Just wanted to add my experience for anyone else dealing with this - I had a very similar situation with co-owned CDs my grandfather set up for me. After reading through all these responses and doing more research, I called the FSA line using that Claimyr service someone mentioned (seriously a lifesaver!) and got consistent advice with what others have shared here. The agent confirmed I should report 50% of the value since I'm a co-owner, even though I can't access the funds until I'm 21. She also noted in my account that I had called about restricted co-owned assets, which she said would be helpful if I get selected for verification. One thing I'll add - make sure you have the current value of the bonds when you fill out your FAFSA, not just the purchase price. Savings bonds accrue interest over time, so the reportable amount might be higher than you think. You can check current values on the Treasury Direct website. Good luck with your FAFSA submission! It's stressful but you've got great advice from everyone here.

As someone who works in financial aid at a state university, I want to emphasize how important it is to get this right from the start. The advice here about reporting 50% of co-owned savings bonds is generally correct, but I'd strongly recommend getting official documentation before submitting your FAFSA. Here's what I tell students in your situation: 1. Contact your grandmother to get a written statement about when the bonds were purchased, who funded them, and any access restrictions 2. Get the current value from Treasury Direct (not the face value or purchase price) 3. Report 50% of that current value on your FAFSA 4. Keep all documentation organized in case of verification One additional tip - if your family's income is low enough that you might qualify for the simplified needs test or automatic zero EFC, student assets won't count anyway. But it's still better to report accurately and have them potentially ignored than to omit them and risk fraud allegations. The verification process isn't as scary as people make it sound if you have proper documentation. Schools deal with asset questions all the time, and we're there to help you get it right, not to penalize honest mistakes.

This thread has been incredibly helpful! I'm a first-time FAFSA filer and was making the same mistake as some others here - I was about to report my daughter's 529 as her asset since she's the beneficiary. Reading through all these responses saved me from a costly error. The clarification about reporting ALL parent-owned 529s (not just the one for the applying student) was especially valuable since I have accounts for both my kids. I also appreciate the tips about using current balances and keeping detailed records. One question though - if I contribute more money to the 529 after filing the FAFSA but before my daughter starts school, do I need to update the application or does that only matter for next year's filing?

This is such a valuable thread! I'm in a similar situation with my son's FAFSA and was completely overthinking the 529 reporting. I had been reading conflicting information online and even called my 529 plan provider, but they said they couldn't give tax or financial aid advice. What really helped me understand this was the explanation about WHY parent-owned 529s are assessed at the lower rate - it makes sense that the system would encourage college savings rather than penalize families for planning ahead. For anyone else struggling with this, I found it helpful to think of it this way: whoever's name is on the 529 account statements as the "account owner" is whose asset it is for FAFSA purposes, regardless of who the beneficiary is. The beneficiary designation just determines who can use the money for qualified expenses without penalties.

Update: My sister finally got everything sorted out! She had to withdraw the first application and start a completely new one. My niece now understands she's a dependent student for FAFSA purposes even though she lives on campus. The new application is asking for parent information like it should. Thanks everyone for your help - who knew checking one wrong box could cause so much trouble!

This is such a common mistake! I'm a college admissions counselor and we see this dependency confusion constantly. The key thing to remember is that for FAFSA purposes, almost ALL undergraduate students under 24 are considered dependent regardless of where they live or whether they have jobs. The only exceptions are very specific situations like being married, having children you support more than 50%, being a veteran, or being homeless/at risk of homelessness. Living in a dorm and having a part-time job definitely doesn't qualify as independent! I always tell families to read each question very carefully and when in doubt, assume you're dependent - it's much easier to correct from dependent to independent than the other way around.

