FAFSA SAI increased after inflation adjustment recalculation - shouldn't it be lower?

same thing happened 2 us! our new SAI went up by like $800 and now im freaking out cuz my son might not qualify for the same scholarships. no idea wtf happened

The inflation adjustment wasn't supposed to uniformly lower everyone's SAI. Rather, it was meant to correctly apply the formula with updated inflation numbers. Depending on your specific financial situation and how various income protection allowances apply to your case, some families are seeing increases rather than decreases. The Department of Education's announcement wasn't clear about this, but about 30% of applicants are actually seeing higher SAIs after the recalculation. This is because the adjustment affects different components of the formula in complex ways. If you're near certain thresholds for allowances or deductions, the correction could push your numbers in either direction.

Financial aid advisor here. The inflation adjustment recalculation affected several components of the FAFSA formula, not just the income protection allowance. Here's what likely happened in your case: 1. Yes, the income protection allowance increased (which would normally lower SAI) 2. BUT the Assessment Rates and Income Brackets were also adjusted 3. If your income falls near certain thresholds, you might have moved into a different assessment category You should definitely contact each school's financial aid office to discuss your situation. Many schools are aware of this issue and have discretionary funds they can use to offset unexpected SAI increases. Make sure to emphasize that your financial circumstances haven't changed - this is purely from the federal recalculation.

I've been trying to reach someone at Federal Student Aid for THREE DAYS about my daughter's increased SAI. Keep getting disconnected or wait times over 2 hours. Anyone know a better way to get through? This is ridiculous!

MY SON'S SAI WENT DOWN BY ALMOST $5000!! I was shocked because we have decent income but I guess we hit some sweet spot in the formula. It's so arbitrary and unfair that some families are getting MORE aid while others are getting LESS from the exact same "fix"!!!

Update for everyone following this thread: The Department of Education just released guidance to financial aid offices about handling these SAI increases. Schools are being encouraged to use professional judgment to adjust aid packages for students whose SAIs increased solely due to the formula correction. Key points when contacting your schools: 1. Specifically mention the "SAI inflation adjustment recalculation" 2. Emphasize that your financial circumstances haven't changed 3. Ask if they're implementing the new guidance for professional judgment adjustments 4. Provide documentation of both your original and new SAI Most schools will be sympathetic to this situation since it wasn't your error.

My niece had this exact problem and found out it was because of how they calculated my sister's retirement contributions after the adjustment. Something about the threshold for protected retirement assets changing. Might be worth looking into if you have any retirement contributions listed on your FAFSA.