12 States Now Require FAFSA Completion to Graduate

High school graduation requirements are changing. In 12 states across the country, completing the FAFSA is now mandatory for seniors, meaning you can't receive your diploma until you've submitted your financial aid application or filed for a waiver. Whether you're planning to attend college, enter the workforce, or join the military, understanding your state's FAFSA graduation requirement could impact your timeline for finishing high school.

Why Students Skip the FAFSA

According to a federal study released by the National Center for Education Statistics (NCES), there are many reasons why students don’t complete the FAFSA: a majority of families believe that they can cover the cost of school on their own or that they wouldn’t qualify for financial aid at all. On the converse side, sadly, many students either don’t know about the FAFSA or how to complete it. FAFSA stands for Free Application for Federal Student Aid, and every high school senior that plans to attend college must submit the form to qualify for financial aid. Without it, students may get zero financial help, making college unaffordable. In recent years, the federal government has been working to make changes to the form and the process as a whole. It’s oftentimes seen as a daunting form, but technology and simplifying strategies by the U.S. Department of Education have allowed for greater ease and transparency when completing the FAFSA. This in turn is helping to set students and their parents up for success when filling out the form, making it easier to navigate, which will allow more students to qualify and have access to financial aid. However, these changes, for some states, are not enough. They want more students to fill out the FAFSA, more students to qualify for aid, and more students to achieve the dream of attending college. As a result, they are making completing the FAFSA mandatory in order to graduate from high school.

States Requiring FAFSA Completion for Graduation

In 2018, Louisiana became the first state to pass a law requiring students to complete the FAFSA as a prerequisite for graduating from high school. As a result, Louisiana had a 78% FAFSA completion rate, which helped secure more financial aid for students across the state, according to a press release from the Louisiana Department of Education. Although Louisiana has since redacted the mandatory FAFSA completion requirement, many states have since followed suit. As of this school year, these are the following states that require students to complete the FAFSA to graduate from high school: • Alabama • California • Connecticut • Illinois • Indiana • Kansas • Maryland • Nebraska • New Jersey • New York • Oklahoma • Texas NOTE: Kansas students will not be required to complete the form for high school graduation until the 2027 – 28 year.

Why are states beginning to require the FAFSA for high school graduation?

Long story short, FAFSA completion rates contribute to a trickle-down college success rate. The more students that complete the FAFSA, the more that are awarded financial aid. The more students that are awarded financial aid, the greater their chances of completing college. The more students that complete college, the more economic, career, and personal growth.

Does every student have to complete the FAFSA?

Absolutely not. These states recognize that not everyone makes the choice to attend college. Many students choose to start their career right away, while others opt for a future in the military. Whatever the case, those students can file a waiver with the help of their high school counselor to be exempt from having to complete the FAFSA. With the waiver, they will still meet all the requirements for graduating from high school. The waiver process is straightforward: • Meet with your guidance counselor • Explain your post-graduation plans • Complete the waiver paperwork • Submit it according to your school's deadline No judgment, no barriers—just documentation that college isn't your immediate next step.

What This Means for Your State

Given the success in the above states, more students can expect their home state to jump on the FAFSA completion bandwagon. Likewise, Congress passed the FAFSA Simplification Act a few years ago, and the final stages are going into effect now. Today, it's easier than ever to complete the FAFSA. Even if your state doesn't currently require FAFSA completion for graduation, filling it out is still the smartest move if you're college-bound. It's the only way to access federal grants, work-study programs, and low-interest federal student loans.

How to Complete FAFSA and Maximize Your Financial Aid Package

Ready to tackle the FAFSA? Here's how to make the process smooth and maximize your aid:

Submit Early

Students and their parents should work toward completing the FAFSA as soon as possible after its release because many states award financial aid on a first-come, first-serve basis.

Know Your State's FAFSA Deadline

States also have their own FAFSA deadline – as opposed to the federal deadline on June 30. Students that have questions while filling out the FAFSA should reach out to get help.

Get Help When You Need It

The U.S. Department of Education has a FAFSA Help Center that answers common questions. FormYourFuture.org also has a list of helpful resources for students as they fill out their application, including a list of local FAFSA help events.

Request a Professional Judgment if Circumstances Change

Finally, the FAFSA uses data from the prior prior year to determine how much a family can pay toward college, which is how financial aid packages are figured. However, families may experience drastic changes to their financial circumstances between the prior prior year and enrollment. If a parent experiences job loss or a family member falls severely ill, those circumstances are big enough to merit a change in the financial aid package. To make that happen, students must request a professional judgment from their financial aid office. This will require students to submit evidence of the changes, but the process is worth it. Examples of circumstances that may qualify: • Parent job loss or significant income reduction • Death of a parent or guardian • Major medical expenses • Divorce or separation • Natural disaster affecting family finances

Your Next Steps: Don't Leave Money On the Table

Whether or not states require students to complete the FAFSA to graduate, it is imperative that every student fill out the form. Again, it is the only way to qualify for financial aid – whether that be grants, work study or federal student loans. If you're in one of the 12 states with mandatory FAFSA requirements, add FAFSA completion to your graduation checklist now. If you're not planning to attend college immediately, talk to your counselor about filing a FAFSA waiver. Bottom line: The FAFSA opens doors to thousands of dollars in aid. Don't graduate high school without completing it -- or documenting why you don't need to.