FAFSA Simplification

The 2024 - 2025 FAFSA has been launched.

FAFSA Simplification Webinar

Recorded December 12, 2023. Open captioned archive.

Watch the recording

The FAFSA Simplification Act will streamline the financial aid process for students and families. This legislation brings about significant changes, including a reduction in the number of questions on the FAFSA, clearer wording of questions, and an effort to enhance Federal Pell Grant eligibility. While the simplification may increase financial aid eligibility for some students, it could also result in decreased aid for others. Below, we outline key changes that may impact the application process and subsequent financial aid offers for students.

FAFSA Simplification Q&A

FAFSA Simplification Changes Effective with the 2024-25 FAFSA

The 2024-25 FAFSA will not be available on October 1. The U.S. Department of Education’s anticipated launch date of the 2024-25 FAFSA is December 2023.
Due to the change in 2024-25 FAFSA availability, K-State has moved our FAFSA Priority Date from December 1, 2023, to March 1, 2024 for the 2024-25 aid year.
Starting with the 2024-25 FAFSA, the Estimated Family Contribution (EFC) has been replaced by a new, Student Aid Index (SAI). The SAI is based on differing data points than what was used by the Department of Education for calculating an EFC. However, the new SAI will be used by the Office of Student Financial Assistance in a similar way as the EFC in determining aid eligibility.
The FAFSA Simplification Act is set to expand Pell Grant access for numerous students. While some K-State students may lose eligibility for a Federal Pell Grant under the new FAFSA Simplification changes, preliminary data analysis indicates that, overall, a significant number of K-State students will, for the first time, become Federal Pell Grant eligible starting in 2024-25.
Under the new calculation rules, a SAI can be a negative number (from – 1 down to -1,500). Negative SAI values will allow K-State to identify students more accurately with greatest need. Note: The maximum Federal Pell Grant amount will, however, be the same whether a student has a negative value SAI or a value of zero (0).
The new Student Aid Index (SAI), unlike the previous Expected Family Contribution (EFC) calculation, will not factor in the number of students in a family attending college. This change in federal FAFSA calculation might lead to a decrease in need-based aid eligibility for some students who previously benefited from the fact that other family members were attending college at the same time.
Primary or Custodial Parent: For a dependent student whose parents are divorced or separated, the primary or custodial parent, starting with the 2024-25 FAFSA, is the parent who provides the greater portion of the student’s financial support and is required to provide their information (and if applicable their spouse’s information) on the FAFSA form.
The listing of the net worth of a business will no longer be limited to those with 100 or more full-time employees. Applicants will be asked to report the net worth amount of all businesses, regardless of size starting with the 2024-25 FAFSA.
The listing of the net worth of a farm will now include the net worth of a family farm. While the value of a family’s primary residence will still be excluded, the net worth of the farm may include the fair market value of land, buildings, livestock, unharvested crops, and machinery actively used minus any debts held against those assets starting with the 2024-25 FAFSA.
Parents without a Social Security Number will be able to apply for an FSA ID. This will speed up FAFSA processing time as they’ll be able to submit the FAFSA application online, rather than having to print, sign, and mail their application.

FAFSA Simplification Q&A

Why is there a delay in when the 2024-25 FAFSA will be coming out?

How is the delay to the 2024-25 FAFSA go-live date impacting K-State’s FAFSA Priority Date?

What is an SAI?

How are assets treated differently on the 2024-25 FAFSA?

How do I report the net worth of a small business or farm as an asset on the 2024-05 FAFSA?

Can I submit a 2024-25 FAFSA as a Dependent student without any parental information?

Yes. However, K-State’s Office of Student Financial Assistance recommends that you contact our office first to discuss whether you have an unusual circumstance that prevents your from providing parental information. While the U.S. Department of Education will process a FAFSA for a Dependent student without parental information, our office will still need to collect documentation of your unusual circumstance such as abuse, neglect, or abandonment.

Do parents and students need to wait until the 2024-25 FAFSA opens in December to create an FSA ID?

What are Contributors on the 2024-25 FAFSA?

Contributor is a new term introduced on the 2024-25 FAFSA application. It refers to anyone asked to provide information on a student's FAFSA application, i.e., the student, the student's spouse, the student’s biological or adoptive parent(s), and a parent's spouse (stepparent to the student). A Contributor is NOT a grandparent, foster parents, legal guardian, brother, sister, aunt, uncle, even if any such person helped provide for or raised the student. Just because a person is a Contributor to the completion of the FAFSA application does not mean they are responsible for the student’s education costs.

Must Contributors consent to allow the release of their federal tax information to file the FAFSA?

Yes. Starting in 2024-25, all contributors on the FAFSA must consent to the Department of Education receiving tax information or confirmation of non-filing status directly from the IRS. This change simplifies the FAFSA process for most applicants. Consent and approval for the transfer of federal tax information are required to be eligible for federal student aid. Even if one of your contributors does not have a social security number, did not file taxes, or filed taxes outside of the U.S., consent and approval are still required.