How to Get College Financial Aid
Simple Strategies for Every Situation
In parts one and two we discussed the first five strategies; in this final part we address the remaining three strategies.
6. Make the Most of Your Assets
Very few families can afford to pay for college tuition without some form of help. Even high-earners often have very little spare cash to pay an extra thirty or forty thousand dollars or more each year to send a child or two to a top private school. And lower income families frequently struggle even after receiving a generous award.
The fact is, the help you receive from the financial aid administration is rarely enough to see you through four years of tuition bills, and most families have to come up with creative solutions to find the extra money they need.
Now, there are lots of loans available and all sorts of ways to do that but we’ve found one method that’s proven highly effective for the particular difficulties faced by parents of college-age children. This method doesn’t work for everyone. But if it works for you, you could easily find yourself able to pay for your child’s tuition without raiding your pension or cutting back your lifestyle and do it all on a tax-favored basis. Sound good? Give us a call and let us figure out whether you can benefit from this truly helpful financing plan.
7. Change Your Status
When you file your tax return, there are all sorts of strategies you can use to keep your income looking low and your rebates high. There’s nothing illegal or immoral about them. It’s just a matter of how you can answer the questions honestly, but in a way that keeps your money in your pocket instead of Uncle Sam’s.
I’ve already mentioned the importance of doing the exact same thing when you apply for financial aid. One method you can use is to change your tax status to “independent contractor.” Obviously, if you’re an employee of a large company then this isn’t going to work for you, but if you work for a very small business, then changing your status from employee to contractor could let you use Schedule C, “Profit or Loss From Business.” That would allow you to make bigger deductions, lowering your gross income and reducing your EFC.
There’s a whole range of different tactics that you can use to minimize your EFC and we are happy to help.
8. Get Expert Help!
When it comes to financial aid, no two families are the same. Every family has different needs, incomes and expenses. And every family needs individual, personal advice about the best way to meet the demands of the next few years.
We’ve helped all kinds of families qualify for financial aid. That includes families with low-income and parents with six-figure salaries. It doesn’t matter how much you earn, or how much you spend. What matters most is the help you get when you apply.