<p>Okay, let me start with this: my parents are not very forthcoming about our financial situation. I've had to basically pry information out of them, and I haven't been too successful. I do not know why this is, and I have already said that they are going to need to cooperate when it comes time to fill out financial aid forms. I think they will when they need to, but as of right now, I just think they don't want to freak me out about it.</p>
<p>What I do know:
Our household income is around $50,000. There are four people living in this house, and I will be the only one attending college. I wish I knew whether we were above or under the 50k mark, but sadly I do not. I'd guess it was a little over.
My dad finally told me his assets are near a million dollars when including the family business (which has like 10 employees), our home, other real estate, savings accounts, and I don't even know what else.</p>
<p>I did not think the family assets were that strong. So I'd like to know, does this mean I shouldn't expect any help with regards financial aid?
I searched the forum, but I couldn't really find much. Or maybe I wasn't looking in the right places. I only gathered that assets don't play as large a part in fin aid as income does, and that we would not qualify for the simplified needs test.</p>
<p>For FAFSA only schools, the equity in your primary residence and your parents’ retirement plans (commonly 401(k) and IRA accounts) is not considered. The value of family owned businesses with less than 100 employees is also exempt from reporting. So, that leaves a smaller amount of assets and then parents have an asset protection allowance which is based on the age of the older parent. After that is applied, 5.6% of the value of the remaining unprotected assets is used to compute your EFC.</p>
<p>Many parents do not care to share details of their financial picture with ther children, and that’s perfectly okay. Just let them know that you simply don’t want to waste time and money by applying to schools that will be unaffordable and are looking to them for guidance. They only really need to let you know how much they feel they can contribute, on an annual basis, toward your college education. They should probably get a feel for what the government and schools will expect you to pay, in terms of EFC, and can do that by using the fafsa4caster and/or the worksheets and tables marked “A” in this publication:
<a href=“http://ifap.ed.gov/efcformulaguide/attachments/111609EFCFormulaGuide20102011.pdf[/url]”>http://ifap.ed.gov/efcformulaguide/attachments/111609EFCFormulaGuide20102011.pdf</a></p>
<p>In other words, you may get some aid at FAFSA only schools, but none of them meet need. At Profile schools those with a million in assets will not get aid.</p>
<p>You could be in a bad situation as mentioned above - FAFSA only schools don’t give much aid and CSS schools are going to consider that $1M in assets. </p>
<p>So, to counter that problem, you need to include a few financial safety schools in your list. Include some state schools that you can commute to and include some schools that will give you merit for your stats.</p>
<p>What are your stats?</p>
<p>CSS schools need a lot of information (even more than FAFSA), so your parents should understand that they may not want to talk it with you, but they cannot avoid it if they want you to get aid. The other choice is they pay the full ride and not fill up FAFSA or CSS.</p>
<p>It might not be so bad if the bulk of the million dollars in assets are in the family business. FAFSA schools will exclude the value of family businesses with less than 100 employees. Some Profile schools (USC, for example) do not require the farm & business supplement to be filled out. In addition, for investment real estate you report the net value, which is the value minus any debt on the property. With the decline in real estate values, it’s possible the net value is low unless the property has been owned for a long time.</p>
<p>You need to give your parents the FAFSA worksheet linked above and let them know that in order to be considered for any aid (even merit aid at some schools) they’ll need to fill this form out.</p>
<p>FAFSA schools will exclude the value of family businesses with less than 100 employees.</p>
<p>Another stupid FAFSA rule. I know someone with 75 employees with a business worth tens of millions (and FAFSA won’t count it?) What a joke.</p>
<p>Yes, but chances are small that makes much of a difference unless he makes so little that the kid is PELL eligible. What about the kid with a super rich non custodial parent but lives with the one who has little in the way of assets or income? I’ve known some kids in that situation who were PELL eligible.</p>
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<p>Ha. Yeah, that was what I was afraid of. Most of my schools do require the CSS Profile - the only one that doesn’t would be the state flagship, which I’m not even sure if I’ll apply to.
