Do You Get More Financial Aid if You Have Siblings in College?

Financial aid for higher education in the United States helps millions of students pursue their academic goals each year. This assistance, often determined by a family’s financial circumstances, aims to bridge the gap between educational costs and what a family can reasonably contribute. A frequent question from families concerns how having more than one child enrolled in college simultaneously might influence the amount of financial aid received. Understanding these determinations is an important step for families navigating college financing.

How the Student Aid Index (SAI) Accounts for Multiple Students

The Student Aid Index (SAI) represents a student’s financial strength and capacity to contribute to college costs, determining eligibility for need-based financial aid. This index was introduced with the redesigned 2024-25 Free Application for Federal Student Aid (FAFSA), replacing the former Expected Family Contribution (EFC). A lower SAI indicates a greater financial need, translating into increased eligibility for various forms of assistance. The SAI can even be a negative number, as low as -$1,500, identifying students with the highest financial need.

Under the previous EFC system, a “sibling discount” was applied, dividing the parental contribution by the number of dependent children simultaneously enrolled in eligible postsecondary institutions. This meant that if a family had two children in college, their calculated parental contribution per student would effectively be halved. With the introduction of the SAI, this direct division is eliminated. The SAI calculation no longer prorates the parent contribution based on the number of students in college.

While the direct “sibling discount” is no longer a feature of the federal SAI calculation, overall family size remains a factor. The SAI formulas consider the number of persons within the family, including parents and all dependent children. However, this does not provide the specific per-student reduction previously available when multiple children were concurrently enrolled in college.

This shift in the federal methodology can result in a higher calculated SAI for families with multiple children in college compared to the EFC system. Consequently, some middle and high-income families, who previously benefited from the EFC’s multi-student adjustment, may find their eligibility for federal need-based aid reduced. The SAI is designed to provide a more streamlined and direct assessment of a family’s financial situation without the specific multi-student proration.

Reporting Multiple College Students on Financial Aid Forms

Accurately reporting family information on financial aid applications determines aid eligibility. For federal student aid, each eligible student must complete their own Free Application for Federal Student Aid (FAFSA). While each dependent student submits an individual FAFSA, the parental financial information is linked across these applications. Parents need to create their own FSA ID.

After a dependent student completes their FAFSA sections, they invite their parent(s) to contribute. If a family has multiple children applying for aid, the parent receives separate invitation emails for each child. Upon completing the parent section for the first child, the FAFSA system often allows for the transfer of parental data to subsequent applications for other siblings, streamlining the process and ensuring consistency in reported parental information.

The FAFSA form still includes questions about the number of family members attending college, though this information no longer directly impacts the Student Aid Index (SAI) calculation. For federal aid, an “eligible” student refers to someone enrolled at least half-time in a degree-seeking program at an eligible postsecondary institution. Report all dependent undergraduate siblings who meet these criteria.

Many private colleges and universities require the CSS Profile for institutional aid consideration, in addition to the FAFSA. The CSS Profile collects information about household members and the number of individuals attending college. This form can be more comprehensive than the FAFSA, sometimes requiring information from noncustodial parents and delving deeper into family assets and expenses.

When completing the CSS Profile, families report the number of household members receiving financial support from parents and indicate how many are attending college. The CSS Profile also features a “Special Circumstances” section where families can provide additional context regarding their financial situation, such as unusual expenses or income changes. Completing both the FAFSA and, if required, the CSS Profile, ensures institutions have the necessary data to assess a family’s complete financial picture.

How Colleges Factor In Multiple Students for Aid Packages

After the Student Aid Index (SAI) is calculated from FAFSA information, individual colleges and universities determine the financial aid packages offered. While a lower SAI signifies greater financial need and can lead to increased eligibility for federal need-based aid, the specific aid awarded depends on each institution’s policies. Colleges consider their financial aid policies, endowment resources, and whether they commit to “meeting full need” for admitted students.

A lower SAI, regardless of whether influenced by multiple students in college, can increase a student’s eligibility for various types of aid. This may include federal Pell Grants for those with the highest need, subsidized federal loans, and institutional grants or scholarships. Institutions often combine these aid types, such as grants, scholarships, loans, and work-study opportunities, to create a comprehensive financial aid package designed to help cover the cost of attendance.

The “sibling discount” is no longer directly applied in the federal SAI. However, colleges retain discretion to consider a family’s unique circumstances, including multiple students simultaneously enrolled, when awarding institutional aid. Many private institutions, particularly those with substantial endowments, may use their own methodologies to assess financial need and allocate funds, potentially providing additional assistance to families supporting multiple college students.

Families facing financial strain due to multiple college enrollments can explore “professional judgment” with a college’s financial aid office. Professional judgment allows financial aid administrators to adjust a student’s SAI or Cost of Attendance (COA) in documented special circumstances not fully captured by the FAFSA. Families can appeal to the financial aid office, explaining how concurrent enrollment of siblings impacts their ability to contribute.

These professional judgment requests require documentation supporting the unique financial situation, and colleges are required to consider them. Aid packages are re-evaluated annually, allowing colleges to adjust aid offers based on changes in family income, assets, and the number of dependents attending college. This ensures assistance remains responsive to evolving financial needs.