MM(20) had an estimated $4K state (middle class) grant per his college. I mentioned in a prior post that $4K was my "pulled out of my butt" estimate and didn't know what to make of it. His grant had been $2K his first year, then $3K. Well, it sounds like the school basically used my estimate method. Figured he might get another $1K this year.
In the meantime, MM(20) was out of town for the long weekend. I cornered him when I got home from work and had him log in to check his grant. The dollar amount went up by $4,000 this year. What the heck!?
I had read somewhere over the summer that "the dollar amount depends on the specific school." But I was second guessing this when DL(18) wound up with the $4K amount. I just presumed both the kids would get the same $4K amount. I was stunned when MM's grant came in at $7K!
MM's expected net college costs:
-10,000 tax credits
-13,000 CA middle class grants
- 6,000 Scholarship
$13,000 Net cost
**I added in MM's $1K summer school class, so brings the grand total tuition to $42,000.
The one thing that is really unclear is if MM(20) will get any further middle class grants. The state is treating MM(20) like a senior because he started with so many AP/IB credits. For planning purposes, I presume this is all the financial aid he will get.
I suppose you never know how things will sort out with future scholarships and everything. Lord knows I was surprised this year.
At the end of the day, this grant is an extra $3,000 in MM(20)'s pocket. I was paying his tuition from his gifted college fund. With this news, he should end his junior year with $20K cash (gifted college fund), same as he has now. I think technically will be pulling out ~$800 for tuition this junior year, but he will be able to make that back (in 12 months) with higher interest rates on cash account. If there's anything left after college, this money is for him.
Edite to add: Have been told that the college will sort out grants end of October. Hopefully before we pay the next quarter. It will be hard to believe until the college deducts it from MM's tuition.