible”.</p>
<p>I think kids with large EFC, like $50k+ can get merit aid, so the merit aid should not be reduced. However, the need based aid might be lowered by the merit award.</p>
<p>You might verify with the financial aid office that they took away self help aid first (loans, work study) as many schools have that policy.</p>
<p>tx5athome–so are you saying that for your first your EFC was $20,000 and when your second went to school it was $10,000 so $5000 each? (made up numbers) or that your 1st son had $10,000 and your second had $10,000 so you still had an EFC of $20,000? </p>
<p>If it is the first and that happens for us I will be a VERY happy camper!!</p>
<p>*this is what Kelsmom wrote—she specifically mentions scholarships (merit aid) and again at the end states that merit aid can not offset EFC so basically what it comes down to, if an family’s EFC is $20,000 they are pretty much stuck paying $20,000K no matter what they bring to the table. *</p>
<p>I’m not sure that is what Kelsmom is exactly saying.</p>
<p>Your EFC doesn’t stay at $20k no matter what merit you get. yes, your EFC would stay at $20k if your merit is less than need. But, if you’re bringing in merit that exceeds need, then you will reduce your EFC.</p>
<p>COA = $35k</p>
<h2>EFC = $20k</h2>
<p>Need = $15k</p>
<p>If you get a $25k per year merit scholarship, then that $25k will not only cover your $15k of need, but it will also reduce your EFC by $10k. So, instead of paying $20k EFC, you’d pay $10k. :)</p>
<p>Since the OP was sent letters awarding particular amounts from these schools and now these awards have disappeared or have been reduced, she needs to call these schools and ask…there may have been a mistake.</p>
<p>Since we have 2 going off at the same time, we are expecting that our total EFC will be basically split between the two of them and were off-setting the remainder with merit aid. From what it sounds like, that won’t happen. Their alternatives are inexpensive state schools, which, in our state, come in under our EFC. so no help there either.</p>
<p>If your EFC for each child is - say - $15k - and you’re willing to pay $15k for each child. And each child gets $20k per year in merit, then you’d have costs covered for schools that cost $35k each. What is your concern?</p>
<p>BTW…if EFC for one child is $20k, then with 2 in college, EFC for each child would be $10k (assuming kids have little income/assets). The family EFC would still be $20k total.</p>
<p>To me it shows that at many colleges today, merit aid is not as much about merit as it is about an enrollment manager figuring out what discount is necessary to attract a kid.</p>