It is where the parent where the child that spends more than 50% of the time, not the custodial parent, or the parent who gets the tax deduction. It is not advisable to get creative with this because the colleges have seen it all and will know if you are lying on the financial aid form. There is a $20,000 fine and a felony conviction for misrepresentation.

If there is a remarriage, the federal law requires that the stepparent’s asset information be included. Prenuptial agreements are not recognized by the colleges because they are considered to be third party agreements. In the event that the child applies to a private college, the “other” parent will be required to complete a College Scholarship Services Divorced and Separated Parents Form which will be sent directly to the private colleges. Again, if there is a remarriage that stepparent’s asset information will also need to be reported.