How to Apply for Financial Aid: FAFSA

Once you've hit the submit button on your college applications, you aren't done just yet (Unless you plan to just pay for your college tuition in full, straight from your bank account). The Free Application for Federal Student Aid (FAFSA) is your gateway to various forms of financial assistance for college. Applying for financial aid is just as important as applying to college, and every student should know how to do it right. Especially because you must reapply for FAFSA EVERY year that you are in college if you wish to receive aid. There are some tips and tricks you must know when applying for financial aid so that you can maximize the aid you receive.

If you aren't sure if you should apply for the FAFSA (I don't think it could ever hurt), you can use this Aid Estimator to see how much aid you might receive. https://studentaid.gov/aid-estimator/#/landing

There were also some changes made for the new and more simplified version of the FAFSA, which are stated here:

It's even simpler and more accessible. Students will now need to answer up to 46 questions, depending on the applicant. (The old application had 108 questions. Talk about simplified!)

"Contributors" have been introduced.

The ED has designated the term "contributors" for anyone required to provide information on the FAFSA. Contributors could include the student, the student's spouse, a biological or adoptive parent or the parent's spouse. Contributors are invited to complete their portion of the FAFSA by the student or parent filling out the application.

Each contributor needs their own Federal Student Aid (FSA) ID in order to provide personal information on the student's FAFSA. This doesn't mean that contributors are responsible for any education costs. It means they just need to provide their information to complete the form. It can take a couple of days to set up your FSA ID, so the Department of Education recommends requesting one at least three days before starting the FAFSA.

The Student Aid Index (SAI) is still being used to determine how much need-based financial aid a student is eligible for, replacing the Expected Family Contribution (EFC). Here are the major SAI-related changes from 2024-25 that are worth calling out as you prepare the 2025-2026 application:

• Removal of the "sibling discount" — Under the SAI, having more than one student simultaneously enrolled in college within a family is no longer a factor in how much aid one is offered. Previously under the EFC, this "sibling discount" was a factor that the government took into consideration.

• Federal Pell Grant eligibility expands — The Pell Grant is the primary federal grant that aids students who have financial need. Under the new formula, the State Higher Education Executive Officers Association estimates that 42.9% of students previously ineligible for a Pell Grant may be qualified under the new calculation. These grants don't have to be paid back (except under certain circumstances), so they are highly coveted components to a student financial aid package.

• Changes to distinguish aid — In the past, the lowest EFC you could receive was $0. Under the SAI, the lowest amount will be negative $1,500. A negative SAI can help distinguish students who need the most financial assistance and better determine how to best distribute need-based aid.

Other key updates that have been carried over to the 2025-2026 FAFSA

• For divorced parents, financial aid is determined based on the income of the parent who provides the most financial support, even if the student does not live with that parent.

• Child support is still considered an asset instead of income. This can be helpful because it won't make a parent or guardian's income look like it's higher than it really is, which can give a larger number of students the opportunity for more aid.

• Students can list up to 20 schools that can receive their FAFSA data.

• Larger income protection allowances will result in more students qualifying for need-based aid.

• Expanded reporting of farm and business net worth.

How to Apply for FAFSA: A Step-by-Step Guide

Step 1: Gather Necessary Documents

Before you start your FAFSA application, collect the following documents:

• Social Security Number (SSN)

• Driver's license number (if applicable)

• Tax returns from the previous year (W-2 forms and other income records)

• Bank statements and investment records

• Records of untaxed income

  
  

Step 2: Create an FSA ID

An FSA ID is a username and password that allows you to access federal student aid websites. To create your FSA ID:

• Visit the Federal Student Aid website: https://studentaid.gov/h/apply-for-aid/fafsa

• Follow the prompts to enter your personal information.

• Verify your identity through your email or phone number.

  
  

Step 3: Complete the FAFSA Form

To fill out the FAFSA:

• Go to the FAFSA website.

• Log in using your FSA ID.

• Follow the instructions to complete each section of the form.

Be sure to list all the schools you are interested in attending, as they will receive your FAFSA information.

Step 4: Review and Submit

After completing the form:

• Review all information for accuracy.

• Submit your FAFSA application.

You will receive a confirmation email once your application is submitted.

Step 5: Follow Up

After submitting your FAFSA:

• Check your email for any updates or additional information requests.

• Monitor your application status on the FAFSA website.

• Contact your school’s financial aid office if you have questions.

  
  

Tips and Tricks for a Successful FAFSA Application

Here are some helpful tips to ensure you maximize your financial aid:

1. Apply Early

Many states and colleges have early deadlines for financial aid. Submitting your FAFSA as soon as possible increases your chances of receiving aid and the amount of aid that you may be eligible for. The FAFSA typically opens on October 1st each year for the following academic year.

2. Keep Records

Maintain copies of your FAFSA and any correspondence with financial aid offices. This will help you keep track of your application and any required follow-ups.

3. Don’t Skip Questions

Even if you think a question doesn’t apply to you, it’s best to answer all questions to avoid delays in processing your application.

4. Review Your Student Aid Report (SAR)

After submitting your FAFSA, you will receive a Student Aid Report summarizing your information. It can take anywhere from one day to a few weeks. Review it carefully for any errors or discrepancies.

5. Reach Out for Help

If you encounter difficulties, don’t hesitate to reach out to your school’s financial aid office or utilize the FAFSA helpline for assistance.

Common Mistakes to Avoid:

1. Leaving Blank Fields: Too many blanks can cause miscalculations or a rejection of your application. Instead, enter "0" or "Not Applicable" instead of leaving a field blank

2. Using Commas or Decimal Points, always just round to the nearest dollar

3. Listing an incorrect Social Security number or Driver's License Number: Double and Triple check these entries to make sure they're accurate

4. Failing to use your legal name: Your name must be listed on your FAFSA as it appears on your social security card

5. Entering the wrong address: don't enter a temporary address or summer address as your personal address

6. Incorrectly filing income taxes as head of household: If there is an error in the head of household filing status, the school will need an amended tax return to be filed with the IRS before paying out aid awards.

7. Listing marital status incorrectly: The Department of Education wants to know your marital status on the day you sign the FAFSA.

8. Failing to count yourself as a student: The student completing the FAFSA must count himself or herself as a member of the household attending college during the award year.

9. Forgetting to list the college: Obtain the Federal School Code for the college you plan on attending and list it along with any other schools you've applied to attend.

   
   
   
   

Conclusion

Applying for FAFSA is a crucial step in securing financial aid for your education. By following these steps and utilizing the tips provided, you can navigate the process more effectively and increase your chances of receiving the financial assistance you need. Good luck!