FAFSA Resources

2024-2025 FAFSA Changes

As a result of the FAFSA Simplification Act, Federal Student Aid the U.S. Department of Education is updating the Free Application for Federal Student Aid (FAFSA) process to expand access to federal financial aid and provide an easier, streamlined FAFSA experience for students and families. As of January 1, 2024, the 2024-2025 FAFSA is available on the Federal Student Aid website.

During this soft launch period, there may be periodic outages and processing errors as the Department of Education works to improve the user experience. If you are experiencing difficulty in completing and submitting your FAFSA, you should first check the 2024-2025 FAFSA Issue Alerts page to determine if you are encountering a known issue that has a workaround. The Federal Student Aid Information Center (FSAIC) is also available to assist you in troubleshooting FAFSA filing problems during their extended hours: M-F 8am-10pm (ET) and Sat. 11am-5pm (ET) at 1-800-433-3243. You can also reach out to the LIM Office of Student Financial Services directly at sfs@limcollege.edu or 212-310-0689 for assistance.

Key Changes to 2024-2025 FAFSA

  • The FAFSA will be streamlined and more user-friendly with fewer questions (less than 50 Q’s)
  • The Student Aid Index (SAI) will replace the Expected Family Contribution (EFC).
  • Federal financial aid eligibility will be extended to more students.
  • IRS Direct Data Exchange (DDX) makes entering tax information easier and will be required for students, spouses, and parents to transfer their 2022 tax information or non-filing status.
  • The number of family members in college will no longer factor into the FAFSA calculation.
  • Untaxed items such as payments to tax-deferred retirement or pension plans, veteran’s non-educational benefits, and worker’s compensation will no longer be required.
  • Parent assets will now include net worth of all businesses and net worth of a family farm, if applicable.
  • For divorced or separated parents: The parent who provided the most financial support to the student will need to provide their information. Previously, the parent who the student lived with the most provided their information. 
  • Everyone contributing to the FAFSA form online must have their own Federal Student Aid account (FSA ID). Create an FSA ID account if you don’t already have one. Each contributor, including the student, will access their account with their own FSA ID (account username and password).

Terms to Know

  • Student Aid Index (SAI): Calculated by FAFSA data and will determine student aid eligibility. This replaces the EFC that was used in previous years.
  • Cost of Attendance (COA): COA includes tuition and fees, food and housing, books and supplies (including course materials and equipment), miscellaneous expenses, and transportation.
  • Contributor: A parent, stepparent, student, or spouse of the student providing information on the FAFSA.
  • Consent: Is required from each contributor to authorize the IRS to share tax data directly on your FAFSA. If any contributor does not provide consent, the student will automatically be ineligible for aid.
  • Direct Data Exchange (DDX): Previously known as IRS Data Retrieval; this tool imports tax data directly from the IRS to your FAFSA.
  • FAFSA Submission Summary (FSS): A summary of your completed FAFSA information. This replaces the Student Aid Report (SAR) that was used in previous years. 

Ways to Prepare

  • Apply for your FSA ID. A Federal Student Aid (FSA) ID is required for all contributors including the student.
  • Determine who your contributors are. The FAFSA will also offer assistance when filing. Students, parents, stepparents, and a student’s spouse may be considered contributors.
  • Gather 2022 Federal Tax Information and W-2s. All contributors will need this information, if applicable.

Contact us at sfs@limcollege.edu if you have any additional questions. You can also find answers to your questions about the FAFSA in general on the Federal Student Aid website.

FAQs

Fall 2024, Spring 2025, and Summer 2025

Probably not. The U.S. Department of Education has alerted schools that there will be a delay in receiving FAFSA information. LIM may not be able to confirm receipt of your FAFSA until sometime in mid-to-late March. LIM expects to start sending 2024-2025 financial aid award letters in mid-to-late April for students whose FAFSA information has already been received.

After reviewing the "Determining Contributors Tab" and using the “Parent Wizard” on the FAFSA to finalize who your contributor(s) are, you will need the following information about each contributor to assign and send them an invitation to assist in completing your FAFSA form:

  • Social Security Number (SSN) – if there is no SSN, there will be a "NO SSN" option. 
  • Date of Birth (DOB)
  • Email address

Yes, all contributors must have an FSA ID that is their own and unique from that of the student.

The parent who provides the most financial support to the student should be the contributor on the FAFSA.

Yes. Invitations to be a contributor will be deleted when they have been inactive for 45 days. Any previously entered information will be deleted and the process will need to start over.

An independent student is one of the following: born before Jan. 1, 2001, married (and not separated), a graduate or professional student, a veteran, a member of the armed forces, an orphan, a ward of the court, a person with legal dependents other than a spouse, an emancipated minor, a person who is unaccompanied and homeless or self-supporting and at risk of being homeless.

The FAFSA Simplification Act is a law that represents a significant overhaul of the processes and systems used to award federal student aid starting with the 2024–25 award year, including changes to the FAFSA. Learn more about the law.