FAFSA simplification is an elusive goal
Will you be ready to help students when the 2026-27 FAFSA form releases?
There are two things we already know about upcoming changes to the Free Application for Federal Student Aid (FAFSA):
1. In November, President Biden signed the FAFSA Deadline Act, establishing Oct. 1 as the release date for the FAFSA. The bill had been overwhelmingly approved by both the House and Senate. If the Department of Education misses the deadline, it will have to tell Congress why. The bill was introduced to avoid the chaotic and late rollouts of the 2024-25 and 2025-26 FAFSAs.
2. The 2026-27 FAFSA will eliminate “nonbinary” as a gender selection, in keeping with the Trump Administration’s executive order recognizing only two biological sexes.
There is also new proposed legislation that will eliminate student and parent loan forgiveness programs which can be devastating to borrowers. In addition, there are proposals to impose taxes on scholarships and fellowship income, as well as eliminating the nonprofit status of hospitals and healthcare facilities which will also cut off any PSLF (Public Service Loan Foregiveness).
Only goodness knows what other rule changes await you, your students and their families, which is creating alarm among parents who anticipate a child starting college in the next couple of years.
Counselors can help by staying up to date on changes and nuances of the college financial aid process, but how much time do you have to create your own informational workshops? Fortunately, free, non-commercial workshops are available from college financial specialists, like www.MyCollegePlanningTeam.com, to help educators answer these and other questions:
What if my family has more than one student in college at the same time? After 2024-25, the FAFSA no longer automatically awarded more aid eligibility when two or three siblings are in college simultaneously, but there are still strategies that may help lessen the impact. Workshops will provide helpful information on how parents can still get a discount during those overlapping years.
What is the “grandparent loophole,” and how can it help? College savings accounts held by students and parents are factored into aid eligibility, but how about accounts held by grandparents? A new rule makes it possible for grandparents to help more with qualified educational expenses. This can make a huge difference in what families have to pay for college.
How are child support and alimony assessed? Finances are complicated for families in which the parents are divorced. Recent rule changes give single parents some breaks. Knowing these rule changes is critical for single parents.
What are the differences between the FAFSA and the CSS Profile? Both require financial information, but there are a few distinctions. For example, the FAFSA doesn’t assess home equity, but the CSS Profile does. This may come into play if a student hopes to attend one of the many public and private schools that use the CSS Profile to award institutional aid. The workshops will offer some ways to get a waiver on the home equity assessment through the appeals process.
What if my financial aid offer falls short? There are tips and techniques that can improve the chances of a successful aid appeal or help you negotiate a larger award from a top-choice school. Writing an effective appeal is critical as another way to reduce college costs.
Spring is a great time to offer workshops like these because your juniors are looking ahead to college, and it’s good for them – and their parents — to go into the search with their eyes open. Of course, as the FAFSA rollout date approaches (remember: Oct. 1, if all goes well), more questions and complications will come into play.
Consider scheduling one or more free, workshops at your school this spring, summer or fall. Your students will thank you!
Billie Jo Weis is Vice President of Client Services at My College Planning Team, which helps students find their best-fit college while identifying strategies to maximize financial aid and minimize costs. To host a free workshop for your school, visit mycollegeplanningteam.com.
