FAFSA 2026-27 Opens October 1 with Simplified Process, New Loan Limits

The Free Application for Federal Student Aid (FAFSA) is set to open on October 1, 2025, returning to its traditional schedule after recent delays and technical issues. The 2026-27 FAFSA features key updates, including a streamlined application with fewer questions, the replacement of the Expected Family Contribution with the Student Aid Index for clearer aid calculations, and new federal loan limits that include the elimination of Grad PLUS loans and lifetime borrowing caps. Beta testing for the new FAFSA form is ongoing, allowing students to apply early without needing to resubmit later, though some students, especially Pell Grant applicants, may benefit from waiting for the official launch due to eligibility criteria changes. Arizona has launched a “50 by Fall” campaign to increase FAFSA completion rates among high school seniors, aiming to reduce the state's loss of over $100 million annually in federal Pell Grants and improve college readiness. Experts emphasize the importance of applying early, as early filers receive significantly more financial aid, and caution families not to assume they are ineligible based on income alone. Overall, these improvements and campaigns are designed to simplify the application process and maximize student access to federal, state, and institutional financial aid.