<p>My friend’s dad used to make in the ball park of 300K annually. However, about a year and a half ago he lost his job and is unable to find another one (he was in mortgage banking). Her family has 3 paid off properties (a house, a beach house, and a rental house. I bet they are all worth around 1.5 million). Now her family is living off a 33K teacher salary and his having to basically live off their savings which is drawing from their college fund. Will they have a low EFC or will they still be expected to contribute a lot?</p>
<p>They just might be expected to sell off one of their properties to pay for college expenses??!!</p>
<p>But in this market it’s kind of impossible to sell anything right?</p>
<p>She will not have a low EFC because the value of the 2 other properties (beach house & rental property).</p>
<p>Certainly, they should also have substantial savings because of his earnings, but even if they’ve spent much of that over the last year, those 2 big assets will prevent her from having a low EFC.</p>
<p>It doesn’t matter if in this market it’s harder to sell. They could sell if they dropped the price.</p>
<p>She’ll likely have to go to a state school and pay as she goes.</p>
<p>That’s what it sounds like to me. Her family is convinced she will have a 0 EFC because of the dislocated worker status.</p>
<p>… a dislocater worker with giant assets. It is a blessing that he has assets that could be sold.</p>
<p>I used the “quick EFC calculator” and put in parent income of 33K and parental assets in the millions, and weirdly, it seems that the EFC is driven entirely by the income. If you put in 30K income and 3M assets, you still get EFC=0.</p>
<p>That is very odd, isn’t it?
That cannot be right, can it?</p>
<p>^That’s because some calculators don’t take into account assets when families qualify for the simplified needs test</p>
<p>Inputting basic info into Dartmouth’s calculator (no home equity, family of 3, 1 child in college, no savings, income $33k & other assets $1000000), I got an EFC of >$45,000</p>
<p>My guess is that this family is not going to get much aid (besides federal), if at all.</p>
<p>She will probably have a 0 FAFSA EFC but a very high Profile EFC. i could be wrong though.</p>
<p>Probably won’t be a 0 FAFSA EFC. If they have teacher income of $33,000 and also have rental income from the rental property their income will be too high to qualify for the automatic 0 EFC. Also any of the savings they are living on that are from investments may be taxable income and increase reportable income for FAFSA. The $33k on it’s own is too high for the auto 0 EFC. They *might *qualify for simplified needs where assets are ignored. This would depend on how much their other income is.</p>
<p>^Listen to swimcatsmom, she knows about FAFSA.</p>
<p>So, you’re saying I should not quit my job?</p>