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College and University Discussion
Reply to "Steps to fix the race to 3% admission rate"
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[quote=Anonymous][quote=Anonymous][quote=Anonymous]1. Tax merit aid* 2. Require an insane amount of disclosures from colleges regarding their financial aid packages. Ideally, before applying, every family should be able to know how much exactly it would cost them. These two in combination will eliminate a huge deal of guessing regarding finances and reduce the number of apps that the kids are currently throwing in because if the uncertainty around the cost. *On the merit aid part - this will eliminate the stupid games where the sticker price is $80K all in, but 98% of students receive merit aid. [/quote] Merit aid is taxed if it goes beyond the COA. This happens if a student receives multiple merit scholarships and zero need based FA.[/quote] Yes, and the portion that covers room and board is taxed too, but if the college sets the sticker price at $80K and gives almost everyone $30K "scholarships", there are no negative consequences. [/quote]
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