<p>my father used to have a high income ~120,000 but just the other day found out he is losing his job. I already have recieved my financial aid packages based on the 120,000 income, but obviously this will not be anywhere near what my family is able to contribute. He will be unemployed starting June. I did the appeals process at the schools for financial aid, but what should I be expecting to hear back from them?</p>
<p>What schools are these? Are these CSS schools or FAFSA only schools. Do they promise to meet need?</p>
<p>I’m not sure how schools will handle this since your dad isn’t unemployed yet, and the schools may think he’ll find another job soon. Schools are often hesitant to change FA packages in such cases because they often don’t consider unemployment a real problem until the person has actually been out of work for awhile. </p>
<p>Will your dad be given a generous severance? If so, his income for 2010 may not be that different, especially if he finds work this year.</p>
<p>As you can imagine, many people find out that they will be losing their jobs, but they find new jobs rather quickly and often aren’t unemployed for long (or for not at all). So, a school doesn’t want to award more money only to have the student’s family income (in this case - for 2010) not to change much at all.</p>
<p>When we did an appeal last year, the response time varied from1 to 3 weeks among the 3 schools. Have you talked to the financial aid office? At the university where my sister is a financial aid director, they do not look at appeals until October. Some schools will not consider unemployment as a reason for an appeal unless the unemployment has continued for many months. For one of my D’s, the financial aid office would not entertain an appeal even after my husband had been unemployed for 10 months (our income was 10% of what it was previously) because we had still 6 months living expenses available. They told us when our savings were gone to appeal.</p>
<p>The schools asked for both the CSS Profile and the FAFSA and both pledge to meet 100% of demonstrated need. If this is not a reason for appeal, what is? It’s like a nightmare</p>
<p>Don’t be surprised if the schools decline to make any adjustments now. Your financial aid packages were based on your family’s 2009 tax return and statement of assets, and there has been no change in those. If your father does take several months to find a new job (and does not get a severance package that covers those months of no income), then the lower income will be reflected in your 2010 filing and additional aid may be given for your sophomore year.</p>
<p>In the meantime, you and your parents need to carefully consider how this pending job loss might affect your family’s financial situation. Be sure to choose a school that you feel you can afford even if there is a prolonged period of unemployment.</p>
<p>I’m so sorry this is happening to your father. My own family has been in a similar situation (I’ve been out of work since October) so I can certainly empathize.</p>
<p>Violet agree, do not be suprised if the school does very little this year. Since all students aid is based on the previous year and savings they tend to run on the assumption that employment will occur at some point in the school year and unemployment will be considered the following year. The other thing for your parents to plan for is the fact that severance is income and will be counted in the next year’s finaid forms if the severance is significant. Conversely if the severance was small and unemployement is extensive, the FAFSA will reflect accordingly for the following year. You and your parents will have to carefully consider how this is going to impact all of you. I’m so sorry this is happening, I too, am going through this and the uncertainty and future unknown is very difficult.</p>
<p>*The schools asked for both the CSS Profile and the FAFSA and both pledge to meet 100% of demonstrated need. If this is not a reason for appeal, what is? It’s like a nightmare *</p>
<p>I know it’s very frightening. You ask, “If this is not a reason for appeal, what is?”… Well, usually when there has been long term unemployment or huge medical bills or something like that. While you are certainly scared and confused, right at this moment, your schools really aren’t going to know what to do with your situation. Your dad could find another job within 6-8 weeks, which would mean that he won’t have been unemployed at all. The schools aren’t going to want to quickly give you grants and such when there’s a possibility that your family’s income may end up being about the same if your dad finds a job (or gets a decent severance.) Imagine if a school did a quick adjustment, threw in a big grant, you accepted the package, and then your dad found another job. The school would feel like it just gave out lots of money to family that didn’t need it. </p>
<p>Certainly, your dad will certainly be out looking for another job immediately. Hopefully he will find another job soon and there will be little or no interruption of income. Will your dad get a severance package? If so, that can make a world of difference while he’s looking for another job.</p>