Obama: Students able to apply earlier for FAFSA starting next year

WASHINGTON, Sept. 14 (UPI) -- President Barack Obama will change the financial aid process by allowing students to apply earlier and allowing the use of family's income from two years earlier, the White House announced Sunday.

Starting October 2016, students will be able to submit their Free Application for Federal Aid, known as FAFSA, to receive aid for the 2017 school year. The students will be able to use their 2015 income instead of waiting until their families finalize their 2016 taxes.

Since the new system kicks off next year, current students will still have to apply under the old system in January.

National Association of Student Financial Aid Administrators President Justin Draeger hailed the changes, calling them "a big victory for our community," Inside Higher Ed reported.

President of the Institute for College Access and Success Lauren Asher said the FAFSA changes "means students will be able to apply for aid earlier and more easily, and make better informed decisions about where to apply and how to pay for college."

The Obama administration estimates there are about 2 million college students who are eligible for a Pell Grant but who have never applied for financial aid. The White House predicts more students who qualify for grants will apply.

The aid application changes come after Obama announced the new College Scorecard website that features information about colleges not previously available. Most notably, it presents the average earnings from graduates at individual schools based on Internal Revenue Service data.