The U.S. Department of Education announced that they will be delaying the release of the 2024-2025 FAFSA application. Students who are used to the annual October 1 release will now need to wait at least two months. The 2024-2025 FAFSA is expected to be quite different from previous FAFSA applications, and while the delay may cause a bit of confusion, it may eliminate issues further down the road.
FAFSA Simplification Act
The FAFSA Simplification Act was passed in 2021. For years, not only families, but college administrators have voiced a negative opinion about the FAFSA. The questions asked can often be confusing, overly complicated, and create an obstacle for students trying to fund their higher education.
Congress acted and passed the Act to make the FAFSA process a bit easier. It was asked that the U.S. Department of Education have a simplified FAFSA ready for students for the 2023-24 application cycle; however, they were granted an extension and we’ll see the simplified version for the first time in 2024-25 application cycle.
2024-2025 FAFSA Release
Due to the major changes, the U.S. Department of Education’s Office of Federal Student Aid has indicated they will be ready to offer the simplified application for the upcoming cycle. They are delaying the release until December 2023, two months after the usual October 1 release. In other words, the 2024-25 FAFSA will be delayed.
FAFSA Changes to Expect
While some changes will be obvious, several others may not be. For example: the Expected Family Contribution (EFC) will now be known as the Student Aid Index (SAI). Unlike the EFC, the SAI can be a negative number down to -1500, making it easier for schools to determine which students have the most financial need. This could ultimately help students qualify for more aid, but it will be a process to implement the expected changes.
LEARN MORE>>> FAFSA Changes: What You Need to Know
Impact of 2024-25 FAFSA Delay
Same kind of thought process with the expected changes, the delay will have some clear implications that you should prepare for. This is the largest FAFSA overhaul in recent years, and it will require not only the federal government to implement changes to their processes, but states and schools need to prepare for the change as well. The delay in the release will give all organizations more time to get up to speed to ensure a smoother implementation of all the upcoming FAFSA changes.
FAFSA Deadlines
Your state and school deadlines may change which can through off your regular timelines! Many states have a first-come, first-served award process based on the filing of your FAFSA. While they don’t necessarily have a hard deadline, they align their award year financial aid applications with the release of the FAFSA each year.
Schools also rely on FAFSA information to award financial aid, yet they typically have deadlines around March and April. With the FAFSA changes, don’t be surprised if these deadlines shift as well. If deadlines don't shift, or don't shift much, this may impact the total amount of time you have to complete your FAFSA. Your turnaround time from the release of the application to your deadline may be months shorter. And with a new application, you may face issues with the questions that you didn't expect.
What do you need to do? Keep an eye on the FAFSA deadlines. Even though you’ll have more time to prepare, your total time to complete it may be shorter, especially if one your deadlines doesn't shift with the delay.
Managing New Questions or Instructions
Any time an application like this changes, while the question being asked is similar to the previous versions, they may be requesting different information. For example, if you have divorced parents, determining your FAFSA parent will be different from years past. In the past you would list the information of the parent you lived with the most in the past 12 months. Now, you will provide the information based on the parent who provided you with the most financial support.
Assuming the question is seeking the same information because it's similarly phrased to what you answered in the past may create issues. Make sure you carefully read each question and provide the answer based on the question being asked. You don't want to run into issues with processing the application later because your financial aid office has flagged your application for conflicting information.
Learn More>>>FAFSA Changes
School Processing and Awarding
According to the National Association for Federal Aid Administrators (NASFAA), about 68% of schools who responded to their survey showed that they are completely or at least fairly confident in their ability to implement the new FAFSA and its changes.
However, you may want to be ready to exercise a bit of patience if you need to work through FAFSA issues with your school. It’s important to know that while your financial aid administrators are already working to prepare for the change, it will be a new form for them as well.
Preparing for the 2024-25 FAFSA Application Cycle
If you need financial aid to help you cover the costs of college, you will need to complete the FAFSA. While the application has changed, it is expected that these changes will make it easier for students and their families.
The same advice remains, read the questions thoroughly and only respond with the requested information. Keep up to date with our blog and our FAFSA materials. We will work hard to help you prepare for the 2024-25 FAFSA application.