Sally_Rubenstone

Money magazine is taking a look at the quality and nature of advice on financial aid and paying for college. They would love to hear from some parents who feel they got good advice, or any real help, from any source.

Are there any books, websites, services, people, etc. you would recommend to your friends (in addition to College Confidential, of course ).

kelsmom

Well, there's me ...

Shoot - you said "in addition to" CC.

Sally_Rubenstone

You count, kelsmom. I'm sure you help plenty of folks here and beyond CC, too.

emeraldkity4

The guidebooks i first used are now outdated pretty much.
Before you even look at guidebooks, you need to identify what you can afford to pay, through loans - savings & income.

Then work through with the calculators at school sites or finaid.com, to get a ball park figure of what your EFC will be ( you guys know all this stuff, I dont know why I am telling you )

Or, just assume you will be paying 1/3 to 1/4 of your before tax income- and this is at a school that meets 100% of need.

If your child is a superamazing student, then they may find a 100% need met school they like, and will work for your family as long as you can afford the EFC.

If they are a superamazing student & you cant afford your EFC, if they look to less competitive schools than those that meet full need, who happen to have strong endowments with an eye to improving rank, then your student may find enough merit aid to be affordable.

Since I have one who is about halfway through university & one who is receiving her grad degree next month, I havent seriously read the latest guides or websites aimed at helping parents who are new to the process. ( except CC), but 12 years ago, when i was a newbie,I recieved good information from Bruce Hammond who was a consultant on AOL. At the time several of the parents at her private high school were paying for college advisors, ( even though the graduating class was teeny), & was tryng to get help without going that route.

However, since my kids were first gen college, my knowledge was limited to the differences between community college & 4-yr schools. To our advantage cost wise, was having a modest lifestyle ( except for private school which scholarships paid most of), & not caring about brand names.

While there are some guidebooks that shine alight on lesser known schools, I dont remember many books that tell parents that if they havent saved full tuition in a 529 plan, they are just going to have to accept that Johnny is likely to recieve a " good- enough" education at an affordable school rather that be able to "brag" that he got a full scholarship to Cornell.

There are parents (& students), who seem to have gotten the idea that money is floating around out there just waiting for their little dumpling to grab it. So toning down expectations of prestige, and ramping up frugal behaviors isnt on their radar.
I couldnt say which books or websites have been guilty of perpetuating those myths, i suspect it is just a lot of they believe what they want.

happymomof1

Personal Finance for Dummies - This emphasized the importance of seeing college expenses in the light of our overall family finance.

FinAid! Financial Aid, College Scholarships and Student Loans - After much googling around (although it was so long ago, I'm pretty sure that I found it with metacrawler), I found a FAFSA calculator at this website. The numbers were truly scary, but they helped me get straight about how much we could and couldn't afford.

Michelle Singletary - Her "Color of Money" column and chats at Washington Post: Breaking News, World, US, DC News & Analysis have helped me keep my eyes on the prize. I like her unapologetic approach to college affordability. It is good to see that coming from someone who isn't a regular here in the CC financial aid forum.

KimXClark

Happy to hear more about the good and reliable sources of college finance advice.
Kim

SlitheyTove

College Navigator, for historical information on COA over the last few years. Useful for projecting what costs are going to be for all four years. You can also quickly see under the same tab (Tuition, Fees and Student Expenses) if the school offers a tuition guarantee program or other tuition plans. The FinAid and Net Price tabs give good overviews of how aid is distributed.

Agree with EK about running a FAFSA forecaster. If Money gives just one piece of advice, it should be to get an estimate of the EFC very, very early on. Better yet, use the CC rule of thumb that EFC is roughly 25 to 33% of family income. Once parents know just how much they're on the hook, they'll be more invested (no pun intended, I swear!) in finding options.

kelsmom

Common Data Set - there is one for each college, and the CDS provides excellent insight into many aspects of a school. It is helpful for those who want to find schools where they might have a shot at merit ... and it is helpful for seeing the breakdown of aid awarded.

