What triggers FAFSA verification?

Sometimes FAFSA filers are chosen for verification because of something questionable on their form, but they can also be selected at random. Some schools even choose to verify all applicants. However, some filers are chosen because of inconsistent information on their FAFSA form.

Why has my FAFSA been selected for verification?

You might see a note on your SAR saying you've been selected for verification; or your school might contact you to inform you that you've been selected. Verification is the process your school uses to confirm that the data reported on your FAFSA form is accurate.

Why would my FAFSA get flagged?

There are a variety of reasons students have their FAFSA flagged for verification, including random selection, applying to a college that verifies all students, to protect against identity theft, or most commonly, there was a mistake on your FAFSA that needs clarification.

What information is required to be verified on the FAFSA?

Schools may accept for verification any IRS tax transcript that includes all of the necessary information: adjusted gross income, U.S. income tax paid, untaxed IRA distributions, untaxed pensions, education credits, IRA deductions and tax-exempt interest.

How long does FAFSA verification process take?

Verification processing time is generally two to three weeks during peak season (June-October), and one to two weeks during non-peak season (November-May). Therefore, students should start the process as soon as possible.

FAFSA Verification

Does FAFSA check with IRS?

Some types of information that might be verified include income, taxes, education tax credits, child support, high school completion status or number of members in your household. You can reduce the chances of a verification by importing information from your FAFSA directly from the IRS's data retrieval tool.

What happens if I don't complete FAFSA verification?

What happens if I don't complete FAFSA verification process? Your college can withhold your financial aid until you've completed the verification process.

How often do FAFSA get audited?

The FAFSA is required for federal loans and grants, as well as aid awarded by states, colleges, and some scholarship programs. Still, 1 out of 3 FAFSA applications are selected each year for verification, an audit-like process to prove the information you provided is correct.

How many students are selected for verification?

How Many Students Are Selected For Verification? If this year is like previous ones, approximately 18% of students will be selected for verification. By way of comparison, the IRS audits less than 1% of tax filers.

What is a red flag on the FAFSA?

Simply put, red flags in an application mean there are missing documents or information needed to complete your application. Red flags are also an indication that your application will not be processed until the College's Financial Aid office receives all requirements. Why are red flags used?

What additional information may be required if a FAFSA is flagged for verification?

During the verification process, your college financial aid administrator will require you to submit certain documentation verifying the information you submitted on your FAFSA. They may request information such as W-2s or income tax returns.

How many warnings does FAFSA give you?

You may be granted financial aid during your 'warning' status for only one semester. You are not allowed to receive consecutive “warning” semesters of federal aid.

Why would a FAFSA get rejected?

There are a few common reasons why the Federal Processor will reject an application: Missing signatures, inconsistent marital status with income, taxes paid are equal to or higher than adjusted gross income, citizenship questions are blank, marital status and family members blank, etc.

What is the 2 step verification for FAFSA?

You must set up at least one two-step verification method (SMS text, email, or authenticator app) to log in to your StudentAid.gov account. You can update your two-step verification methods in Settings. We highly recommend setting up an authenticator app as one of your methods.

How do I know if my FAFSA was rejected?

You can also check the status of your FAFSA form by contacting the Federal Student Aid Information Center at 1-800-4-FED-AID (1-800-433-3243). To check on the status of financial aid being disbursed (paid out) to you or your account, check with your school's financial aid office.

What does it mean if you are selected for verification should you be worried if you are selected?

When you complete your FAFSA, you may receive a message that says: “Your FAFSA has been selected for a review process called verification.” All this means is that you may have to take a few extra steps to confirm the information you reported on your FAFSA before you can receive financial aid funds.

What is the question 90 on the FAFSA?

This is question 90 on the Free Application for Federal Student Aid (FAFSA^®) PDF. the number of people (not your children or spouse) who live with you and receive more than half of their support from you and will continue to receive more than half of their support from you between July 1, 2023, and June 30, 2024.

How much money until you get audited?

Audit rates of all income levels continue to drop. As you'd expect, the higher your income, the more likely you will get attention from the IRS as the IRS typically targets people making $500,000 or more at higher-than-average rates.

What are the verification activities?

Verification activities include Analysis, Inspection, Demonstration, and Test. (see below) Choice of verification methods must be considered an area of potential risk. The use of inappropriate methods can lead to inaccurate verification.

Does the FAFSA check your bank accounts?

Students selected for verification of their FAFSA form may wonder, “Does FAFSA check your bank accounts?” FAFSA does not directly view the student's or parent's bank accounts.

Will my parents savings account affect my financial aid?

The FAFSA formula assesses relevant parent assets at a maximum of 5.64%. The federal formula assesses child assets, which would include all custodial accounts as well as a child's own savings/checking, at 20%.

What income do you report on FAFSA?

Adjusted gross income (AGI), income tax, and income earned from work (36–39, 84–87 for parents). These items are reported for dependent students, their parents, and independent students.

How does FAFSA verify assets for financial aid?

If you are selected for FAFSA verification, you will be asked to provide more documentation. This verification request can come from the school you will be attending (school-requested verification) or from the U.S. Department of Education. Verification could be financial, identity or statement related.

What happens if you miss FAFSA verification deadline?

If you miss the deadline to submit your information, it will delay the disbursement of your financial aid. In some cases, you might even lose your aid. Respond as quickly as you can! Make sure you submit the documents in the way the college asks for them (such as by mail, a secure portal or even email).