The Free Application for Federal Student Aid (FAFSA) application opened later than usual this year for the 2024-2025 school year.
There’s a reason for the delay – a new law called the FAFSA Simplification Act is changing how financial aid is awarded.
What’s changing?
Fewer questions: The FAFSA application will be shorter and easier to understand. Students may answer as few as 18 questions, compared to 100 in the past.
More Pell Grants: The act aims to make the Federal Pell Grant, which helps low-income students afford college, available to more students. An estimated 610,000 additional students will be eligible.
New way to measure need: A new system called the Student Aid Index replaces the Expected Family Contribution (EFC) to determine Pell Grant eligibility. The EFC considered factors like a family’s size with siblings in college. The new system doesn’t.
Easier to complete: A shorter application should be less time-consuming and confusing for students.
More students get Pell Grants: The changes aim to make financial aid more accessible to students from low-income families.
Potential drawbacks:
Less accurate financial picture: With fewer questions, the FAFSA might not capture a complete picture of a family’s financial situation. Colleges might need to ask for additional information.
Pell Grant loss for some: Students who previously qualified for Pell Grants with the EFC system might not qualify under the new system, especially if they have siblings in college.
Longer state applications: Information from the FAFSA used to be shared with state grant programs. Now, students might have to fill out separate, longer applications.
If you have concerns about the new FAFSA or how it might affect your aid, talk to your college’s financial aid office. They can explain the changes and help you complete the application.