Important 2024-25 Financial Aid Information

2024-2025 Financial Aid Application Updates

March 29, 2024

For the 2024-2025 application year, the Free Application for Federal Student Aid (FAFSA) will undergo changes relating to the FAFSA Simplification Act enacted into law. The changes to the FAFSA will impact the information requested from students and their families, as well as the potential eligibility of grant and loan aid for applicants during the 2024-2025 academic year. 

2024-2025 FAFSA/CADAA APPLICATION

When will the 2024-2025 FAFSA/CADAA become available?

• By December 31, 2023

The California priority application deadline for the 2024-2025 FAFSA/CADAA is:

• May 2, 2024 

2024-2025 FAFSA UPDATES AND HIGHLIGHTS: BETTER FAFSA

What will change on the application?

1. A simplified application process:

• The number of application questions has been reduced and this has decreased the time needed to complete the FAFSA form.

2. Expanded eligibility for the Federal Pell Grant:

• More students will be eligible for the Federal Pell Grant, and some students may be eligible for more Federal Pell Grant than before.

3. Reduced barriers for applicants:

• The Federal Tax Information (FTI) requested will be secured and transferred for all taxpayers.
• Both students and parents/guardians will be able to create their own Federal Student Aid (FSA) IDs, even those with no Social Security Number (SSN).
• Please note that FSA IDs refer to the FAFSA application’s username and password required to submit a FAFSA

4. Change from Expected Family Contribution (EFC) to Student Aid Index (SAI):

• Beginning with the 2024-2025 FAFSA, the EFC is being replaced by the SAI
• The SAI refers to the new tool used for determining and awarding need-based grants and scholarships
• Additionally, there is a possibility for the SAI to be a negative number, with a minimum SAI of -1,500 instead of zero

ADDITIONAL INFORMATION ON THE 2024-2025 FAFSA: BETTER FAFSA

Use of Federal Tax Information:

• The FAFSA Simplification Act requires that whenever possible, the FAFSA uses data received directly from the Internal Revenue Service (IRS) to calculate a student’s SAI and Pell Grant award.  

Other notable changes:

• The number of family members in college is no longer a factor in determining need.
  • The FAFSA will remove the question asking for the number of family members in college
• The definition of family size has changed to be the same as the number of individuals reported as dependents on the applicant’s (if independent) or applicant’s parents’ (if dependent) U.S. tax return. Applicants may update their family size if it changes after filing the tax return. 

2024-2025 CALIFORNIA DREAM ACT APPLICATION (CADAA):

For 2024-2025, the California Student Aid Commission (CSAC) has made updates to the CADAA. The notable changes are:

• Application timeline:
  
  • CADAA's priority deadline is May 2, 2024. 
• Change from Expected Family Contribution (EFC) to Student Aid Index (SAI):
  • The 2024 -2025 CADAA will include some of the changes from the new FAFSA such as the incorporation of the Student Aid Index (SAI) in place of the Expected Family Contribution (EFC). 
• Parent Signature Process changes:
  • Student and parent can now acknowledge the perjury statement and sign the application at the same time.
    • If parent is not present, they can sign later from the CADAA landing page.
  • Parent will not need to re-sign unless parent information is changed.
• Embedded AB540 Affidavit within online CADAA
  • Student submits embedded affidavit just once and can update as needed.