first time FAFSA shock

[Anonymous]

Anonymous wrote:

Anonymous wrote:So we filled out our FAFSA and included 10 schools to send the information to. Are we going to be barraged with info from these colleges now?

Aren't you already on their mailing lists?

Some of them. Others have been pretty quiet. We’ll see.

[Anonymous]

Anonymous wrote:I will preface this by saying college costs have gotten out of control and the FAFSA is flawed. But it is based on the premise that you’ll fund school through 3 sources: 1) current earnings, 2) loans you’ll pay back in the future, and 3) savings you’ve accumulated for the 18 years you’ve had this kid. People forget about 2 and 3.

And there’s no a nice way to say this, but a college degree isn’t a right. Pick a cheaper school. You don’t buy a Mercedes when you can only afford a Hyundai and expect the government to make up the difference.

I agree with you, provided that college costs *relative to household income* have risen dramatically in the last few decades. In the 70s and 80s, it wasn't a choice between a Hyundai and a Mercedes, really. It was a Hyundai or say, a Honda or Toyota. The cost of private school was higher, but not astronomical.

According to an online inflation calculator, my alma mater, which cost about $8,000/year when I started there in 1980, would cost about $28K had cost increases been limited to the pace of inflation. Instead, it now costs $78K. Totally out of reach for all but the very wealthy, and those truly in need.

"Pick a cheaper school" doesn't speak to this issue.

[Anonymous]

1/4 sounds very low.

[Anonymous]

Anonymous wrote:

Anonymous wrote:

Anonymous wrote:The EFC is one quarter of our adjusted gross income. Is this "normal"? One quarter?!

Ours is like more than half. I think $180K EFC or something crazy. We only make $280K per year but we have $4M in assets.

Most is in our house or 401Ks. Mortgage our house or sell our 401Ks no thanks.
I think this is why a lot of UMC families are going to their state school- you get raked over the coals otherwise.

You are not UMC and you overspent on your house.

[Anonymous]

Anonymous wrote:And the CSS for additional aid does count primary home and 401k amounts.

I got laid off and had just unemployment income for part of this year and two kids in college. But since I am older my 401k is one million and I have $800k equity in house. That also kills you as FASFA at OOS schools or private schools does not cover much of the cost

So, you live in a million dollar house and have a million saved and no college fund and think others should pay for your kids college. Our house is worth $400K. Sounds like you need to downsize.