College Planning: It's Not Too Late

In May of 2005, at Eckerd College in St. Petersburg,money for college. If your child is applying to schools,
Florida, college graduates threw up their caps tomake sure you study which schools give more gift aid
celebrate the achievement of a lifetime. Two of thoseand scholarship money out compared with those who
caps belonged to twins, Carol Malone and Linda Clem.don't. Also, make sure your child applies to at least two
But there was something different about these two.schools where he or she is in the top 25% of the
The difference was age, experience, and wisdom.applicants. This can be found by doing some basic
The twins are 54-years old, and they just received theresearch on the G.P.A.'s of previous freshman classes.
first college degrees of their lives. The moral to thisA common pitfall to filling out financial aid forms is
story? It's never too late to do anything you put yourrelying heavily on high school counselors. Counselors
mind to.are often loaded up with numerous students,
It's a common myth that if your child is about to headsometimes even hundreds, and often cannot provide
to college or is already in college, then you've reachedthe personal attention that each individual student
a point when the only thing left to do is take out a fewneeds. That's why a trusted college planner is best.
large loans and get ready to bear the burden of tuition.Gifting and Shifting
According to top college funding planners, that is simplyThere are numerous legal and ethical ways to shift
not the case.your assets to allow your child to have more money
What people don't often realize is that with the properfor college. You can shift assets to your child, or gift
financial planning, you can save significant amounts ofthem certain assets which they sell and keep the
money even while your child is still in college. Theprofit. It allows them to hold onto money for college
following are a few basic tips to save money in thewithout suffering the same tax burden as you, the
late-stages of college planning.parents would.
Financial AidChildren who file their taxes independently are in a
Always apply for financial aid as early as possible. Thelower income tax bracket which can work to your
standard FAFSA forms are the first and mostadvantage. The money you save in taxes adds up
important to fill out. Getting into the mix early-onquickly and can be used as one more way to pay for
ensures that you have a better chance at beingcollege.
awarded the "first come-first served" financial aidEmployment
packages. By being prompt, you increase yourDo you have a small business or rental property that
chances at better awards and loans, which reducesyou own? If so, you can use that property to your
the amount of out of pocket costs passed on to you.advantage by employing your child. Your child will not
Make sure you go over the financial aid forms andonly learn the value and responsibility of work, they will
regulations with a financial professional. Anyone whoalso receive a wage. As a small business, you can
has tried to navigate through the forms or the variousoffer a specialized Employer Education Assistance
pages of rules and guidelines can tell you that it's moreprogram. This allows you to give up to $5,250 a year,
than a little complicated. Having someone help youtax-free to employees who are attending college. It's
through the process doesn't just ease the burdenjust one more way to save money while your kids
financially; it also takes away a lot of stress andreach for their dreams. In the process, your kids will be
anxiety.learning valuable life lessons.
Your FAFSA forms typically take a few weeks toMany of us work hard so that our children may have
process, which is one more reason to plan ahead.a better future. Education does not always define
Once your financial need is determined, the schoolssuccess, but often success could not be achieved
you've applied to will offer you a financial aid package.without it. No matter what stage in life you're at, it's
The package can include various ways to pay fornever too late to save for college. With some simple
college, including loans, grants and any scholarshipsstrategy and some help from your financial advisor,
they have awarded your child.you can find ways to reduce college costs and
A little research can go a long way in saving youincrease the ways to pay for it.