What family resources are considered in the expected family contribution under institutional methodology?
INCOME DEFINITION IM uses adjusted gross income (AGI) from the federal income tax form as a basis to determine family income. Untaxed income from social security, child support, and other sources is also considered in determining a family’s total income. Both the student’s and the parents’ (if the student is defined as dependent per the FAFSA) incomes are taken into account. If parents are divorced or separated, information from the custodial parent (the parent with whom the student lives) and information from the custodial parent’s spouse (if remarried) is used to calculate expected family contribution. IM subtracts the following six allowances from income: Mandatory taxes: Federal income taxes paid. Allowance for state and local income, sales, and property taxes. FICA tax. Medical and dental expense allowance to account for exceptionally high medical and dental expenses reported by the family on Schedule A of the tax return Employment expense allowance to account for expenses related
