2024-2025 FAFSA Changes

Big changes are coming to the Free Application for Federal Student Aid (FAFSA) application for the 2024–2025 aid year!

As part of the Consolidated Appropriations Act of 2021, the FAFSA Simplification Act has been enacted into law and represents a significant overhaul of the processes and systems used to award federal student aid. This includes the Free Application for Federal Student Aid (FAFSA) form, the need analysis that determines federal aid eligibility, changes in terminology, and many policies and procedures for schools that participate in federal student aid programs.

Historically, the FAFSA has been available beginning on October 1 of each year. However, because of significant changes to the application and the rebuild of the FAFSA processing system, the 2024–2025 FAFSA will not be available until sometime in December 2023. Updates on an exact date will be posted here when announced.  The Financial Aid timeline should return to normal next year, with the 2025–2026 FAFSA releasing in October 2024.

There are a number of benefits of the FAFSA simplification act, including a more streamlined application process and a better user experience for the FAFSA, expanded eligibility for federal student aid, and reduced barriers for certain student populations (e.g., homeless and unaccompanied youth, incarcerated students, English language learners, and students from low-income backgrounds).

The FAFSA now requires consent. Both students and parents, spouses, or other contributors must create an FSA ID before completing the form and have to separately log in to fill out their sections in order to consent to their information being used on the FAFSA.

• Consent cannot be revoked but must be given each time the FAFSA is filed. 
• The FSA ID will take up to 72 hours to receive, so students cannot request their FSA ID and complete the FAFSA on the same day.
• An FSA ID (account username and password) is required to access the FAFSA form.
• Users without a Social Security number can create an FSA ID and access the FAFSA form.

A Roles-Based FAFSA form

• Roles = Student (Applicant), Parent, and Preparer
• Once all required data has been provided and all sections have been signed, any role can submit the FAFSA form.

Introduction of Contributors to the FAFSA form

Contributors

• A contributor is any individual who is required to provide their consent and signature for their federal tax information to be included on the FAFSA form. 

• Contributors include the student, the student’s spouse, the student’s biological or adoptive parent, and the parent’s spouse (stepparent). 

Note: The information required when inviting a contributor (student, independent student's spouse, or dependent student's parent) to complete the FAFSA includes the following information for contributors:

1. Legal name (from their Social Security card);
2. Date of birth;
3. Social Security number (SSN), if they have one;
4. Mailing address if they don't have an SSN; and
5. Email address.

• All contributors will be required to create an FSA ID. It is recommended that all contributors create their FSA ID beginning in October to avoid delays.
• Dependent students must invite their parent(s) to contribute to their form if parent information is required.
• Independent students and a dependent student's parent must invite their spouse to contribute to the student’s form if spouse information is required.
• Students and contributors must provide consent to retrieve and disclose federal tax information from the IRS for the student to be eligible for federal student aid.
• The FAFSA application will not be fully submitted and processed until all contributors have given their consent and signed the FAFSA using their FSA ID.
• Students will be prompted to list the email addresses of other required contributors such as parents on the FAFSA application. 

Consent

• For the 2024–2025 aid year, contributors will now be required to give their consent for their federal tax information to be included on the 2024–2025 FAFSA.
• Once consent is given, it cannot be revoked for that aid year.
• If a contributor refuses to give consent for their federal tax information to be included on the FAFSA, the student will only be eligible for a Federal Direct Unsubsidized Loan.
• An FSA ID will be required to give consent. Again, it is recommended that all contributors create their FSA ID beginning in October. 

Note:  After the FAFSA form is processed, students can correct or update their application. Contributors are able to correct or update only their sections of the student’s application.

Beginning in the 2024–2025 aid year, the Student Aid Index (SAI) will replace the Expected Family Contribution (EFC). The SAI is a number calculated by the information on the 2024–2025 FAFSA provided by the student and other contributors. It determines a student’s eligibility for certain types of federal aid such as student loans and Pell grants.

• The SAI is used in the below formula to determine a student’s financial need. 
• Cost of Attendance (COA) – Student Aid Index (SAI) – Other Financial Assistance (OFA) = Need

What is the difference between the EFC and SAI?

