Question about COA annual increases and FA

Paying for College
1

<p>My D is going to be a freshman somewhere next year, and we're evaluating FA packages. The merit based packages are pretty straightforward. She got some scholarships and will get the same amount every year for four years as long as her academic performance is ok.</p>

<p>On the need based packages, I realize they will be redone every year. We'll submit the FAFSA/Profile and they will make a new package. The school's she's considering meet full need and I'm assuming nothing dramatic would change next year IF the cost of the school and our income were the same.</p>

<p>However, school costs tend to increase every year. I checked, and the one's she is considering tend to go up about 4% each year for tuition and Room and Board. Now - imagine our income doesn't change at all. If the school's COA went up and our income stayed the same, would our FA probably increase? In other words, would our EFC stay about the same? Anyone experienced this?</p>

<p>Obviously if our income also went up, then the FA might stay the same or go down (maybe same if our income went up the same amount as the college's costs went up).</p>

<p>I'm just trying to think ahead. When I looked at those historical cost figures for last four years it was really amazing how much the costs were going up. Some schools were $2000 or more each subsequent year. Wondering if people on FA notice if their aid "keeps pace" with this.</p>

<p>Thanks for any thoughts.</p>

2

<p>From what I’ve read schools that meet full need boost their offers to match the increase in costs.</p>

3

<p>You need to ask at each college/university. Some merit packages are for a fixed amount that does not change even when costs go up. Some are for a fixed fraction of tuition/fees/whatever and do increase each year.</p>

4

<p>Was only talking about the need based situations. With merit we already know the amounts will be the same each each. Just wondering if people with their kids at school notice that their aid packages keep pace with the cost increases of the schools.</p>