Wow, this thread is incredibly helpful! I'm also a parent dealing with the FAFSA delays and trying to figure out loan options. One thing I want to add - if you're considering Parent PLUS loans for PSLF, you might want to talk to a financial advisor first to run the numbers. With the higher interest rates on Parent PLUS loans (around 8.05% as someone mentioned) and the fact that ICR payments can sometimes be higher than standard repayment, you need to make sure the math actually works out in your favor over 10 years. Sometimes it's better to help your child pay their Direct loans at the lower rates, especially if they might also pursue forgiveness in their own careers. The key is running scenarios for your specific situation before committing to any loan type!

Thank you everyone for such detailed responses! This is exactly the kind of information I was hoping to find. I'm feeling much more confident about moving forward with Parent PLUS loans knowing they CAN qualify for PSLF, even if the process is more complex. A few follow-up questions: 1. Should I consolidate the Parent PLUS loans immediately after they're disbursed, or wait until after my daughter graduates? 2. Has anyone here actually completed the full 10 years and received forgiveness, and if so, how smooth was the final forgiveness process? 3. Given the FAFSA delays, are schools being more flexible with financial aid deadlines this year? I'm going to call Federal Student Aid this week (thanks for the tip about Claimyr if I can't get through!) and also look into those nonprofit credit counseling services mentioned. This community has been incredibly helpful - I wish I'd found this discussion sooner!

just remember 2 submit by the deadline! my buddy missed it last year n got zero aid even tho his fam is broke

One more thing to keep in mind - since your dad just retired and is now on Medicare, make sure you understand how his health insurance premiums are handled. Medicare premiums that are deducted from his Social Security checks don't get reported separately on the FAFSA, but if he pays any supplemental insurance premiums out of pocket, those aren't deductible on the FAFSA either. Just wanted to mention this since I see a lot of confusion about health insurance costs for retirees. The main thing is getting his income and assets reported correctly, which it sounds like you've got figured out now thanks to everyone's help!

Regarding scholarship displacement that someone mentioned - that's generally only true if you're already receiving 100% of your demonstrated need. With your SAI and the cost of attendance, you'll likely have unmet need at most institutions, meaning outside scholarships would actually reduce your out-of-pocket costs rather than displacing institutional aid. It's still very much worth pursuing outside scholarships in your situation.

One thing I haven't seen mentioned yet is that you should also look at the Common Data Set (Section H) for each school your daughter is considering. This publicly available document shows exactly what percentage of need each college typically meets and what percentage of aid is grants vs. loans. For example, you can see if School A meets 85% of need with 70% grants/30% loans, while School B meets 95% of need with 90% grants/10% loans. This data can help you predict which schools are more likely to give you a better aid package with your $36,600 SAI. You can usually find these by googling "[School Name] Common Data Set 2023" - it's been a game-changer for our family's college planning!

As a newcomer to this community, I'm so grateful to have found this detailed discussion! My daughter is also a high school junior, and like many of you, she's been diligently saving money from her part-time job at a local tutoring center. She has about $6,800 saved up, and I was completely unaware of how this could impact her financial aid eligibility. Reading through everyone's experiences has been incredibly enlightening. The 20% assessment rate on student assets versus the much lower rate on parent assets seems so counterintuitive when we're trying to teach our kids good financial habits! I'm definitely interested in exploring the Roth IRA strategy that several people have mentioned. It seems like such a smart approach - helping with FAFSA planning while also giving her a fantastic head start on retirement savings. She definitely has enough earned income from her tutoring job to support contributions. One thing I'm wondering about - for those who have successfully used the Roth IRA approach, did you move all of your child's savings into the IRA, or did you keep some in regular accounts for more immediate college-related expenses? I'm trying to balance the FAFSA benefits with making sure she still has some accessible money for things like college application fees, senior year expenses, etc. Thank you all for sharing such practical, real-world advice. This kind of strategic planning is exactly what I needed to learn about but had no idea where to start!

Welcome to the community! I'm in a very similar situation with my junior who has saved about $7,200 from her job at a local coffee shop. This thread has been a goldmine of information - I had absolutely no clue about the 20% assessment rate on student assets! The Roth IRA strategy seems brilliant, but I'm curious about the mechanics of actually setting one up for a teenager. Do most banks and investment firms allow minors to open Roth IRAs on their own, or do parents need to be involved as custodians? Also, are there any specific investment options that work better for teens who might want to keep things simple while they're learning? I love how this approach teaches financial responsibility while actually helping with college costs - it seems like the one strategy that doesn't penalize kids for being savers. My daughter has been so proud of building up her savings, and I was heartbroken thinking it might hurt her aid chances. This gives us a much better path forward! Has anyone found good resources for explaining to teenagers why moving money to a Roth IRA is beneficial? I want to make sure my daughter understands this isn't just a FAFSA trick, but actually a smart long-term financial move that will benefit her for decades.

Hi Sofia! Welcome to the community - you're definitely not alone in this situation! As a first-time college parent myself, I went through the exact same stress last year with my son. With an SAI of $8,600, your daughters should qualify for partial Pell Grants (probably around $1,500-$2,500 each as Miguel mentioned). The fact that you can see the SAI calculated is actually a great sign - it means the federal processing is complete. Here's what worked for us when we hit the same roadblock: I had my son email each school's financial aid office with his FAFSA confirmation number and asked them to confirm receipt of his data. Two schools had it, but one didn't - turns out there was a transmission glitch. The school that was missing it was able to request a manual send from Federal Student Aid. Also, don't panic about the deposit deadlines! Most schools are very understanding about FAFSA delays this year. When I explained our situation, three out of four schools automatically extended our deposit deadline by 30 days without us even asking. Keep us posted on how the school contacts go - fingers crossed everything gets sorted out quickly for your girls!

Hey Sofia! Welcome to the group - you're definitely in the right place for FAFSA help! I just went through this exact same situation with my daughter a few months ago, so I totally understand the stress you're feeling right now. The good news is that seeing your SAI calculated means the federal processing is working. With an $8,600 SAI, your daughters should definitely be eligible for partial Pell Grants - probably somewhere in the $1,500-$2,500 range per year. Here's what I'd suggest based on what worked for us: 1. Have your daughters check their email (including spam folders!) for any verification requests 2. Log into studentaid.gov and make sure there are no outstanding action items or consent forms 3. Contact each school's financial aid office with their FAFSA confirmation numbers and ask specifically if they've received the data When I called our schools, I found out that one had received the data but two others hadn't due to a transmission issue. The financial aid offices were really helpful in getting it sorted out once we identified the problem. Also, don't stress too much about the deposit deadlines - most schools are being very flexible this year because of all the FAFSA delays. Many will let you put down a deposit while aid is still pending or give you extensions. You've got this! Keep us posted on how the school contacts go!