"Staffing shortages are reaching crisis levels in financial aid offices, leaving administrators concerned about serving students adequately and complying with regulations. Responses from more than 500 colleges and universities “paint a grim picture” of worsening problems that began prior to COVID, according to a two-part survey just released by NASFAA, the National Association of Student Financial Aid Administrators," University Business reports.

"Higher ed, and its financial aid teams, are grappling with the same wage stagnation, rising inflation and job dissatisfaction plaguing much of the U.S. workforce. And understaffing increases the chances that institutions could face fines for failing to comply with federal and state rules, NASFAA President Justin Draeger said. 'We are sounding the alarm bells that many financial aid offices are critically short-staffed, which could create cascading issues for those colleges and universities, both in their ability to adequately serve students while also remaining compliant with federal and state rules,' Draeger said. 'College presidents have a lot on their plate and, while they are often rushing from fire to fire, this is one area that should not be overlooked.'

The surveys were conducted online in March and May. Nearly 80% of the respondents worried about remaining 'administratively capable,”'meaning they would not have enough staff to manage compliance. More than half (56%) were concerned about meeting students’ needs."

NASFAA's "Notable Headlines" section highlights media coverage of financial aid to help members stay up to date with the latest news. Articles included under the notable headlines section are not written by NASFAA, but rather by external sources. Inclusion in Today's News does not imply endorsement of the material or guarantee the accuracy of information presented.

Publication Date: 5/27/2022