The FAFSA is a joke

<p>Just completed the FAFSA and our EFC is slightly more than 30 percent of our yearly income, so I feel like it was a complete waste of our time. </p>

<p>I am very jaded about the entire college game. Here is the scenario as I see it. Private colleges charge ridiculously high tuition, but no one pays sticker price. Almost everyone gets some sort of merit scholarship, just like they all got T-ball trophies when they were 5 years old. Despite attending a very competitive high school, earning almost perfect grades with a ridiculous course load, and participating in more extra curricular activities than every family member of every previous generation added together and multiplied by 10, the merit scholarships are not . . . quite . . . enough . . . to make the school affordable. So, “complete the FAFSA” they say. The FAFSA says we can afford more for college than we can for a home mortgage, so we have to take out student loans if the child wants to go anywhere other than State U. That way she can graduate with $20,000 plus in student loans. Yay!</p>

<p>The whole system is just one big joke.</p>

<p>It’s always a shocker, so I completely sympathize, but the federal aid programs, other than loans, are designed to assist low income families. I see that you’re a new member and hope this doesn’t mean this is the beginning of your quest to untangle the web of financial aid! </p>

<p>What does affordable mean to you? It sounds as if you didn’t realize that colleges, and the government, believe that families should pay for education out of past, present, and future earnings…that message needs to be conveyed from kindergarten I think, but sadly it’s not what most people want to hear. Many people who began saving when their kids were little are not happy about the current prices, but seem to be able to afford it. Those who couldn’t/didn’t save often have to borrow from future earnings, which always seems risky to me. </p>

<p>I do think that $20K in student loans is a reasonable amount for most young adults to handle and there are various repayment options. Of course, attending private schools is a luxury for many people and, luckily, most of us have decent instate public alternatives.</p>

<p>I know that you are frustrated, but the purpose of the FAFSA is simply to determine your eligibility for federal student aid. Federal funds are limited, and only a Pell grant and Stafford loans are guaranteed. By necessity, Pell is for the neediest students. All students are eligible for Stafford loans. Some students will be eligible to borrow $3500 subsidized & $2000 unsubsidized Stafford for freshman year; others will only be eligible for unsubsidized loans for the $5500. </p>

<p>The EFC itself is determined by a congressionally mandated formula that assumes college costs will be paid for through a combination of past income (savings), present income, and future income (borrowing). No family is forced to pay more than they feel comfortable paying. If the EFC is too high for aid other than a loan, then perhaps a CC or a commuter school would be more palatable financially.</p>

<p>As far as private schools go, there are plenty of students at privates whose families are full pay. </p>

<p>FAFSA does not determine anything but eligibility for need based aid. Schools use the EFC determined from the FAFSA when awarding aid, but few schools promise to meet need. No school is required to meet need.</p>

<p>Also, some colleges give out scholarships in April, May, June along with kids getting high school scholarships so you really can’t tell what you will actually be paying for the fall.</p>

<p>Lucky! Mine was barely over 10%. And I know I can’t afford to pay as much as they estimate! Hopefully the colleges all offer us more!</p>

<p>Private colleges charge ridiculously high tuition, but no one pays sticker price. Almost everyone gets some sort of merit scholarship,</p>

<p>Actually, this is not true. Most students do not get some sort of merit scholarship. And, many privates don’t give ANYONE a merit scholarship…Zero…nada…none. </p>

<p>My sister pays full-freight for both her kids to attend pricey privates…and her kids have very high stats. </p>

<p>* Despite attending a very competitive high school, earning almost perfect grades with a ridiculous course load,*</p>

<p>What are your child’s test scores? If they are high AND your child applied to some schools that do give big merit for high stats, then perhaps your child will get a big enough merit scholarship to make college more affordable.</p>

<p>Is your child a National Merit finalist? </p>

<p>What schools did your child apply to?</p>

<p>how much do you feel that you can pay each year?</p>

<p>*Here is the scenario as I see it. Private colleges charge ridiculously high tuition, but no one pays sticker price. Almost everyone gets some sort of merit scholarship, just like they all got T-ball trophies when they were 5 years old. *</p>

<p>I’ve never had that view of college- was there perhaps a movie that I missed? ;)</p>

