The secrets to greater college financial aid mystery solved!

1. FINANCIAL AID STRATEGY
COLLEGE AID PLANNING
PRESENTS
THE SECRETSTO GREATER COLLEGE FINANCIAL AID - MYSTERY SOLVED!

2. A FAMILY OF FOUR
SOME EXAMPLES BASED ON ADJUSTED GROSS
INCOME THAT A FAMILY OF FOUR WITH TWO
DEPENDENT CHILDREN IS EXPECTEDTO PAYEACH YEAR
TOWARDS COLLEGE.
$22,688 @ $110,000 ADJUSTED GROSS INCOME
$35,165 @ $150,000 ADJUSTED GROSS INCOME
$43,404 @ $175,000 ADJUSTED GROSS INCOME
http://www.forbes.com/sites/troyonink/2014/01/31/
2014-guide-to-fafsa-css-profile-college-aid-and-
expected-family-contribution/

3. REALITY SETS IN
THE HAND DEALT
A FAMILY OF FOUR WITH TWO DEPENDENT
CHILDREN PARENTS AGE 45
ADJUSTED GROSS INCOME OF $150,000
SAVINGS UNSHELTERED FROM FINANCIAL AID
FORMS $150,000
ASSET PROTECTION ALLOWANCE OF $30,700
EXPECTED FAMILY CONTRIBUTION (EFC) $41845

4. KNOWLEDGE IS POWER
Knowing what has the
greatest manageable impact on
the expected family
contribution (EFC)
calculation will help a family
dramatically increase the
amount of financial aid
awarded to your student.

5. KNOWLEDGE + ACTION =
SAVINGS $$$$$
THE HAND PLAYED
A FAMILY OF FOUR WITH TWO DEPENDENT CHILDREN
PARENTS AGE 45
ADJUSTED GROSS INCOME OF $150,000
SAVINGS SHELTERED FROM FINANCIAL AID FORMS
$150,000
ASSET PROTECTION ALLOWANCE OF $30,700
EXPECTED FAMILY CONTRIBUTION (EFC) $35165
THEY SAVED $6681 YEAR 1 AND BY YEAR 4 THEIR
SAVINGS TOTALED A WHOPPING $26724

6. DID YOU KNOW
DID YOU KNOW THAT YOUR 401K,IRA,SEP IRA
CONTRIBUTIONS ARE CONSIDERED “DISCRETIONARY”AND
WILL BE ADDED TO YOUR INCOME WHEN YOUR
FINANCIAL NEED IS CALCULATED FURTHER REDUCING
THE AMOUNT OF FINANCIAL AID YOU MAY BE ELIGIBE
FOR? IT’S TRUE!!
THEY REALLY HAVE STACKED THE DECK AGAINST
YOU………

7. THE IMPACT
DIVIDENDS, CAPITAL GAINS &
INTEREST FROM SAVINGS ARE
CONSIDERED INCOME WHICH WILL
REDUCE THE AMOUNT OF FINANCIAL AID
YOU ARE ELIGLIBLE FOR.
UGMA & UTMAS ARE CONSIDERED
ASSETS OF THE STUDENT WHICH WILL
FURTHER REDUCE YOUR ELIGIBLE
FINANCIAL AID

8. ABOUT YOUR TAX
RETURN
KNOW WHAT IS ON YOUR IRS FORM
1040……
LINES 8A & 8B Taxable & TAX EXEMPT
INTEREST
LINES 9A&9B ORDINARY&QUALIFIED
DIVIDENDS
LINE 13 CAPITAL GAINS
LINE 32 IRA DEDUCTION
LINE 37 ADJUSTED GROSS INCOME

9. MANAGING THE IMPACT
WE CAN ONLY MANAGE WHAT WE CAN
CONTROL AND AS PARENTS YOU DO
HAVE CONTROL OVER THE
FOLLOWING……..
ASSETS
DIVIDENDS
INTEREST INCOME
CAPITAL GAINS
UGMA,UTMAs & TRUSTS
ALL OF WHICH HAVE A GREAT IMPACT ON
YOUR FINCIAL AID AWARD

