Multiple Kids In College

One child in college can seem like a huge financial event, but multiple children enrolled amplify the challenge of paying for tuition. Between juggling costs, paperwork, and the emotional toll of supporting multiple students, it can feel overwhelming for any family.

Increased tuition isn’t the only stressor families face. There’s housing, books, and more. Additionally, you must complete the FAFSA to determine if your children are eligible for grants, scholarships, or student loans.

This helpful article explains what you need to know about multiple children in college so you can manage expenses.

The Big FAFSA Change That Affects Families

Families with multiple children in college used to benefit from how the Free Application for Federal Student Aid (FAFSA) was calculated. In previous years, the Expected Family Contribution (EFC) was divided among all the children simultaneously enrolled in a college or university.

Times have changed, however, which begs the question: How does having multiple children in college affect financial aid? This comes down to a major overhaul of the FAFSA for multiple students in college.

This key provision was eliminated, affecting how families pay for college. The Student Aid Index (SAI) replaced the EFC, which means the number of children enrolled in college no longer plays a deciding factor in federal aid eligibility.

Financial Aid With Two Children in College: How This Affects Families

The FAFSA for multiple students in college change was intended to streamline the application process. Unfortunately, there were unintended, far-reaching consequences for families with multiple students enrolled in college at the same time.

A large reduction in federal aid grants was among these consequences. For example, some families could see a reduction in aid eligibility equal to thousands of dollars.

Consider the following:

The US Census Bureau reported the real median household income to be $80,610 in 2023. Education Data Initiative reports $58,628 as the average price for a student attending a private, nonprofit university living on campus.

This is for one year and, despite this sum including tuition and fees, it equates to 72.7% of the real median household income. Multiply $58,628 by two children (or more), and families can easily have college and university bills that exceed their annual income.

What Hasn’t Changed with FAFSA?

Although FAFSA’s federal formula has changed, some states and individual colleges may consider the number of students a family has in college when determining need-based aid. This is why you should always contact prospective schools early to discuss your financial concerns. Contact the financial aid office and ask what specific formula they use for calculating need, especially with multiple children simultaneously enrolled in college.

Remember that FAFSA with siblings in college requires they each complete a form, even if their financial details are the same. This means that parents are responsible for logging into each child’s separate FAFSA account and entering their information — again.

It’s essential to be consistent across all applications, using the exact same information to avoid any confusion or issues with completing the FAFSA. Although this might seem tedious, it’s a necessary part of securing any type of financial aid, both on a federal and institutional level.

How to Approach the FAFSA with Multiple Students

Since each child attending college has to submit their own FAFSA, separate accounts must be created on StudentAid.gov. Parents should work with their children to complete these, as they can be challenging. If the student completes their section individually, they can invite their parents to complete their portion. The person invited is called a contributor. To invite a contributor, you’ll need their name, date of birth, social security number, and email address.

Once parents receive their contributor invitation, they’ll need to complete their section for each individual child. Failure to complete the applications exactly the same can delay processing. This can be as simple as spelling out “street” on one application and abbreviating it “st.” on another. Always keep information consistent across applications.

For each FAFSA cycle, you need to use the correct tax return year. Ensure that your household and dependent information is the same across all forms you complete. When using the IRS Direct Data Exchange auto-fill tax information, be prepared to authorize it individually for every application you complete. If you need assistance, work with a trusted college funding professional.

Tips for Financial Planning with Multiple Students in College

If you have multiple students attending college and can afford to do so, start saving early. Some families opt for 529 college savings plans, opening one for each child, while others use investment accounts (brokerage accounts). If you’re unsure of what to open, speak with a trusted financial planner. Depending on your home state, you may qualify for tax deductions or credits for your 529 contributions.

Consider scholarship opportunities and grants, applying when applicable, always completing the FAFSA. Ask your prospective school about a discount for multiple students enrolled.

If your financial situation changes, you can submit a financial aid appeal. This might be due to a loss of income, medical bills, or another significant change that impacts your ability to pay for college. Even if your child’s school doesn’t factor in multiple children simultaneously enrolled in college, they may help you if they understand your current financial situation.

You can also encourage your children to look into more affordable schools. Although it’s important to attend a school that offers a program suited to your child’s professional goals, discuss alternative schools that are more affordable. This might be a state school or even an online college.

There are also opportunities for Federal Work-Study Programs. Work with your children’s school to see what’s available. You can also look into Parent Plus loans for multiple students.