If you one of the millions of parents that have opened your home and heart to accept another family member or remarried someone with children then you know that trying to explain it when filling out forms can be confusing. Especially when you do not know the full impact of what you are writing on the forms or applications that are so important to many of the school, employer and government required forms.

The financial aid forms that are required to determine qualifications for financial aid assistance for college are equally as important. The legal relationship of those in the student's household is one of the most vital pieces of information in regards to whose income and assets are reported on the FAFSA, and whether or not the student qualifies as a dependent or independent student.

Here is a quick cheat sheet to give you some information to help you determine how to answer the financial aid questions in the best way possible.

Married Parents

If the student's parents are married, both their income and asset information must both be listed on the financial aid application. If the student's parents are living together and have not been formally married, yet meet the criteria in their state for a common-law marriage, then they should report their status as married on the FAFSA and report their income and assets. If the state of residence does not consider the relationship to be a common-law marriage, then the parents should file as if they are separated.

Step-Parents

If the student has a stepparent, the stepparent's income and asset information must be included on the financial aid application, even if the stepparent was not married to the natural parent prior to signing the application. Pre-nuptial agreements do not affect this rule.

If the biological parent has died and the stepparent survives, then the student is considered an independent student (assuming the student is not dependent on the surviving parent), unless the stepparent legally adopted the student.

Divorced or Separated Parents

If the parents are divorced or separated, the income and asset information of the parent with whom the student lived the most in the last twelve months must be listed. The separation need not be a legal separation. The student's parents may consider themselves separated if one of the parents has left the household for an indefinite period of time and no longer makes a substantial contribution to the finances of the household.

If the student did not live with one parent more than with the other (as in the cases of joint custody), the income and asset information of the parent who provided the majority of financial support during the last twelve months must be listed. Support includes money, gifts, loans, housing, food, clothes, car, medical and dental care, payment of college costs, etc.

Widowed or Single Parents

If the parent is widowed or single, only that parents income and asset information is listed on the financial aid application. If a parent dies before the application is signed, only the surviving parent's income and assets are listed on the application. When a joint tax return has been filed, the surviving parent's income and corresponding tax liability is separated out and only these amounts are listed on the application. The surviving parent must list only his/her income and assets at the time of signing the application. Should both the student's parents be deceased at the time the student signs the application, the student is considered an independent student.

Adoptive Parents

Adoptive parents are treated in the same manner as biological parents. Their income and assets are reported on the financial aid application forms.

Foster Parents

If the student has foster parents, the foster parents income and assets are not reported on the financial aid application forms, unless the student is legally adopted by the foster parents.

Legal Guardians

If the student has a legal guardian, the guardian's income and asset information are not reported on the financial aid application, unless the student is legally adopted by the guardian(s).

Grandparents

If the student is living with grandparents, the grandparents income and asset information are not reported on the financial aid application, unless the student is legally adopted by the grandparents.

The guidelines above are just one of many factors that parents of college-bound students must know about. Your children should have a fair chance at getting a great education that is both affordable and puts them on the path to a great education.