I have been accepted into Boston College and Northeastern which are my dream schools. I was wondering if someone can chance me or give me advice on my financial aid awards, mainly for BC.
24,000 family income
4,000-5,000 student income
120,000 on the house my parents own/live in.
300,000 in other real estate assests.
We don’t owe anything on our houses.
We are still paying off two cars.
My parents are both 62 and retired.
0 siblings
My parents use the money from rentals to pay the bills.
They have health conditions that make it hard for them to work.
P.S. BC asked what kind of car I drive?
I did the net price calculator and it said that I would have to pay around 20-30k a year.
Boston College meets need, Northeastern does not. BC will have the better package no matter what.
However, the package will not be as generous as expected for someone of your income, since you have high assets. You’ll get some aid, but maybe not enough. Are your parents willing to sell some of them to pay for school?
Also, did you apply to any FAFSA only schools? For your income, FAFSA lets you skip the assets questions.
On a second thought -Northeastern offers merit scholarships (not based on need) so the packages might be comparable if you get one. But in terms of need-based aid only, BC comes out on top. just gotta wait & see
@Lilliana330 northeastern began meeting full need for all accepted students beginning with the class that started fall 2014.
for FAFSA purposes, it is possible this student will meet the simplified needs test. She meets the income criteria…and would need one of the following:
Receives a means rested benefit like SNAP or free or reduced lunch
or
Is able to file a 1040A or 1040 ez form (probably not likely with the rentals)
Or
One parent is a dislocated worker.
If the student meets this…assets are not counted.
But that is for FAFSA only, and both NEU and BC are Profile schools.
I have heard that BC actually is quite harsh when it comes to self employed folks…adding back in lots of deductions as income. Not sure what NEU does.
But both schools guarantee to meet full need…the both do.
@thumper1, they just retired this year, 2015, so we haven’t had too much social security. My mother retired in october, first check comes in December, and my dad retires in Janurary of 2016 which means first check is in March.
@Lilliana330 I have applied to FASFA only schools, (George Mason, University of Alabama, University Tennessee, Knoxville). However, Boston College is my dream school and Northeastern is my second pick. My parents would consider selling some property, but it is part of their income, and in this market it’s hard to sell, and it’s hard to get a decent amount out of the property.
@thumper1 and @Lilliana330 My parents’ tax form is either the 1040A or 1040EZ, not sure which one.
Here is my situation: My parents’ had me in their mid forties, and we use to have business. However, during my freshman/sophomore year they sold the business because it was so much strain for them. My mother has a immune system disorder and my father has a rare skin condition. So, my mom and dad have been working a very little, and they are retiring this year and next year. We have three rental properties, but after taxes and fees we don’t get very much from it. We do not owe anything on our properties, and my parent’s do not have other retirement savings, just about 30,000 in the bank. I have about 3,000 in the bank and make arond 4-5k a year working at my part time job which covers for my piano and bassoon lessons and gas money, etc.
Boston College is my absolute dream school. I got accepted into the Connell School of Nursing and the director of bands advocated on my behalf, since I play bassoon. I come from a small town with a population of 3,000 from the South, and honestly, BC is my escape from the country lifestyle and non-diverse culture.
I also emailed my financial aid counselor, and she said, “assests are looked at with a smaller percentage than income is in our formula to determine eligibtity.” But she suggested for me to do the Net Price Cal. and it suggested that I had to pay around 20-30k a year which is more than my income?
@em1998 “20-30k a year” -It’s because of the assets, which btw are being assessed less harshly than income. If your income were $300k (the amount of your assets) your EFC would be full pay/$65k
hmm…at this point you can only wait/hope the package is affordable…also, ask your parents to continue to look at all angles/what they can do regarding the property…otherwise, maybe start thinking about backups
I know this puts you in a tough spot, with your circumstances and all, but colleges will see assets as assets no matter what…If the package isn’t enough, you could try appealing? Hope it all works out.
The rentals would be on Schedule E (which can only be filed with 1040 (not 1040EZ or 1040A).
On the 2014 tax return, was there a loss from the rentals, which then partially offset your parents wage income? How much did they earn from their jobs in 2014? It doesn’t sound right that they both worked in 2014, had 3 rental propertis and only made $24k.
Is the $24k the “Adjusted Gross Income” or the “Taxable Income” line on the return?
You should also have applications out to more affordable schools. If the money isn’t forthcoming from your “dream school”, it will quickly turn into a huge nightmare.
So…you did th net orice calculator and it said you would need to lay between $20,000 and $30,000 a year. Can and will your family pay this amount?
If you don’t receive sufficient need based aid from NEU or BC…what WILL you do?
ETA you posted this:
Does this mean you have already been accepted to Alabama (with scholarships?), and to UT-Knoxville, and George Mason?
You are counting on some very Expensive schools (BC and NEU) to come through for you. The problem is…your situation is not a usual one. Your income is low, but you have assets that are valuable.
If I were you, I would contact the financial aid folks at these two schools. Explain your financial situation to them…and see what they say.
@thumper1 I have full tuition at the University of Alamaba (merit) and University of Tennessee, Knoxville (merit), East TN State University(merit), and I have 10k from George Mason merit scholarship, 31k from Case Western, majority of my tuition at Maryville College.
I emailed my FA counselor at BC, and she said that I would have to wait for my award.
My school counselor told me to wait for the award before I wanted to appeal/negotiate the package.
Is there a certain percentage that the count assests? Someone told me they counted 10% of assests as income.
But it does not make sense that even if I have a low income and high assests that I would have to contribute the same or even higher amount over our income.
@Madison85 I don’t have the Tax form infront of me, but I remember there being a negative 500 on the expenses/lost line of the tax form.
@Madison85 I honestly have no clue, and I am way over my head. I have no clue how much the assests are going to affect me, but it’s honestly my parents’ way of living. Also, isn’t social security non-taxable?
@thumper1, Yes I mean a tax refund. I have no clue with all the financial stuff. But I think it’s crazy if my parents only make around 25000, but the college wants from than our income for school. I know I have assets, but that is how they make a living.
Should I contact the FA office now or wait for my financial aid package?
So if I have zero income but $10,000,000 in a non-interest bearing checking account my kids should get a lot of aid because we have no income whatsoever?
