<p>$68K plus all of your IRAs and 401Ks.</p>
<p>It’s one or the other, IIRC. And there’s a cap on what you can contribute. For us, the bulk of our retirement savings is in unprotected CDs. Because there’s a cap on what we can put into the 401K. :)</p>
<p>I think the llimit on contributions to a 401K is $16,500 ea., unless you are over 50 & your employer allows it, then you can add an extra $5,500.</p>
<p>In my world, we can’t afford to max out even one 401K let alone have enough “extra” to put in non-retirement accounts that it impacts the financial aid our child might be eligible for.</p>
<p>my mind boggles frankly.
;)</p>
<p>Thank-you, SlithyTove. I keep looking at Rice but it’s not currently on the list-will take another look. I have heard they meet full need for those under 80K and we’re right on the cusp. I read somewhere else on CC that someone was very shocked at how much they would still have to come up with to attend Rice but maybe their income was higher. At any rate, I started a new thread. Thank-you!</p>
<p>I could not agree with you more…You’ve said it all. Thanks for posting. FAFSA is a big joke indeed!</p>
<p>Emerldkitty, that is the statutory limit on contributions. If the employer does not get enough contributions from lower paid employees, higher paid (which is not so high) can not contribute or have limited contributions.</p>
<p>My BIL worked for many years at a place with NO 401K. They exist, trust me.</p>
<p>If a workplace does not offer a 401(k) there are other options available. Sometimes a SEP, SIMPLE or KEOUGH can be set up. Also there are individual annuity products that are available (usually from life insurance companies). All of these have their own limits and tricks, but they are out there. Some are only effective for high wage individuals, and some are only available to self-employed people.</p>
<p>In any case, each family needs to consider their overall long-term financial needs. Framing all of a family’s purchases and investments around the FAFSA can make for very poor financial planning. The projected cost of college is only one factor that we have to consider if our goals include buying a home, building a retirement fund, or just covering a set of new tires for the car.</p>
<p>Happy, as you not some of the options you are suggesting are only for self-employed people, and are not available for people with W-2. earnings. Some of the annuity products have veryvery high fees. </p>
<p>I do think there are many inequities in FAFSA calculations (one of the biggest to me is no consideration of cola), but there is not much one can do about the system.</p>
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<p>Luck, has nothing to do with it. It’s all about money. There is a reason that California, Michigan, & Virginia have the top three publics, and have had for decades. The tax payers of these states have been supporting their state Unis all of this time. Suggest you take up a discussion with your local state legislator. :)</p>
<p>But note, attending a UC or Michigan is expensive, even for instate.</p>
<p>Yup. UMich is not cheap, and Michigan doesn’t have good grant programs like other states (Blue & Gold, Bright Futures, Hope, etc).</p>