How To Answer Student Asset Questions For FAFSA®

22. Student Assets

Your FAFSA uses your assets to determine your Student Aid Index (SAI), which is a critical component of how much financial aid you'll receive.

Student assets are extremely weighted, and it's essential that you calculate the net worth of your assets and answer these questions correctly.

How To Answer These Questions

First, net worth means the current value as of the date you file the FAFSA. If a value is negative (like a business), use $0. 

You'll notice that they don't ask about debt. Consumer debts, like mortgage, car loan, student loans, are NOT factored into the FAFSA. There are little things you can do to lower your assets for FAFSA, such as making a mortgage payment before reporting the value of your checking account.

Value of Cash, Savings, and Checking Accounts

This is pretty self-explanatory. As the student, you input the value of your cash, checking, and savings account.

Many students have joint or custodial teen bank accounts (since they couldn't open their own as a minor). These are still reported as the student's asset if they are for the student.

Current Net Worth Of Investments, Including Real Estate

The current net worth of investments means the value the day you file the FAFSA. For rental real estate, it's the fair market value minus any debt on the property.

Investments include:

• Stocks
• Bonds
• Mutual Funds
• Money Market Funds
• Certificates of Deposit (CDs)
• Stock Options (ESOP)
• Commodities
• Cryptocurrency
• Rental real estate
• Second homes or vacation homes
• Land sale contracts

UGMA/UTMA accounts, where the student is the owner/beneficiary, are included in this as a student asset.

529 plans are the asset of the owner. The student is typically the beneficiary. For example, if the parent is the owner, and the child is the beneficiary, it's reported as a parent asset, not a student asset. In cases where the student is an independent student, its a student asset.

Current Net Worth of Businesses and Farms

Starting in 2026, you only have to report the value of a business or farm ownership if it doesn't meet the following criteria:

Small Business: You don't have to report a small business with less than 100 full-time or full-time equivalent employees that is owned and controlled by the family.

Family Farm: You don't report a family farm on which the family resides.

Commercial Fishing Business: You don't report a commercial fishing business and re-lated expenses, including fishing vessels and permits owned and controlled by the family.

The result is that you don't have to report any side hustle or small family businesses as assets. However, you still report the income from these activities in the income section.

Can I Skip These Questions?

No, they are required.