My EFC is 26499, what does this mean?

Question

My parents don't even pay my tuition, so why do I need to include them? Is it because I am 22 years old? I really hope thats not how much I am expected to pay.

Answer 1

Your EFC is just a code your school uses to determine what kinds and how much financial aid you will get.  It is NOT what you will be expected to pay your school.  With an EFC this high, it is not likely you will qualify for any Need based (meaning you are not poor) grants, but will qualify for loans and scholarships if you applied and were given them.

You have to put your parents info down until you are 24 or married or have kids you support.  It does not mean they are going to help you with your school.

Answer 2

Expected Family Contribution - what they "expect" your family to pay.  

A stupid calculation which forces you to take out loans just because your PARENTS make "enough" money.  

The government doesn't expect you to be self-sufficient until you are 24 or married.

Answer 3

JB likes the "tough love" answers, but she's sometimes off base a bit - this is one of those cases.

Your EFC is computed from the financial and demographic information that you submitted on your FAFSA application. The FAFSA wasn't analyzed with regard to where you hoped to go to school, so the cost of education at your school wasn't taken into account when the Department of Education computed your FAFSA. The numbers on your FAFSA form went in to the formula, and the EFC popped out.

An EFC of 26499 does not represent what you have to pay, regardless of what JB has told you. You don't read an EFC as a dollar amount, and she should realize that by now. However, your EFC is used to determine what forms of aid you are eligible to receive.

The federal government has two types of financial aid programs - "need-based" aid, and general aid. Need-based aid is designed only for poor people - you have to have what is known as "exceptional need" to qualify. Only 1 out of 3 US college students are offered need-based aid every year.

Right up front, I can tell you that an EFC of 26499 is far, far above the EFC that would identify you as an applicant with "exceptional need". In fact, the limit this year is 4041.

Despite the fact that you're not identified as "exceptionally" needy, you don't have to pay $26499 towards your expenses this year. However, you are only going to qualify for the government's non-need based, general forms of assistance. The primary program of this type is the Federal Stafford loan.

I understand that you can't afford to pay for your education, but I'm also going to go ahead and guess that you can't afford to buy a new car right now, either. If you wanted or needed a new car, you'd have to decide whether you wanted to borrow the money that would allow you to buy one. A college education works the same way.

No one is going to buy you an education because you can't pay cash, any more than anyone is going to buy you a new car. You must consider the cost of borrowing, and decide if a college degree is worth that kind of money. If you borrow responsibly, the answer to that question is almost always "yes".

The Stafford loan is THE best educational loan you can find. You don't need a credit check or a cosigner, the interest rates are low and fixed, and you won't be expected to begin repaying the loan until you have finished school. If you choose a school with an eye towards costs, a Stafford may cover the bulk of your annual expenses - if you choose a more expensive school, you will need to supplement the Stafford loan funds with additional sources of money. If your parents won't help, you're going to need to look elsewhere.

As for your question about your dependency status - that's something you can't get around this year, but when you turn 23 next year, you will be able to complete the FAFSA form as an independent student, and your financial wherewithal will be based only on your income and assets, and not on your parents.

Finally, if your parents are at all curious about how they might help, you should direct them to the PLUS loan program. The PLUS program has many of the best features of the Stafford program - the biggest difference is that your parents would need to submit to a credit check in order to be considered for the loan.

Good luck to you - one part of JB's tough-love advice is definitely true. If you can't afford to pay for school out of your pocket, you should choose a school that will leave you with the least possible debt.

I hope that helped.

Edit: Now this is funny, a respondent goes and brings back some of her 'posse' from other areas of the site to contradict answers, but of course, the members of the posse are just as confused.

Perhaps we should refer to outside evidence to see who is correct - let's look at a few sites:

From the Colorado University at Boulder Financial Aid Department:

"Keep in mind that the EFC this is not a dollar amount, rather an index number used to determine your financial aid award."

From the University of Georgia Financial Aid Department:

"Your EFC is not the amount of money your family is to pay to the University. The EFC is the number that is used to determine your eligibility for federal, state and University need-based aid.  Your EFC is reported to you on your Student Aid Report (SAR) which the U. S. Department of Education provides you.  Your EFC is also reflected on your UGA financial aid Award."

And, oh yes, from the FAFSA website itself:

"Your EFC is not the amount of money your family will have to pay for college nor is it the amount of federal student aid you will receive. It is a number used by your school to calculate the amount of federal student aid you are eligible to receive."

Any further questions?

Answer 4

Yes, it's what you're expected to pay. Your situation is common, many have an EFC their parents are unwilling to pay. But until you're 24, you have to include their financial info.

You need to find a cheaper college.

And sorry, but it's not anonymous that is incorrect, the EFC is a very real number. This is the amount your family is expected to pay if the cost of attendance is that number or more. You will only be given need based aid for any amount above that, and that is only at the very few schools, mostly top ones, that meet need.

A merit scholarship is a whole different story. The only way to pay less than your EFC is to get one.

Answer 5

Another vote for JB, she is the one who's right.

Answer 6

JB is totally correct, Not anyon doesn't know what he's talking about. The EFC is the exact number of the "Expected Family Contribution," it's not some made up number. As JB says, this is the amount you will pay if your schools costs at least that much or more.

The Federal government doles out Pell Grants, subsidized Stafford loans and work study. Any further need based or merit aid is awarded by the college. No college gives a cent of need based aid until you have paid your full EFC because DUH, EFC stands for Expected Family Contribution!