Frequently Asked Questions - Independent Questions
- I used a co-signer on my educational loans; will I be considered independent?
- Co-signed loans or Undergradute PLUS loans are not secured by the student alone. Income and support must be from self generated funds. Co-signed loans are secured by the person who co-signed the loans. Therefore they are not considered self-generated sources of support and are not included as income for the particular tax year.
Back to Top
- My parents still provide my health insurance at no additional cost to them; will this affect my independence?
- Being carried on the parents' health insurance will not, of itself, be the cause for denial of residency. However, it will bring your residency into question. The provision of insurance is considered a form of support. While it is not direct monetary support, the savings realized by you can be significant. Additionally, most insurance policies will only allow parents to carry dependents on their insurance if they are full time students. ABOR policy requires that a petitioner overcome the presumption they are in Arizona merely as students.
Back to Top
- Is there a certain amount of money I need to earn in order to be considered independent?
- No specific dollar amount exists at which a student is considered independent. However, a student must earn a reasonable amount to cover their tuition and living expenses. For example, a student filed taxes on earnings of $20,000 for a particular tax year. Their tuition expenses for that year were $16,000. This would indicate that a student had $4000 to meet all their living expenses for the entire year. That is roughly $333 a month. This is not a reasonable amount.
Back to Top
- I was claimed on another person's taxes (other than my spouse) during one of the tax years; will I be considered independent?
- No. By claiming you as a tax dependent the person indicated that they provided at least fifty-one percent of your support. It is difficult to claim independence when another person provided the majority of your support.
Back to Top
- I was in high school during one of the tax years; will I be considered independent?
- No. Students are not generally considered independent during the tax years they are in high school regardless of how taxes are filed. While in high school, students generally rely on others for even the most basic living necessities such as food and a place to live. It is difficult to claim independence when relying on someone else.
Back to Top
- My significant other (boyfriend, girlfriend, or fiancé) supports me; does this make me financially independent?
- No, in order to meet the financial independent guideline you must be self-supporting. However, we can use a spouse’s income for support, in addition to your own.
Back to Top
- Do I have to meet all of the independent requirements?
- Yes, you must meet all of the independent requirements: one year showing presence and intent, and two years financial independence, unless you meet one of the exception policies.
Back to Top
- My support is from a trust/investment account; is that considered independent?
- Trusts and investments can be considered acceptable for self-support if certain criteria are met. You must document when and how the trust/investment was established. It must have been set up in your name prior to the ninth grade, unless it was established due to an inheritance or accident settlement. It will be important for you to document any withdrawals during the two year self-support time period.
Back to Top