10. THE IMPACT BY THE
NUMBERS
20% of a student's assets (money, investments, business interests, and real estate)
50% of a student's income (after certain allowances)
2.6%- 5.6% of a parent's assets (money, investments, certain business interests, and real estate,
based on a sliding income scale and after certain allowances)
22%-47% of a parent's income (based on a sliding income scale and after certain allowances)
Examples:
$20,000 UGMA=$4000 REDUCTION IN NEED
$20,000 MUTUAL FUND =$ 4000 REDUCTION IN NEED (STUDENT OWNED)
$20,000 MUTUAL FUND = $1120 REDUCTION IN NEED (PARENT OWNED)
$40,000 NUMBERS BECOME $8000(STUDENT OWNED) & $2240 (PARENT OWNED)
$ 20,000 CAPITAL GAINS,DIVIDENDS & INTEREST(PARENT OWNED) COULD REDUCE NEED BY 47% OR BY
$9400
THESE NUMBERS CAN ADD UP QUICKLY DRAMATICALLY REDUCING THE AMOUNT OF YOUR FINANCIAL AID AWARD

11. KNOW TOUR LIMITS
MOST PARENTS DO NOT KNOW AND
HAVE NEVER HEARD OF…………….
INCOME PROTECTION ALLOWANCE
ASSET PROTECTION ALLOWANCE
FEDERAL HOUSING INDEX
WE DO AND SO SHOULD YOU,
REMEMBER “KNOWLEGE IS POWER”

12. KNOW THE EFFECTS BEFORE YOU FILE FAFSA OR
CSS PROFILE
HOME EQUITY… IF YOU HAVE A GREAT AMOUNT OF
EQUITY IN YOUR HOME AVOID APPLYING TO PRIVATE
UNIVERSITIES WHICH USE THE CSS PROFILE AND CONSIDER
APPLYING ONLY TO STATE COLLEGES AND UNIVERSITIES
THAT ONLY USE THE FAFSA ONLY TO DETERMINE YOUR
STUDENTS FINANCIAL NEED. WHEN WE REFER TO STATE
COLLEGE AND UNIVERSITIES THAT MEANS “ANY” STATE
COLLEGE THROUGHOUT THE UNITED STATES.
WHO OWNS WHICH ASSETS & HOW IT WILL EFFECT
FINANCIAL AID
INVESTMENTS & SAVINGS IMPACT
STUDENT & PARENT INCOME
CUT & PASTE THE LINK BELOWFOR A FREE CALCULTION
http://www.finaid.org/calculators/finaidestimate.phtml

13. THE FINANCIAL AID PROCESS
FAFSA = EFC YOUR “EXPECTED FAMILY CONTRIBUTION”
ABOUT FAFSA: YOU MUST SUBMIT THE Free Application for Federal Student Aid IF
YOU WANT TO APPLY FOR FEDERAL AND STATE FINANCIAL AID. USED BY ALL STATE
COLLEGES AND UNIVERSITIES TO DETERMINE THE AMOUNT OF YOUR FAMILY’S
FINANCIAL NEED.*THE FAFSA DOES NOT CONSIDER HOME EQUITY IN THEIR CALCULATIONS.
ABOUT the CSS PROFILE: THE COLLEGE SCHOLARSHIP SERVICE or CSS Profile IS USED
BY NEARLY400 PRIVATE INSTITUTIONS THROUGHOUT THE U.S. THE CSS Profile IS MUCH
MORE EXTENSIVE THAN THE FAFSA. *THE CSS Profile WILL CONSIDER YOUR HOME EQUITY
INTO THEIR NEEDS BASED CALCUATIONS.

14. COLLEGES THAT MEET UP TO 100% OF
FINANCIAL NEED
THERE ARE MANY COLLEGES & UNIVERSITIES THAT
WILL PAY UP TO ALL OF THE COST OF ATTENDING
DEPENDING UPON YOUR FINANCIAL NEED.
HOWEVER, MOST OF THESE INSTITUTIONS ARE VERY
SELECTIVE IN THEIR ACCEPTANCE DUE DILIGENCE AND
TAKE ONLY THOSE STUDENTS WITH HIGH GPAs & SAT
SCORES. OTHER CRITERIA MAY INCLUDE
PARTICIPATION IN INTERSCOLASTIC SPORTS, OTHER
INTERESTS SUCH AS MUSIC,BAND,SCIENCE MATH OR
DEBATE CLUBS etc. AS WELL AS PARTICIPATION IN
COMMUNITY SERVICES.
*http://www.usnews.com/education
/bestcolleges/payingforcollege/article
s/2015/09/14/colleges-that-report-
meeting-full-financial-need

