Comprehensive Guide to Completing the FAFSA
The Free Application for Federal Student Aid (FAFSA) is the most significant gateway to securing financial aid for college, making it a critical step in the college application process. Whether you’re a first-time applicant or renewing your FAFSA, understanding the process, meeting deadlines, and avoiding common mistakes can maximize your financial aid eligibility.
Myth: “My family makes too much money, so I won’t get aid.”
Truth: Even wealthy families get aid. This is true because:
There's no strict income limit for financial aid in general, because different colleges have different "price tags", and colleges determine how much aid to offer, not the FAFSA or the Federal Government itself.
The Pell Grant is Need-Based, but even a wealthy family could qualify for some Pell aid if their student attends a very expensive college.
Final aid decisions consider many factors like cost of attendance, financial need, family size, state of residence, and multiple children in college, and more.
The vast majority of students get some aid, as long as they complete the FAFSA (and any other financial aid forms a college may require).
This comprehensive guide walks you through every step of completing the FAFSA, from preparation to submission, what happens after you apply, and how to avoid financial aid scams.
What is the FAFSA and Why is It Important?
The FAFSA is a free, government-administered application that determines your eligibility for federal, state, and institutional financial aid, including:
Grants (such as the Pell Grant) – free money that doesn’t have to be repaid.
Federal Student Loans – need-based subsidized loans and non-need-based unsubsidized loans.
Work-Study Programs – allows students to earn money through part-time work while in college.
State and Institutional Aid – many states and colleges use FAFSA data to distribute their own grants and scholarships.
Why it's Important:
Even if you don’t think you’ll qualify for need-based aid, completing the FAFSA is essential because:
Some colleges require it for merit-based scholarships.
Many state financial aid programs use FAFSA data.
It determines your eligibility for low-interest federal student loans.
You won’t know what aid you qualify for until you apply!
What You Need Before You Start the FAFSA
Before beginning the FAFSA, gather all required documents to streamline the process.
Create Your FSA ID (Before Starting the FAFSA)
What is an FSA ID?
A username and password that serves as your legal signature for the FAFSA.
Both the student and parent (if the student is a dependent) need an FSA ID.
Used to sign the FAFSA, access federal student aid records, and manage student loans.
Create an FSA ID at studentaid.gov.
Cogi InSight - Important: Do this several days before completing the FAFSA, as it may take time to verify your identity.
Gather Required Documents - Having the following documents on hand makes completing the FAFSA faster:
Personal Identification - Social Security Numbers (SSNs for parents & students) or Alien Registration Number (for eligible noncitizens)
Tax Returns - Student and parent (if dependent) Federal income tax returns from 2 years prior (e.g. for 2025-2026 year, use your 2023 return)
W-2 Forms & Income Records - Wage and tax statements from employers
Bank Statements & Investments - Checking/savings balances, stocks, bonds, real estate (not your primary home)
Records of Untaxed Income - Child support, veteran benefits, worker’s compensation, etc.
Cogi InSight - Tip: If your taxes have been filed with the IRS, use the IRS Data Retrieval Tool (DRT) within the FAFSA to automatically import tax data.
Step-by-Step Guide to Completing the FAFSA
Step 1: Student Starts the FAFSA Application - The FAFSA is completed online at studentaid.gov.
Log in at FAFSA.gov using your FSA ID.
Select the correct academic year (e.g., for Fall 2025, choose the 2025-26 FAFSA).
If renewing your FAFSA, some information will be pre-filled.
Cogi InSight - Caution: Parents should wait until later in the process, otherwise it could mess up your submission and cause financial aid delays.
Step 2: Enter Student Details and Demographics
Legal name (as it appears on Social Security card)
Additional Identification details - Date of birth, SSN
Contact details - mailing address and phone number
Citizenship status
Cogi InSight - Mistake to Avoid: Enter names using legal names exactly as it appears on official documents. Name mismatches cause delays.
Step 3: List Colleges and Schools to Receive Your FAFSA
Add up to 20 schools that should receive your FAFSA results.
Schools use this data to determine institutional aid offers.
It’s okay to list schools even if you haven’t applied yet!
Cogi InSight - Tip: Rank schools by priority; some states (Alaska, Arizona, California, and Colorado) require the first-listed school to be an in-state institution for state aid consideration.
Step 4: Determine Dependency Status and INVITE PARENTS to Complete the Parent Section
The FAFSA will ask dependency questions to determine whether you're a dependent and parental financial info is required.