As a newcomer to this community, I've been reading through this entire discussion with great interest since I'm facing a very similar situation with my own family. My twin daughters are both starting college next fall, and I've been considering going back to school myself to finish my nursing degree. What's really struck me from all the responses here is how dramatically the FAFSA landscape has changed with the new SAI system. The fact that the old "multiple students = divided family contribution" benefit is essentially gone at the federal level is something I had no idea about when I started researching our options. @Anastasia Popova - I'm really hoping you've been able to check on that CSS Profile requirement by now! The consensus from everyone here seems clear that withdrawing your FAFSA won't help your daughter's aid package, but there are definitely other avenues worth pursuing. Your daughter's SAI of 8426 should qualify her for substantial aid, so something is definitely off with her package. This thread has been incredibly educational for those of us trying to understand these new rules. It sounds like the key strategies now are: 1) Appeal with documentation, 2) Check for CSS Profile requirements, 3) Ask specifically about institutional grants for multiple students, and 4) Research school-specific policies rather than relying on federal formulas. Thank you to everyone who shared their experiences - this kind of real-world insight is invaluable for families navigating this confusing new system!

As someone who just joined this community and is starting to research financial aid options for my family, this thread has been absolutely invaluable! I'm in a similar boat - considering returning to school while my daughter prepares for college, and I had no idea about these FAFSA changes. Reading through everyone's experiences, it's clear that the new SAI system has completely changed the game for families with multiple students. The fact that withdrawing your application won't help your daughter under the new formula is such important information that I never would have known otherwise. @Anastasia Popova - I really hope you've had success with the CSS Profile check and appeal process! Your daughter's low SAI should definitely qualify her for more aid than she received. Have you been able to get any updates from her financial aid office? What's really encouraging is seeing how many people found success through the appeals process and by asking specifically about institutional grants for multiple students. It sounds like even though the federal system changed, schools are still trying to find ways to help families in these situations. For those of us just starting this journey, this thread has provided such a clear roadmap: keep all FAFSA applications active, check for CSS Profile requirements, prepare thorough documentation for appeals, and ask specifically about school-specific policies for families with multiple students. Thank you to everyone who shared their knowledge and experiences!

Just wanted to add one more thing that I wish someone had told me when I was in your shoes - don't panic if your financial aid timeline doesn't match exactly what others are sharing! Every school operates a bit differently, and some are much faster than others with processing and sending out award letters. I submitted my FAFSA in early November and didn't get my SAI notification until mid-December, then some schools sent aid packages in February while others didn't send theirs until late April. It was nerve-wracking watching friends get their letters before me, but everything worked out fine. Also, since you mentioned your parents can't help much with this process - consider reaching out to your high school guidance counselor if you have questions along the way. Many of them are really knowledgeable about financial aid and can help you understand your award letters when they arrive. Some high schools even have workshops specifically for first-gen college students navigating this stuff. With your SAI of 3500, you're going to have some great options! Just remember that this process is a marathon, not a sprint. Stay organized, be patient, and don't hesitate to ask for help when you need it. You've got this!

Hey Kristin! I was in your exact same situation two years ago as a first-gen student and felt completely overwhelmed by the whole process. Reading through all these responses brought back so many memories of that anxiety! I just wanted to add one thing that really helped me during the waiting period - I started a simple journal to track not just the logistics (which the spreadsheet idea is perfect for), but also my feelings and questions as they came up. It helped me realize that all the confusion and stress was totally normal, and looking back at it now, I can see how much I learned throughout the process. Also, since you mentioned your parents can't help much - don't underestimate online resources! The Federal Student Aid website has some really helpful videos that walk through what happens after FAFSA submission. I probably watched the "Understanding Your Aid Offer" video like five times before I got my first award letter. Your SAI of 3500 is genuinely excellent - I had a similar number and ended up with aid packages that made college affordable at several schools. The hardest part really is just the waiting and not knowing what to expect, but you're already doing everything right by asking questions and staying informed. One last thing - when you do get those award letters, don't feel like you have to make decisions immediately. Most schools give you until May 1st to respond, so you have time to really compare and think through your options. You've got this!