FAFSA 2024-2025: Do I report just checking/savings or ALL investments? Using 2022 taxes with major income changes

Yes, you need to report ALL investments, not just checking and savings. This includes stocks, bonds, 529 plans, investment properties (not your primary home), etc. Retirement accounts (like 401k, IRA) are NOT reported on FAFSA, so your dad's retirement accounts won't count. But your mom's investment portfolio will need to be included if you're a dependent student. And you're correct about using 2022 taxes for the 2024-2025 FAFSA. For the income change situation, there isn't a place on the FAFSA itself to explain this. After you submit your FAFSA, you'll need to contact each college's financial aid office directly to request a "Professional Judgment" or "Income Appeal" based on your father's job loss. Each school handles these differently, but they can adjust your aid based on your current financial situation.

just fyi they changed a bunch of stuff this year with the new FAFSA so make sure your looking at the right info online. lot of outdated stuff still coming up in google

The previous commenter is right about reporting investments - you must include ALL non-retirement investments including stocks, bonds, mutual funds, etc. The value reported should be the current market value as of the day you submit your FAFSA. Regarding the 2022 tax information - yes, that's correct for the 2024-2025 FAFSA. And there's been MAJOR changes to the FAFSA this year with the switch from EFC to SAI calculations. The form itself is simpler, but many families are experiencing significant changes in their aid eligibility. For your dad's job loss, you CANNOT note this on the FAFSA form itself. You must contact each school's financial aid office AFTER submitting your FAFSA to request what's called a "Professional Judgment" review (sometimes called a "Special Circumstances Appeal"). You'll need documentation of the job loss and current income. Do this ASAP after submitting your FAFSA, as some schools have early deadlines for these appeals. One more tip: Make sure both you AND a parent create FSA IDs before starting the application - this is a common roadblock that delays submission.

I just finished submitting my FAFSA a few days ago and I was confused about the investments thing too! The new simplified FAFSA asks for the total value of your cash, savings, and investments on a single line. This INCLUDES stocks, bonds, 529 plans, real estate (except your primary home), and other investments. It EXCLUDES retirement accounts and the home you live in. And yes, 2022 taxes. The whole income appeal thing is super important if your situation changed. I had to do one because my parent's business closed in 2023. Each school has different forms and requirements for this appeal - NONE of it happens on the actual FAFSA form. You have to contact each financial aid office separately after your FAFSA is processed. BTW - if you want to see how your college aid might be affected, search for the "Federal Student Aid Estimator" online. It can help you get a rough idea of your SAI before you submit.

i thought they weren't gna use the SAI thingy until next year??? my cousin said they're still using EFC for 2024??? can someone clarify this?? im so confused

The whole FAFSA system is SUCH A MESS this year!!! I've been trying to submit mine for TWO WEEKS and keep getting errors or the site crashing. And yes, you definitely have to report ALL investments (except retirement accounts). The form is "simpler" but actually gives you LESS opportunity to explain special circumstances. And about your dad losing his job - the FAFSA doesn't care!!! It's so frustrating. They just want that 2022 tax data and don't give a single place to explain current circumstances. The colleges CAN adjust your aid through professional judgment but it's COMPLETELY up to their discretion, and some schools are way more generous than others. You have to individually contact EVERY SINGLE SCHOOL and go through their separate processes. More paperwork, more waiting, more stress!!! The whole system is rigged against families whose circumstances have changed. They should just let us use 2023 taxes instead of making everyone jump through these extra hoops!!!

Hey there, after struggling with similar FAFSA issues last month, I found this service called Claimyr that helped me get through to an actual FSA agent on the phone. Seriously saved me hours of waiting and getting disconnected. I was able to ask them directly about reporting investments and my parents' income change situation. They have a demo video that shows how it works: https://youtu.be/TbC8dZQWYNQ and their website is claimyr.com if you want to check it out. Sometimes talking to a real person is just faster than trying to figure it all out from conflicting online advice.

