What is the FAFSA?
The Free Application for Federal Student Aid (FAFSA) is your ticket to grants, work-study programs, and student loans that make college more affordable. It’s also required by many colleges for their own financial aid packages, so it’s important to complete it even if you don’t think you’ll qualify for federal aid.
While you don’t submit the FAFSA until senior year, families should begin thinking about financial aid and the FAFSA as early as sophomore or junior year, especially if they may need to reduce their income or reallocate assets to maximize eligibility.
Starting with the 2024–25 academic year, the FAFSA has a new, simplified format, but it’s still easy to make costly mistakes if you don’t understand the process. This guide will walk you through each step and highlight key strategies to help you avoid common errors and fully leverage your qualifications.
When to Apply
The FAFSA typically opens October 1.
Pro Tip: Apply as early as possible. Some aid is awarded on a first-come, first-served basis, and early-filing can help avoid delays caused by system backlogs or verification checks.
What You Need to Apply
Before you sit down to complete the FAFSA, gather the following:
- FSA ID (both student and parent, if dependent)
- Social Security number or Alien Registration number
- Federal income tax returns, W-2s, and any other income records
- Bank and investment statements
- Records of untaxed income
- A list of the colleges you or your student is applying to
How to Apply
- Create your FSA ID
Go to studentaid.gov to create your secure login. Parents and students each need their own. - Start the FAFSA online
Use the official website to begin your application. You’ll select the academic year and answer questions about your financial and family situation. - List your colleges
You can include up to 20 schools on the FAFSA. Each will receive your financial aid information. - Sign and submit
Use your FSA ID to electronically sign and submit the form. - Watch for your Student Aid Report (SAR)
This summary lets you review and correct errors. It includes your Student Aid Index (SAI), which replaced the Expected Family Contribution (EFC).
How to Maximize Your FAFSA Eligibility
Filing the form is just the beginning. Here are a few smart moves that can increase your chances of getting aid:
✔️Reduce your adjusted gross income (AGI):
Parents may benefit from maxing out 401(k) or IRA contributions in the base tax year (two years before the student enrolls).
✔️Avoid asset red flags:
Move student savings to a parent-owned 529 plan if possible, and avoid holding large assets in the student’s name.
✔️Apply strategically:
Some colleges are more generous than others. Build a list that includes schools known for strong aid, especially those that meet 100% of demonstrated need.
✔️Check for local and institutional scholarships:
Don’t stop with federal aid. Many communities offer scholarships with simpler applications and fewer applicants.
✔️Appeal if necessary:
If your financial situation changes, or your aid offer falls short, you can write an appeal letter. It’s more common (and successful) than many families realize.
FAFSA vs. CSS Profile
Some private colleges require applicants to fill out the CSS Profile, which is a more detailed financial aid form created by the private company College Board. Schools like Amherst, Tufts, and NYU use it to allocate their own institutional funds.
While the FAFSA is free, the CSS Profile has a fee (waived for some). Double-check each college’s website to see which form(s) they require.
Common FAFSA Mistakes to Avoid
🚫 Missing the deadline
🚫 Not using the correct tax year
🚫 Reporting parent info incorrectly (especially in divorced families)
🚫 Skipping the FAFSA altogether because you think you won’t qualify
Don’t forget: Even families with higher incomes may qualify for aid, especially at private schools that use the CSS Profile and have large endowments.
Final Thoughts
FAFSA is the first step to making college affordable but it’s just that: a first step. Understanding how financial aid works and making strategic choices throughout high school can save your family thousands.
Need help figuring it all out? Avalon College Advising works with families to understand their options and we can often help families navigate and negotiate their financial aid packages based on admissions outcomes.