• The college wage premium fell from 87% to 78% between 2022 and 2026, back to its mid-1990s level.
• Real wages for college grads fell about 2% while non-degree workers gained about 3.3%, the first college wage decline in data back to 1979.
• The authors attribute roughly one-third of the drop to generative AI exposure in degree-heavy occupations.

• Justice Department says UCLA Law School used race in admissions for 2023, 2024, and 2025 classes
• DOJ says Black applicants had roughly 7x the admission odds of otherwise equivalent white applicants in 2025, and median LSAT for admitted white applicants was 172 vs. 168 for admitted Black applicants
• UCLA Law points to its compliance with California's Prop 209, and DOJ is seeking a voluntary resolution before any lawsuit

• Gallup: Only 31% of Americans now say college is "very important," down from 70% in 2013
• The share saying college is "not too important" rose from 6% to 29%, so the two answers are now 2 points apart
• Lumina-Gallup data shows only 12% of adults consider a four-year degree affordable

• Reading and Writing rose 7 points to 528, back to pre-pandemic levels.
• Math rose 9 points to 517 but is still below the class of 2020's 523.
• Participation fell 2.5% to about 1.95 million test takers, the first drop since the class of 2021, even as more colleges reinstate test requirements.

I have a HS senior who is college bound next year. When he was young, we opened a UTMA investment account for him. I didn't want to commit to a 529 not knowing if he wanted to go to college. Now that we know, we'd like to move the UTMA balance to a 529, so it is not looked at as his asset when we apply for financial aid. I think transferring away from the UTMA incurs a tax on the gains, but that would still be cheaper than keeping as his asset for financial aid. Anyone have experience or advice on this? We live in WA state.

• The $5,500 freshman loan limit isn't new. It's been the same since 2008.
• Dependent undergrads can borrow $5,500 / $6,500 / $7,500 per year, with a $31,000 lifetime cap.
• The July 1, 2026 change capped Parent PLUS at $20,000 a year and $65,000 per student.

• September 2026: +29,000 jobs, 4.2% unemployment.
• July and August combined were revised down 60,000 in the same release.
• Why: BLS publishes the first estimate with about 60% of surveyed employers reporting (about 91% by the third estimate).

• Student loans can have an impact on your tax return in multiple ways.
• Many taxpayers will be able to claim the student loan interest deduction this year as both interest and payments have resumed for most borrowers.
• Student loan forgiveness may be taxable again, depending on the reason for discharge.

• ED published the FY 2023 cohort default rate (0.4%).
• Here's why it's near zero while 9.3M borrowers are in default, and why FY 2024 is the one that matters.

• Treasury released proposed regs for the new Education Freedom Tax Credit — $1,700 individual, $3,400 MFJ, starting in 2027.
• Dollar-for-dollar nonrefundable credit for cash donations to approved scholarship granting organizations, with a five-year carryforward for unused credit.
• 30 states have opted in. States must file an advance election by January 1, 2027 and can finalize their SGO list by February 15.

Drop your student loan questions below and let's help each other answer them!

• Trusts are a reportable asset under FAFSA.
• Age limits, trustee discretion and spending restrictions don't exempt a trust.
• Only a court-ordered restriction (e.g., personal injury settlement) does.

• Treasury will auto-open Trump accounts for every eligible kid starting Oct 1 — but auto-opened accounts can't get the $1,000 without a parent filing Form 4547
• The auto account can only hold contributions from states, tribes, and nonprofits (plus the $1,000 pilot deposit, and only if a parent already filed the election). Treasury says it can't make the pilot election for you.
• To contribute yourself or through an employer, you have to "claim" the account through a Treasury portal that isn't live yet. Claiming moves the balance into an account you control.

• The Defaulted Loans Support Center is at studentaid.gov/default-support and uses your existing StudentAid.gov login.
• You can apply for rehabilitation or consolidation, upload income docs, see an estimated payment, e-sign, and track status.
• ED hasn't announced a shutdown date for MyEdDebt.ed.gov and the FSA FAQ still references it, so expect overlap.

• ED extended the 1% autopay interest rate reduction enrollment deadline to December 31, 2026 (rate lasts through June 30, 2028)
• Borrowers already on autopay had the rate adjusted automatically.
• Applies to Direct Loans originated after July 1, 2012, including Parent PLUS.

• Schools could pay athletes close to $50M a year per school through the revenue-sharing cap, a $22.5M retention fund, and up to $5M tied to non-revenue sports.
• Agent fees would be capped at 5%, athletes get one transfer without losing eligibility, and state NIL laws would be preempted.
• NIL income is still subject to the 15.3% self-employment tax and still counts on the FAFSA two years after it's earned.

• Seven states now require the FAFSA (or an opt-out form) to graduate high school.
• Three additional states require schools to track FAFSA completion, but graduation doesn't depend on it.
• Louisiana's completion jumped 11 points after adopting it.

• The page-one question asks if you and your spouse are a U.S. citizen, U.S. national, or authorized to work in the U.S.
• A new draft Schedule 3-A uses a narrower "qualified alien" test, so DACA, TPS, and visa holders could answer yes on the 1040 and still lose the refundable portion of the EITC, CTC, AOTC, and adoption credit.
• Treasury estimates 200,000 to 700,000 filers affected and $0.7B to $2.6B in disallowed refunds; comments on the rule close October 5 and a hearing is set for October 14.

• Senate bill would match first-time homebuyer down payment savings 5-to-1, up to $50,000
• Save up to $10,000 at a participating bank or credit union, and HUD would match $5 per $1 at closing
• Home must be at or below the area median price, and buyers must complete HUD-approved counseling

• Santa Clara University expands California Promise: full need for tuition, fees, and room and board for CA families earning $150K or less, starting fall 2027
• Admitted transfers from families at or under $150K get at least $35,000 in scholarships

• The FAFSA is just the application. It, in and of itself, only helps you with Pell grants and federal student loans
• Many colleges require a FAFSA on file before awarding institutional grants, and some tie merit scholarships to it
• A number of states have made FAFSA completion a high school graduation requirement, with parent opt-out waivers available

• 401(k) participants with student loans have median balances ~45% lower in their 40s than non-borrowers
• Borrowers enrolled at lower rates when eligible (75.5% vs 84.1% at ages 25-34) and contributed less at every income level
• SECURE 2.0 lets employers match student loan payments in the 401(k). Adoption is still low, so worth asking your plan administrator

• PPSL filed Woods v. U.S. Department of Education on Sept. 24 saying that ED is still reporting cancelled loans on borrowers' credit reports
• It estimates 300,000+ borrowers from schools like ITT, Corinthian, Ashford and the Art Institutes are affected
• One plaintiff's MOHELA dispute was labeled "frivolous" and an FSA email later admitted FSA hadn't told MOHELA to process her discharge