An alumnus of the University of Missouri, where he graduated with an MA in economics, banking, and finance, Michael V. Berlau has over a decade of experience as an investment adviser representative. Working at the Overland Park, Kansas-based College Funding and Planning as a college solutions specialist, Michael V. Berlau assists families in calculating their Expected Family Contribution (EFC) and how they can lower the EFC to reduce the out-of-pocket college costs. For families with high school students seeking to apply for colleges, it is essential to understand how to calculate EFC and how it relates to paying college fees. EFC is the number derived from the information provided when filling out the Free Application For Federal Student Aid (FAFSA) to estimate the amount a family must pay as college costs per annum. Factors that determine the EFC number include income, demographic factors such as the number of children enrolled in college, and assets. In addition, a student's status, whether dependent or independent, can also impact the EFC. According to the Department of Education, families with an EFC of 5576 or lower were eligible for Pell Grants in the 2019-2020 award year. Pell Grant is the largest federal grant program that is available to undergraduates from low-income families. In 2019-2020, the maximum that a student could receive from this grant was $6,195. Out-of-pocket college costs can be reduced by improving one's chances of affordable college costs by applying to generous schools and looking for scholarships before and during college, improving financial aid eligibility by learning how to evaluate aid packages, reducing college bills by getting a student job during college, and by using college expenses and federal student loan interest to reduce federal income taxes.

1. UNDERSTANDING EFC AND IT
RELATES TO COLLEGE COSTS
Michael V Berlau

2. INTRODUCTION
An alumnus of the University of Missouri, where he graduated with an
MA in economics, banking, and finance, Michael V. Berlau has over a
decade of experience as an investment adviser representative.
Working at the Overland Park, Kansas-based College Funding and
Planning as a college solutions specialist, Michael V. Berlau assists
families in calculating their Expected Family Contribution (EFC) and
how they can lower the EFC to reduce the out-of-pocket college costs.

3. For families with high school students seeking to apply for
colleges, it is essential to understand how to calculate EFC and
how it relates to paying college fees. EFC is the number derived
from the information provided when filling out the Free
Application For Federal Student Aid (FAFSA) to estimate the
amount a family must pay as college costs per annum. Factors that
determine the EFC number include income, demographic factors
such as the number of children enrolled in college, and assets. In
addition, a student's status, whether dependent or independent,
can also impact the EFC.

4. According to the Department of Education, families with an EFC
of 5576 or lower were eligible for Pell Grants in the 2019-2020
award year. Pell Grant is the largest federal grant program that is
available to undergraduates from low-income families. In 2019-
2020, the maximum that a student could receive from this grant
was $6,195.

5. Out-of-pocket college costs can be reduced by improving one's
chances of affordable college costs by applying to generous schools
and looking for scholarships before and during college, improving
financial aid eligibility by learning how to evaluate aid packages,
reducing college bills by getting a student job during college, and
by using college expenses and federal student loan interest to
reduce federal income taxes.