Financial Aid at Private Schools

List of 5 items.

• Are Assets Factored into the Financial Aid Equation?

  A household’s assets may include any of the following:

  
  

  • Cash: The amount of liquid cash a family has available.
  • Savings: Non-retirement savings accounts, including health accounts, money market accounts, and high-yield savings accounts
  • Home equity: Equity in the household’s primary residence
  • Real estate: Equity in investment properties in addition to the primary residence
  • Stocks and bonds: Includes stock market investments or collected bonds of any type, including government, corporate, agency, or municipal.
  • Securities: Trading assets in addition to stocks and bonds, including ETF shares, certificates of deposit (CDs), or futures
  • Vehicles: The value of any automotive vehicle that belongs to someone in the household.
  • Retirement savings: Accounts include a 401(k), an IRA, or a 403(b).

  
  

  Given the uncertain state of the economy, it’s unrealistic for private schools to expect families — especially young ones — to have high assets. As a result, private schools set reasonable expectations for each household’s living expenses and assets.

• Do Income and Expenses Matter?

  While there exist no universal income limits for private school financial aid, the total household income stands out as the predominant factor shaping a student's financial aid package. Household income encompasses a parent's wages, Social Security benefits, tax refunds, and interest earned on savings. Generally, a higher income implies a greater capacity for families to contribute, yet larger households may require more aid, especially when enrolling multiple children in private school.

  To understand the balance between a household's income and expenses, schools assess both fixed and variable costs. Fixed expenses, such as home maintenance, utilities, insurance, tax payments, and savings, remain consistent from month to month. Variable expenses, encompassing items like gas, groceries, vehicle maintenance, health care, and entertainment, tend to fluctuate based on changing needs and external economic factors.

  Examples of fixed expenses:

  • Home maintenance
  • Utilities
  • Insurance
  • Tax payments
  • Savings

  Examples of variable expenses:

  • Gas
  • Groceries
  • Vehicle maintenance
  • Health care
  • Entertainment

  These costs can vary depending on a private school's policies regarding household expenses and the local cost of living.

• Does the Number of Children Enrolled Affect Financial Aid?

  Generally speaking, most large families have greater financial needs than those with fewer children. However, The Country School does not offer sibling discounts.

• How Is Financial Aid Determined?

  Calculating how much aid a private school offers each student is a thoughtful and detailed process that can be broken down into three simple steps:
  
  

  Expected Contribution

  The private school begins by deducting the family's regular expenses from their total income. This step helps assess the financial capacity of the family to contribute to the student's education.

  
  

  Additional Information

  Taking into account any external aid the student has received, such as scholarships or gifts from relatives, is the next crucial step. This additional information contributes to the comprehensive evaluation of the student's financial situation.

  
  

  Award

  The final step involves subtracting both the expected contribution and any additional aid from the private school's tuition. This calculation results in the determined financial aid award for the student, reflecting a balance between the family's financial capabilities and the overall cost of education.

• What Factors Play Into a Household’s Financial Aid Package?

  Determining a household's financial need involves various factors, with some holding greater significance than others. The primary influencers in the calculation of financial aid awards are total income, expenses, and assets. Additionally, the number of children from a single household enrolled in a school may be taken into consideration.
  
  

  In certain cases, private school students may secure scholarships from external organizations. While obtaining a scholarship doesn't affect a student's eligibility for aid, it does diminish their financial need. Consequently, the financial aid package they receive is likely to be smaller.