LINCOLN- A change made to FAFSA by former President Donald Trump, which removed a certain exemption in the application process for individuals living on family farms or who own small businesses, is being challenged by Nebraska lawmakers who feel that the change will hurt certain Nebraskans.
The change, when implemented before the 2024-2025 school year, will require families with an adjusted gross income of $60,000 or more who fill out FAFSA forms to report the net worth of their family farms or businesses if fewer than 100 employees are employed there. According to a study of the change conducted by the Iowa Student Aid Commission, a family making $60,000 is currently expected to contribute $7,600 to their child's college education every year.
However, if that same family's $1 million farm is considered when applying for FAFSA, they would be expected to contribute more than $41,000. "It's really going to have some devastating impacts on families," said Ritchie Morrow, financial aid officer for the Nebraska Coordinating Commission for Postsecondary Education. University of Nebraska President Ted Carter, as well as several other school administrators, are set to share their concerns with the federal Education Department.
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