Introduction
This volume provides guidance on how to request, disburse, manage, and report on the use of federal student aid funds.
Here we provide a summary of changes and clarifications. However, the introduction does not provide complete guidance on these changes. For that, refer to the text in the chapters cited, the Code of Federal Regulations (CFR), and the Higher Education Act (HEA). We appreciate any comments that you have on this volume as well as all the volumes of the FSA Handbook. We revise the text based on questions and feedback from the financial aid community, so please write us at fsaschoolspubs@ed.gov about how to improve the Handbook so that it is always clear and informative.
Updates for 2024–2025
We removed all references to Iraq and Afghanistan Service Grant throughout this volume. We updated all room and board references to food and housing throughout this volume. The U.S. Department of Treasury has mandated that all federal government agencies convert to using electronic payments. Therefore, we have updated all references of payments by check, where applicable, to electronic payments throughout this volume. We updated all SAR references to FAFSA Submission Summary throughout this volume. We updated all Expected Family Contribution (EFC) references to Student Aid Index (SAI) throughout this volume. We have updated G5 references to G6, where applicable, throughout this volume. In Chapter 1, we provide additional information on creating an account and logging into G6. In Chapter 1 under “Prompt Disbursement (three-day rule),” we added the new requirement under 668.16(s), which goes into effect on July 1, 2024. In Chapter 3 under “Overpayments for which the school is responsible,” we added the new requirement under 668.14(b)(33), which goes into effect on July 1, 2024. In Chapter 4 under “Returning Federal Perkins Loan Program Funds to the Department,” we added instructions for electronic payments. In Appendix A under “Chart of Accounts,” we added back the previously removed Federal Perkins Loans Accounts. In Appendix A, we removed all references to Federal Iraq and Afghanistan Service Grant Accounts. In Appendix B under “The separation of duties,” we removed the regulatory reference to 668.15 (now reserved).