<p>*Just completed the FAFSA and our EFC is slightly more than 30 percent of our yearly income, so I feel like it was a complete waste of our time. *</p>

<p>It is usually 1/4 to 1/3 of before tax income. It may be a surprise if you have been thinking that the student and their family are not the ones primarily responsible for the costs of further education- but unless we choose to increase taxes- I don’t see where else the money would come from.</p>

<p>It isn’t a waste of time if your child attends a school that requires freshmen to apply for aid if their circumstances change in later years & they need more help. It also isnt a waste of time if you want your child to have buy-in by taking out loans to help pay for the cost of their education.</p>

<p>I agree with about that taking out full Stafford loan every year, is not a burden- or shouldn’t be compared with the trade off.
That would probably be more than $20,000 after 4 years- but often times it is at least partially subsidized while the student is in school .</p>

<p>When families view education as a priority, they start planning early to prepare for college costs. Our family did this, even though we had to use some of our savings ( it wasn’t in a 529) for living expenses after almost two years of buying groceries with money earned from mowing grass & babysitting.
Neither I nor my H had attended a 4 yr college & we knew that we wanted our kids to have that opportunity.
We bought savings bonds, we asked friends & relatives to do so in lieu of presents & we were very involved in their education.</p>

<p>When it came time to selecting a school, we were quite aware of costs and had researched public instate options as well as neighboring states that had an exchange agreement. Those are ways you can save quite a bit of money.</p>

<p>Another way to save on college expenses is by using AP tests scores for college credit- or even by using credit earned while in high school & taking classes at the community college.
My older daughter, while she received a generous aid package at her LAC which met 100% of need, also took community college courses during the summer to save money & also to allow her to take a slightly lighter course load during the school year.</p>

<p>Other students take the first two years of college at a community college then transfer- I have known students whose families did not qualify for financial aid do this.
They were able to save a great deal by attending the CC, and then could afford to be full pay at schools like UChicago & Oberlin.</p>

<p>I’ve also known students who have enrolled in honors colleges at their state flagships- saves lots of money when your higher education goals don’t stop with a B.A.</p>

<p>When you have a goal, in order to be successful, you have to have a plan- generally the plan doesn’t include throwing your hands up at the first obstacle but reevaluating a strategy.
Sounds like nows the time. :)</p>

<p>After gathering financial records and documents for a week and researching how the heck to complete FAFSA, I finally spent the entire day and came up with our EFC. </p>

<p>Wow! I knew we were likely “low need”, but it was a shock to discover that we were completely “no need”.</p>

<p>I did the numbers over and over again just to make sure.</p>

<p>1) Is there any reason to submit FAFSA if we are “no need”? We have a 2/1 deadline, so any advice is greatly appreciated.</p>

<p>2) Will we ruin our son’s chances for merit awards if the colleges see he has “no need”?</p>

<p>1) Is your EFC greater than the COA of all colleges to which he is applying? If not, it is possible that you actually DO have need. EFC is static, but COA is not … the more expensive the college, the greater the need (although not all colleges meet need). At the very least, submitting the FAFSA … you’ve done it, it’s free, so send it … allows your son to borrow Stafford loans if necessary.</p>

<p>2) If the merit scholarship has no need-based component, your EFC does not factor in. It won’t hurt him.</p>

<p>I have come to the conclusion that just about everyone thinks they should get financial aid. My best friend’s husband gets an annual bonus that would cover the cost of her two kids’ college costs … yet she told me that it’s unfair that they don’t get any financial aid. When I talk to parents who are trying to plan ahead for college, I tell them what the state flagship costs and ask them if they could pay for it today. They invariably tell me no. I then tell them that unless they are going to get a big windfall in the coming years, they won’t be able to afford that school in the future, either. Paying for college requires planning.</p>

<p>The Op hasn’t responded to any of the comments, but I hope she is reading them. She did not mention whether or not her D applied to schools that require the Profile or if she has submitted it. [Not all colleges that give merit aid require the Profile, so it is hard to know how far the family has gone in their fin aid applications]. It might help to submit it and not assume that they will get no other aid. I found that the fafsa EFC was higher than the College Board calculator.</p>

<p>From my calculations, it appears our EFC is more than the COA.</p>

<p>*After gathering financial records and documents for a week and researching how the heck to complete FAFSA, I finally spent the entire day and came up with our EFC. </p>

