What If I Earn Too Much for Financial Aid?
Some parents find themselves in the position in which they’re earning too much for need-based financial aid.
Some parents find themselves in the position in which they’re earning too much for need-based financial aid. While others on the outside looking in might view this as a positive problem, the high cost of living combined with other expenses such as helping other family members in need or the sending of your children to private primary and high schools can leave some parents in the upper income strata feeling not so flush.
The financial aid system doesn’t take into consideration the high cost of private primary and secondary schools or high monthly mortgage payments. It also does not take into consideration any other external factors which play a part in your net income each month such as alimony or familial issues mentioned above.
However there is a solution for the upper income parents.
- All upper income parents should file the FAFSA. While this might not garner you need-based financial aid, it will put you on the radar screen from an aid standpoint with the universities.
- Remember to ask us about the pursuit of merit based aid. While you might or might not consider your child to be in the top echelons of academic performance, every school defines their top echelon differently. Ask us about finding merit-based aid for your child.
- The collegiate financial aid system allows for higher tax bracket parents/higher income earning parents to set aside funds for their child’s education in a tax advantage manner.
At College Funding Systems, we offer the solutions and strategies for the higher income parents to figure out the best plan to pay the high out of pocket costs to give your child a four year college education.