| The first word on the Free Application for | | | | coaching or assistance for these families. |
| Federal Student Aid, the form all students | | | | The complexity, the timing - spring of senior |
| must use to apply for federal financial aid | | | | year is too late to learn how much college |
| programs, is "Free". However, the FAFSA costs | | | | will cost so as to 'plan' for college costs - |
| many families a lot of money in lost aid. | | | | and the increasing gap between aid awarded |
| | | | and actual need all prevent lower income |
| The FAFSA is a 128 question form that is used | | | | students from getting a college degree. |
| to determine a family's eligibility for | | | | |
| need-based financial aid and results in a | | | | Middle income families are suffering from a |
| number called the Estimated Family | | | | very large disconnect between what they see |
| Contribution, or EFC. The U.S. Department of | | | | as their ability to pay and what the FAFSA |
| Education claims that the FAFSA takes one | | | | formula determines they should be able to |
| hour to complete. How complicated is the | | | | afford, even if the form is done correctly |
| form? According to the Department of | | | | and on time. Many families either don't |
| Education, approximately 80% of the forms | | | | bother to apply, given the confusion in the |
| submitted for processing are done incorrectly | | | | process, or do file the FAFSA and are shocked |
| or are incomplete. After submission, families | | | | by their EFC. How, for example, is a family |
| receive a Student Aid Report and are asked to | | | | earning $75,000 per year supposed to pay |
| confirm their answers and make corrections. | | | | $20,000 per year for college? |
| Assuming the family notices errors or | | | | |
| omissions and corrects these, the corrections | | | | Many upper income families do not fill out |
| are then resubmitted. Usually, each time the | | | | the FAFSA because they just "know" they will |
| process goes from the family to the | | | | not qualify for aid, setting aside the hassle |
| government back to the family one can expect | | | | factor. However, almost every family gets an |
| a four to six week processing time. Federal | | | | offer of some kind of aid, even if it's just |
| financial aid is awarded on a first-come, | | | | a loan package, by going through the process. |
| first-served basis. Processing and correcting | | | | |
| errors costs families money because there is | | | | The fact that many families of all income |
| less aid available the longer it takes to | | | | levels don't apply because of the confusion, |
| submit correct aid reports to the government, | | | | misinformation, and hassle of the forms and |
| who then passes the information along to the | | | | processes is unfortunate, and costs families |
| colleges who distribute federal money in the | | | | many thousands of dollars per year in college |
| form of loans and grants. | | | | costs and/or missed opportunities. |
| | | | |
| If the 128 question FAFSA takes one hour to | | | | In a recent draft of a report by the U.S. |
| complete, how does that compare to the much | | | | Secretary of Education's Commission on the |
| more familiar tax forms? Most families file | | | | Future of Higher Education, the commission |
| either the 1040A or the 1040EZ for federal | | | | notes that "The existing convoluted, complex |
| tax purposes. Form 1040EZ asks 37 questions; | | | | and counterproductive financial aid system |
| Form 1040A asks 83 questions. If we use U.S. | | | | for students should be restructured and the |
| Department of Education math, that means that | | | | current federal aid form (the Free |
| the 1040EZ should take 17 minutes to complete | | | | Application for Federal Student Aid, or |
| and the 1040A should only take 39 minutes. | | | | FAFSA) should be eliminated..." We couldn't |
| The Internal Revenue Service, however, | | | | agree more, but don't count on a massive |
| suggests that the forms take 8 and 13 hours | | | | overhaul anytime soon. While you wait for |
| to complete, respectively. | | | | systemic change, be advised to start the |
| | | | financial aid process as early as possible. |
| For lower income families the complexity of | | | | And remember to set aside more than an hour |
| the financial aid process can be overwhelming | | | | to fill out the (somewhat free) FAFSA. |
| as by and large there is little in the way of | | | | |