Solar, FAFSA is a form, not a source of financing. Nobody claims it accurately portrays every single family in America’s financial situation- it’s a snapshot designed to capture most of the relevant information, and it’s a methodology to make sure that for anyone getting public money (i.e. a Pell grant- which is money paid by the taxpayers of America) their finances square with the requirements of the program.
Every college will evaluate other circumstances in addition to what shows up on the form. But FAFSA doesn’t give out money…