Divorced parents, daughter lives full time with dad. Dad claimed her on the taxes and was responsible for 100% of her support.
Dad: makes between $150-$200k per year, just a few assets, no college savings
Mom: probably made about $15k (maybe), self-employed deep in debt
Dad was told that he HAD to fill out the FAFSA this year because he claimed the kid on the taxes, she lived with him and was 100% of financial support.
So dad does so and gets an EFC of $26,000.
Daughter gets accepted to 2 great out of state schools and 2 in state schools.
The FA package was identical for all 4 schools: $3,500 subsidized loan and the remaining amounts PLUS.
Daughter picks most expensive of the 4, $38,000 total cost.
1. Is it OK to have mom fill out FAFSA next year?
2. In order to do that, does daughter have to have mom's address as her permanent address with the school?
3. Does mom need to claim daughter on 2007 taxes?
(mom's probably going to make about the same, dad will more than likely make more and the tax benefit is negligible if daughter gets a lot more aid)
(mom and dad are on good terms and mom is amenable to doing FAFSA)
4. Could anyone estimate how much aid daughter might get if mom's income is used vs. dad's?
Thanks in advance.
I don't want to raise any red flags with the feds or with the school if suddenly daughter goes from upper-middle class to about poverty level.