Dear Estelle. A recent article in the Wall Street Journal spoke about new, very confusing, federal guidelines for applying for financial aid. Is this some political craziness to confuse parents during an election year? None of my friends, all parents of high school juniors and seniors, understand what the new guidelines mean. Perhaps you can provide some insight into what to expect when we fill out the
FAFSA next year. Cherry Creek HS Parents
You are asking a question that has confounded even financial advisors but what follows is a fairly concise summary of the new PPY (Prior Prior Year) financial aid plan that the feds rolled out late last year. It is extremely important that families with high school seniors and juniors who are contemplating applying for financial aid have their 2015 tax information in order. The reason? 2015 will be the only year that will be the base year for two consecutive years of financial aid granting.
Seniors using the FAFSA will be supplying information for both their freshman and sophomore years. This is a very unusual situation but one which requires attention since it will be used for two consecutive years. At this time it is not known how the CSS/Profile administered by the College Board and used by over 300 colleges will treat this situation in terms of applying for institutional aid.