Reply to Best financial planning tip for donut hole families

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[quote=Anonymous][quote=Anonymous][quote=Anonymous][quote=Anonymous]we shifted 600k of assets into non reportable. mostly paying down our mortgage, but also wrapping up a long list of needs: new roof, added an ADU, did dental work, redid driveway, maxed retirement, updated a bunch of legal work like trusts, etc.[/quote]

Yes, we are renovating the house and taking any left over assets and paying down the mortgage.  I think this takes care of the asset side of the formula.  Thanks[/quote]

Does this really move the formula?  It sounds nuts to me that you'd sink $600k into other things (other than the mortgage/retirement) with the hope of getting aid vs using it to pay for school.  Does moving 600K into house/retirement really help?  I thought they ask about the value of both of these.[/quote]

We didn't have 600K that was a different poster.  Colleges expect you to contribute 5% of your non-exempt assets to college education every year so even if you are paying off a 3% mortgage, you are actually getting an 8% return because you are relieving yourself of 3% interest and the 5% contribution.

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