The Future of the FAFSA: What Happens if the Department of Education Is Abolished?

1. Will the FAFSA Disappear if the Department of Education No Longer Exists?

The Free Application for Federal Student Aid (FAFSA) is a critical tool for students seeking financial aid for higher education. It is currently administered by the Department of Education, which has recently faced significant changes, including staffing cuts and website outages. While the Department of Education may be abolished in the future, experts believe that the FAFSA and federal student aid programs are unlikely to disappear. The FAFSA is not just a tool for federal financial aid but also for state and institutional aid programs, making it a cornerstone of the financial aid system. However, the administration of the FAFSA could potentially be transferred to another federal agency if the Department of Education is closed.

2. Where Could the FAFSA Process be Transferred?

If the Department of Education is abolished, the FAFSA process could be taken over by another federal agency. The most likely candidates include the U.S. Treasury Department or the Internal Revenue Service (IRS), as the FAFSA already integrates with IRS systems to upload tax return data. The Treasury Department has been identified as a potential successor for managing student loan programs, but transferring the FAFSA process would likely involve some initial challenges, as the Treasury lacks experience with higher education rules. Despite the potential transfer, borrowers and students may not notice significant changes in the FAFSA process, as much of the work is already outsourced to contractors.

3. Should You Still Submit the FAFSA?

Despite the uncertainty surrounding the future of the Department of Education, experts encourage students to continue submitting the FAFSA if they need financial aid for college. The FAFSA is essential for determining eligibility for Pell Grants, scholarships, work-study programs, and student loans. While there are concerns about the impact of staffing cuts on the efficiency of the process, the FAFSA remains the primary means of accessing financial aid. Students who are U.S. citizens or eligible non-citizens should continue to file the FAFSA, as their eligibility for financial aid is not affected by the immigration status of their parents or spouse.

4. What If You’ve Already Submitted Your FAFSA?

If you’ve already submitted your FAFSA for the 2025-26 academic year, the Department of Education will continue to process your application. The online application typically takes one to three business days to process, while paper submissions may take longer. Once your FAFSA is processed, you can log in to StudentAid.gov to view your submission summary and make any necessary corrections. However, due to recent staffing cuts, there may be delays in responding to questions or resolving issues with your application. If you’re concerned about whether your school has received your information, it’s a good idea to contact the financial aid office directly.

5. What to Expect Moving Forward

The future of the FAFSA and federal student aid programs remains uncertain, but experts do not anticipate the complete elimination of the FAFSA. The application is too deeply integrated into the financial aid system, and replacing it would be a massive undertaking. While the Department of Education may close, federal student aid programs are likely to continue under a different agency. Students and families should stay informed about any changes and continue to prioritize submitting the FAFSA to ensure access to financial aid.

6. Final Thoughts and Recommendations

The FAFSA is a vital tool for students seeking financial assistance for higher education, and its disappearance is unlikely even if the Department of Education is abolished. While the administration of the FAFSA may be transferred to another agency, such as the Treasury Department, the process for students is expected to remain largely unchanged. Students should continue to submit the FAFSA to ensure they receive the financial aid they need. For those with concerns about privacy or immigration status, it’s important to weigh the risks and benefits and make an informed decision about filing. Ultimately, the FAFSA remains a cornerstone of the financial aid system, and its continued existence is crucial for helping students achieve their educational goals.