After opening late the last two years, the FAFSA (Free Application for Federal Student Aid) for the 2026-2027 school year is back on track to open on the usual start date of October 1. Last year, in addition to the FAFSA opening late in December, families faced government processing delays that resulted in late financial aid packages from colleges.
Tips for submitting
Here are some things to know about the FAFSA.
- FSA ID. To file the FAFSA online, parents and students each need their own FSA ID, which is a username/password combination that functions as a legal signature. You can create an FSA ID online, and the same ID can be used for all years of college.
- Income and assets. The FAFSA requires two key types of information: income and assets. For income, the 2026–2027 FAFSA will rely on information from your 2024 federal income tax return as it uses a prior-prior year system, looking back two years. This data will be imported automatically from the IRS. For assets, the FAFSA uses the value of your assets as of the date you submit the form.
- Student Aid Index. The FAFSA calculates a figure called the “Student Aid Index,” a benchmark that measures aid eligibility. Colleges use this figure to create a financial aid package that attempts to meet a student’s financial need. Note that colleges are not required to meet 100% of a student’s financial need.
- Eligibility for Direct Loans. All students who file the FAFSA are eligible for an unsubsidized Federal Direct Loan, regardless of financial need. But students who demonstrate need on the FAFSA are also eligible for a subsidized Federal Direct Loan, which means the government pays the interest that accrues during school, the grace period after graduation, and any authorized deferment periods. Both types of Direct Loans have annual borrowing limits: first year – $5,500 (max $3,500 subsidized); second year – $6,500 (max $4,500 subsidized); third year and beyond – $7,500 (max $5,500 subsidized). Students with significant financial need may also qualify for a Pell Grant.
- College aid. Even if a student does not plan to take out any federal loans, some colleges might require the FAFSA before awarding their own college-based aid, including merit scholarships and grants. So filing it can still be beneficial in this case.
- Annual submission. The FAFSA must be submitted each year for students to be eligible for federal aid for that academic year.
For more information, families can visit the federal student aid website at studentaid.gov.
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