Category 1 Examples
Here are a couple more examples of clients in Category 1. These are unconventional situations with Category 1 characteristics. Without planning, they would not have received any financial aid for college. With a well thought out plan, each client’s share of the college bill was reduced to or very close to zero!
Don’t let special situations throw you. Most people who come to us think they won’t qualify for financial aid, but most do! Knowing the rules of the game is key to playing well. Contact us today and let us help you make college more affordable!
Widow with 2 daughters in college
Before Planning:
- Income $46,250
- Assets $282,700 (mostly from an insurance settlement)
- Home Equity $118,000
- Family Size 3
- Number in College 2
EFC $13,611
After Planning:
- Income $46,250
- Assets $282,700
- Home Equity $118,000
- Family Size 3
- Number in College 2
EFC $2,263
This client reduced her EFC by $11,348 with our plan and didn’t lose control of her finances. She received a Pell grant for both daughters plus other substantial amounts of help, including work study, low-income grants, subsidized loans, etc. The two colleges she was working with, one public and one private, met 100% of her need making her out of pocket cost for each student roughly $1,130/yr.!
Struggling business owner with 2 children in college
Before Planning:
- Income $-148,336
- Assets $64,100
- Home Equity $5,200,000 (50 acre family estate)
- Family Size 5
- Number in College 2
EFC $48,771
After Planning:
- Income $-148,336
- Assets $64,100
- Home Equity $5,200,000
- Family Size 5
- Number in College 2
EFC $0
This client lives on a large family estate and was, until recently, very comfortable financially. Their family business had an awful year and they lost a significant amount of money. They managed to pay for their daughter’s private university expenses through savings, but with the markets down and the business suffering, they didn’t know how they were going to pay for another year and afford the cost of their son’s education now that he was graduating from high school.
Our plan showed them how to protect the value of their home and reduce their EFC to zero – for both students! Not only did they receive a ton of free money for each child’s education this year, we also filed financial aid forms for the previous year and helped them get reimbursed for what they had paid the private university last year!
