How to declare 20-year-old independent

[Anonymous]

Can I gift my child enough money for tuition and living expenses, not claim him as a dependent on my tax return, have him file as independent, and have him claim residency in MD? He has part-time job in MD, rents in MD, and has MD driver’s license and voter registration.

I know he has to provide more than 50% of his support. Does the gifted money (which he owns) count as providing his own support? He is on our health insurance if that matters.

[Anonymous]

are you a maryland resident? did he go to high school in maryland?

[Anonymous]

To what end?

[Anonymous]

tuition, obviously. duh

[Anonymous]

Anonymous wrote:To what end?

+1 Frankly, OP, this sounds like a scam in the making ...

[Anonymous]

i really hate these damn cheaters. pay for kid's education. pay what you owe.

[Anonymous]

It sounds like OP's son moved to MD from out of state for college and has been paying OOS tuition, and now that he's an upperclassman OP hopes he can pay in state tuition. That's not how it works, OP.

[Anonymous]

Anonymous wrote:It sounds like OP's son moved to MD from out of state for college and has been paying OOS tuition, and now that he's an upperclassman OP hopes he can pay in state tuition. That's not how it works, OP.

OR in-state and FA qualified

[Anonymous]

Anonymous wrote:To what end?

OP is talking about gaming Fadsa to get more financial aid.

It’s funny that you think you can do this. It won’t work, his financial aid will still be based on your income, all that will happen is that you won’t get the dependent tax benefit.

(You’re not the only one to have thought of this, btw.)

If you’re really committed to this, have him get married to a friend’s kid - then you solve the problem for 2 families! Your kids can file as independent! The kids can get divorced after graduation. The only other option is for your kid to have a baby - which will certainly be more expensive than whatever you save in aid money.

[Anonymous]

Anonymous wrote:

Anonymous wrote:To what end?

OP is talking about gaming Fadsa to get more financial aid.

It’s funny that you think you can do this. It won’t work, his financial aid will still be based on your income, all that will happen is that you won’t get the dependent tax benefit.

(You’re not the only one to have thought of this, btw.)

If you’re really committed to this, have him get married to a friend’s kid - then you solve the problem for 2 families! Your kids can file as independent! The kids can get divorced after graduation. The only other option is for your kid to have a baby - which will certainly be more expensive than whatever you save in aid money.

No she's not. She says she'd gift him enough money for tuition and living expenses. Financial aid isn't the end game. MD residency and in state tuition is.

[Anonymous]

That wont make your kid independent from the perspective of a financial aid office. I was 29, completely financially independent for 7 years, married for 3 years, and my law school financial aid office still required me to submit my parents' financial information.

[Anonymous]

Anonymous wrote:Can I gift my child enough money for tuition and living expenses, not claim him as a dependent on my tax return, have him file as independent, and have him claim residency in MD? He has part-time job in MD, rents in MD, and has MD driver’s license and voter registration.

I know he has to provide more than 50% of his support. Does the gifted money (which he owns) count as providing his own support? He is on our health insurance if that matters.

You do not need to gift him the money.

If he is over 18 you can have him file his own takes, no longer claim him as a dependent on your taxes and he needs to have lived full time himself for one year in the state in question to get instate tuition. He will have to take care of all the paper work. Change his drivers license to that state for one year before applying for a change in residency.

People do this all the time. They buy condo's near a college or townhouses or houses. It's pretty common.

Every school has it's own list of residency requirements please have your child read them. Some schools are easier to get this chnage than others. Gifting him monies is not a good idea.

[Anonymous]

We know a family that let the 18 year old get married for this reason. They are still paying her tuition, but it is much, much less. That said, the couple have been together 4-5 years prior and the parents themselves married as teens.

[Anonymous]

Anonymous wrote:That wont make your kid independent from the perspective of a financial aid office. I was 29, completely financially independent for 7 years, married for 3 years, and my law school financial aid office still required me to submit my parents' financial information.

First of all, OP is not looking to game financial aid.

Second, your experience with law school is bizarre. Highly unusual to require parents' financial info if you're married and 29.

[Anonymous]

Anonymous wrote:

Anonymous wrote:Can I gift my child enough money for tuition and living expenses, not claim him as a dependent on my tax return, have him file as independent, and have him claim residency in MD? He has part-time job in MD, rents in MD, and has MD driver’s license and voter registration.

I know he has to provide more than 50% of his support. Does the gifted money (which he owns) count as providing his own support? He is on our health insurance if that matters.

You do not need to gift him the money.

If he is over 18 you can have him file his own takes, no longer claim him as a dependent on your taxes and he needs to have lived full time himself for one year in the state in question to get instate tuition. He will have to take care of all the paper work. Change his drivers license to that state for one year before applying for a change in residency.

People do this all the time. They buy condo's near a college or townhouses or houses. It's pretty common.

Every school has it's own list of residency requirements please have your child read them. Some schools are easier to get this chnage than others. Gifting him monies is not a good idea.

Your plan doesn't work for an already enrolled student who moved to Maryland for college.