<p>The COA of a UC is about $30k per year.</p>
<p>$200k in CDs/mutual funds is not going to raise the EFC that much. If the student’s parents are married, then about $40-50k of that is excluded from the calculations. After that, only 5.6% of the balance is considered. </p>
<p>The EFC formula certainly does not expect that a large portion of family savings be spend on a student’s college costs. That would be financially unsound.</p>
<p>Even with the $200k in CDs/mutual funds, with an income of $72k, the student would still have “financial need.” the EFC would be about $18k.</p>