College tuition is on the rise, and the average cost of attending a private university in 2024 came to more than $43,500. For many families, paying that price out of pocket isn’t reasonable or feasible. That’s why many families choose to fill out the Free Application for Federal Student Aid (FAFSA). But if you and your spouse are getting divorced or have been divorced for a while, figuring out who is responsible and how your divorce may impact your child’s financial aid can be tough. Here’s what your New Jersey divorce attorney wants you to know.
Your Income Determines Financial Aid
When applying for federal financial aid, your total income and your savings can impact how much aid your child receives and the type of aid they’re eligible for. If your income is lower, your child may qualify for both loans and grants. But if your income is higher and you have money set aside in a savings account or have lots of money in your checking account, your child may only qualify for loans.
Keep in mind that each school your child applies to may offer additional aid and scholarships. Some of this aid may be income-based, but some scholarships may be awarded for academic excellence, athletics, and other similar achievements. Be sure to explore all of the aid options with each school alongside the federal aid awarded.
Both Parents Can Contribute
Both you and your ex are legally allowed to contribute to your child’s education expenses whether they receive federal financial aid or not. If you and your ex are on good terms and both want to contribute as much as possible, there are no rules restricting you from doing so. Just be mindful of how those contributions could impact your child’s aid package and FAFSA application. You may want to speak with a financial professional to make sure you understand the implications and are contributing in a way that’s beneficial to your child.
The Custodial Parent Must Fill Out the FAFSA
The custodial parent is the one who will fill out the FAFSA. If you and your ex-spouse split custody, you’ll need to consider who your child spent the most time with in the last 12 months prior to the filing date of the application, not the calendar year. If it’s you, you’ll need to fill out the FAFSA. If your child spent more time with your ex-spouse, they’ll need to fill out the FAFSA.
Every Case Is Unique
New Jersey doesn’t have hard and fast rules governing who has to pay for college tuition or how much each parent is required to contribute to their child’s education. Typically, the court expects each parent to contribute to the extent that they’re able. This means each parent is expected to contribute as much money as they reasonably can without making dramatic cuts to their normal budget.
If the court already determined a divorce settlement and didn’t take your child’s education expenses into account, you may need to speak with your New Jersey divorce attorney and file another petition. Your attorney will help you decide on the best course of action.
Plan for Education Costs During Your Divorce
If you’re filing for divorce, be sure to factor in education expenses when figuring out what you feel is a fair settlement. At Carvajal Law, we know that planning for a child’s education can be difficult, but our experienced New Jersey divorce attorneys will work to help you create a plan that keeps your child’s best interests in mind. Contact us today to schedule a consultation.