Timelines for College Financial Aid Eligibility | Ep 2

Don’t JUST rely on your child’s high school counselor for advice on college admissions and financial aid.  

Planning for college should begin early, ideally in the freshman year of high school, with a focus on understanding the financial aspects that influence financial aid eligibility. Junior year is a pivotal time for taking the PSAT and exploring college options, while senior year is dedicated to completing applications and financial aid forms.  

Financial decisions, such as selling assets or managing income levels, significantly impact aid eligibility, emphasizing the need for strategic planning well before the base year. Learn about the strategic use of debt, like student loans, to maintain financial stability while managing income for aid eligibility. 

 Additionally, transferring assets to a child's name can help with gift tax exclusions and aid eligibility, though it requires careful, long-term planning, with the help of a financial professional. 

 

The Importance of Early College Financial Planning 

(00:02:36) Strategic Planning for College Success Timeline 

(00:09:54) Strategic Financial Planning for College Transition 

(00:13:52) Strategic Timing for Financial Aid Eligibility 

(00:16:10) Strategic Debt Management for Financial Stability 

(00:17:21) Strategic Asset Gifting for Financial Planning 

 

College Preparation Timeline for Completing Applications and Financial Aid Forms 

• Planning for college should start early, ideally during freshman year of high school. 
• Understanding how financial decisions affect aid eligibility is crucial. 
• Taking on debt strategically can act as a bridge to manage income levels and aid eligibility. 
• Certain financial decisions, such as selling stocks to pay for college, can inadvertently impact financial aid eligibility. 
• Intentionally gifting assets, like stocks, to children's names can help manage gift tax exclusion limits and financial aid eligibility. 

 

"What I'm trying to point out here is that in most of the timelines that you might get from, again, your guidance counselor or see online is they don't talk about the financial aspect till typically about senior year...” - Jack Wang 

 

Connect with host, Jack Wang: https://www.linkedin.com/in/thejackwang/ 

*be sure to send a connection request with a message saying Hello! 

 

Navigate college funding with me at www.smartcollegebuyer.com 

 

The content of this podcast is for educational and informational purposes only and should not be considered financial, tax, or legal advice. Nothing in this podcast is a recommendation or solicitation to buy or sell any financial product or service. Every family’s financial situation is unique, so always consult with your own financial or tax professional before making any decisions. While we do our best to provide accurate and up-to-date information, we can’t guarantee its completeness or accuracy. Past performance is not indicative of future results. Your mileage may vary. No warranties, express or implied. Batteries still not included.