FAFSA Simplification

The FAFSA Simplification Act represents a significant overhaul to Federal Student Aid starting with the 2024-25 award year. This includes changes to the Free Application for Federal Student Aid (FAFSA) form aimed at making it easier for students and their families to apply for financial aid.  Additional changes include replacing the Expected Family Contribution (EFC) with the Student Aid Index (SAI) and expanding access to the Federal Pell Grant.  Due to these changes, the FAFSA form was officially released on November 21, 2024, for the 2025-2026 academic year.

Other Key Changes:

The FAFSA now uses the information for the parent who contributes the most financial support, regardless of who the student lives with.  If parents contribute equally, the adjusted gross income (AGI) of the highest earner will be used. 

A direct data share with the IRS is required.  Each contributor to the FAFSA (student, student spouse, parent(s), and/or stepparent) must provide consent to use their Federal Tax Information (FTI) on the FAFSA, even if they did not file a U.S. tax return.