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class0f2017class0f2017 Registered User Posts: 923 Member
How do assests play into financial aid on FAFSA and Profile? I have heard its 5.6% of assests added onto the EFC. Are all assests considered equally too? Like is primary home equity and secondary home equity counted the same on Profile? Our family income is fairly low(40-50k) but we have some assests(~150k maybe?) and I'm wondering how the assests will affect our EFC. If it's 5.6% that means it would add around 7.5k/year to our EFC right? Or is it more complicated than that?

Replies to: Assests

  • thumper1thumper1 Registered User Posts: 69,418 Senior Member
    Is your income below $50,000? Does your family also meet one of the following: files a 1040A or 1040EZ OR qualifies for means tested benefit like food stamps or free/reduced lunch OR one parent is a dislocated worker? If so, your assets might not count at all. D,a goodie search for Simplified Needs Test...for the FAFSA ONLY.

    For FAFSA purposes, your primary residence doesn't count at all. If you own a secondary home, the equity in that is included as an asset. There is a small asset protection allowance...maybe $30,000.

    For the Profile there is no simplified needs test. Some schools do consider primary home equity. All schools will consider second home equity.

    Do actually own a second home?
  • class0f2017class0f2017 Registered User Posts: 923 Member
    edited August 2016
    @thumper1 I don't think it is below $50k, might be just above that. Most of my schools are Profile because of generous FA and my FAFSA only schools are my in states where I'm not really expecting need based aid so simplified means wouldn't do much for me anyways. If you mean own as in own outright, then no. It has some equity though(~50-60k) while our primary home has pretty much none. Is there any asset protection on Profile?

    Spelling mistake in my one word title is kind of embarrassing.. can't change it though so oh well.
  • thumper1thumper1 Registered User Posts: 69,418 Senior Member
    For Profile schools, you will need to check each school for how they assess primary home equity. It varies.

    All schools will use the equity in a second home as an asset. Simply put, most people don't own second homes at all...and you won't get need based aid to protect that asset. The assumption colleges will make is that this is a discretionary thing...and can be sold to fund college costs.

    Do you have outstanding stats...so,that you have a good chance at being acceoted at the generous colleges on your list?
  • class0f2017class0f2017 Registered User Posts: 923 Member
    @thumper1 By generous schools I didn't mean HYPS level, but schools that "meet need" as they define it including Georgetown, BC, and Lehigh. I think I have pretty good stats for those schools and the NPCs came out affordable for what its worth but I have affordable safeties with merit opportunities to make them even cheaper if the others don't work out.
  • thumper1thumper1 Registered User Posts: 69,418 Senior Member
    My understanding is that BC uses more primary home equity the other schools might.

    Georgetown is almost as competitive for admissions as the Ivies.

    If you have Georgetwon competitive stats...have you looked at University of Alabama....what would,be your guaranteed scholarships there?
  • class0f2017class0f2017 Registered User Posts: 923 Member
    @thumper1 I have a 4.0 and 1480single sitting/1510 superscore so it would be full tuition.
  • thumper1thumper1 Registered User Posts: 69,418 Senior Member
    @Classof2017 could Alabama be your sure thing school??
  • mommdcmommdc Registered User Posts: 10,329 Senior Member
    American University might also give you merit. And maybe U Richmond.
  • class0f2017class0f2017 Registered User Posts: 923 Member
    edited August 2016
    @thumper1 @mommdc I have in states where I don't need merit to attend but it would be nice. I also have Ohio State which isn't automatic, but I think my stats are very strong for the scholarships that would get the cost down to 10k for tuition(national buckeye+Maximus) which would be amazing. Also applying for full tuition/full ride scholarships at Ohio State(not likely I know) and hopefully something at Pitt. If I get absolutely no merit anywhere Pitt could still work and I really loved my visit there. Another safety I have thought about is PSU especially if I could get into the honors college but that's unlikely too. I might actually be spending more time on scholarship apps and essays for my safeties than on supplements for match/reaches lol. My dream scenario/goal would be either getting a significant scholarship to Pitt or Ohio State, getting into Schreyer honors at PSU, or really any of my matches/reaches being close to the NPC. Like I said, we can afford the in states without any money but I'm really applying for any possible scholarship at those safeties.
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