How will my college savings Account impact possible financial aid?
Having savings in hand will make it easier to pay your share of college costs. Savings in a qualified tuition savings program are considered the asset of the Participant, not the Beneficiary. If the Participant is a parent applying for financial aid to assist in the college expenses of a child who is the Beneficiary of the savings Account, this is weighted as the parent’s asset. Assets saved in the parent’s name currently reduce eligibility for federal student aid by at most 5.6%, whereas, the student’s assets reduce eligibility by 35%. Savings investments and their distributed earnings may limit eligibility for financial aid under existing or future federal, and certain state and institutional grant, loan and other programs that assist students and families in college funding. The financial aid office at the higher education institution you plan to attend can answer this question in more detail. While investing in a college savings plan may limit your eligibility for financial aid, yo
