| Author |
Message |
Laura
Guest
|
| Posted: Sat Feb 07, 2004 8:01 am
Post subject: FAFSA and Death of a parent |
|
|
I need help on knowing how to fill out the FAFSA form. My hushand
died in Dec 2003. I am planning on filing a joint return. I tried
calling FAFSA but I didn't get much help. I was told just to leave
off his income. Since his income will be included in my tax return
this year (I have not filed it yet), won't this raise a red flag. I
assume that somewhere along the way a computer will compare what's on
the FAFSA to the tax return. Also the FAFSA is based on 2003 income,
but I am I supposed to somehow add survivor benefits that I will start
receiving in 2004?
Another unrelated question. I don't understand the net worth (line
82). I asked FAFSA what type of debt do you deduct from your
investments. I was told examples like credit cards and your mortgage.
I don't think their answer was right. Is credit card debt supposed
to be deducted here?
Thanks
LauraRose
|
|
| Back to top |
|
 |
Steve Blank
Guest
|
| Posted: Sat Feb 07, 2004 9:15 am
Post subject: Re: FAFSA and Death of a parent |
|
|
Laura wrote:
| Quote: | I need help on knowing how to fill out the FAFSA form. My hushand
died in Dec 2003. I am planning on filing a joint return. I tried
calling FAFSA but I didn't get much help. I was told just to leave
off his income. Since his income will be included in my tax return
this year (I have not filed it yet), won't this raise a red flag. I
assume that somewhere along the way a computer will compare what's on
the FAFSA to the tax return.
|
The FAFSA uses 2003 income to project your ability to pay for college
next year. Dad's income will not continue, so deduct his work income
from the AGI on the tax return when answering question 73. Answer the
tax paid question by determining your percentage based on just income
that will count as yours (your wages, plus any interest, capital gains,
etc.)
Filing a joint return is not a problem. Colleges are used to dealing
with this in the cases of death or divorce.
Also the FAFSA is based on 2003 income,
| Quote: | but I am I supposed to somehow add survivor benefits that I will start
receiving in 2004?
|
You only report income received in 2003. When you do the next FAFSA a
year from now, any survivor benefits received in 2004 will go on that FAFSA.
| Quote: |
Another unrelated question. I don't understand the net worth (line
82). I asked FAFSA what type of debt do you deduct from your
investments. I was told examples like credit cards and your mortgage.
I don't think their answer was right. Is credit card debt supposed
to be deducted here?
|
Question 82 askes for the net worth of your investments - CD's, stocks,
bonds, mutual funds, other real estate (not your home). Net worth is
their value today less any direct debt against them - a margin debt on
stocks, mortgage debt on that second home, etc. Do not include cash in
checking and savings that was already reported in Question
You were given bad information if told to deduct your credit card debts
or the mortgage on your primary home. They are not deductible items
since they don't ask about the value of your primary home, and credit
card debt has nothing to do with any answer on the FAFSA.
--
Steven B. Blank
College Financial Aid Consultants
29 Ives Hill Court
Cheshire, CT 06410
(203)250-7761 |
|
| Back to top |
|
|
Laura
Guest
|
| Posted: Mon Feb 16, 2004 7:45 am
Post subject: Re: FAFSA and Death of a parent |
|
|
Thanks so much.
I've got one more question. Is any life insurance benefits that I
receive supposed to be reported on the FAFSA? It's in a money market
account.
Thanks again,
LauraRose
|
|
| Back to top |
|
|
Steve Blank
Guest
|
| Posted: Mon Feb 16, 2004 10:25 am
Post subject: Re: FAFSA and Death of a parent |
|
|
You are required to report as assets all monies that you have as of the
day that you submit the FAFSA. The only exception is money in
tax-deferred retirement accounts like IRA's, annuities, 401(k), etc.
--
Steven B. Blank
College Financial Aid Consultants
29 Ives Hill Court
Cheshire, CT 06410
(203)250-7761
Laura wrote:
| Quote: | Thanks so much.
I've got one more question. Is any life insurance benefits that I
receive supposed to be reported on the FAFSA? It's in a money market
account.
Thanks again,
LauraRose |
|
|
| Back to top |
|
|
| |
FAQ
Memberlist
Register
Profile
Log in to check your private messages
Log in