Yes, having more than one child attending college will make financial aid (for both children) increase. Most schools' financial aid applications have a space to indicate whether you have other children attending college and how much their tuition is. This is also part of the FAFSA, so it's integrated into the decision-making process.

It kind of varies, though, how much the aid will increase. I had a son at a private school entering his third year and a daughter beginning her first year at another private institution. My son's aid went up by a few thousand dollars, while my daughter's aid left much to be desired.

This adjustment of financial aid applies to any children you're paying tuition for. If you have any children enrolled in private educational institutions for which you have to pay tuition, be they primary schools, middle schools, high schools, or colleges, you can list these on financial aid applications. Of course, not every school follows this practice. But generally, you can add this information to your financial aid application and expect a bump in your financial aid package.