Monday Minute: FAFSA Updates

If you are one of the families having difficulty completing the new FAFSA form, you are not alone. Many families are reporting difficulty accessing the new form and finishing it without some sort of glitch. The Department of Education is aware of the issues and has set up a "waiting room" to handle the website traffic and delays. If you are in the process of completing the form and experience some sort of challenge, access the waiting room feature and all of your information will be stored until the form re-opens or the glitch has been resolved.

I am hearing concerns from families who have committed to an early decision without knowing their financial standing. At this point, I recommend speaking to the financial aid office and verifying you can back out of your agreement if the financial aid package offered is insufficient. Most schools are understanding of the situation at this early stage and are facing their own debacles with administering institutional aid in the absence of a clear picture of committed students. The FAFSA is required for many schools as a way to assess needs-based institutional aid - without the data, financial aid offices are delaying offers.

The good news is that you are not alone in having difficulty filling out the new FAFSA. The Department of Education has announced that colleges will NOT receive the information until late January. I'll keep you posted here with any FAFSA updates, but you can also review the DOE website here.

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Money for future Indiana Teachers

Interested in becoming a teacher? The Next Generation Hoosier Educators Scholarship may be your path to a worthwhile career in education. The scholarship is renewable for four academic years, up to $10,000 each year. Qualifying high school seniors (or current undergraduate students) agree to teach for five years at an eligible Indiana school. You have the option to repay the corresponding, prorated amount of scholarship as well.

Applicants must be Indiana residents, U.S. or eligible non-citizen, have either at 3.0 GPA or rank in the top 20% of high school graduating class; attend an Indiana higher ed institution as a full-time student and be able to use the scholarship for at least two full academic years. Must maintain a 3.0 GPA. Additional details can be found here.

Deadline to apply: January 31, 2024

Valparaiso University - Oliver W. and Emma W. Allen Scholarship

If you are considering a career in theological studies, pre-seminary preparation for pastors, church musicians, missions, Director of Christian Education, deaconess or deacon, elementary or secondary education at a Lutheran or parochial school, this scholarship is for you! The scholarship award minimum is $2,500 and can increase to $5,000; renewable with a 3.0 GPA.

For those intending to study at Valparaiso University check out this link. You'll need a recommendation for the Allen Scholarship. Information on other scholarships at Valparaiso can be found here.

Deadline to apply: January 15, 2024

The New FAFSA is Available!

The revised Free Application for Federal Student Aid (FAFSA) is finally available!

The form has been shortened significantly. Instead of 108 questions, you'll be required to provide information on 36 questions and it will be easier to upload your supporting tax documents.

The Department of Education (DOE) has also modified formulas used to calculate aid, resulting in more Pell Grant eligible students. Pell Grants do not need to be repaid so this is a plus. However, but the DOE removed the sibling discount which means families with more than one student in college may get less assistance.

To get started, you'll need to set up a FSA ID which can take up to three days for verification. Start here and then once verified, one parent will need to complete the form (regardless if filing separately or jointly). Email addresses, social security number and mobile phone numbers are required. If the taxes filed in 2022 are no longer representative of your current financial situation, make sure you have all the electronic files or documentation to support the changes. There will not be a lot of time to adjust since schools have started sending acceptance letters and their timetable for offering merit or needs-based aid will be significantly shortened due to the late release of the new FAFSA form.

The new FAFSA does not link state applications which is also new. If you live in Iowa, Mississippi, Minnesota, Pennsylvania, New York, New Jersey or Vermont, you'll need to fill out a separate aid application. Also, be sure to check with your college, university or tech program about their requirements. It may be more efficient to send current documentation directly to the financial aid office to avoid any potential delays. Most schools will be back on campus by January 3, 2024 and this will be an extremely busy time for financial aid offices. Be patient as most spring semester classes start within the next two weeks.

Finally, the FAFSA is FREE. Never pay anyone to help fill out the form! With the new form and scammers seeking easy targets, there will be lots of misinformation and opportunities to fraud those seeking answers. Check the DOE website first, then reach out to a trusted financial advisor, high school counselor or college consultant if you need assistance. The Help Center has a searchable database for common questions...start there first.