FAFSA-Worksheet Question

Paying for College
1

<p>yes, I am late doing this! As self-employed it is no picnic either!</p>

<p>on the one worksheet Parents Income Estimator it says:</p>

<p>IRS-allowable adjustments to income (payment to IRA and Keogh Plans, one half of self employment tax, self-employed health insurance deduction, interest penalty on early withdrawal of savings, alimony paid, and student loan interest deduction).</p>

<p>so.......I put in half of my SE tax right? I never noticed this before.</p>

2

<p>Yep. You should have deducted this on your 1040 as an adjustment to income, line 27. FAFSA is adding these adjustments back onto your AGI to get your total income.</p>