• The SAI can be a negative number as low as -1500 to give financial aid administrators more insight into a student’s financial need.
• The number of family members in college has been removed in the calculation for SAI.
• Child support received is now counted as assets in the formula calculation for the SAI. Previously, child support received was counted as untaxed income in the calculation for the EFC.
• Family farms and small businesses will now count as assets in the SAI formula.

Beginning in 2024–2025 aid year, the amount of Pell a student can be eligible to receive is no longer determined by the EFC and Pell charts. Please see below for general information regarding Pell eligibility for 2024–2025 and beyond. 

Please note: The maximum and minimum Pell grant amounts have not been announced by the Department of Education at this time. 

Maximum Pell Grant Eligibility

• Eligibility for the maximum amount of Pell is determined by a student’s adjusted gross income, tax filing status, and the annual U.S. poverty level guidelines for family size and state of residence. 

• SAI is -1500 to 0

Student Aid Index (SAI) Calculated Pell Grant Eligibility

• For students who do not qualify for maximum Pell, they may be eligible to receive a Pell amount calculated by their SAI.

• Maximum Pell Amount – SAI = Calculated Pell Grant Amount rounded to the nearest $5.

Minimum Pell Grant Eligibility

• Students who do not qualify for the Maximum Pell or Calculated Pell may be still be eligible to receive the minimum Pell grant based on adjusted gross income, tax filing status, and the annual U.S. poverty level guidelines for family size and state of residence.  

Not Eligible for Pell Grant

• Students whose calculated SAI is greater than the maximum Pell award or those for whom the calculated Pell amount is less than the minimum Pell award will not qualify for the Pell grant.

For more detailed information on the SAI and Pell eligibility, please refer to the 2024–2025 Draft Student Aid Index and Pell Grant Eligibility Guide (PDF). 

If you would like to see an estimate of how much aid you could potentially receive for 2024–2025, please check out the Department of Education’s Federal Student Aid Estimator.

While the FAFSA is receiving an update and the aid eligibility calculation has been revised, there are a number of aid-related matters that will not change.

• The FAFSA will still be required for consideration of federal and state financial aid every year.
• Students and parents will still need to sign the online FAFSA application using their FSA ID.
• Students will still need to list NCCU’s school code 002950 on their FAFSA for our office to receive the application and process their aid.
• To receive Federal Aid, students must complete any unmet requirements for financial aid listed on their myEOL online account and Banner SSB9.
• We highly encourage students to complete the FAFSA application as soon as it becomes available and satisfy all financial aid requirements each year to prevent any delays in receiving federal and state aid.
• The general types of aid available to NCCU students and federal student loan limits will not change.
• Dependency status questions that determine if your parent(s) must complete the FAFSA will remain the same.
• The FAFSA will still request tax information from the prior-prior year, which means you will report 2022 income and assets on your 2024–2025 application. Families with significant reductions in income can consider submitting an appeal.
• NCCU admission application deadlines will not change.
• The questions regarding an applicant’s gender, race, and ethnicity will have no effect on federal student aid eligibility and are included for statistical purposes and data collection
• Admitted students can still complete the University Scholarship  Application online at https://nccu.academicworks.com/ each year by February 28 to be considered for University scholarships. 

We encourage new and returning students who plan to enroll at NCCU in the fall of 2024 to complete the FAFSA as soon as it becomes available in December. 

We anticipate releasing aid offers to students in March. However, these dates are subject to change as we receive new information from the Department of Education.

NCCU’s Office of Scholarships and Student Aid remains dedicated to providing timely updates to students, families, and our community. Due to the significant amount of changes that are occurring, portions of our website may not yet be 100% accurate for the 2024–2025 academic year. We appreciate your patience as we work to implement the changes brought by the FAFSA Simplification Act.

Some fundamental changes include, but are not limited to:

• The FAFSA will be shorter and more user-friendly.
• Students may list up to 20 colleges.
• The FAFSA will be available in more languages.
• Applicants will be required to use the IRS Direct Data Exchange.
• All "contributors" must provide financial information.
• The Student Aid Index (SAI) is replacing Expected Family Contribution (EFC).
• The number in college will not be used to calculate SAI.
• Some students will automatically be awarded a Pell grant.
• The parent responsible for submitting the FAFSA in cases of divorce or separation has changed.
• Family farms and small businesses must be reported as assets.