College can be an expensive undertaking, so figuring out your financing options is important. Completing the FAFSA, or the Free Application for Federal Student Aid, is your key first step in receiving not only federal aid, which includes grants, work-study and loans, but some state, school, and private aid as well for your college education.

Students can fill out the FAFSA online or on paper, starting January 1 of every school year. For example, if a student is applying for the 2010-11 school year, he/she can start filling out the FAFSA Jan. 1, 2010. Students should fill out the form as early as possible to ensure that they meet the deadlines their colleges and universities have established.

Once a student has submitted his/her FAFSA, the Federal Student Aid office will calculate the Expected Family Contribution, or EFC, and determine financial need depending on the cost of attendance at the college. From there, the school will determine what sort of aid to offer: grants, work-study, loans, or some combination thereof.

Applying for federal online education financial aid is the same. As long as a student is attending an accredited institution, according to the Department of Education, he/she will have the same opportunities for federal and state aid once their FAFSA has been submitted.

For more information:
FAFSA deadlines, national and state
Student aid information by the U.S. Department of Education
FAFSA Resource Center by the Discus Awards