Financial Aid question when applying second child

[Anonymous]

We have one child in private school. We are applying second child to same private school and other private schools (some more expensive, some less expensive). We did not request financial for first child. But with 2 in private school it will be more challenging. We can dip into retirement savings if needed but would like to avoid. We mostly want to get the right school for DC and then worry about cost later but the financial aid process doesn't seem to work that way. Do we apply for financial aid for all schools that second child is applying or should we try only current school (as we have would have 2 there)? Not sure it hurts DC chances to get in in applying for financial aid so wondering if being selective is better (and perhaps apply for financial aid in future years).

[Anonymous]

I would apply in future years as not to hurt your child's chances. I'm in your same boat, one kid in private and applying for second child. I did plan accordingly, by saving aggressively this year.

[Anonymous]

Anonymous wrote:I would apply in future years as not to hurt your child's chances. I'm in your same boat, one kid in private and applying for second child. I did plan accordingly, by saving aggressively this year.

PP again. I don't know the accuracy of this comment, but I've heard that most, if not all, financial aid goes to current students as oppose to new kids.

[Anonymous]

I have heard that if you pay full freight for two, the school will expect you to continue to do so (absent a job loss or other catastrophe). My recommendation would be to apply for FA now for DC2. Older DC's school could reject outright, but I am hearing is that schools with sibling preference also understand it may be a stretch for parents to pay full freight for two.

Good luck.

[Anonymous]

I do know that Barnesville is sometimes more flexible about financial aid when a family is having to pay for more than one child. My advice would be to be forthright with them up front -- say what you said here, that you could pay for full freight for one but that it might be tough sending two unless you got some aid -- and see what they say. They're likely to advise you through the process based on what you've laid out.

[Anonymous]

The financial aid processing companies account for the number of students in private schools when calculating what your family can contribute (which is what determines whether you qualify for aid or not). So it doesn't matter if they are at the same school or 2 different schools. It just matters that you are paying 2 tuitions. So I would apply.

[Anonymous]

Piggybacking on this. We get FA for DC1. If DC2 is accepted can we expect to get same level of FA we do now, since its based on abilityto pay? We expect no changes on our end in terms of income etc.

[Anonymous]

I can already tell you this. If you have a retirement plan to dip into, they won't be offering you FA.

[Anonymous]

Anonymous wrote:I can already tell you this. If you have a retirement plan to dip into, they won't be offering you FA.

And, if you dip into retirement, you and DH may not have enough money to live on later in life. Don't do it. The financial rule of thumb is to save for retirement before you save for your child's education. They can pay it off later but you can recover retirement funds once they are gone.

[Anonymous]

^^ meant "cannot".

[Anonymous]

Anonymous wrote:I can already tell you this. If you have a retirement plan to dip into, they won't be offering you FA.

This is false. If you have an extremely large retirement plan to dip into, they won't be offering you FA. But if you have a reasonable-sized plan (proportional to your income) they allow a certain amount.

-Someone with a retirement plan who gets FA

[Anonymous]

And for god's sakes don't get your info about whether or not you'll be offered FA from here. People here make shit up all the time, usually to fit whatever their world view is.

Different schools calculate FA eligibility in different ways. Most do protect a certain amount of retirement savings, with that amount increasing according to the age of the older parent.

[Anonymous]

Anonymous wrote:

Anonymous wrote:I can already tell you this. If you have a retirement plan to dip into, they won't be offering you FA.

This is false. If you have an extremely large retirement plan to dip into, they won't be offering you FA. But if you have a reasonable-sized plan (proportional to your income) they allow a certain amount.

-Someone with a retirement plan who gets FA

+1 The idea that you are expected to cash out your retirement before getting FA is simply false.

[Anonymous]

We're in the same boat. Is there a percentage of your income that they think you should be able to put toward tuition?

[Anonymous]

Anonymous wrote:We're in the same boat. Is there a percentage of your income that they think you should be able to put toward tuition?

Roughly, they will calculate your discretionary income by subtracting a certain amount for various expenses. They will then expect you to contribute a certain amount of what they consider your discretionary income.

Start here:
http://www.nais.org/Articles/Pages/Calculating-the-Family-Contribution.aspx