To summarize what everyone has said: 1. Keep Parent PLUS separate from your Direct Loans (they can't be combined anyway) 2. Don't consolidate your subsidized and unsubsidized loans while in school 3. For your additional $15k need, pursue in this order: grants/scholarships > work-study > subsidized loans > unsubsidized loans > Parent PLUS 4. Your existing loans don't affect your SAI calculation for next year's FAFSA 5. Be aware of aggregate loan limits ($31,000 total for dependent undergrads for Direct Loans) The best approach is to minimize borrowing where possible, and when you must borrow, prioritize the loans with the best terms (lowest interest, best protections).

Just wanted to add one more tip - make sure to submit your FAFSA as early as possible once it opens for your sophomore year! Priority deadlines can really impact how much aid you get, especially for state grants and work-study positions which are often first-come, first-served. I made the mistake of waiting until March my first year and missed out on some grant money. Also, if your family's financial situation has changed significantly since last year (job loss, medical expenses, etc.), don't forget you can appeal your aid package or request a professional judgment review with your school's financial aid office.

Thanks everyone for the helpful responses! I just spoke with my son's grandparents and confirmed they are indeed the account owners - they never transferred ownership to me. Based on what you've all shared, it sounds like: 1. I didn't make a mistake by not reporting it (since I didn't know about it AND it's grandparent-owned) 2. We can use these funds for this fall's expenses without it affecting his current aid package 3. Thanks to the FAFSA Simplification Act, withdrawals won't affect future aid either This is a huge relief! We can really use this money to help with his first-year expenses. I appreciate all the guidance!

Congratulations on figuring this out! You've got it exactly right. Just one small tip from someone who went through this - when the grandparents make payments from the 529, have them pay the school directly rather than giving you the money first. This creates a cleaner paper trail and avoids any potential confusion about gift tax implications (though that's more of a tax issue than a FAFSA issue). The direct payment method also ensures the funds are used specifically for qualified education expenses. Your son is lucky to have grandparents who planned ahead like this!

I'm a college junior who went through this SAI transition last year, and I wanted to share my experience to hopefully ease some worries! My family's SAI dropped by about 3,800 points when we switched from the old EFC system, and I was terrified it meant something was wrong with our FAFSA. Turns out it was the best thing that happened to our financial aid situation! I ended up qualifying for an additional $1,900 in Pell Grant money and got a better subsidized loan package. My younger brother is starting college this fall, so we'll have two in school, and our preliminary SAI for next year dropped even more. The thing that really helped me understand what was happening was scheduling a phone appointment with my school's financial aid counselor. They walked me through exactly how the new calculation worked and why our number changed so dramatically. Most schools are offering these "SAI interpretation" meetings now because so many families are confused. Your daughter's 4,000 point drop with two kids in college sounds completely normal based on what I've seen in my friend group. I know the waiting for aid packages is stressful, but based on my experience and what others are sharing here, you're likely looking at better aid, not worse!

I'm new to this whole FAFSA process and honestly feeling pretty overwhelmed by all the changes this year! My daughter is a high school senior and we just got our SAI back - it's around 9,400. I keep reading conflicting information online about whether this is a good number or not, and I have no idea how it compares to the old EFC system since we never went through that. Reading through everyone's experiences here has been so helpful though! It sounds like most people are seeing better aid packages with the new SAI system, especially families with multiple kids in college. We only have one going this year, but it's reassuring to hear that the lower numbers generally mean more aid eligibility. Can anyone share what they think a SAI of 9,400 might mean for aid eligibility? I know it varies by school, but I'm just trying to get a general sense of whether we should be optimistic or start preparing for full-pay scenarios. The waiting for actual aid packages is killing me!

UPDATE: I was finally able to speak with someone at Federal Student Aid! Turns out it was multiple small issues adding up. We did incorrectly report our small business inventory, included a small inherited IRA as a regular asset, AND there was a system error that doubled-counted some of our income. They're having me submit a correction form and said my daughter's Pell Grant amount should increase significantly once it's processed. Thank you all for your helpful suggestions!

Wow, thank you so much for sharing this update! This is incredibly helpful for anyone else who might be dealing with similar FAFSA issues. It's crazy how multiple small errors can compound to create such a big discrepancy in the SAI calculation. The fact that there was also a system error that double-counted income just shows how buggy the new FAFSA system has been this year. I'm so glad you persisted and didn't just accept the initial calculation. This is a great reminder for everyone to carefully review each section of the FAFSA and not hesitate to question results that don't seem right. Hope the correction gets processed quickly so your daughter can get the full Pell Grant she deserves for fall semester!

Just wanted to add another tip for anyone still struggling with this - if you're having trouble finding the college download status section, try clearing your browser cache or using a different browser entirely. I had the same issue where certain sections of the StudentAid.gov site weren't loading properly in Chrome, but worked fine in Firefox. Also, keep in mind that some colleges batch-download FAFSA data only once or twice a week rather than daily, so don't panic if a school hasn't accessed it immediately after your SAI was calculated. But definitely follow the advice others gave about calling if you're getting close to priority deadlines!

I went through this exact same frustration last month! After trying all the different methods mentioned here, I found that the most reliable approach is actually a combination. First, check the FAFSA portal using the steps Grace outlined (View FAFSA Status > View Processing Information > College Release Status), but then also call the financial aid offices directly for any schools showing as "not downloaded" within 10 days of your SAI being calculated. I learned the hard way that some schools have delays in their systems, and waiting too long can put you at risk for missing priority deadlines. Also, make sure to check if any of your daughter's colleges require additional forms beyond the FAFSA - some schools need CSS Profile or their own institutional aid applications, which have separate deadlines that might be even earlier than the FAFSA priority dates. One more tip: screenshot or print the college release status page when you find it, so you don't have to hunt through all those menus again!