FAFSA

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Ask the community...

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this happened to us too! ended up restarting the whole application because my son didn't know whether to mark yes or no. he served 4 years but was waiting on his GI Bill. what a mess!!!! definitely mark YES for veteran status. but BE CAREFUL later in the application when they ask about untaxed income - that's where you DON'T include VA education benefits (at least thats what we were told???

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That's correct - VA education benefits (GI Bill, etc.) are NOT reported as untaxed income on the FAFSA. The Department of Education and the VA have data sharing agreements, so schools will be notified about VA benefits separately through that system. Including them as untaxed income would effectively count them twice in the aid calculation.

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The FAFSA is always so confusing with these edge cases. Just make sure to keep documentation of everything in case you need to do corrections later.

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I just want to clarify something important about the timeline - mid to late March is when most FAFSA applications should be *processed*, but that doesn't mean you'll immediately receive your SAI (Student Aid Index) or financial aid package from colleges. After FAFSA processes your application, they need to send that information to your chosen schools, and then each school needs to create a financial aid package based on your SAI, their available funds, and their institutional methodology. So while the March timeline for FAFSA processing may be accurate, you should expect an additional 1-3 weeks before receiving actual financial aid packages from individual schools. That's why it's so important to contact each school's financial aid office directly to explain the situation and ask about flexibility with deposit deadlines.

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That's a really important distinction - thank you for explaining that! I'll make sure my daughter understands there's still a waiting period after FAFSA processing. I'm going to have her call each school's financial aid office tomorrow to discuss options.

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update: finally got my daughters SAI score today!!!! submitted early December... so maybe they ARE starting to catch up???

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That's encouraging! What was your experience like once you got the SAI? How long did it take for schools to create aid packages after that?

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UPDATE: Just wanted to follow up - after submitting my correction to add my dependents, my SAI dropped by over $7,500! That's a huge difference that affected my Pell Grant eligibility. So definitely don't skip fixing this glitch once you can submit corrections.

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Wow that's a massive difference! Thanks for sharing the update. I submitted my correction yesterday so hoping to see my updated SAI calculation soon. This makes me feel better about the whole process.

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why is fafsa so complicated for parents???! nobody told me i would need a computer science degree to apply for financial aid lmao

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FOR REAL!!! And they claimed the new system would be "simplified" 🙄 It's actually MORE confusing than before.

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DONT TRUST THE SAI!!!! The new FAFSA formula is COMPLETELY BROKEN!!!! My sister and I have almost identical financial situations but her SAI came back 5000 HIGHER than mine for no reason!!!! The whole system is rigged and nobody at FSA will even explain how they calculate it. I spent 3 weeks trying to get through to someone who could actually explain the calculation and they just kept transferring me around.

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While there have been some issues with the new formula, there are usually explainable reasons for SAI differences. Things like multiple students in college at once, specific tax situations, or assets reported differently can cause seemingly similar situations to have different SAIs. It's not completely random or rigged.

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Update: I finally spoke with my school's financial aid office! With my SAI of 8630, they're offering me a $2,250 Pell Grant, $5,500 in subsidized loans, $4,000 in unsubsidized loans, and a $12,000 institutional grant! Plus work-study for $3,500. That leaves about $9,750 I need to figure out, but it's WAY better than I expected. Thanks everyone for your help and advice!

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That's actually a really good package! Congrats! The institutional grant is impressive - that's the benefit of schools with higher sticker prices, they often have more institutional aid to give.

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So glad it worked out! Did you end up using the service I recommended to get through to them?

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im so tired of FAFSA changing everything and messing up peoples financial aid!!! they messed up SAI calculations, contributor access was broken for weeks, and now signatures disappearing?? they should just automatically extend all deadlines by like a month with all these problems

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For real!! My EFC from last year and my SAI this year are completely different even though our income didn't change at all? Make it make sense 🤦‍♀️

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Quick update for everyone following this thread: The Department of Education just announced they're implementing a 14-day grace period for signature issues related to the known system glitch. This applies to state deadlines for the 2025-2026 application cycle, including Cal Grants. You should still contact CSAC directly, but this official policy should help your case. Reference "Signature Validation Error Code SV-2023-05" when discussing with representatives.

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THANK YOU!! This is such a relief! Where can I find the official announcement about this grace period? I want to have it ready when I call.

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It was posted on the FSA Partner Connect portal this morning. Your school's financial aid office can access it, but it's not on the public-facing studentaid.gov site yet. They should be updating the public site within 48 hours.

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