This means that the Free Application for Federal Student Aid (FAFSA)for its acronym in English), which students can normally complete starting in October, is not yet available to everyone.
Since its pilot launch was announced, its availability has been limited, and some students and their families have experienced technical issues.
“Even by the standards of a phased release, this weekend’s release was problematic, and students, families and financial aid administrators who have been awaiting this release for months are understandably frustrated,” said Justin Draeger, president of the National Association of Student Financial Aid Administrators.
A Department of Education spokesperson said they hope to keep the application open for longer periods while they work out software glitches in the new form.
As of 6:30 p.m. Thursday, the department had received more than half a million successful applications, according to a spokesperson. Each year, more than 17 million students fill out the FAFSA, which uses financial information about students and their families to determine if they can get financial aid from the federal government to pay for college.
The relaunch brings important changes, such as fewer questions, the ability to specify more universities, and availability in more languages. However, the update means that students will receive their financial aid offers later than usual.
Here’s what you need to know:
How does the FAFSA work?
The FAFSA is a government form free program that uses financial information about you and your family to determine if you can get financial aid from the federal government to pay for college.
The FAFSA will send your financial information to the schools you say you are interested in attending. Previously it only allowed you to send your information to 10 universities, but the new form will allow you to send your application to a maximum of 20. Each school that admits you will send you a financial aid package. The amount of aid you get depends on each institution.
The form is also used to determine eligibility for other federal student aid programs, such as work-study and loans, as well as state and school aid. Private merit-based scholarships sometimes also require information from the FAFSA to determine your eligibility.
When will the 2024-2025 FAFSA be available?
The Department of Education announced a pilot launch period at the end of December.
“During the soft launch, the FAFSA form will be available to students and families periodically as we monitor site performance and form functionality,” according to the department’s website.
The Department of Education did not initially say when or for how long the form would be available. But the department announced on its social networks on Thursday, January 4, that it would be possible to access the form that day and on Friday, January 5, from 8 a.m. to 8 p.m.
Who should fill out the FAFSA?
Anyone planning to attend college next year. Both first-time college students and returning students can apply for the FAFSA. Many choose not to submit the form, believing their family income is too high for them to be taken into account, but all students are encouraged to complete it.
Students and their parents can use the federal student aid calculator to get an early estimate of their financial package.
What are the crucial changes for the new FAFSA?
Overall, the goal of relaunching the form is to make the process easier for students and their families. The Department of Education also said the relaunch will increase financial aid eligibility for low- and middle-income students.
“Most students and families will be able to complete the process in less time, and we will see more students qualify for aid based on their needs,” Draeger said.
These are the key changes:
-
Federal Student Aid Identification
Starting this year, everyone who needs to provide information for the FAFSA will be required to create a Federal Student Aid ID (FSA ID).
In previous years, only the student and one parent needed to have an FSA ID. For Form 2024-2025, anyone who needs to provide information, such as the student’s spouse, their biological or adoptive parent, or a parent’s spouse, must have an individual FSA ID.
To create an FSA ID, taxpayers need their Social Security number and email address.
-
Student Aid Index
The new FAFSA will replace the Expected Family Contribution with a different formula called the Student Aid Index (SAI), which will determine the amount each student can receive in financial aid.
Both formulas take into account the income and assets of the student and his or her parents and include both taxed and untaxed income. But unlike the previous formula, the new one will not benefit families with multiple students in college. The new formula will allow students from families that are not required to file federal income taxes to automatically be considered for a large amount of financial aid.
-
Internal Revenue Service (IRS) Data Collection Tool
The updated FAFSA will include fewer questions, making completing the form faster. However, all taxpayers must consent to have their IRS information imported directly into the FAFSA.
In previous years, it was optional to use the IRS Data Collection Tool. Now, if a taxpayer does not consent to having their information imported, the student will not be eligible to receive financial aid.
The FAFSA will be available in the 11 most common languages. Previously it was only in English and Spanish.
-
Increased eligibility for Federal Pell Grants
In the 2024-2025 award year, more students will be eligible to receive a Federal Pell Grant. According to the Department of Education, it is estimated that 610,000 new students will be eligible for a scholarship. It will also allow 1.5 million more students to receive the maximum amount of a Pell Grant, bringing the number of students who are eligible for it to more than 5.2 million. The maximum federal amount available for a Pell Grant last year was $7,395.
What can I do while I wait to fill out my application?
While you wait to complete the FAFSA, be sure to create an FSA ID for yourself and all taxpayers.
When you generate your FSA ID, it will take between one and three days for your information to be confirmed. That is why it is important for each taxpayer to create their FSA ID before the student begins completing the form.
When can I expect to find out my financial aid award?
Since the process was delayed this year, students will begin receiving their offers later than usual. If a student completes the application as soon as it is available, the colleges on her list will not receive information from her until possibly late January, Draeger said.
“There will be a small gap and possibly a delay, so we ask for a little patience,” Draeger added.
In previous years, colleges obtained information about students shortly after they began filing the FAFSA in October. That meant students would receive their financial aid awards along with their acceptance letters in January.
Draeger recommends that students periodically check the website of the university where they wish to study for relevant new deadlines.
Source: With information from AP/Charles Schwab Foundation
