Inside Higher Ed did a nice story today on the 2 month FAFSA delay. See summary below.
The full story requires registration to view, but here are the highlights.
“The FAFSA is at the center of the college financial aid system, unlocking billions in federal, state and institutional aid for more than 18 million students annually. The federal government is overhauling the form as part of a project known as FAFSA Simplification, delaying this year’s opening from Oct. 1 to sometime in December.
The changes to the FAFSA have wide-reaching implications for higher education, as more students are expected to be eligible for the Pell Grant and receive more state and institutional aid. Advocates hope this “simplification” will make college more accessible for lower-income students.
An Education Department spokesperson said in a statement that there’s no update on exactly when the new FAFSA will launch. Federal law requires the form to be available by Jan. 1, which is when the form was released until 2016, after which the launch date moved up to Oct. 1.
“As previously announced, it will launch in December, and our office of Federal Student Aid continues to work expeditiously on the 2024–25 FAFSA,” the statement said.”
5 Things to Know About the New FAFSA
- The federal government will use a Student Aid Index instead of the current Expected Family Contribution to determine how much money a student should get.
- Eligibility for the Pell Grant will be based on household size and adjusted gross income, similar to the federal poverty guidelines.
- The current discount for families with more than one child in college is going away.
- The new aid-eligibility formula will take into account the net worth of family farms or small businesses, both of which have been exempt.
- Students whose families have an adjusted gross income of less than $60,000 won’t have to answer questions, making for an easier process.