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WHO ARE WE?
SJGAssociates is a boutique law office located in West Los Angeles specializing in business and real estate law. We handle business and real estate litigation cases including, breach of contract, real estate fraud and non disclosure cases, negligence and breach of fiduciary duty actions against real estate agents. We also represent small business owners in corporation and partnership dissolution matters where a shareholder or partner seeks to dissolve and/or buy out the interests of other members. We are also actively involved in forming California corporations and LLC's for newly formed businesses, investors, and parents of students applying to college in need of financial aid. See discussion below.
COLLEGE FINANCIAL AID
Another focus of our practice is LLC formation in the context of parents with children applying for college financial aid. For clients who own rental real estate or who own and operate a family owned business, the placement of these type assets in a properly structured business entity such as an LLC, may result in saving thousands of dollars in college tuition.
IS COLLEGE FINANCIAL AID FOR EVERYONE INCLUDING THE WEALTHY
Just about. Unless the student's family are Rockefellers, college aid is available to anyone who can establish the requisite "need". We believe a student should apply even if the student thinks his/her parents are too wealthy to qualify. By employing financial planning techniques determined by the student's college aid adviser, a student may be surprised to learn that he/ she is able to establish "need" for purposes of receiving financial aid.
HOW IS NEED DETERMINED?
The US Department of Education calculates financial need using a formula established by Congress. The formulas are applied to the information which the student and parents report on the Free Application for Student Aid (FAFSA). By applying the formula to your financial situation, your expected family contribution (EFC) is determined. The EFC is the student's ability to absorb a portion of the cost of the college tuition and related costs. The lower your EFC, the greater will be your financial aid package.
HOW DO COLLEGES DETERMINE YOUR AWARD?
The cost of attendance (COA), will vary from school to school. Your EFC for each year in question is constant. A student's need therefore will vary depending on the COA and EFC. For example, if the COA for University A is $40,000 annually and $35,000 for University B and your EFC is $15,000, then the student's need is $25,000 for University A and $20,000 for University B. Once your need is determined the college of your choice will issue an annual " award package" which may consist of loans, grants, need based
funding, etc.
HOW DO WE FIT IN?
As a business and real estate law firm we specialize in corporation and LLC formation. If the students family owns and operates a "family owned business" as defined under the Higher Education Act of 2005, we may be able to reduce your EFC by incorporating the family business and making sure that all requirements of the Higher Education Act are met.
Similarly, if a students parents own rental real estate in California, we may be able to reduce your EFC by creating a California LLC and conveying the realty to that LLC while having the parent (or their revocable living trust) be the members of the LLC. Note that through these techniques we are focusing on both the assets and potentially the income generated by these assets for purposes of the FAFSA.
Working with a students college aid advisory team we are sensitive to the rigorous time deadlines required for filling the FAFSA. If the FAFSA is filed late, the student's chances of a financial aid package are severely diminished. Hence we are prepared to do your legal work as expeditiously as possible and at a very competitive rate.
Our office is located in Los Angeles, California, and we look forward to discussing your needs with you. Call us at 310.652.8090, or email us for a quick response.
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