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Filing the FAFSA and not sure what to do? We have been there too. Assisting four children through college means filing the FAFSA four times, so we would like to think we have gained some expertise in federal financial aid. We didn’t know what we didn’t know. We want to help your family avoid the missteps we took and hopefully save your family thousands of dollars in the process. Like many, I felt filling out the FAFSA was an exercise in futility. Many families, mine included, did not feel we would qualify for financial aid so why bother? The FAFSA is only the first step in this process. However, the future potential benefits of the financial aid process rely on this very important first step. We put together a few Do’s and Don'ts to help your family through the FAFSA filing process AND hopefully earn your student more financial [...]

If you are a divorced or separated parent sending your child to college, the FAFSA can raise some common questions and complications for your family during the filing process. Having experienced a divorce personally, I can attest that an already confusing process (financial aid) is only made more complicated for divorced parents. Here are a few rules of thumb, guidelines, and advice for divorced and separated parents when filing the FAFSA for your student. What is considered “divorced or separated” on the FAFSA? Legally divorced parents and parents living in separate households are treated the same. A legal separation isn’t necessary to be considered separated by FAFSA, but it is required the parents reside in individual households. Separated parents who live together are treated as married by the FAFSA. Biological parents who were never married are treated as divorced parents. ‍ Who fills out their information on the FAFSA? [...]

3 Tips to help your high school senior this Summer “I had no idea how expensive life is.” – My son a few weeks after he left for college If you have a high school senior there are a flurry of things happening in your home.  Assuming educational plans are in place then it is a mad dash to make sure your soon-to-launch young adult is ready.  Part 2 of this article will be to help pending empty nest parents get ready as well. Build an educational foundation around finances “High schoolers are generally not experienced handling their own finances.  When they leave the nest, they are going to be both financially semi-independent and resource poor.  They have observed how money works from movies, celebrities and their friends.  Many view money as an abstract concept that has no application to their life.  Up until now, if they needed money [...]

Changes to 529 Plans in the SECURE 2.0 Act The SECURE Act was initially passed by Congress at the end of 2019 and was intended to improve retirement savings opportunities. It was a big deal at the time and the most significant piece of retirement legislation since the 2006 Pension Protection Act. Congress came together to pass SECURE 2.0 at the end of 2022 to build on this popular legislation and clarify some of its provisions. The SECURE 2.0 Act includes 92 new provisions designed to promote savings, add incentives for businesses to offer retirement plans to their employees, and provide more overall flexibility to those saving for retirement.1 While increasing the starting age for required minimum distributions to 73 made the headlines, another important change for those saving for college was the addition of an option to move the unused portion of a 529 plan to a Roth [...]

The college planning process isn’t easy. Picking the right school, finding the perfect roommate, meeting scholarship application deadlines, and on top of all of that…..you have to fill out the FAFSA. Many families who think they are on the border or won’t receive any financial aid don’t bother tackling this daunting form because of the number of questions it prompts you to answer. Well, I have news for you! Change is coming in December 2023! The Department of Education has decided to do a redesign overhaul on the FAFSA that will affect over 17 million students. Let’s talk about the good, bad and the ugly: The Ugly: The new form is being released sometime in December, which forces schools to wait longer on acceptance decisions, or offer acceptance without any financial aid. This can cause more stress for students and their families. If you accept an offer without any [...]

1 MoneyRates.com, June 6, 2023 2 CollegeData.com, 2023 3 MoneyGeek.com, December 21, 2022 4 Any companies mentioned are for illustrative purposes only. It should not be considered a solicitation for the purchase or sale of the securities. Any investment should be consistent with your objectives, timeframe, and risk tolerance.

We understand that another financial aid form is the last thing you want to deal with, especially before completing the FAFSA. The “college-preparation to-do list” seems to never end! However, this form could lessen the financial burden on you or your child’s college education expenses. The College Scholarship Service Profile (CSS Profile) is required by some, but not all schools, so it is important to research if your desired school requires it. So, what is the difference between the CSS Profile and FAFSA? The CSS Profile grants non-federal financial aid, while the FAFSA grants federal financial aid. The CSS Profile is a privately organized form that may feel a little more invasive than the FAFSA. This is because it wants to see your family’s full financial picture to determine if aid will be granted. It looks at both cash inflow and cash outflow as well as the family’s assets. To [...]

In recent times, there has been an increasing burden of student loan debt on students and graduates. The numbers don't lie! While having access to education is vital to career and economic growth, the burden of paying off student loans after graduation can have devastating consequences on the economy. What are some of the potential consequences of repayment beginning (again) on $1.6 TRILLION of student debt? Reduced Purchasing Power: Student loan debt has become a significant issue for millennials as they try to manage their expenses while paying off their loans. This situation can lead to a reduced purchasing power that can impact the economy. Graduates with significant debt loads may have to delay home ownership, car purchases, and other significant investments. Lower Retirement Savings: The burden of student loan repayment can also lead to lower retirement savings. For individuals in the early stages of their careers, a large portion of [...]

When applying for college admission or for financial aid it can feel like you are in the dark. Once you submit your application the decision process is out of your control, and your fate is up to the university. No one really knows what specific criteria each university uses when selecting applicants; This can cause frustrations among students, parents, and counselors. People want more transparency and communication during the selection process because they believe it will make the application process more efficient and will allow students and their families to make the smartest financial decisions possible. Whitney Gouché, Vice President at EMERGE gives an example of an engineering college in California not admitting students if they don’t have credit for AP Calculus BC. Since this information isn’t readily available to students and high school faculty some schools might not offer AP Calculus BC. This puts them at an early [...]