My husband recently retired and he receives $1366/month in pension income but he inherited a property that we just recently rented out which generates $2200 in rental income/month. I am assuming the value of this property, $570K, will deny my daughter a pell grant but I am wondering if she will still qualify for the Cal Grant as our AGI will still be low enough to qualify.
Cal grant has an asset and income ceiling - https://www.csac.ca.gov/sites/main/files/file-attachments/2019-20_income_and_asset_ceilings_for_new_applicants_and_renewing_recipients.pdf
^^^
Yes, asset ceiling is about $79k for a dependent student.
I don’t recall seeing this before. Maybe it was always there. If not, then it’s likely been put in place to try to capture all of those self-employed people who claim that their restaurants, etc, don’t earn much but they happen to have a LOT in savings/investments. Too bad home equity isn’t simply looked at (not to be used, but just as a possible red flag). Many of these self-employed income claims come from those who also have paid off $700k+ homes. How they did all that on an EFC 0 income is anyone guess. 