<p>My son has a UGTM account that I thought would have to be listed as an asset for him (and would be counted at a higher amount for the FAFSA), but it seems like it will be reported as a parental asset. Is this correct?
I ran a hard copy of the FAFASA to use as a worksheet before we file online. Question 89. “…net worth of your parent’s investments?” This is under the purple section regarding the parent’s information for dependent students.
I am refereed to a section (in the hard copy) that offers help and explains what is meant by each question and it states “For a student who must report parent investments in question 89, including all accounts owned by the student and all accounts owned by the parents for any member of the household.” Legally he owns the UGTM account and I am the custodian of it. It looks like I can report that under my investments–right?</p>
<p>Also, I rent out a home that I own but do not live in and that is my only income (I am a single mom, disabled and cannot work). Would my rental house be considered a small, family business? Definition=(according to the FAFSA notes) “Business value does not include the value of a small business if your family owns and controls more than 50 percent of the business and the business has 100 or fewer full-time or full-time equivalent employees.” I manage the house myself, including renting it, making sure it is in good shape, etc (no rental management company is involved). Is my rental considered a small, family business?
—Thanks for everyone’s help and input.</p>
<p>A UGTM is reported as a student asset, not a parent asset. the only exception is a 529 account in the student’s name. That is reported as a parent asset.</p>
<p>The parent asset instructions state:
student asset instructions:
except
</p>
<p>If the UGMA is a 529 account you can report it as a parent asset. Otherwise it is a student asset.</p>
<p>Rental properties are not considered small family businesses.</p>
<p>I had always been told it would be a student asset but the instructions seem to say otherwise. "“the accounts are reported as parental investments in question 89, including all accounts owned by the student and all accounts owned by the parents for any member of the household.” FAFASA instructions for 2011-2012 school year.
–I have searched the web for current information; where did you find it? Do you have a resource you recommend? I will sometimes find information, only to discover that it was for previously years.
–Thanks.</p>
<p>You do not own the account. You are the custodian. A UGMA belongs to the student. The instructions for question 89 only say that a 529 account owned by the student is to be reported as a parent asset, not any other type of UGMA account. The instructions you are quoting are the end part of the instructions for 529 accounts, not for UGMAs in general.</p>
<p>Do a search for assets on the fafsa web site and you will get these instructions</p>