Merit Aid question

Paying for College
1

<p>Do all schools simply include merit aid in their calculations to determine what your need based grant is, so that remaining expenses are the same with or without merit aid (assuming your need is > merit grant)?</p>

<p>no merit aid –>need based grant is $25,000 remaining expenses $27,000
merit sch $18,000–> need based grant decreased to $7000 remaining expenses $27000</p>

<p>Are there any schools where merit aid decreases remaining expenses?</p>

<p>Thanks!</p>

2

<p>You’re describing a frequent scenario which is why when people want to reduce how much they have to spend, they have to search out HUGE merit.</p>

<p>Are there any schools where merit aid decreases remaining expenses?</p>

<p>yes, but again, only if the merit is BIG enough to cover all of need and then “cut into” EFC.</p>

<p>For instance</p>

<p>COA = $50k (tuition = $35k)</p>

<h2>EFC = $27k (the amount you have to pay)</h2>

<p>need = $23k</p>

<p>So, if you can get a merit scholarship (say free tuition), then</p>

<p>COA = $50k</p>

<h2>Merit = $35k</h2>

<p>remaining cost is $15k</p>

<p>You’ve almost cut your EFC in HALF!! :)</p>

3

<p>Some schools have the Merit Aid going against the first $x of Self Help (savings, summer work, work during school). Anything above that goes against aid. Some schools do not meet “full need”, and thus have “unmet need”. So, your merit aid would first go against “unmet need”.</p>

<p>In your example, if the $27,000 of “remaining expenses” was all EFC, then the merit aid doesn’t help. If $9,000 was EFC, and $18,000 was unmet need, then it would help. If $21,000 was EFC, and $6,000 was self help, then $6,000 could (depending upon the school) go against self help before reducing your grants.</p>

4

<p>Thank you for this information!</p>