[Mick]

#2 - So this hard on their luck family is now pulling in income that puts that in the top 3% of US households?  It sounds like a dramatic drop in wealth, income and health, but based on your description they were likely in the top 1 or 2% of households prior to the events.  Yes, I realize $190K in Silicon Valley is middle class, but on federal formulas that's still a high standard of living.  UCB's subsidized tuition for all approach would likely have been good for them if attending a college was purely based on finding the lowest cost school as their assets and recent FAFSA type earnings over the last few years were going to be more than your average family in the US.

Well, $190k is the top 4% for the USA, not top 1% or 2% or 3%.  And it would be a high standard of living in Detroit or Topeka or Biloxi...not so much in silicon valley where the two of them make the $190k.  Color me impressed by how you blithely dismiss 'the events," you sound just like he describes their financial aid counselors.  Personally, I wouldn't have the stones to do that to a couple who'd lost everything, but that's just me.

So here's their situation: $190k less $70k in fed/state/FICA/SDI taxes.  High, because they don't have mortgage or property tax deductions.  So after tax, they have about $10k/month.  They rent a shithole for $4k leaving $6k.  Their payments on all of their college loans are $2,700 per month, leaving $3,300.  Medical insurance, deductible and payments are another $600, so now it's $2,700 per month for all expenses for two adults plus the youngest child.  They don't qualify for medical aid.  Happily, they make enough to fund his life insurance, because, well, ya never know.

[Mick]

#2 - So this hard on their luck family is now pulling in income that puts that in the top 3% of US households?  It sounds like a dramatic drop in wealth, income and health, but based on your description they were likely in the top 1 or 2% of households prior to the events.  Yes, I realize $190K in Silicon Valley is middle class, but on federal formulas that's still a high standard of living.  UCB's subsidized tuition for all approach would likely have been good for them if attending a college was purely based on finding the lowest cost school as their assets and recent FAFSA type earnings over the last few years were going to be more than your average family in the US.

Well, $190k is the top 4% for the USA, not top 1% or 2% or 3%.  And it would be a high standard of living in Detroit or Topeka or Biloxi...not so much in silicon valley where the two of them make the $190k.  Color me impressed by how you blithely dismiss 'the events," you sound just like he describes their financial aid counselors.  Personally, I wouldn't have the stones to do that to a couple who'd lost everything, but that's just me.

So here's their situation: $190k less $70k in fed/state/FICA/SDI taxes.  High, because they don't have mortgage or property tax deductions.  So after tax, they have about $10k/month.  They rent a shithole for $4k leaving $6k.  Their payments on all of their college loans are $2,700 per month, leaving $3,300.  Medical insurance, deductible and payments are another $600, so now it's $2,700 per month for all expenses for two adults plus the youngest child.  They don't qualify for medical aid.  Happily, they make enough to fund his life insurance, because, well, ya never know.