Siblings' assets

<p>In calculating the parents' assets for the FAFSA, are siblings' custodial accounts held in the name of "Joe Schmo for benefit of Susie Schmo" considered to be Joe Schmo's assets or Susie Schmo's assets? I'm assuming that if they are Joe's assets, they are reported - if they're Susie's they're not. The UCLA financial aid office gave me one answer to this question, the FAFSA office another.</p>

<p>I believe they would be Susei's assets.....if Joe misused them, Susie could sue him....most importantly, under whose SS# are the interest earnings reported?</p>

<p>Who is the college student here, Joe or Susei? In any case, the assets are Susei's.</p>

<p>Sorry I wasn't clear - Joe is the dad, Josie Schmo is the college applicant, and Susie is Josie's younger sister. Susie has assets in her name in a UGMA account, which are intended for her future college education.</p>

<p>I believe that the interest is recorded under Susie's SS# - I'll check today.</p>

<p>FAFSA does not ask for other siblings assets unless they are labeled in the names f the student going to college or the parents. But PROFILE does. ALL family assets even those in the names of siblings will be assessed about 5.6%. This is to prevent the old trick of diverting family assets into the youngest kid's name which was done. Families would do this because it did make sense in college financial planning. Now there is less benefit in doing this because the assets are assessed as the family's.</p>

<p>There is a note on the Profile, which I had not seen three years ago, but was there this past fall telling you that the only sibling assests to be listed were "parents assets in siblinings name" which could mean when you put C corp or other small business holdings into kids names for tax reasons, but they said (I asked) the sibling assets in sibling nbame (like 529) would not be reported, as they would nto be considered.</p>

<p>Jamimom (I assume in your Jamican reggae jammies as we type) check it out and see if you see that details....I swear this is a clarification from prior years!</p>