Expected Family Contribution Article Index for
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Information About

Expected Family Contribution




Typically, need-based financial aid, including loans and grants, will cover the cost of attending college ''minus'' the expected family contribution.


THE FORMULA



Zero EFC


Certain students are eligible for an EFC of 0, depending in part on which tax form they and their parents used during the previous year. To qualify for an EFC of 0, the student, parents, and/or spouse must all have been eligible to file their taxes with IRS Form 1040A or 1040EZ. For dependent students, their parents' combined income must be less than $16,000 per year.

For Independent Students , their own income and that of their spouse must be less than $16,000 per year, and they must have non-spouse dependents, such as children.


Non-reproduction Penalty


Independent students who have no children or other non-spouse dependents will have a positive EFC, which can amount to as much as 20% of their income, even if
they make as little as $10,000 per year.


Nonzero EFC


The formula is extremely complex, with many nonmathematical dependencies,
such as which state you live in. Therefore, the author of this article has elected to give the formula in Perl , a common computer programming language, rather than traditional greek-symbol mathematical notation.

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DEPENDENCY


The student is considered a dependent unless one of the following criteria is met:

  • The student is over the age of 25.

  • The student is enrolled in a post-graduate program.

  • The student is married.

  • The student has children, or other non-spouse dependents, who receive more than half of their monetary support from the student.

  • The student is an orphan or ward of the state.

  • The student is a military veteran.



EXTERNAL LINKS

The EFC Formula, 2006-2007 (PDF)