Hi.
I’m in my first year in college and unemployed, but receive ~3k a month in support starting in Feb 2022.
When filling out the FAFSA for Fall 23/Spring 24, I mistakenly didn’t include it, so I went in to correct the form and included the ~$30,000/yr support. After I submitted this correction, I started to wonder if I was supposed to even do that this year, or was I supposed to wait for next year (24/25)?
I tried asking on the FAFSA live chat, but the guy I was talking to didn’t seem to understand my question and kept providing me with useless information for the first five minutes that had nothing to do with my problem. Then he indicated that I need to report anything occurring within the 2 years (2021-2022) for my 23/24 form. I just want to know if this is correct, and if I did it properly, or if I will need to make another correction.
Income (including the monthly support that you describe) that you received in 2022 would not be reported on the 2023-2024 FAFSA. When reporting income, FAFSA looks back two years, so on the 2023-2024 FAFSA, that would be income received in 2021.
This is the information that I have read from users online, but I wanted to “double check” it against a FAFSA employee. When he couldn’t comprehend my first sentences (like you did), it was a big tip to me that I need to try and find solid outside information again. Could you explain how you know this? I’m not trying to challenge you, I just want access to the same information so I can save it for my own records. Is there a way you could point me to that if you have the time? Also, I genuinely appreciate the time you’ve taken to respond. Thank you so very much.
And for 2024-25, students will no longer be asked about untaxed (or gift) income, due to the FAFSA Simplification Act. From the Congressional Research Service report, The FAFSA Simplification Act: “Among the forms of untaxed income that will no longer be considered are “cash support or any money paid on the student’s behalf.” Prior to the FSA taking effect, the classification of this type of support as a form of untaxed income (which excludes support from dependent students’ parents) meant that the EFC considered support from individuals who are not required to report information on the FAFSA, such as contributions from grandparents. This type of support will no longer be considered in the SAI formula after the FSA takes effect.”
kelsmom provides a great answer with relevant references. Read through the PDF version of the 2023-2024 FAFSA that kelsmom links to above. At no place does the form request information on 2022 student income; it’s all about income received in 2021, and certain assets held at the time the form is completed.
I have already looked at the form. I don’t understand why that FAFSA employee led me astray. But as mentioned previously, truly appreciate the both of you for the information you’ve given. Thank you again.
Unfortunately, not all employees answering the phone for the FAFSA helpline are well versed in financial aid. They have been trained on commonly asked questions and most likely have a cheat sheet for less commonly asked questions. But not all of them have the experience to know what is being asked when the question doesn’t jibe with the script. I’m glad you asked here. Between those of us who regularly respond here, we’ve got lots of experience in answering these questions.
But as mentioned previously, truly appreciate the both of you for the information you’ve given. Thank you again.