Back in January, the Free Application for Federal Student Aid (FAFSA) issued several changes to its operating procedures concerning how financial aid is calculated for college students. In an email to NH Business Review, Granite Edvance — a nonprofit based in Concord that helps students and their families navigate their education and career pathways — highlighted several more changes to the FAFSA process that are designed to increase FAFSA completion.
In the January press release, it was shared that the new FAFSA form coincides with a new state law, in effect this school year, requiring high school seniors to complete the FAFSA or sign a waiver opting out in order to graduate. Both initiatives are designed to increase FAFSA completion and in turn increase college access, but the changes mean students may need extra support this year in completing requirements.
Key changes to the FAFSA include a simplified form, with about 36 questions instead of the previous 108, and significant revisions to the aid formula. The number of NH students eligible for a Federal Pell Grant will increase by more than 12,000 next year, according to data released last month by the U.S. Department of Education.
The Department of Education also estimates that of all NH students eligible for a Pell Grant, the number eligible for the Maximum Pell Grant will increase by 24,000. (The Maximum Pell Grant for 2023-24 is $7,395; the 2024-25 amount has not yet been released.)
But, as the nonprofit’s email highlights, these changes have created challenges for students and families this year.
Particularly, the FAFSA was released nearly three months later than usual, impacting college planning timelines, particularly around early admission. Applicants will also now need to create a studentaid.gov account 3-5 days before they can file the FAFSA, and students and parents will need to complete their own sections of the form individually.
In February, the Department of Education announced that it was updating the data tables it uses to make aid calculations to account for inflation. This adjustment has affected college-planning timelines, so many students won’t have financial aid offers by the usual May 1 college decision deadline.
As of the last week of March, FAFSA completion rates are down by more than 30% nationally. New Hampshire’s FAFSA completion rate is down by more than 20% compared with this time last year (the lowest decrease in the country).
Families are reporting that the new application is easier to complete, however, many students are expressing anxiety and frustration with the current situation.
“The FAFSA opens doors for many students,” said Granite Edvance CEO and President Christiana Thornton in the January release. “The federal enhancements to the FAFSA are expected to benefit thousands more NH families, making college and other postsecondary options such as trade school more accessible for many students who may have thought it was out of reach. We know, however, that the financial aid process can be intimidating and overwhelming and that the changes to the FAFSA may be causing additional anxiety. We want families to know we’re here to support them every step of the way.”
