As a newcomer here, I just wanted to add my experience to this discussion! I was in the same boat as Jessica with our Roth IRA and was so confused by the FAFSA instructions. After reading through all these responses, I feel much more confident about excluding our retirement accounts from the assets section. What really helped me was the distinction everyone made between the account balance (which doesn't count) versus any contributions or conversions that show up on your tax return (which do count as income). I also wanted to mention that I found it helpful to print out the relevant pages from that Federal Student Aid handbook that Noah mentioned - having the official documentation on hand made me feel better about our reporting decisions. Thanks to everyone for sharing their experiences and making this less stressful for those of us going through it for the first time!

As a newcomer to this community, I wanted to jump in and say thank you for this incredibly thorough discussion! I've been putting off completing my daughter's FAFSA because I was so confused about our Roth IRA situation - we have about $52K in there and I kept going back and forth on whether to include it. Reading through everyone's experiences here has been such a relief. The consensus is clear: Roth IRAs are excluded as retirement assets, which is exactly what I was hoping to hear. I'm especially grateful for the specific reference to page 4-18 of the Federal Student Aid handbook - having that official documentation will give me the confidence to complete our application correctly. It's also really helpful to understand the distinction between the account balance (excluded) and any contributions/conversions that show up as income on tax returns. This community is amazing for helping confused parents like me navigate this overwhelming process!

One thing I'd add is to make sure you have your Social Security cards handy for both you and your daughter when filling out the FAFSA. I made the mistake of relying on memory for my daughter's SSN and got one digit wrong, which caused a huge delay in processing. Also, if you're married and file jointly, you'll need both spouses' information even if only one parent is the biological parent. The whole process is much smoother when you gather all your documents first - 2023 tax return, W-2s, current bank statements, investment account statements, and any records of untaxed income. Taking the time to organize everything upfront will save you from having to stop mid-application to hunt for paperwork!

Just wanted to chime in as someone who works in a college financial aid office - you're absolutely right that it's 2023 tax info for the 2025-2026 FAFSA! One thing I always tell families is to submit your FAFSA as early as possible after October 1st, even if you haven't been accepted to schools yet. You can add schools later, but getting your application in early helps ensure you don't miss any state aid deadlines. Also, don't stress too much about making small errors - most can be corrected online after submission. The key is just getting that initial application submitted with the correct tax year (2023) and current asset information. Your daughter is lucky to have such a thoughtful parent helping with this process!

You're definitely not failing her - navigating college financing is overwhelming for almost every family! One thing that helped us was creating a spreadsheet to map out all four years. We included potential salary increases, the younger sibling starting college (which will lower your SAI significantly), and different loan scenarios. Also, don't forget about tax benefits! The American Opportunity Tax Credit can give you up to $2,500 back per year for qualified education expenses, which effectively reduces your out-of-pocket costs. Since you're waiting on scholarships until June, use this time to research everything mentioned here - the Professional Judgment Request, nursing-specific aid programs, and maybe even reach out to Northeastern's financial aid office to discuss payment plans. Many schools will work with families, especially when the student is in a high-demand field like nursing. You've got options, and it sounds like your daughter chose a program with great career prospects. Take it one step at a time!

I just wanted to add that you should also look into whether Northeastern offers any monthly payment plans! Many schools let you spread that $20k over 10-12 months instead of paying it all at once each semester. This can make it much more manageable from a cash flow perspective. Also, since you mentioned waiting on scholarships until June - don't forget to keep applying for scholarships even after she starts college. There are tons of scholarships specifically for nursing students in their sophomore, junior, and senior years. Some are even easier to get because fewer people know about them or apply. One more tip: if you do end up taking Parent PLUS loans, you can often get a small interest rate discount (usually 0.25%) by setting up automatic payments. Every little bit helps when you're dealing with these amounts over 4 years! You're being such a supportive parent by researching all these options. Your daughter is lucky to have you in her corner figuring this out together.

As another newcomer here, I'm really grateful for all the detailed insights everyone has shared! I'm dealing with a similar situation - my daughter is a junior in high school and my son just turned 23, so we'll likely be in the multiple-student scenario soon. What strikes me most from reading through this thread is how much the new FAFSA changes have created uncertainty, but also how generous this community is with sharing real experiences. @Javier Torres - it sounds like you got your answer about your 24-year-old son filing independently, which saves you the hassle of updating! @Emma Wilson's explanation about institutional vs federal aid calculations was particularly enlightening. I had no idea that colleges might still use their own formulas even when the federal calculation changed. One question for the group: for those who did update their FAFSA to show multiple students, did you find that most colleges were transparent about whether they still consider this factor in their institutional aid decisions? Or did you have to really dig to find out their policies?

As a newcomer to this community, I've been following this discussion closely and it's been incredibly informative! I'm currently helping my sister navigate a similar situation with her two kids potentially overlapping in college next year. What really stands out to me from everyone's experiences is how much the institutional aid policies vary between schools. It seems like the new FAFSA changes have created this confusing landscape where the federal calculation works one way, but individual colleges may still use their own methods. I'm curious - for those who successfully received additional institutional aid after updating their FAFSA to show multiple students, did you find that certain types of schools (public vs private, large vs small) were more likely to still factor this in? My sister is trying to decide whether it's worth the effort to update, and it sounds like the answer might depend heavily on where her kids are planning to attend. Also, thank you @Taylor Chen for the practical tip about calling during mid-afternoon and asking that specific question! That's exactly the kind of actionable advice that makes this community so valuable.

I'm in a similar situation with my son starting college this fall. One thing that really helped us was setting up a meeting with the financial aid counselor (not just calling the general office). They walked us through all our options and helped us understand the timeline for different types of aid. Also, if your daughter hasn't already, make sure she accepts those federal loans in her portal ASAP - there are deadlines for accepting aid, and you don't want to miss out on the subsidized portion. The unsubsidized loans don't have the same urgency but it's good to get everything locked in. For the Parent PLUS loan with credit concerns, you might want to apply sooner rather than later. If you do get denied, it opens up those additional unsubsidized loans for your daughter that someone mentioned, plus it gives you more time to explore other options. The whole process felt overwhelming at first but breaking it down step by step made it much more manageable.

One option you might not have considered is asking the school about their institutional payment plan options. Many colleges offer interest-free monthly payment plans that spread your balance over 10-12 months, which can make that gap much more manageable without taking on additional debt. The fees are usually minimal (like $25-50 per semester). Also, since your daughter has such a significant athletic scholarship, I'd strongly recommend having her (not you) reach out directly to her coach about additional funding opportunities. Coaches often have discretionary funds or know about sport-specific scholarships that aren't widely advertised. They have a vested interest in keeping their recruited athletes, especially if she was heavily recruited. Don't feel bad about being unprepared - this process is confusing even for families who think they know what they're doing! The important thing is you're asking the right questions now and there are still options available. Good luck!