I am responding to my own message and wanted to share this with @thumper1 to make you aware about it
My EFC was more than our gross salary because my rollover 401k got accounted as income and I called FAFSA for correction, they sent me the paper work and I sent them the correct numbers(the question numbers in online form and paper form were very different so had to marry them and make corrections based on actual questions), sent it back, did a phone followup to see if they received it and when I can see the new EFC, they said it will take 2 weeks and on 19th November we got a notification that it was updated.
My EFC was reduced by 50%. So the EFC did get corrected.
Now my question is how do I know colleges will get the new EFC, if I dont see a response here then tomorrow I am planning to call them to check how can we see that colleges got the latest number before I start swapping them with new college list.