To answer your follow-up question - you report the CURRENT value of investments as of the date you're filling out the FAFSA, not their 2022 value. It's only the income information that comes from 2022. And to clarify about the SAI vs. EFC question someone asked - yes, the 2024-2025 FAFSA is using the new SAI calculation. This is a significant change that affects how financial need is determined. The formula gives more aid to some families (particularly those with multiple college students) but potentially less to others. One important note: You mentioned your mom's inherited investments. Make sure you're clear on whether those are in a retirement account (not reportable) or regular investment account (must be reported). If you're unsure, you should probably contact a financial aid advisor at one of your target schools for clarification before submitting.

I totally understand your stress - navigating FAFSA for the first time can be overwhelming! Just to add one more helpful tip that I wish someone had told me: when you're gathering the investment values, don't stress too much about getting the EXACT amount down to the penny. The FAFSA accepts reasonable estimates, and investment values fluctuate daily anyway. Also, make sure you have your Social Security card handy when you start - I got stuck halfway through because I couldn't remember if there was a dash in my SSN or not! And definitely save your work frequently since the system can time out. One last thing - after you submit, you'll get a Student Aid Report (SAR) that summarizes everything. Review it carefully because that's your last chance to catch any mistakes before it goes to your schools. You can make corrections if needed. You've got this! The fact that you're asking these questions shows you're being thorough, which is exactly what you need to do.

Hey Emily! I just went through this exact same process last month and wanted to share a few things that really helped me. First, create a checklist of all the documents you'll need BEFORE you start - tax returns, bank statements, investment account statements, Social Security cards for you and your parents, etc. Having everything organized in one place made the process so much smoother. For the investment reporting, I used the account balances from the most recent statements I had (within the past month or so) rather than trying to get real-time values. The FAFSA system understands that these numbers fluctuate. One thing that caught me off guard - make sure your parent creates their FSA ID a few days before you plan to submit, not the same day. Sometimes there's a delay in the verification process and you don't want to get stuck waiting when you're ready to submit. And definitely start the professional judgment process with your schools as soon as possible after submitting your FAFSA. Some schools have rolling deadlines for these appeals, so the earlier you get your documentation in, the better your chances of getting additional aid. You're going to do great! The fact that you're being so thorough and asking the right questions shows you're on the right track.

Just wanted to jump in and share something that really helped me when I was in your exact situation last year! My family also had a major income change (my mom got laid off in early 2023) and I was so worried about using those old 2022 tax numbers. Here's what I learned: Yes, you absolutely need to report ALL non-retirement investments at their current market value - so your mom's inherited portfolio definitely counts, but your dad's 401k does not. I made the mistake of trying to be too precise with stock values and checking them daily, but honestly just use recent account statements (within the past few weeks) and you'll be fine. For the professional judgment appeals, I contacted my schools literally the day after my FAFSA was processed. Each school had completely different forms and requirements - some wanted three months of pay stubs, others wanted a letter from the employer, etc. It was a lot of paperwork but SO worth it. I ended up getting an additional $7,000 in aid at my top choice school. One tip nobody told me: when you're gathering documents, also collect unemployment benefit information if your dad received any, because schools often ask for that during the appeal process too. The new FAFSA is definitely confusing but you're asking all the right questions. You've got this!

Hey Emily! I went through this exact same situation two years ago when my family had major income changes. Just wanted to add a few practical tips that really helped me: For the investment reporting - I found it helpful to take screenshots of all account balances on the same day I planned to submit my FAFSA, just so I had consistent documentation. Don't stress about daily market fluctuations - the financial aid offices understand these numbers change. Regarding the professional judgment appeals, I'd recommend starting to gather documentation NOW even before you submit your FAFSA. Things like: termination letter from your dad's employer, unemployment benefit statements, recent pay stubs if he's found new work, and a letter explaining the timeline of events. Having this ready will speed up the appeal process at each school. Also, when you contact schools about professional judgment, ask specifically about their deadlines and whether they have a standard form. Some schools I applied to had a simple one-page form, while others required a full financial hardship packet. Knowing what each school needs upfront saved me tons of time. One last thing - keep detailed records of every conversation you have with financial aid offices. I created a simple spreadsheet tracking which schools I contacted, when, what they requested, and follow-up dates. It was a lifesaver when managing multiple appeals. You're being super proactive by asking these questions - that's exactly the approach that will help you maximize your aid!