While many wealthy families either don’t apply or aren’t eligible for financial aid, the simplified FAFSA could be a boon to low- and middle-income students. The current form is so dense with questions about assets and income that many families never even bother to fill it out. More than $3.7 billion of free money was left on the table last year by families eligible for aid, according to a recent study.
Richard Thigpen, who has two grandchildren in the sixth grade, is already preparing to help with their college. He’s saved about $10,000 for each in a 529 plan and looks forward to the change involving outside contributions taking effect.
“It’s been great,” he said. “This is something meaningful we can do.”
This article was provided by Bloomberg News.