<p>This being the time of year when the FA disappointments in, I thought I’d start a thread where some of the steam that has been built up can be released by coming up with more realistic definitions for the acronym EFC.</p>
<p>Now we all know that FA officers insist that it stands for “Expected Family Contribution”. Most of us tend to disagree. And while I think the most popularly unofficial translation I’ve seen on CC is “Every Friggin’ Cent”, I’m sure the frustrated creativity of CCers everywhere can come up with more and better. Let’s have some fun here!</p>
<p>So I’ll start off the thread with the well know and add my own. If you all could cut and paste the list together when adding your own, it will make for easier reading for people adding their own later…</p>
<p>EFC “really” stands for…
Every Friggin’ Cent
Evidently Fraudulent Calculation</p>
<p>Sorry, had to ring in here…though most won’t appreciate this…the EFC really isn’t all that bad…and most aren’t expected to pay their EFC, unless it is enormously high. Maybe the solution isn’t getting rid of the EFC but better parental education…years before they start looking at college…so they are better prepared to fund their child’s education, instead of expecting a free education from the government or the school.</p>
<p>You seem to have no sense of humor. This thread is about the frustration of people dealing with a far from perfect system of determining need (College board admits in its material that the system is flawed as incentives and equity balancing is all but impossible).</p>
<p>I will admit that many (if not most) do a poor job of college financial planning and probably do a poor job of retirement planning as well. And yes, kids graduating from high school should know how to budget for thier lifetimes, but like so many other things, it just doesn’t happen.</p>
<p>And I guess it doesn’t help that people who have saved for college and are saving for retirement are punished for doing so by financial aid formulas, and high school students who are trying to learn the value of hard work by holding down a job and working lots of hours during the summer because their parents don’t have the means to pay for college on a $12/hr job are subjected to a FA tax on their earnings that is higher than Bill Gates income tax rate. And that the money they keep in the bank from that summer job is taxed yet again at a rate comparable to the estate tax.</p>
<p>So I can understand why parents get frustrated when they get that SAR or 80% match to EFC (loaded with loans) and are amazed how how much the government (or the FA office) thinks they can afford.</p>
<p>Yes, there are giant equity problems in how FA is determined, and if all parents were educated in how to optimize their child’s educational financing, you’d find a bunch of people spending their savings, working part time, and other socially undersireable behaviors. So be careful what you wish for, for you may actually get it.</p>
<p>Meanwhile those of us frustrated with the crazy system will continue to make fun of it.</p>
<p>So my next <tic> explanation of EFC is…
Endangers Fiscal Conservation</tic></p>
<p>Sorry, I can’t come up with any fun names, but I just wanted to chime in that I was very happy with the EFC that was determined by the FAFSA. What I’m not happy about is the fact that not one school has given me anywhere near the financial aid required to leave me with only the FAFSA EFC as a contribution. We’ve been gapped big time…</p>