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I've read that it is not wise for a grandparent to pay college bills directly, or through the grandchild, but that the bills should be paid by the parents. It would be all the same to me, but why is this? Would a payment from someone other than a parent reveal another source of support that the college would want to consider in their aid evaluation?

I've read best way is to pay the college directly - because of potential gift tax.

If you're really concerned about whether it'd be considered in their aid evaluation, call up the aid office for your grandkid's university and ask them that. They'll know the answer to that (but may not know answers to questions about tax implications)

BTW - I recommend she get a part time job. There was a study not too long ago that showed a part time job actually helped students do better. (IIRC theory was it helped with their time management skills)
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