In my practice, I work with many families of all different tax brackets, including some who have considerably lower incomes. There are many reasons for these clients, many of whom are highly educated individuals, to have both lower incomes and typically less in assets. Sometimes it’s due to job loss. Sometimes it’s due to divorce. Sometimes, it’s due to a medical illness within the family… There is a whole host of possibilities…
So, when these families complete FAFSA and it spits out an extremely low EFC, even $0, it is still highly unlikely that the student will be getting a free ride to college! Why is that you wonder?
Simply put, the colleges can’t afford to give everyone a free ride (or free tuition). EFC which stands for Expected Family Contribution, is actually receiving a name change soon to the SAI (Student Aid Index.) This name change is supposed to help clarify the confusion that many parents experience when they think that their EFC generated by FAFSA is the amount of money that they will pay for a year of college. So what is a family to do…
Consider the following:
While the cost of a college education can seem excessively prohibitive, there are action steps to be taken to help reduce the overall expense. College Financial Prep is here to help.
Vicki Vollweiler, founder of College Financial Prep, works with families as they navigate the College Financial Aid, Scholarship and Student Loan processes. The ultimate goal is to help families maximize savings, minimize costs and reduce the need for student loan debt. Contact College Financial Prep to discuss your needs and concerns. Let's create a plan together...
College Financial Prep provides families with cost saving strategies, scholarship research and financial aid preparation. Contact College Financial Prep today at 516-225-5224!