I am 47 and recently divorced single parent of two children, ages 7 and 8. I spent the last 9 years as a stay-at-home parent. As a result of the divorce, I am re-entering the job market. My last position, as a training and development specialist for a bank, earned roughly $45,000. It has been somewhat difficult obtaining full-time employment and ...

My daughter is a high school junior. I have just refinanced with cash out for a home remodel to accommodate my aging parents. However the remodel is delayed and the money is still in our account. The remodel should be completed and the money spent by the time my daughter starts her senior year. Will this money be counted as asset ...

Grandma is moving in with her Social Security check. Does this help or hurt my FAFSA results? Does her Social Security check count towards my parents' income on the FAFSA? — Doreen Y. The answer is complicated and depends on whether Grandma receives the Social Security benefits in her own name or whether they are received by your parents on her ...

I am trying to fill out my FAFSA. My father retired last year and I am confused as to what to put for his financial answers, for example, gross income, taxes, etc. Do I fill out a separate form because he is retired? Will they know that he is retired? I am so lost and getting frustrated. Please help! — Alexa ...

The U.S. House of Representatives and U.S. Senate are considering proposals to cut student financial aid in the FY2012 federal education budget. Rep. Denny Rehberg (R-MT), chairman of the House Appropriations subcommittee with oversight over education spending, released draft legislation (H.R. 3070) on Friday, September 30, 2011, which includes several changes to student financial aid for college. The legislation was referred ...

The US Department of Agriculture estimates that middle-income two-parent families will spend $221,190 in 2008 dollars to raise a child born in 2008 from birth to high school graduation. The cost per child for low income families (earning less than $56,870) is $159,870 and the cost per child for upper income families (earning more than $98,470) is $366,660. These estimates do ...

The White House is calling on all college and university presidents to provide incoming students with clear and easy-to-understand college cost and financial aid disclosures. On June 5, 2012, Vice President Joe Biden, Secretary of Education Arne Duncan, Director of the Consumer Financial Protection Bureau (CFPB) Richard Cordray and Domestic Policy Council Director Cecilia Muñoz hosted a roundtable with presidents of ...

Students who graduated in May or June are nearing the end of the six-month grace period. The first monthly loan payment is usually due in November or December. Don't Be Delinquent Unfortunately, about a third of borrowers are late with the first payment on their federal student loans. This is called a delinquency. There are a variety of reasons why students ...

My grandson lives with his grandfather and me. His parents do not support him other than providing medical insurance. He will claim himself on his 2012 income tax and his parents financials are not available to us. How do we handle completing the FAFSA and applying for scholarships, etc.? I am more than willing to provide our information if that is ...

I am retired with no income from employment and a moderate amount of investment income, $20,000 to $30,000 a year. I am contemplating a partial conversion from my traditional IRA to a Roth IRA. Such conversion is included in my adjusted gross income, but is not really spendable income to support my son's education. If I make such a conversion, would ...

How do we answer the question "Do you own your home" on financial aid forms when we are in pre-foreclosure? We are not yet in active foreclosure, but are several years in arrears on our mortgage as we are significantly underwater on our loans and have been unsuccessful so far in getting a satisfactory modification. To that end, we just retained ...

From time to time I receive solicitations for free financial aid seminars that are really sales pitches for a product or service. I attend these seminars to monitor the information (and misinformation) that these seminars disseminate. The latest one was a bit different, in that it was affiliated with a national asset management and financial planning firm. It's not a very ...

My husband took early retirement so we are on a fixed income. We set aside enough money in various college funds for our daughter to attend any in-state public college. However, she is interested in an out-of-state private college that costs approximately double what we have saved. We are researching scholarship opportunities but wonder how the fact that we are retired ...

I read your article on rolling savings bonds into a 529 plan but I am still not sure of one thing. If we are over the income threshold for tax-free redemption, can we roll the bonds into the 529 and avoid paying taxes on the bonds? Then when we take deductions from the 529 to pay for qualified expenses do we ...

On the asset section of the FAFSA form if you have $100,000 in stocks but also have a $75,000 margin loan balance would you net this out and put down $25,000 in stock assets? — Rob A. Yes. You report the net asset value, namely the current market value of the assets minus any debts secured by the assets. Since a ...

I want to qualify for the "pay as you earn plan" 10% income-based repayment plan. I have $80,000 in Direct Loans from 2010-2012. I have a balance of $2,800 on an old student loan from the 1990's. Should I pay off the old balance before a certain date to make sure and qualify for the "pay as you earn plan"? Or ...

My son has been accepted to an expensive private non-profit college for the fall. We have been awarded a pretty generous financial aid package from the school (approximately $30,000) which leaves me with about $20,000/year left to finance. I make about $50,000/year. I will be applying for the Parent PLUS loan and have several questions. I'm in the process of refinancing ...

I am the custodial parent for my daughter who will go to college this fall. It will be her first year. My income was reported on the FAFSA. This included child support, although my ex-husband has recently stopped paying child support. Now the ex-husband wants access to half of the funds available through the FAFSA to use toward his half of ...

Why is it better for parents to pay off credit cards (if one can) before obtaining loans for a child for college? — Diane H. Most forms of consumer debt, such as credit cards and auto loans, are ignored on the Free Application for Federal Student Aid (FAFSA). Even education loans are ignored. The only exception to this rule occurs when ...

The President's budget for fiscal year 2014, which was released on April 10, 2013, includes a proposal for switching new federal student loans to a hybrid fixed/variable interest rate scheme starting July 1, 2013. A similar proposal was introduced the day before by several Republican Senators as the Comprehensive Student Loan Protection Act (S.682). Subsidized Stafford Loan Rate May Double Currently, ...