© Copyright 2013 Mountain Financial, LLC. All Rights Reserved 1 So, You Want To Go To College… How the heck do we pay for it?

© Copyright 2013 Mountain Financial, LLC. All Rights Reserved 1

So, You Want To Go To College…

How the heck do we pay for it?


About Roy


Let’s Define Terms COA – Cost of Attendance

EFC – Expected Family Contribution

Need – COA minus EFC

FAFSA – Free Application for Federal Student Aid

CSS/Profile – College Board’s application

Base Year – Junior Spring to Senior Fall Semester


Who is responsible?

http://www.photographyblogger.net/railroad-tracks/ Copyright © 2013 Photography Blogger.


Student Responsibilities

What increases gift aid? Doing your best in school, in society and in your

interests Choosing optimal schools Applying well to these optimal schools Confirming that the offer is as good as it can be Clear career direction


Clarifies high school choices

Clarify Your Career DirectionBeing clear about your direction:

Clarifies college choices

Better gift aid offers, graduate sooner, more earnings in career


Choose endowed schools Good schools have grateful graduates who then

give back

Apply to several of these schools

Ignore cost of attendance (COA) during search

How do they use their endowment?

8© Copyright 2013 Mountain Financial, LLC. All Rights Reserved


Choosing the schools Focus on “Fit” first

Full freshman class vs. revenue

“Financial aid leveraging”


Make Yourself Attractive

On your application, leverage the advantages you’ve built up to now Academic program ACT/SAT test scores Extra-curricular activities Community service Recommendation letters

Ask for help early


You’re In Charge

You have what the schools want

Apply to 6 or more colleges for both admission and financial aid

The colleges see where else you’re applying

Let them compete

If offers are less than you expect, be ready


Should I Apply for Scholarships? For scholarship sources, which is the largest?

Private Sources

Government

Colleges


Federal & State

Private Sources

Colleges

Money for College


Parent ResponsibilitiesWhat is most efficient and least stressful? Eliminate mistakes on the aid applications

Stay on top of the process

Understand optimal use of financial tools

Optimize cash flow

Optimize the use of existing assets

Confirm that the offer is as good as it can be


Eliminate Application Mistakes

Over 70% have mistakes that are not to the family’s advantage

Have your data checkednow

Make entries from an answer key

16© Copyright 2013 Mountain Financial, LLC . All Rights Reserved

17© Copyright 2013 Mountain Financial, LLC. All Rights Reserved


Apply Early for Financial Aid Financial Aid is first come, first serve. Be at the

head of the line.


Apply for Financial Aid

Some believe it is impossible to receive financial aid because their income is high

This is simply not true.

© Copyright 2013 Mountain Financial, LLC. All Rights Reserved 20© Copyright 2013 Mountain Financial, LLC. All Rights Reserved

© Copyright 2013 Mountain Financial, LLC. All Rights Reserved 21© Copyright 2013 Mountain Financial, LLC. All Rights Reserved


Fund Savings Elsewhere

Find places to save funds for college that: Are not included in the formulas Are accessible Have friendly rules

If offers are low, funds are available If offers are high, good place to leave it Supports retirement regardless


Reduce What is Reported

Reduce or postpone income Reposition assets Must be completed during base year Can run contrary to

traditional planning or tax advice

Synchronize with retirement goals

Must improve financial efficiency


Three Levels of Families

1. EFC of 0 – Qualifies for all need-based aid

2. EFC within COA range – EFC and Efficiency improvements possible

3. EFC above COA range – Efficiency improvement focus


Find money you don’t know you’re losing and don’t need to lose

Leave your lifestyle and spending the same

What is “efficiency”?

© Copyright 2013 Mountain Financial, LLC. All Rights Reserved

Improving Financial Efficiency Find and eliminate transfers in at least 5

major areas

Eliminate opportunity costs now

Retain compounding as long as possible

26


What is “Opportunity Cost”?


What is “Opportunity Cost”?


Retain Compounding

1 2 3 4 5 6 7 8 9 10


Retain Compounding

1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49


Effect of Finding Transfers

Single-income family, Mother homeschools 4 children Initial monthly savings: $187/month Locate and redirect $630/month Percent of income: 8.40%

Double-income family, 2 children in public High School Initial monthly savings: $2,292/month Locate and redirect $2,068/month Percent of income: 7.94% Plus lump sums redirected to more efficient positions


If Necessary, Appeal the Offer




Learn and Follow the ProcessWhat families receive the most money for college?

“Those that know the most about the process.”


Helping you:

Pay for college efficiently and comfortably Optimize your need- and merit-based aid

Increase the funds available for college and retirement

Reduce stress, while increasing your confidence

All without changing what you’re spending now


For More Information:Roy Sargent:

303-460-7022 Roy.Sargent@

MtnFinancial.com

© Copyright 2013 Mountain Financial, LLC. All Rights Reserved 1 So, You Want To Go To College… How the heck do we pay for it?

Documents

mountain financial

rights reserved slide

career slide

early slide

roy slide

ready slide

revenue financial aid

answer key slide