Getting the Most Financial Aid for College

January 26th, 2010

You may be willing to eat all the ramen noodles that you can, but skimping on food still might not allow you to save all the money you need to pay for college.

That’s why January is such an important month, because now is the time to turn in your application for financial aid. So we want to make sure you have all the details you need to be eligible for that money.

Add these five tips from Student Financial Aid Services, a California-based student aid preparation service, to your checklist, if you’re just getting started or are about to submit the crucial FAFSA (Free Application for Federal Student Aid) form:

1. Don’t miss the financial aid deadline.

The deadlines vary and some state deadlines are as early as Feb. 15.

2. Do your math.

Miscalculations can lower your aid. Also, make sure figures such as money taken from a retirement fund are being included correctly.

3. Job loss? Your gain.

A parent’s layoff could make you eligible for more money. See if you fit into the criteria for the dislocated worker question.

4. Leave off the house.

A home is a huge investment for your family, but a primary residence is not considered an asset on the FAFSA. In the New York Times’ Q&A about financial aid, Mark Kantrowitz, founder of FinAid.org, said the net home equity of the family’s primary residence is not reported as an asset, but if the home is sold, the proceeds from the sale are treated as an asset.

5. Avoid a mix-up

Read over your application to make sure you haven’t transposed your Social Security number or made some other simple mistake–like forgetting to sign the form.

–Lori Johnston

Entry Filed under: Financial Aid,Special Programs