<p>Well I qualified for an application fee waiver so I was able to submit 4 applications for free. Anyway on that fee waiver, I put down that my family size was 5 (because I included my grandparents since they live with us) but I just looked over the app again and realized that it says family size is "parents, yourself and other dependents" meaning that it would instead be 3. And now I'm worried about how this all may affect my FAFSA eligibility since there is going to be contradicting information about family size on my app and my FAFSA form. Should I call all the schools I applied to and just check it over with them or do you guys think I am fine?</p>
<p>I think you should call and correct the information.</p>
<p>Do your parents provide the support for your grandparents?</p>
<p>Zooser - well, they dont pay rent or anything. They only pay for our cable TV.</p>
<p>I think what zooser means is whether your parents are paying for food, housing, etc for your grandparents. If your parents are paying then your grandparents are dependents. If your grandparents just live there but pay for everything themselves they are NOT dependents. Ask your parents whether your grandparents count as dependents on a tax return to make sure.</p>
<p>My parents actually do pay for there food and housing but on the tax return I am the only dependent listed.</p>
<p>Call the schools/email them immediately without wasting time and you will be fine.</p>
<p>Will your parents be including them when they file their 2009 taxes? If not, why wouldn’t they do that if they are providing their housing and food? It would seem like that would solve your problem. Or, do your grandparents have retirement/SSN income so they have their own tax return to file?</p>
<p>As mom2collegekids indicates, it’s only what they plan to do on the 2009 year tax form that matters, not what was done on the 2008 return. </p>
<p>I don’t know or want to know the financial situation, but your parents might want to consult a tax adviser on this. With a kid going to college, it <em>may</em> be more beneficial for the grandparents to be listed on their tax form as dependents which far outweighs the benefit to the grandparents claiming themselves as dependents. </p>
<p>Obviously, if they don’t plan on claiming them on their 2009 tax return you need to call the school’s office of financial aid pronto.</p>
<p>^^^</p>
<p>I agree. But, if the grandparents have their own income (retirement, SS, investments, etc), I don’t think they can be listed as dependents since they would be claiming themselves on their own tax returns.</p>
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<p>Incorrect. The grandparents need NOT claim themselves as dependents on their tax form if basic necessities are provided by others. Having substantial income is not part of the criteria. For example, you claim your kids as dependence yet they still might have substantial income to report on their own tax form. Same thing.</p>
<p>^^^</p>
<p>When parents claim substantial income-earning children as dependents, do the children also get to take a personal exemption on their own taxes? I don’t think so. But, I could be wrong. I thought a person can only be claimed once as an exemption (which is why divorced parents argue about this sometimes). So, if the grandparents are claiming themselves on their own taxes, then the parents can’t also claim them. Or, am I wrong?</p>
<p>However…and this isn’t my business, I know…if the grandparents do have income (retirement, SS, whatever), it would be odd that they aren’t sharing a decent amount of that with the family that they are living with. But, families do things for a reason, so who knows? Perhaps the parents are the sole heirs, so right now it doesn’t make a difference? who knows?</p>
<p>^^^^</p>
<p>You’re not wrong you just need to take a breath and read what I wrote again. Said simply, a grandparent with substantial income need NOT claim themselves as a dependent on their own tax form and their adult child COULD claim them on their own tax form if they are providing basic necessities for the grandparents. This could prove to be a net win-win for the collective family when college-bound students are involved as dependents claimed by the student’s parents is a factor on both the FAFSA and the CSS Profile.</p>
<p>^^^</p>
<p>That wasn’t really the issue. I know that person doesn’t HAVE to claim themselves and that it can be a win-win for the college-bound child’s family if they claimed them ( which is why I posed the idea in the first place that the parents could claim the grandparents on their 2010 taxes). </p>
<p>But…If the grandparents are claiming themselves (maybe they have other deductions as well that they - the grandparents are claiming - medical, investment losses or whatever), they may not be willing to not claim themselves and only be claimed on their child’s taxes. I don’t know enough about taxes to know if you don’t take yourself as an exemption, can you still list other deductions?</p>
<p>I just meant that the grandparents are probably claiming themselves on their own taxes for a reason, which is perhaps why the OPs family hasn’t been claiming them.</p>
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<p>You can still claim other deductions even if you are a dependent on someone else’s return. So yes, investment losses could off-set investment income or gains.</p>
<p>I just talked the 2009 tax return situation over with my mom and she said that she can’t list my grandparents as dependents because they still file there own returns since they have their own income.</p>
<p>^^^</p>
<p>Just as long as your parents know what true ‘income’ is. If your grandparent(s) have/has: </p>
<p>pension payments
income generating properties
royalties
a job
significant taxable interest and/or dividends from investments </p>
<p>above the 6,400 income (3,200 per person) cap they would not be eligible to be claimed as dependents even if your parents provide half of the payments for their home (i.e., your house). </p>
<p>But, people should be aware of what income is. For example, social security payments do not count as income. </p>
<p>If only one grandparent has substantial income (say from pension payments) perhaps they could file separately and the net/net might still help the overall situation. To many unknowns to have any idea. For example, your parents could make such a large income that all of this is moot.</p>