I do have financial safeties on my list that would give good merit aid, so I guess it’s not really necessary to post stats. They’re good, but I’m definitely no CC super star. </p>
<p>Well. I guess I expected as much, but thank you all for your input.</p>
<p>*What about the kid with a super rich non custodial parent but lives with the one who has little in the way of assets or income? I’ve known some kids in that situation who were PELL eligible. *</p>
<p>That’s another stupid rule.</p>
<p>*Most of my schools do require the CSS Profile - the only one that doesn’t would be the state flagship, which I’m not even sure if I’ll apply to.</p>
<p>I do have financial safeties on my list that would give good merit aid, so I guess it’s not really necessary to post stats. They’re good, but I’m definitely no CC super star. *</p>
<p>Are those assured scholarships? Will the scholarships pay for all of tuition or just some of it? How will you pay for room, board, and books and any tuition that the scholarship won’t cover?</p>
<p>Since your parents’ income is lowish, I’m guessing that they can’t/won’t contribute much so how will you pay for the rest of your college costs?</p>
<p>And, if the scholarships aren’t “assured,” how do you know how much you’d get or if you’d get anything?</p>
<p>I noticed that UT-Austin is your financial safety. The Cost of Attendance for UT is about $22k per year and I don’t think you’d get a scholarship for there…so how would you pay for it?</p>
<p>When you put together you list, make sure you have some financial/admissions safeties on there. Then you can go to town on your chances for merit and other aid. Just be aware that you may not get the aid you need and have to go with those safeties. That is why the safeties are the most important schools on a student’s list. It’s so fun to cherry pick all the name brands with no regard to the realities of life, but it’s hard work finding good solid safeties that will give you what you want and need in a college.</p>
<p>UT Austin is a horrible financial safety. They give literally no aid whatsoever, it’s all loans and maybe federal grants (PELL, basically) if you are eligible.</p>
<p>My parents are willing to help pay for college. They have already said they can pay for up to $50,000 for four years. I’ve tried not to come across as too needy in this thread, because I’m realize I’m in a very good situation compared to others. The reason I ask about financial aid is because I would like to go to grad school. If I can get through college with minimal costs, then I can use the leftover college money for grad school (my parents have agreed to it).
So as of right now, I’d just be satisfied going to college for $20,000 per year. My safest school (both financially and academically) is Southwestern University. They have a very straightforward policy on merit aid, and according to their website, I would get at least $20,000 per year for my stats. Total calculated costs is around $43,000. I’ll apply for the full tuition scholarship, but that’s not guaranteed. All in all, this school is probably one reason I’m debating whether or not to apply to UT. </p>
<p>I appreciate the concern and the words of advice, I really do. But not to worry, those days of randomly picking colleges without regard to costs ended a few months ago. I’m trying my best to think things through :)</p>
<p>And for anyone who wants additional reading, another major reason I’m asking about financial aid is because my dream school is Carleton. It meets 100% financial need but has no merit aid (aside from NMF). On the off chance I was actually accepted, I wanted to know if it would be financially feasible to attend.</p>
<p>Carleton is unlikely going to give you much (if anything) because of your family’s assets.</p>
<p>You say that you’ll get at least 20,000 from Southwestern. Does that mean that you have at least an ACT 33 or a 1500 (math + critical reading scores only - which is about a 2250 SAT)?</p>
<p>If so, then there are other schools that would also give you big scholarships that would leave you with less to pay. </p>
<p>Since students change their minds throughout their senior year, you should apply to a few schools that will give you big merit to keep your options open.</p>
<p>I have a 1510 CR+M and 2270 SAT. I’m currently valedictorian, but even if that changes I will still be in the top 5% of my class (my class has over 800 students, I’d have to drop about 40 ranks to get out of the top 5%). </p>
<p>Do you have any specific schools in mind? I plan on applying to Southwestern and Tulane for their merit aid and because they are close to home. Chances are, I will not stray far from Texas unless the aid is very good or the school itself is very good. </p>
<p>Also, my dad has limited the number of colleges applications I can have to four. That doesn’t leave much wiggle room, but I may be able to persuade him to be a bit more lenient if there’s a school that meets the criteria of having a reputation of giving good aid or just having a good reputation overall.</p>
<p>*
Also, my dad has limited the number of colleges applications I can have to four.*</p>
<p>Four? Why that number? </p>
<p>Maybe you can get him to relent to a few more if it will increase your scholarship chances. Tulane’s online app used to be free (It may still be) so if application money is the issue, then that might get your dad to allow you to apply to another.</p>
<p>Also, some applications are only like $40, so maybe he’d allow you to apply to a couple more low cost ones.</p>
<p>If you are a NMSF there are many schools that offer very nice merit moeny and that would be a good argument to apply to a couple more.</p>
<p>What was your PSAT score?</p>
<p>I can understand that your dad doesn’t want you to get carried away and applying to a huge number of schools, but he shouldn’t limit your financial chances (merit money wise) by stubbornly sticking to an arbitrary number. That’s being penny-wise and pound foolish.</p>
<p>I don’t know why four (it used to be just three). I guess he thinks it’s all that’s necessary. Or maybe it’s because he has his heart set on sending me to Rice and figures the more schools I apply to, the less likely I will want to go there. Either way, I haven’t really fought his decree since I feel fairly satisfied with my list of schools. From the advice on here, though, maybe I will try to search for schools that would give me more merit aid.
Thank you! And I am very borderline for NMSF, so I’m not really counting on that.</p>