<p>If I do get a job (like my mother insists), won't my Student Contribution be of the value that I earn? For example, let's say that I earn $2,000 by working, then won't the Financial Aid people expect me to pay that much for next year's term? </p>
<p>So let's say that I don't get a job...won't my Student Contribution be less, and won't I get more aid?</p>
<p>How does it work? (By the way I am a dependent.)</p>
<p>The student contribution is not based on what you earn. Most private school require a certain student contribution - whether you actually bother to earn the money or not will not matter to them - you will still have to come up with the money somehow. They will not reduce the student contribution and will not give you more financial aid to make up for you not earning the money because you do not get a job. For FAFSA only schools what you earn can affect the student portion of the EFC. But you can earn around $3200 a year ( actually $3000 but then there is an allowance for taxes) that is protected under the FAFSA formula. So $2000 will not reduce your financial aid even at a FAFSA only school.</p>
<p>You will be better off if you get a job.</p>
<p>First off, I believe that the financial aid formulas impute a certain income to the student. So they assume that you will work and earn, say, $2000, whether you actually get a job or not. </p>
<p>Second, a certain amount of assets are protected from the financial aid formula, so if you've got savings from a prior year, not all of them will count in the formula.</p>
<p>Third, very few schools meet 100% of a student's need. And even those that do may meet it via loans or work-study.</p>
<p>So the answer to the question, "won't my Student Contribution be less and won't I get more aid?" is likely No. A college isn't going to pony up more money for you just because you don't want to work. You'll just be $2000 poorer.</p>
<p>Actually under FAFSA there is no protection for student assets (just for parent assets). There is some income protection.</p>
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Actually under FAFSA there is no protection for student assets (just for parent assets).
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<p>What would qualify under "student assets"?</p>
<p>Cash, savings, stocks and bonds in students name, real estate, ugmas etc. Not stuff like your car or stereo (though i believe some profile schools do ask about family cars and what they cost)</p>
<p>Under FAFSA assets 20% goes to EFC. Parent assets @ 5.6% (but for parents primary home is exluded, retirement accounts are excluded and there is an asset protection allowance based on number of parents and the age of the older parent)</p>
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Cash, savings, stocks and bonds in students name, real estate, ugmas etc.
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<p>If "savings" are not protected, then getting a job will increase the student contribution, won't it? I am a little bit confused...</p>
<p>Are you going to college this fall? If so you will probably have spent most of what you earn this summer by the time you file FAFSA again next january. My Daughter has a job now and will continue to work through the school year. But her earnings are all she has for spending money so I do not expect her to have much in savings when we file FAFSA for next year. And if you do have savings of say $1000 - only 20% will go to FAFSA student portion of the EFC - so $200 away from $1000 - you are still $800 better off than you would be without the $1000 savings.</p>
<p>Colleges expect that students will financially contribute to their education. With all colleges that I'm aware of, students are expected to contribute by working over the summer and using their earnings toward their college expenses (which could be toward spending money during the year, buying books, etc.).</p>
<p>Everyone whom I know who is on need-based financial aid works during the summer. I've never known anyone who did not. </p>
<p>Colleges aren't giving students hand-outs while students just study and relax during their free time. There's an expectation that students help out themselves, too, by working during at least the summer, and often by also taking out loans.</p>
<p>Also, at most schools, one's freshman year financial aid package is the best package. The proportion of loans tends to increase each year, and colleges also expect one to earn more each year -- through jobs during the school year as well as jobs during the summer. The older one gets, the higher pay one is able to obtain, something that colleges know and taken into account when figuring out your need.</p>
<p>If you don't work during the summer, where do you plan to get your spending money during the school year?</p>