My husband has been unemployed more than 7 months and, thus, our income for the year (including unemployment compensation) will be less than $47K. Our savings and that of our son will be gone soon to cover living expenses and to purchase medical insurance. I asked the FinAid department how to handle the FAFSA declaration of assets that will be gone almost immediately and not be available for our son's educational expenses. The FinAid officer told me not to declare them on the FAFSA. It makes sense to me, because those assets will be long gone by the time our son starts the 2010-2011 school year...yet, the FAFSA instructions seem to be looking for what we have right now. I'm afraid to declare the small amount we have now, fearing that we will lose even a small amount of financial aid (and without all COA being met, our son would not be able to complete his senior year), but I'm also afraid that if we don't declare what little we have, we'll get in trouble.
Help! I would appreciate any advice you have to offer.