The Department of Education (ED) shared a document summarizing the changes and enhancements made to the application processing system to the 2021-2022 FAFSA.
The most notable changes are the increase of the income threshold for the automatic-zero expected family contribution (EFC), updates to the Schedule 1 tax form questions, and plans to update the myStudentAid mobile application. For the 2021-22 FAFSA, the income threshold for an automatic-zero EFC was increased from $26,000 to $27,000. Earlier this month, the Office of Federal Student Aid (FSA) posted the 2021-2022 EFC Formula Guide, which includes EFC worksheets and tables for the 2021-22 processing cycle.
Adjustments have been made to assist families answer the question about whether or not they filed a Schedule 1. When users choose to use the Data Retrieval Tool (DRT), the answer about whether or not they filed a Schedule 1 will automatically populate from the IRS. The transferred data for the Schedule 1 fields will be handled the same as other data transferred using the IRS DRT. For users who do not use the DRT, the help text and instructions for this question have been updated to include all current exceptions for filing a Schedule 1: “Answer No if the student and/or their spouse did not file Schedule 1 or only filed Schedule 1 to report: unemployment compensation, educator expenses, IRA deduction, student loan interest deduction, Alaska Permanent Fund dividend, or virtual currency.” Note: “Capital gains” has been removed as an exception, and “virtual currency” has been added.
FSA also plans to release a new version of the myStudentAid mobile app for the 2021-2022 application. The updated app will provide the following functionality:
- FAFSA Form – Complete the FAFSA form safely and securely from a mobile device.
- Dashboard – The dashboard includes various types of popular tasks and a personalized page to help determine what actions to take.
- Settings – Edit/manage an account, using username and password (FSA ID).
- Aid Summary – View federal student loan and grant history.
- Notification Center – View and manage notifications regarding student aid.
- Payment Vehicle Account (PVA) – Opt to receive financial aid refunds and manage other finances through a prepaid debit card. Available at select schools during pilot phase of program.
PowerPoint presentations containing information and screenshots pertaining to the 2021-2022 FAFSA will be released in September to provide visual representation of the changes and enhancements to the FAFSA on the Web and the mobile application.
Sources:
PDF: Summary of Changes for the Application Processing System
NASFAA: ED Releases Summary of Changes for the 2021-22 FAFSA