<p>I'd like to get an early start on the FAFSA, but my parents won't be able to fill out their 2008 income taxes until closer to March or April. My dad owns a very small business and last year's AGI was $75K. This year's AGI will probably be $20-30K less due to the economic climate. </p>
<p>I've heard we can "estimate" 2008 taxes on the FAFSA. How is this done? </p>
<p>If I wait to fill out the FAFSA, doesn't the amount of eligible aid/grants/loans reduce with each day as it approaches the financial aid deadline? I'd like to get an early start, but also want to take a wise approach. </p>
<p>There are some loans (Perkins) that are limited funds. Things like the Pell are not but with an income as high as you indicate, you would not be eligible for that one anyway.</p>
<p>The thing is…if you do your FAFSA with estimates, it is very important to finalize the document with accurate figures much earlier than April. With your estimated FAFSA you will get ESTIMATED financial aid. The school will not finalize your financial aid award until YOU amend your FAFSA to reflect the accurate numbers on your 2008 tax return. AND yes…the estimated financial aid award and the final one CAN (and do) vary. My daughter got three estimated finaid awards as an EA/rolling admissions student. We finalized our FAFSA after completing taxes in February. One school REDUCED her award by $6000. The others didn’t change it at all but their awards were less to begin with. </p>
<p>Is there any way your parents can complete their taxes sooner? I’m concerned that you won’t have a finalized financial aid award by May 1st when you have to commit to a college if they don’t.</p>
<p>I spoke to my dad and fortunately had misunderstood their income tax timeframe. He said the taxes will be completed in January. I’m all ready to go with our PINs for FAFSA to complete the application after the taxes are finished. I just need to confirm financial aid priority deadlines for my universities. Thanks for your help!</p>