FAFSA Simplification Frequently Asked Questions

The FAFSA Simplification Act has was passed by Congress to streamline the financial aid application process for students and families. Among other key changes, this legislation reduces the total number of questions students see when filing the FAFSA, attempts to clarify the questions that will be asked, and aims to increase Federal Pell Grant eligibility. In some cases the FAFSA simplification will increase a students’ financial aid eligibility; others may see a decrease in aid. Key changes that impact the application process and resulting financial aid offers for students are outlined in the FAQs below.

What is FAFSA simplification?

FAFSA simplification changes include the first major redesign of the Free Application for Federal Student Aid (FAFSA®) process in over 40 years, along with updates to the backend systems that process and store federal student aid application data. The goal is to make applying for federal student aid easier for students. FAFSA simplification implements provisions of the amended Fostering Undergraduate Talent by Unlocking Resources for Education (FUTURE) Act and the FAFSA Simplification Act.

What are the benefits of FAFSA simplification?

The benefits of FAFSA simplification include:

  • A more streamlined application process.
  • Expanded eligibility for federal student aid.
  • Reduced barriers for certain student populations (e.g., homeless and unaccompanied youth, incarcerated students, English language learners, and students from low-income backgrounds).
  • Better user experience for the FAFSA form.

What does this mean for me?

The 2024-2025 FAFSA process looks a bit different than it has in the past. Don’t worry, we’re here to help keep you informed!

What major changes does FAFSA simplification introduce?

  • The term “EFC” (Expected Family Contribution) is changing
    • With the 2024-2025 FAFSA, the term Expected Family Contribution (EFC) is replaced with the Student Aid Index (SAI) – a new need analysis formula that we will use when awarding need-based grants and scholarships.
  • Eligibility for federal student aid is expanded
    • Selective Service and drug conviction questions are eliminated to reduce applicant barriers.
    • New methodology is introduced to calculate and determine applicant eligibility. The Expected Family Contribution (EFC) is replaced with the Student Aid Index (SAI).
    • The new need-analysis formula allows for a negative SAI calculation and implements separate eligibility criteria for Federal Pell Grants.
    • Federal Pell Grant access is expanded and linked to family size and federal poverty levels, which allows more students and families from low-income backgrounds to qualify.
    • Federal Pell Grant access is restored to incarcerated students under specific rules and programs.
  • Streamlined application
    • You’ll notice fewer questions when completing the 2024-2025 FAFSA and an easier way to transfer tax information directly from the IRS.
  • New terminology
    • You’ll notice a few new terms like "contributor" (anyone who is required to provide information on the FAFSA, a parent or student spouse for example) and "consent" (each contributor will need to authorize consent to their information being included on the FAFSA).

Where can I find more information about FAFSA simplification?

Federal Student Aid: What is the FAFSA Simplification Act? | Federal Student Aid