15. COLLEGE ENDOWMENT FUNDS
THE VALUE OF THE ENDOWMENT FUNDS
OF COLLEGES AND UNIVERSITIES WAS
$425 BILLION AT THE END OF FISCAL TEAR
2012. AS OF 2013 THE TOP 5 UNIVERITIES
COMBINED HAD OVER $100 BILLION.
*REMEMBER FINANCIAL AID IS BASED ON
NEED AND EVEN THE WEALHIEST
COLLEGES PAYOUT LESS THAN 5% OF
THEIR ENDOWMENTS TO STUDENTS EACH
YEAR.*
*http://chronicle.com/article/Regulation-
of-College/40395

16. THE LIST OF COLLEGES &UNIVERSITIES LARGEST WITH THE
LARGEST ENDOWMENTS
KNOW THIS…….
THE COLLEGES AND UNIVERSITIES WITH THE
LARGEST ENDOWMENTS ARE ALSO THE ONES
WHICH AWARD FINANCIAL AID IN THE FORM OF
GRANTS WHICH IS MONEY YOU DO NOT HAVE TO PAY
BACK.
FOR THE COMPLETE LIST PASTE & COPY THE LINK
BELOW TO YOUR BROWSER
http://www.nacubo.org/Documents/Endowment
Files/2013NCSEEndowmentMarket%20ValuesRev
isedFeb142014.pdf

17. EASING THE BURDEN
MERIT AWARDS…GIVEN FOR OUTSTANDIND ACADEMIC
ACHIEVEMENT REGARDLESS OF FINANCIAL NEED
GRANTS…MANY PRIVATE UNIVERSITIES PROVIDE
FINANCIAL AID IN THE FORM OF GRANTS WHICH IS
MONEY YOU DO NOT HAVE TO PAY BACK
AP COURSES…TAKEN IN HIGH SCHOOL CAN PROVIDE UP
TO A FULL SEMESTER OF TUITION SAVINGS
TWO YEAR COMMUNITY COLLEGE… IN MASSACHUSETTS
YOUR STUDENT CAN TRANSFER TO A STATE UNIVERSITY
AFTER COMPLETING A 2 YEAR COMMUNITY COLLEGE
DEGREE PROGRAM AND ATTEND TUITION FREE FOR
THEIR JUNIOR & SENIOR YEARS

18. THE NOT SO OBVIOUS SOURCES OF FUNDING &
PAYING FOR COLLEGE
RETIREMENT PLAN LOANS
APPLYING TO ONLY THOSE COLLEGES THAT MEET UP TO 100% OF
NEED
WAITING UNTIL AGE 23 TO BEGIN COLLEGE.* IF YOUR CHILD IS
LIVING INDEPENDENTLY AT AGE 23( NOT AT HOME WITH PARENTS)
FINANCIAL NEED WILL BE CALCULATED BY THEIR INCOME & ASSETS
ONLY. PARENTS WILL NOT HAVE TO PROVIDE ANY FINANCIAL
INFORMATION.
CHOOSING LOANS WHICH ALLOW DEFERRING REPAYMENT UNTIL
AFTER GRADUATION *DEFERRING PAYMENT MAY HELP YOU WITH
CASHFLOW TODAY BUT WILL COST MORE OVER TIME

19. Forbes 2015 Americas
Top 50 Colleges
America’s Top Colleges 2015
#50 Whitman College, Washington $58,228
#49 University of North Carolina, Chapel Hill, North Carolina $50,732
#48 Kenyon College, Ohio $62,160
#47 Vanderbilt University, Tennessee $62,320
#46 Oberlin College, Ohio $64,396
#45 University of California, Los Angeles, California $55,856
#44 Colby College, Maine $61,100
#43 Bucknell University, Pennsylvania $63,040
#42 Barnard College, New York $63,220
#41 University of Michigan, Ann Arbor, Michigan $55,404
#40 Colgate University, New York $62,405

20. Forbes Top 50 list
Rankings # 14-26
#26 Wellesley College, Massachusetts $61,088
#25 Cornell University, New York $63,606
#24 Tufts University, Massachusetts $63,400
#23 Georgetown University, District of Columbi$64,540
#22 Duke University, North Carolina $63,999
#21 Bowdoin College, Maine $61,650
#20 University of Chicago, Illinois $67,572
#19 Haverford College, Pennsylvania $64,226
#18 Claremont McKenna College, California $64,215
#17 Wesleyan University, Connecticut $64,163
#16 Northwestern University, Illinois $65,519
#15 Columbia University, New York $66,604
#14 Dartmouth College, New Hampshire $65,133

