In my 26 years of delivering seminars on college funding related topics, there is often one topic that typically receives a great deal of attention.  This topic is the question of assets.  I deal with asset issues on two specific video seminars; "The Variables that Drive the EFC," and "Asset Repositioning, is it really worth it?"

Savings and investments as we all know can change based on life's circumstances.  What you own in an account today may or may not be there tomorrow.  FAFSA regulations indicate that families should record the value of savings and investments, the day they file the form.  Of course, this could lead to one examining the position that one holds savings and investments prior to filing the form.

There are some financial planner types who promote the idea of asset repositioning as some sort of "aid panacea."  These planners might inappropriately give families the perspective that if they reposition their assets they may be eligible for financial aid that otherwise would not be available.

Now with the new net price calculators, some of that uncertaintly and guesswork can be eliminated.  If you are concerned about the impact that savings and investments might have on net price, use the net price calculator at a number of different colleges - completing each one with different savings and investments listed.  I think what you are going to find is that the net price seldom changes.

There are some cases however when it is in your long term financial interest to create a better balance of liquid savings and retirement savings.  Liquid savings are listed on the FAFSA; retirement savings are not.  Perhaps your balance is out of line and your planner suggests that you need to reorganize your savings, creating movement from liquid savings to retirment savings.  In some cases, especially when the income of the family is low or moderate, moving savings from a liquid position to a retirement position could reduce the net price.  Before you consider this type of movement I would encourage you to ask yourself this question, "If college aid was not an issue, would you make this move?"  If your answer is no, I would hesitate to reposition just for the possible benefit of receiving some form of financial aid.