By Ryan Mercer · CampusROI Editorial Team
May 1 Is Coming: How to Compare Financial Aid Packages Before You Commit
College Decision Day is May 1. The new PLUS loan cap changes what "affordable" means. Run these 4 numbers on every package before you commit.
May 1 is College Decision Day. You have a stack of financial aid packages, each formatted differently, each using different language, each designed to make its school look more affordable than it is. And starting this fall, the Parent PLUS loan cap changes which schools your family can actually afford to attend.
Here are the four numbers to run on every package before you commit.
Why Financial Aid Letters Are Hard to Compare
Financial aid offices are not required to present awards in a standardized format. Some bundle loans with grants under "total aid." Some list the Parent PLUS loan as "additional funding available" rather than debt. Some show the cost of attendance without itemizing what is included.
A school offering "$42,000 in aid" on a $55,000 cost of attendance might be offering $12,000 in grants and $30,000 in loans - leaving a $43,000 net cost once you subtract the loans you will repay. A school offering "$28,000 in aid" on a $40,000 cost of attendance might be offering all grants - leaving a $12,000 net cost.
The $42,000 offer looks better. The $12,000 net cost is better by $31,000. This is exactly the confusion financial aid letters are designed to create.
The 4 Numbers to Run on Every Package
Number 1: True Net Price
Formula: Cost of attendance - (grants + scholarships only) = net price
Do not subtract loans. Do not subtract work-study (you earn that, it is not a discount). Subtract only the money you will never repay.
| Package Component | Include in Subtraction? |
|---|---|
| Grants | Yes |
| Scholarships | Yes |
| Subsidized loans | No |
| Unsubsidized loans | No |
| Parent PLUS loans | No |
| Work-study | No |
Number 2: Loan Gap Above the New PLUS Cap
Formula: Net price - $20,000 = amount you need to cover beyond federal Parent PLUS
Starting July 1, 2026, Parent PLUS loans are capped at $20,000 per year. If your net price is $35,000, Parent PLUS covers $20,000. You need a plan for the $15,000 gap - every year, for four years.
That gap either comes from: - Savings or 529 funds - Private student loans (typically 7-12% interest, no income-driven repayment) - Monthly payment plans through the school's bursar - Additional institutional aid (ask for it explicitly)
A school with a $35,000 net price now requires a documented plan for $15,000/year in non-federal funding. A school with an $18,000 net price does not. That difference is not a rounding error.
Run this for every school on your list. Any net price above $20,000 demands a specific answer to: "Where does the gap money come from?"
Number 3: Debt at Graduation
Formula: (Student loans per year) × 4 + parent loans = total debt at graduation
Add up every loan in the package - subsidized, unsubsidized, and any parent borrowing - multiply by four years, and compare across schools. This is the number that follows your family out of graduation.
A useful benchmark: financial advisors recommend total student loan debt at graduation not exceed the student's expected first-year salary. The College Scorecard reports median earnings one year after graduation for each school. If projected debt exceeds that number, you are starting your financial life underwater.
Check each school's actual median debt and median earnings using our school profiles - the data is already there.
Number 4: Whether the Aid Renews
Ask financial aid offices directly: "Is this award renewable for all four years, and what are the conditions?"
Merit aid often has GPA requirements (commonly 3.0 or 3.5) that students lose when coursework gets harder. Need-based aid can shift if family financial circumstances change - in either direction. Some scholarships are one-time awards that do not renew.
A package that is $15,000/year in Year 1 and $8,000/year in Years 2-4 has a very different four-year cost than one that is flat. Schools are not required to tell you this proactively. You have to ask.
How to Request a Better Offer
May 1 is the deadline schools are working around. Until then, every school that has admitted you wants your enrollment. This gives you leverage - particularly if you have a competing offer from a comparable institution.
What to do: 1. Identify the school you most prefer academically 2. Find a comparable school (similar selectivity, type, size) offering meaningfully better aid 3. Call or email the financial aid office at your preferred school 4. Say: "I've been admitted to [School B] with a net price of [X]. [School A] is my first choice. Is there any flexibility in my award?" 5. Have documentation ready - the other school's award letter
Schools with declining enrollment, large freshman classes to fill, or recent drops in applications are more likely to respond. Elite schools with 8% acceptance rates are less likely to move. Regional private schools and many public universities will negotiate.
The worst outcome is they say no. You are no better off than before you called.
A Quick Comparison Framework
For each school on your list, fill in this table:
| School | Cost of Attendance | Grants/Scholarships | True Net Price | Gap above $20K cap | Debt at Graduation |
|---|---|---|---|---|---|
| School A | |||||
| School B | |||||
| School C |
A school that costs $8,000 more per year and produces graduates earning $12,000 more per year is worth the premium. A school that costs $12,000 more per year and produces graduates earning $3,000 more per year is not.
The May 1 Decision
Before you commit on May 1:
- Know the true net price of every school (grants only, no loans) - Know how you are covering any gap above $20,000/year after the new PLUS cap - Know the total debt load at graduation and whether it fits the one-year-salary benchmark - Have confirmed that aid renews under achievable conditions - Have made one call asking for a better offer from your first choice
The decision you make on May 1 is a financial contract that follows your family for 10-20 years. It deserves two hours of spreadsheet work before you sign it.
Sources: NASFAA, U.S. Department of Education College Scorecard, Consumer Financial Protection Bureau student loan resources. All figures as of April 2026.
Frequently Asked Questions
What is the most important number in a financial aid package?
Net price - what your family actually pays after all grants and scholarships, before loans. This is not the same as "total aid." Aid packages bundle grants (free money) with loans (debt you repay) to make the total look large. Subtract only grants and scholarships from the cost of attendance to get your true net price. Then compare that number across schools, not the total aid figure.
How does the Parent PLUS loan cap change financial aid comparisons in 2026?
Starting July 1, 2026, Parent PLUS loans are capped at $20,000 per year. If a school's net price exceeds $20,000 and you planned to borrow the difference through Parent PLUS, you now need to find the gap elsewhere - through savings, private loans, or additional institutional aid. This makes any school with a net price above $20,000 require a specific plan for covering the excess.
Can you negotiate a better financial aid offer?
Yes, and May 1 is the deadline schools work around. If you have a competing offer from a comparable school that is more generous, contact the financial aid office directly, provide documentation of the competing offer, and ask whether they can match or improve it. Schools with declining enrollment or excess capacity are more likely to negotiate. The worst they can say is no.
Run your own numbers
Every family's situation is different. Use our tools to model your specific scenario.