Does high % of income deferral effect EFC under CSS/ PROFILE

BelknapPoint
Fri, 30 Nov 2018 17:08:44 +0000

Thanks for the helpful heads up on the AOTC, I had not factored that into cash-flow - this is a full tax credit - offsetting $2,500 in Federal tax liability and not offsetting income, correct?

Yes, a tax credit is a dollar-for-dollar reduction in the tax liability, as opposed to a deduction, which reduces taxable income. $1,000 of the AOTC is refundable.