United States Code
USC most recently checked for updates: Sep 18, 2024
If the sum determined under paragraph (1) with respect to a dependent student is less than − $1,500, the student aid index for the dependent student shall be − $1,500.
The income protection allowance shall equal the amount determined in the following table, as adjusted by the Secretary pursuant to section 1087rr(b) of this title:
Income Protection Allowance (to be adjusted for 2023–2024 and succeeding years) | |
|---|---|
Family Size (including student) | Amount |
2 | $23,330 |
3 | $29,040 |
4 | $35,870 |
5 | $42,320 |
6 | $49,500 |
For each additional add | $5,590. |
The employment expense allowance is equal to the lesser of $4,000 or 35 percent of the single parent’s earned income or married parents’ combined earned income (as adjusted by the Secretary pursuant to section 1087rr(g) of this title).
The parents’ available assets under this subsection shall not be less than zero.
The asset protection allowance is calculated based on the following table (as revised by the Secretary pursuant to section 10877rr(d) of this title):
Asset Protection Allowances for Parents of Dependent Students | ||
|---|---|---|
If the age of the oldest parent is— | And there are | |
two parents | one parent | |
| then the allowance is— | |
25 or less | $ 0 | $0 |
26 | $400 | $100 |
27 | $700 | $300 |
28 | $1,100 | $400 |
29 | $1,500 | $600 |
30 | $1,800 | $700 |
31 | ||
The assessment of the parents’ adjusted available income (as determined under subsection (b)(1) and hereafter in this subsection referred to as “AAI”) is calculated based on the following table (as revised by the Secretary pursuant to section 1087rr(e) of this title):
Parents’ Contribution From AAI | |
|---|---|
If the parents’ AAI is— | Then the parents’ contribution from AAI is— |
Less than − $6,820 | − $1,500 |
− $6,820 to $17,400 | 22% of AAI |
$17,401 to $21,800 | $3,828 + 25% of AAI over $17,400 |
$21,801 to $26,200 | $4,928 + 29% of AAI over $21,800 |
$26,201 to $30,700 | $6,204 + 34% of AAI over $26,200 |
$30,701 to $35,100 | $7,734 + 40% of AAI over $30,700 |
$35,101 or more | $9,494 + 47% of AAI over $35,100. |
Parental income and assets in the case of student whose parents are married and not separated, or who are unmarried but live together, shall include the income and assets of both parents.
Parental income and assets for a student whose parents are divorced or separated, but not remarried, is determined by including only the income and assets of the parent who provides the greater portion of the student’s financial support.
If a parent whose income and assets are taken into account under paragraph (2), or if a parent who is a widow or widower and whose income is taken into account under paragraph (3), has remarried, the income of that parent’s spouse shall be included in determining the parent’s assessment of adjusted available income if the student’s parent and the stepparent are married as of the date of application for the award year concerned.
Parental income and assets in the case of a student whose parent is not described in paragraph (1) and is a single parent who is not divorced, separated, or remarried, shall include the income and assets of such single parent.
The allowance for parents’ negative available income is the amount, if any, by which the sum of the amounts deducted under subsection (c)(1) exceeds the sum of the parents’ total income (as defined in section 1087vv of this title) and the parents’ available assets (as determined in accordance with subsection (d)).
The student’s assets are determined by calculating the assets of the student and multiplying such amount by 20 percent, except that the result shall not be less than zero.
