If you are entering into Grad School (or have completed your first bachelor's degree) you are considered an independant student. Your EFC will be computed without the income of your parents. If the school you are applying to wants your Parents info, then it is more than likely for an optional need-based scholorship, there is no impact on any kind of Federal Aid. The bottom line is, if your EFC is lower as an independant student, that is what they'll use. I worked in the financial aid office for a crappy private university, but the rules are all the same. Really, you shouldn't put that much thought into it.