21. Forbes Top 50 list
Rankings #27-39
#39 College of William & Mary, Virginia $53,435
#38 United States Air Force Academy, Colorado $0
#37 Boston College, Massachusetts $63,022
#36 University of Virginia, Virginia $56,196
#35 University of California, Berkeley California $57,234
#34 Middlebury College, Vermont $61,160
#33 California Institute of Technology, California $60,990
#32 Rice University, Texas $56,316
#31 Davidson College, North Carolina $60,921
#30 Carleton College, Minnesota $62,465
#29 Washington and Lee University, Virginia $60,084
#28 Vassar College, New York $63,390
#27 United States Naval Academy, Maryland $0

22. Forbes Top 50 list
Rankings # 1-14
#14 Dartmouth College, New Hampshire $65,133
#13 University of Notre Dame, Indiana $62,461
#12 University of Pennsylvania, Pennsylvania $64,200
#11 United States Military Academy, New York $0
#10 Massachusetts Institute of Technology, Massachusetts $61,030
#9 Amherst College, Massachusetts $64,006
#8 Brown University, Rhode Island $62,694
#7 Swarthmore College, Pennsylvania $62,450
#6 Harvard University, Massachusetts $62,250
#5 Yale University, Connecticut $63,970
#4 Princeton University, New Jersey $58,965
#3 Stanford University, California $62,801
#2 Williams College, Massachusetts $64,020
#1 Pomona College, California $62,632 Source/ Forbes
http://www2.forbes.com/entrepreneurs/americas-top-colleges-2015/?utm_campaign=Top-Colleges-
2015&utm_source=yahoo-gemini&utm_medium=referral

23. The Rising Cost of Tuition, Room & Board
You can expect to pay 25% more for college when your Freshman is in
there Senior year !
$ 60,000 Freshman year
$75,000 Senior year
That is a $15,000 increase (or 25%) in just 4 short years!
Source http://www.fool.com/investing/general/2015/10/18/wage-growth-is-languishing-but-these-3-expenses-ar.aspx

24. IMPORTANT REFERENCE LINKS
INCOME AND ASSET PROTECTION ALLOWANCE
http://www.indianacollegecosts.org/docs/default-source/publications/parent-income-asset-contribution.pdf?sfvrsn=6
2014 GUIDE TO FAFSA,CSS PROFILE,COLLEGE AID & EXPECTED FAMILY CONTRIBUTION
http://www.forbes.com/sites/troyonink/2014/01/31/2014-guide-to-fafsa-css-profile-college-
aid-and-expected-family-contribution/
DIVORCE & FINANCIAL AID
http://www.finaid.org/questions/faq.phtml#divorce
COLLEGES THAT DO NOT USE SAT/ACT SCORES FOR ADMITTANCE
http://www.fairtest.org/schools-do-not-use-sat-or-act-scores-admitting-substantial-
numbers-students-bachelor-degree-programs
2014-15 EFC FORMULA GUIDE
http://ifap.ed.gov/efcformulaguide/attachments/091913EFCFormulaGuide1415.pdf
2014-15 FAFSA DEADLINES
https://fafsa.ed.gov/fotw1415/pdf/Deadlines.pdf
2014-15 ASSET PROTECTION ALLOWANCE CHANGES
http://www.completecollegeconsulting.com/apa-asset-protection-allowance-changes-2014-
2015/

25. REMEMBER THIS…………..

26. CLOSING REMARKS
OUR GOAL TODAY WAS TO PROVIDE YOU WITH THE
NECESSARY ACTIONABLE KNOWLEDGE TO HELP
REDUCE THE FINANCIAL BURDEN OF THE COSTS
ASSOCIATED TODAY WITH ACQUIRING A COLLEGE
DEGREE.
WE ARE HERE TO HELP SO IF YOU ARE FEELING
OVERWHELMED, CONFUSED OR SIMPLY DO NOT
WANT OR HAVE THE TIME TO DO THE NECESSARY
RESEARCH ON YOUR OWN GIVE US A CALL AND
MOST OF ALL “GOOD LUCK & BEST WISHES “ ON
YOUR JOURNEY.
http://www.financialaidstrategy.com/
WE CAN BE REACHED AT 508-887-5615