<p>Wow! I knew we were likely “low need”, but it was a shock to discover that we were completely “no need”.</p>

<p>*</p>

<p>It can be shocking, right? Since it sounds like your child is a senior in high school, I hope he’s applied to some financial safety schools in case you’re not able to be a full-pay at his pricier schools.</p>

<p>Also, did your child apply to any schools that will likely give him merit aid.</p>

<p>when your EFC is higher than COA, there are only a few ways to effectively reduce your EFC</p>

<p>1) Attend a school that costs much less than EFC…such as a state school.</p>

<p>2) Attend a school that will give your child a good merit scholarship. Depending on the amount of merit scholarship, you could cut your EFC in half or even more.</p>

<p>It can be shocking, right? Since it sounds like your child is a senior in high school, I hope he’s applied to some financial safety schools in case you’re not able to be a full-pay at his pricier schools.</p>

<p>Also, did your child apply to any schools that will likely give him merit aid.</p>

<p>when your EFC is higher than COA, there are only a few ways to effectively reduce your EFC</p>

<p>1) Attend a school that costs much less than EFC…such as a state school.</p>

<p>2) Attend a school that will give your child a good merit scholarship. Depending on the amount of merit scholarship, you could cut your EFC in half or even more</p>

<hr>

<p>Yes, our son is a senior and fortunately he has been accepted EA at both in-state financial safety schools. Neither is a fit for him (other than financially). </p>

<p>So far he has some decent merit offers from two small LACs and is competing for other awards.</p>

<p>As for his dream school (accepted EA), the “no need” EFC feels like a set back, but he does have a back up plan: He’s applied for an ROTC Scholarship (it’s a long shot).</p>

<p>Yes, our son is a senior and fortunately he has been accepted EA at both in-state financial safety schools. Neither is a fit for him (other than financially).</p>

<p>Why do you feel that neither could be a “fit” for him. Can I offer you my “two cents”? It may be best if the parents down-play the “not a fit” aspect because, really, most kids can do well at a variety of schools. And, if those schools become the only affordable choices, then it’s best not to portray those schools as “bad fits” because it could unintentionally set the child up to hate the school from Day One. Frankly, I think “fit” can sometimes be over-rated. If your concern is that the state schools are large, then do they have any honors colleges that can “shrink” a school and offer smaller classes?</p>

<p>What schools are the state schools?</p>

<p>ROTC is not exactly a way to pay for “dream school”, there are obligations for that! </p>

<p>I am sure some other posters will agree with this.</p>

<p>*ROTC is not exactly a way to pay for “dream school”, there are obligations for that! </p>

<p>I am sure some other posters will agree with this.*</p>

<p>I will.
If he decides not to fulfill the obligations- at minimum, he will have to pay the money back.</p>

<p>While I agree with mom2college about down-playing the “not a fit” aspect of college, I also think that there are some students that truly do not fit certain schools aka state schools. My D is one. I have posted about this before–if she was “forced” to go to a state u/college in our state, she just wouldn’t go! And the cost of mental hardship would probably be close (in time and money) to the loans we will have to take out for her to go to a private. But this is our family’s personal choice and we are willing to do help her fund a private education.</p>

<p>To the OP, it seems you feel that students should be able to go to college without the burden/responsibility of taking out loans. We all wish that were true, but reality says unless we are extremely wealthy, we will have to do that even with merit aid.</p>

<p>ROTC Scholarship: Requires 5 years of active duty sevice after graduation, but that’s o.k. with him because he grew up in a military family and spent a decade of his childhood living overseas.</p>

<p>FIT: He can adjust to any situation as he’s moved every 2-4 years. </p>

<p>Unfortunately, dependents of military retirees are ineligible for Post 9/11 GI Bill benefits (even though my spouse served 30 years, including 7 years post 9/11). This program would pay up to $15,440 per semester!</p>

<p>I think it depends on the state, if the veteran did not transfer benefits before retirement.</p>

<p>There are dedicated scholarships for dependents depending on area of service.
[Financial</a> Aid for Military Dependents](<a href=“http://www.financialaidfinder.com/financial-aid/seeking-financial-aid/military-financial-aid/military-dependent-college-aid/]Financial”>Financial Aid for Military Dependents - Grants and Loans)</p>