A Primer On College Financing

College is three things:

• Essential
• Expensive
• A Business

Your success in securing the maximum amount of financial aid possible will depend on your understanding of the three principles listed above. During the college selection process, you will be required to fill out one or both of the commonly used financial aid applications (links appear below) known as the Free Application For Federal Student Aid (FAFSA) and the College Scholarship Service (CSS) Profile.

https://fafsa.ed.gov/                        https://student.collegeboard.org/css-financial-aid-profile

It is critically important that all financial aid applicants understand not just how to fill out these forms accurately and completely, but also how to employ strategies so that the applicant family’s assets and income are positioned in a way that will help them qualify for the maximum amount of financial aid possible.

No one is guaranteed financial aid, but very few (only the wealthiest among us) fail to qualify for some level of assistance. To be sure, those with the greatest financial need are looked on compassionately by the college financial aid office, but there are also employable strategies that help many families, who are financially comfortable, qualify for financial aid.

Some of the strategies that families of prospective college students should employ include:

• Start early – Many transfer of asset strategies work best if implemented before January 1^st of the student’s junior year in high school
• Do your research – The internet and your high school guidance office are two no-cost resources that can provide valuable financial aid information
• Consider hiring an expert – A college education will probably be the most important and second most expensive purchase you make during your lifetime. When you buy a house, you hire a mortgage broker, a real estate agent, an insurance agent, a home inspector and an attorney to help you make the right purchase. Why go it alone for college?
• Heed the deadlines – The FAFSA and CSS Profile cannot be filled out before January 1 of each year, but in most cases must be submitted by March 1. Some schools have earlier deadlines, and financial aid is generally awarded on a first-come, first-served basis. If you are eligible, but file late, you may come up empty.
• Don’t settle for the first offer – Financial Aid awards can be negotiated and increased. Always apply to more than one school even if you’ve got just one, clear-cut favorite. With multiple financial aid offers in hand, you can play one against the other and often times, get a better deal.

Got questions? Submit a question to our financial aid experts via email at rick@dycgp.com

Interested on a no-obligation, one-on-one consultation? Call 978-857-7573.

Rick Spencer is a certified College Funding Advisor representing College Funding Solutions, Inc. He is also a registered investment professional licensed to provide a variety of investment products that are essential to an effective financial aid strategy. Rick offers one-on-one consultations of families of college-bound students, and has presented a variety of seminars and workshops on the topic.