You must first complete the print or online version of the FAFSA (Free Application for Federal Student Aid).The FAFSA is a government-produced application form that is used to calculate the amount of federal aid you may receive. Colleges also use the information from the FAFSA to calculate the amount of money you and your family are expected to contribute to help fund your education. Remember to submit your FAFSA in enough time to meet an institution's aid deadline.
After your completed FAFSA is processed, you will receive a Student Aid Report (SAR) that lists a dollar amount for your EFC. The colleges to which you requested to have your FAFSA information sent will use that information to calculate your EFC for their specific institutions. A federally calculated EFC of zero is likely to decrease the amount institutions expect you to pay and increase the aid they offer.
As of 2010, the maximum adjusted gross income an automatic zero EFC recipient family may have is $20,000. Parental income must be documented or have been eligible to be reported using the IRS's 1040A or 1040EZ tax forms. As an alternative to these forms, participation in a means-tested federal benefit program like WIC, food stamps, supplemental security income, free and reduced-price school lunch or temporary assistance for needy families may serve as a testament to your financial standing.
Your financial standing alone does not solidify your chances of receiving the automatic zero EFC. You must also be a dependent student or an independent student with a non-spouse dependent. Your parents' ages, your state of residence, the number of family members in your household and your full-time or part-time student academic intentions are also factors that may decrease your EFC and put you closer to achieving the automatic zero EFC.