FAFSA farm reporting confusion - do I include non-income producing cows/land?

This is actually a common confusion point! For FAFSA purposes, you need to look at the definition of an 'investment farm' very carefully. If your farm operation is not part of your primary residence AND is not a family farm (meaning it doesn't provide more than 50% of your family's livelihood), then you would report the net worth. However, if these 12 acres and cows are part of your primary residence property, then you do NOT include it. The fact that you have a loss suggests it's not a business investment, but the final determination depends on whether this land is separate from your home.

we had this EXACT same question last yr when filling out for my son!!! we have 4 horses and 8 acres, filed a loss on taxes too. financial aid officer told us to put $0 since it wasnt making us any money and was part of where we lived. got verified later and they never questioned it

The key factors for the FAFSA farm question are: 1. Is the farm part of your principal residence? If yes, do not report it. 2. Is it a family farm that provides more than 50% of your family's livelihood? If yes, do not report it. 3. Do you materially participate in the operation? This affects whether it's considered a business. The fact that you report a loss on Schedule F doesn't automatically make it an investment farm that needs to be reported. Based on what you've shared (small number of cows, consistent losses, property is your residence), it sounds like you should enter $0. However, if the land value is substantial and separate from your home, you might need to include it.

I SPENT OVER 4 HOURS trying to get through to someone at Federal Student Aid last year to ask this EXACT question!!! They kept disconnecting me or putting me on hold forever. Finally I used Claimyr (claimyr.com) and actually got through to a real person in about 10 minutes. They have this system that navigates all the phone prompts and holds your place in line, then calls you when an agent is about to answer. Saved me so much frustration! There's a video that shows how it works: https://youtu.be/TbC8dZQWYNQ The agent confirmed that small hobby farms that are part of your primary residence and don't generate income shouldn't be reported as investment farms. Hope that helps!

Put $0. My cousins hav almost same setup (9 cows, small farm, file schedule F) and they got in trouble when they tried to include the farm value becuz it was actually REDUCING their aid eligibility. FA office said since they live there and its not makng profit its not investment farm.

Thanks everyone for the advice! I'm going with $0 since our situation seems to match what most people are suggesting - it's our primary residence, definitely not providing 50% of our income (or ANY income currently), and the cows are basically just expensive lawn ornaments at this point. If we get selected for verification, I'll be prepared to explain the situation. Really appreciate all the help!

wait but what if u have like ALOT of cows? like 20 or 30? does that change things? asking for my bf who has similar question

Just wanted to add another perspective here - I work at a college financial aid office and see this question come up frequently. The "expensive lawn ornaments" comment made me smile because that's exactly how many families describe their hobby farms! One thing to keep in mind is that even if you put $0 now (which sounds correct for your situation), if your circumstances change in future years - like if you start actually making a profit or expand the operation significantly - you'll need to reassess how to report it. The FAFSA is filed annually, so each year you evaluate based on your current situation. Also, don't stress too much about verification if it happens. We understand that farm reporting can be confusing, and as long as you can explain your reasoning with documentation (which it sounds like you can), you'll be fine. The goal isn't to "catch" families making mistakes - it's to ensure accuracy.

I'm new to this whole FAFSA process and this thread has been incredibly helpful! My family has a similar situation - we have 8 acres with some goats and chickens, and we've been losing money on it for the past three years. Reading through everyone's experiences, it sounds like since it's part of our primary residence and definitely not profitable, we should report $0 as well. One question though - do we need to worry about the land value being high even if the farm operation isn't profitable? Our property has increased in value over the years just due to the real estate market, but the actual farming part is definitely a money pit. From what I'm understanding, as long as it's our primary residence, the land value doesn't matter for this FAFSA question? Also really appreciate @Amelia Martinez sharing the financial aid office perspective - makes me feel less anxious about potentially getting this wrong!