Since 2008, Michael Berlau has served as the owner of College Funding and Planning, a Kansas-based consulting firm that specializes in college planning solutions. A graduate of the University of Missouri, Michael Berlau has received numerous accolades that include the "Top Industry Advisor in the Midwest" by the College Planning Network for his college planning advice. In addition to facilitating public workshops, Mr. Berlau publishes informational videos on YouTube that address topics such as the pros and cons of public and private institutions and how to lower your Expected Family Contribution (EFC).
The EFC governs whether a student is eligible for federal financial aid in the form of Pell Grants, Stafford Loans, Perkins Loans, work study programs, and FSEOG grants. The EFC is calculated via a formula designed to assess the ability of families to fund a college education.
The EFC formula is affected not only by the expected contribution of parents, but also the expected contribution of students. To determine these values, data elements from the Free Application for Student Aid (FAFSA) are utilized. These include assets, income, allowances, and net worth, among others. Once the EFC is determined, school administrators subtract it from a university’s cost of attendance to produce a financial aid amount. A financial aid package can then be offered to prospective students.