Federal Student Aid Handbook - all the answers are contained within the latest and greatest Handbook. It can be easily accessed by anyone, thanks to the internet.

In my opinion, the single most important piece of information for parents and students is this guiding principal of federal student aid:

"Federal Aid Helps to Supplement the Student/Family Contribution

The student and family, not the government, are primarily responsible for paying college costs. Federal aid is a supplement. Parents of dependent students are expected to contribute to college costs if financially able."

Learn it. Live it. Realize that "if financially able" is not "if you think you are financially able." Pay attention to EFC calculators, and don't pretend that thinking it's all unfair will make any difference in the way things really are. Plan accordingly.

dukedad

When I started on my journey to become a financial aid "expert" over 4 years ago, I found Chaney's book "Paying for college without going broke" a godsend. Not only did he provide in depth detail on all of the relevant issues and topics, but I found it incredibly useful that he provided the formulas and methodology needed to compute EFC for both the Federal and institutional methods. Calculating EFC's "by hand" really helps you understand the and make sense of this seemingly mysterious calculation. Since the 2010 edition of his book he no longer has access to the IM formulas, but you can still learn a lot by using one of the older editions.

I have also found the Lynn O'Shaughnesy's "College Solution" books and blog (The College Solution) very informative. Although I am often put off by her continual labeling of kids that don't qualify for need based aid as "rich kids" (it's so bad she seems to have a chip on her shoulder), her daily columns provide a wealth of information and often links to very informative sites.

cptofthehouse

My biggest gripe about the any of the articles and advice I see about college financial aid is the false upbeat air it takes. The fact of the matter is that most middle and upper income families do not get substantial financial or merit aid and the kid go on the XYZ Family Scholarship fund that the XYZ families fund themselves from savings, scrimping and loans.

kelsmom

I agree, cpt. I think it is very important for families to understand how difficult it is for MOST students to get sufficient aid to "afford" college. No one wants to be the Debbie Downer, but look where it got us ... a nation of too much borrowing. Better to plan for less and be pleased if it turns out to be more. If that happens, Mom & Dad can throw some extra money in their retirement fund (because retirement money is the NEXT big meltdown!).

intparent

This isn't a source, but it is a great tip that I tell young parents again and again. If you have a pre-tax daycare account you are using for your wee ones, take the reimbursement you get from that and sock it right into the kids' 529 accounts. That money is already gone from your paycheck, and you already paid the daycare bill. It is a GREAT way to start early and save a lot, and gives the money a lot of time to grow. Worked for us!

2girlzmum

As someone whose first child is starting college this fall, my resources have been Lynn's College Solution blog and book, CC, and Paying For College Without Going Broke. I actually got some fantastic advice from a class at our local Community College - part of the "adult/community education" that they offer. The teacher offered a one-on-one consult afterwards where I got the initial bad news about what our EFC might look like. Using tools like the Common Data Set, I looked hard for schools where D could get a great scholarship. Unfortunately, it didn't quite work the way I had hoped. She is going to USC after turning down some pretty lucrative scholarships. She has a 1/2 tuition Presidential Scholarship plus a bit more. From what people say about 1/4 to 1/3 of family income as expected cost, we're actually doing a bit better than that. However, this is of little comfort to my hubby, who went to Junior College in his time then transferred for his lat two years. I've gone back to work to make up our EFC and I think we'll be okay. That is, until kid #2 goes to school.....

patsmom

intparent, that's a great tip!

kayf

My DD's HS GCs did a GREAT job. They start off with a meeting open to all parents. They did not sugar coat anything. They go through most of the basics discussed above. They were realistic. Then they went into issues with divorced parents, parents with GI benefits, their view on athletic scholarships (not many, view it as a "hook") and more stuff. I would put on Money's list make certain you go to your HS meeting on finanical planning. If you leave confused, look around for other HS's having this meeting.