March is supposed to bring college acceptance letters and financial aid offers, but instead, we’ve got a bit of a hot mess. First, there was the not-so-smooth rollout of the new Better FAFSA, and now Congress is talking about cutting more areas of student aid packages. If you’re a parent of a college-bound student, be sure to read this article, as it could help save your hard-earned dollars in your wallet.
So, what’s going on?
If Congress follows through on these cuts, Federal Pell Grants could shrink, and programs like Federal Work-Study and Public Service Loan Forgiveness might be on the chopping block. That means fewer opportunities for students to earn aid and more families forced to take on debt.
Student Loan Changes on the Table
Here are just a few of the ways Washington is thinking about “fixing” student loans:
Public Service Loan Forgiveness Reform
Congress wants to limit who qualifies for this program, making it even harder for borrowers to get relief.
Repealing Borrower Defense to Repayment
Repeal a Biden administration rule that made it easier for a borrower to discharge loans as a result of a school's misconduct, etc.
Eliminating Grad and Parent PLUS Loans by 2028
Not that we encourage taking out loans to cover college, but if you were counting on these loans to cover costs, that may not be the case.
Understanding Your College’s Offer
March is when most financial aid packages arrive, and that’s when reality hits parents in the face. “Wait, this is what we have to pay?!” Yep. And to be honest, that letter can be complicated if you’re not familiar with knowing what to look for.
Here’s what to look for:
Total Cost of Attendance
This should include tuition, room & board, books, and personal expenses.
Scholarships & Grants
Free money. Take it and run.
Loans
Most schools automatically offer federal loans, but remember, loans are not aid.
Work-Study
If offered, great! But it’s not guaranteed, and you’ll have to work for it.
Parent PLUS Loans
If they list this as “aid,” don’t fall for it—it’s just another way for you to go into debt.
Can You Negotiate a Better Deal?
Yes, you can! But you need to know who negotiates and who doesn’t.
State schools? Nope. What you see is what you get.
Private colleges? Many will negotiate—especially if they really want your student.
Think of it like buying a car. Savvy shoppers get multiple offers, compare prices, and use one deal to push for a better one. Colleges don’t like the word “negotiate,” but they absolutely do it—they just call it “re-evaluating financial aid.”
If you’ve got a better offer from another school, show them. If your financial situation has changed (job loss, medical bills, etc.), tell them. The worst they can say is no.
Don’t Let College Wreck Your Retirement
Here’s the truth: You can borrow for college, but you can’t borrow for retirement. Yet every year, parents wreck their financial future by taking on massive student loan debt.
Before you sign on the dotted line for a Parent PLUS Loan or take out a second mortgage, ask yourself: Can I actually afford this? If the answer is no, it’s time to consider different options.
Community college for two years
Save a ton of money and transfer later.
State schools over private schools
It's less fancy but a whole lot cheaper.
Scholarships, scholarships, scholarships
Your kid should be applying like it’s their part-time job. Get them started on these today.
Final Thoughts
Every year, I hear parents say the same thing: “I wish I had known this sooner.” Don’t wait until it’s too late to make a wise decision. The goal isn’t just to get your kid into college—it’s to get them through it without burying yourself in debt.
If you have questions about saving for your kid’s college future and need help with college planning, reach out to your financial advisor to discuss options and hear suggestions during the planning time.
Financial Aid Chaos: What Is Going On?
March 17, 2025
John-Mark Young
Whitaker-Myers Wealth Managers is an SEC-registered investment adviser firm. The information presented is for educational purposes only and intended for a broad audience. The information does not intend to make an offer or solicitation to sell or purchase any specific securities, investments, or investment strategies. Investments involve risk and are not guaranteed. Whitaker-Myers Wealth Managers reasonably believes that this marketing does not include any false or misleading statements or omissions of facts regarding services, investment, or client experience. Whitaker-Myers Wealth Managers has a reasonable belief that the content will not cause an untrue or misleading implication regarding the adviser’s services, investments, or client experiences. Please refer to the firm’s ADV Part 2A for material risks disclosures.
Past performance of specific investment advice should not be relied upon without knowledge of certain circumstances of market events, the nature and timing of the investments, and relevant constraints of the investment. Whitaker-Myers Wealth Managers has presented information in a fair and balanced manner.
Whitaker-Myers Wealth Managers is not giving tax, legal or accounting advice, consult a professional tax or legal representative if needed.
Copyright (c) 2023 Clearnomics, Inc. and Whitaker-Myers Wealth Managers, LTD. All rights reserved. The information contained herein has been obtained from sources believed to be reliable, but is not necessarily complete and its accuracy cannot be guaranteed. No representation or warranty, express or implied, is made as to the fairness, accuracy, completeness, or correctness of the information and opinions contained herein. The views and the other information provided are subject to change without notice. All reports posted on or via www.clearnomics.com or any affiliated websites, applications, or services are issued without regard to the specific investment objectives, financial situation, or particular needs of any specific recipient and are not to be construed as a solicitation or an offer to buy or sell any securities or related financial instruments. Past performance is not necessarily a guide to future results. Company fundamentals and earnings may be mentioned occasionally, but should not be construed as a recommendation to buy, sell, or hold the company's stock. Predictions, forecasts, and estimates for any and all markets should not be construed as recommendations to buy, sell, or hold any security--including mutual funds, futures contracts, and exchange traded funds, or any similar instruments. The text, images, and other materials contained or displayed in this report are proprietary to Clearnomics, Inc. and constitute valuable intellectual property. All unauthorized reproduction or other use of material from Clearnomics, Inc. shall be deemed willful infringement(s) of this copyright and other proprietary and intellectual property rights, including but not limited to, rights of privacy. Clearnomics, Inc. expressly reserves all rights in connection with its intellectual property, including without limitation the right to block the transfer of its products and services and/or to track usage thereof, through electronic tracking technology, and all other lawful means, now known or hereafter devised. Clearnomics, Inc. reserves the right, without further notice, to pursue to the fullest extent allowed by the law any and all criminal and civil remedies for the violation of its rights.
