1. Short title This Act may be cited as the Alleviating Intergenerational Debt Act or the AID Act . 2. Student loan allowance calculation for award year 2025–2026 and each succeeding award year (a) In general Section 475(c) of the Higher Education Act of 1965 ( 20 U.S.C. 1087oo(c) ), as amended by title VII of division FF of the FAFSA Simplification Act ( Public Law 116–260 ), is further amended— (1) in paragraph (1)— (A) by striking and at the end of subparagraph (C); (B) by striking the period at the end of subparagraph (D) and inserting ; and ; and (C) by adding at the end the following: (E) beginning with award year 2025–2026, a student loan allowance, determined in accordance with paragraph (5).