“Financial Aid” is a bit of a misnomer. FA actually is a combination of your personal savings, (529, cash), state/fed grants, scholarships, work study with Fed adding to student earned income, school grants, and loans. Both parental and student.

All bets are off if you are an accomplished athlete, musician, or a dreamer in Ca.

As mentioned, private schools tend to have more endowment available for need based grants. State and UC’s, not so much.

At this point, the op is just salting away $. Good.

He will become deep in the weeds soon enough, especially when he has to fill out the CSS profile and other school specific financial disclosure forms where they ask for a ‘full’ breakdown of your net worth! ..cause you probably ain’t getting any free $!

That is when you pull out the 529 and just pay the bill ;).

Another wildcard is that you just don’t know if your star kid is actually college material at this point. Lot’s will be happening in middle and high school!

So, you can always take your $ out of the 529 by paying tax and penalty.

Oh, and don’t forget that the very generous grant and FA package made to freshman can quickly dry up the following year. Hey the kid doesn’t want to leave the school, and they now don’t have to incentivize you with $ any longer. I’m looking at you USC!!