When it comes to reporting military benefits on the Free Application for Federal Student Aid, or FAFSA, families aren’t always sure what to include. Three questions on the application relate to military benefits; they request information about combat pay, housing allowance and noneducational veteran benefits. Let’s break them down here.
- The first question concerning military benefits asks about the service member’s total combat pay. Depending on the military member’s rank, this benefit may not need to be reported. If the person is an enlisted member or a warrant officer, they don’t have to provide this information. However, if they are a commissioned officer, they will need to report their combat pay. This amount can be found on the service member’s W-2 form in box 12.
- The next inquiry about military benefits concerns the service member’s housing allowance. Reporting this information is dependent on other factors. If the member receives a subsidy for on-base military housing or a Basic Allowance for Housing (BAH), then the member doesn’t need to report the benefit. Those who receive housing allowances other than the ones mentioned above must include that information on the FAFSA.
- The last question regarding military benefits asks service members to report their noneducational veteran benefits. Those who receive the Montgomery GI Bill, Post-9/11 GI Bill, Dependents Education Assistance Program or Vocational Rehabilitation Program don’t need to provide this data. Those who receive other noneducational assistance, such as benefits including Disability, Death Pension, Dependency and Indemnity Compensation (DIC) and VA Educational Work-Study allowance, must report that information. Noneducational veteran benefits can be found on the service member’s monthly VA benefit statement.
Knowing which types of military benefit information to include on the FAFSA and gathering the right documents can make the process easier. The service member should collect the appropriate year’s tax return, W-2 forms and benefit statements to answer these three questions accurately. For more information about military benefits and the FAFSA, please visit MilitaryBenefits.info.
Quite simply, yes.
If you had income (earned and/or unearned) in 2019 and you are a single dependent who can be claimed as a dependent on someone else’s tax return, you may still be required to file your own return. The amount of your 2019 income will determine whether or not you need to file. See the instructions at the beginning of the 2019 IRS 1040 form, and look for page 10, Chart B.
Now that you’ve determined whether or not you should file a tax return, let’s just say you didn’t have to file because you didn’t make enough money. If this describes your situation, it’s still very important that you save the W-2(s) you received this year. You should have received one from each employer who reported your earnings and withholding tax to the IRS.
Why is it so important that you hold on to your W-2s? Think FAFSA! The Free Application for Federal Student Aid (FAFSA) will ask you to report your income from two years prior to the year that you’ll attend college. So, if you plan to go to college in the fall of 2020, you’ll need your 2018 income information. For the fall of 2021, you’ll need to supply the information from 2019.
Also, you’re still required to report your wage, salary and tip income even if you didn’t receive a W-2 from an employer. If you’re not sure what your income was in 2019, use the Income Estimator that’s available on your FAFSA.
Keep those W-2’s! You’ll need them when you’re applying for federal financial aid.
I could be an artist; I’d create and dream all day.
Good thing there’s a school for that,
but how am I going to pay?
Maybe I’ll be a doctor; I’ll learn to help and heal.
With years and years of studies,
tuition concerns are real.
I’d like to be an astronaut, exploring the final frontier.
I’ll have to master the STEM subjects.
Are there scholarships for engineers?
My future is full of possibilities.
Good thing I completed the FAFSA,
to help with my financial responsibilities.
I qualified for grants and work study,
thanks to federal student aid.
The application didn’t cost me a cent.
Now I can focus on grades.
If you’re looking for free up-to-the-minute guidance on federal student loans and financial aid during the 2020 Coronavirus pandemic, visit www.StudentAidPandemic.org.