A student is independent if they:
Are 24 or older
Are married
Have dependents they support financially
Are a veteran or active-duty military
Were in foster care, an orphan, or a legal ward of the court
If the student is considered dependent, the student Invites Parents to Complete their section(s)
Step 5: Student and Parents Provides Financial Information (If Required)
If the student dependent, parents must enter their tax information.
Use the IRS Data Retrieval Tool (DRT) for accuracy.
Cogi InSight - Mistake to Avoid: If the student is deemed a dependent, do not skip parental info just because the student or family believes otherwise. In cases where a student is designated a dependent, but in reality parents do not financially support the student, parental info should still be input. The ONLY time parental info should be left out is if the FAFSA considers the student to be independent. Students and their families can appeal Financial Aid offers directly with schools and explain the family's circumstances.
Step 6: Enter Student Financial Information
Report student earnings, bank balances, and investments.
Most students have minimal income/assets, reducing their Expected Family Contribution (EFC).
Step 7: Sign and Submit the FAFSA
Review all entries for accuracy.
Both student and parent (if applicable) sign using their FSA IDs.
Click “Submit” and save your confirmation number.
Cogi InSight - Processing Time: You’ll receive a Student Aid Report (SAR) in 3-5 days (or up to 10 days if you filed by mail).
Step 8: What Happens After You Submit the FAFSA?
Review Your Student Aid Report (SAR)
What is the SAR?
A summary of your FAFSA submission and the Student Aid Index (SAI) number. Individual colleges use the SAI to determine an applicant's Financial Need based on the school's Cost of Attendance.
Check for errors—if incorrect, log in and make corrections.
Cogi InSight - Don't Misinterpret the SAI: The SAI is the government's estimation of how much your family can contribute to college costs and it assumes significant quality of life/lifestyle sacrifices on the part of the family. The SAI is NOT how much aid you qualify for, and it is NOT the minimum or maximum you will have to pay. In reality, many families cannot afford the assumed sacrifices, and at the same time, colleges can choose to give an applicant more or less aid, resulting in the family owing less or more than the SAI.
Verification Process
Some students are randomly selected for verification and must submit additional documents.
If selected, respond promptly to avoid aid delays.
Step 9: Receive Financial Aid Offers
Colleges will send financial aid packages/offers based on FAFSA data.
Compare grants, scholarships, work-study, and loan options before accepting aid.
Remember applicants can appeal financial aid offers by contacting the Financial Aid office, explaining relevant special circumstances, and request more aid. When doing this, it's best to suggest an amount instead of leaving it up to the college. If they can't meet your request but can offer more aid, they will usually return with a counter-offer.
Cogi InSight - Tip: Compare Net Price, not Sticker Price. The Net Price is tuition minus grants/scholarships, showing your actual cost. Utilize Cogi's College Costs Comparison Tool (free) or Comprehensive Admissions Tracker (purchase) for even more accurate comparisons.
Avoid FAFSA & Financial Aid Scams
Watch out for these common financial aid scams:
FAFSA Filing Fees: FAFSA is free—never pay a service to submit it. Use FAFSA.gov.
“Guaranteed Scholarships” for a Fee: No legitimate scholarship requires an upfront payment.
Phishing Emails Asking for Personal Info: Only enter sensitive data on official federal websites.
For more on financial aid scams, visit: FTC’s Guide to Avoiding Scams.
Key FAFSA Deadlines
Federal FAFSA Deadline: June 30 of the academic year.
State & College Deadlines: Vary by state—check at FAFSA.gov.
Priority Deadline: Apply ASAP! Some aid is first-come, first-served.
Cogi InSight - Pro Tip: Complete the FAFSA as soon as it opens (usually October 1) to maximize aid!
REMEMBER: FAFSA is Key to College Affordability - It unlocks access to Federal AND State and Institutional Financial Aid
Even those who expect to pay full price should complete the FAFSA. Filing the FAFSA unlocks access to Need-Based Federal Aid, which wealthy families may not qualify for, but it also unlocks access to State Financial Aid and Institutional Financial Aid, which is available to a much broader range of incomes. Even if you don’t think you qualify, submit it anyway—you may be surprised!
Key Takeaways:
FAFSA is free—apply at FAFSA.gov. If any program or service requests payment for access to the FAFSA or Financial Aid, it's a scam.
Submit early - regardless of your income - to maximize grants and scholarships.
Double-check your SAR for errors and respond to verification requests.
Compare Net Prices (not just sticker prices) before accepting aid. Utilize Cogi's College Costs Comparison Tool (free) or Comprehensive Admissions Tracker (purchase) for even more accurate comparisons.
With Cogi's expert and comprehensive guide, you’ll be well-prepared to calmly and confidently navigate the FAFSA process and secure financial aid for college!