The form used by millions of college students to apply for financial aid will soon be getting easier to complete. But the effect of this change on college attendance is a little harder to sort out.

Last month, the Department of Education unveiled a simplified version of the Free Application for Federal Student Aid, commonly known as the FAFSA. Scheduled to debut in time for the 2010-2011 school year, it features fewer questions than the current version, more straightforward questions and the option for applicants to automatically download IRS tax data to help fill out the form.

Along with President Obama's proposal of nearly $200 billion in new scholarships and tax credits for college tuition, the FAFSA redesign, the administration hopes, will help boost college enrollment among low- and middle-income students. And Secretary of Education Arne Duncan also wants Congress to simplify the form even further.

So will more students start applying for federal aid?  Not necessarily.

Many colleges already require all incoming students to complete the FAFSA regardless of their financial standing, in order for those schools to determine their own allocations of financial aid. At colleges where the FAFSA is not required, most students solicit the government for money after they realize how much that first bursar bill will read.

But the DOE estimates there are currently 1.5 million enrolled students who are most likely eligible for grants but have failed to apply. And Mark Kantrowitz, creator of the valuable financial-aid information site FinAid, thinks that the recent changes are a step in the right direction. The balky FAFSA application form, he says, has created a chilling effect keeping kids out of college. With a more accessible form, he says, applications will go up, as will enrollment, retention, and completion of college by low-income students.

Recent indicators have shown that fewer and fewer low-income students are applying to college to begin with in this economy.  Even with financial aid, many are still priced out of attending. However, for those whose ability to attend college relies on the likelihood of receiving federal aid, things are looking up.

But there is one caveat.  The elimination of some questions may make it easier for students to receive “undeserved” financial aid.  A simpler form with fewer questions to distinguish students may make the financially stable and the financially struggling appear similar in some circumstances, suggests Kantrowitz.

DOE Secretary Duncan stressed that the government isn’t looking at increased accessibility to financial aid as a cost, but rather as an investment in our children’s futures.  The question is which children’s futures we are funding.

Kantrowitz said that the balance should be tipped further towards this generous end so that financial aid no longer acts as a barrier to college admissions.  “It’s a worthwhile price to pay,” he said.  “You have to accept some slop.”

Strapped for cash? Want someone to pay for your way through college? These pitches made by military recruiters seem to be working, since each of the military service academies has seen a sharp rise in applications this year — ranging from a 9% increase at West Point to a 40% jump at the U.S. Naval Academy.

While I’d like to think that the sudden interest reflects a renewed pride in patriotism and interest in national defense, it’s more likely that the draw of free tuition is an increasingly powerful lure. Students at the academies receive an all-expenses-paid undergraduate education in return for the promise of serving in the military after graduation. And reducing college education expenses is high on everyone's mind these days, boosting enrollment in community colleges and spikes in applications for financial aid at four-year schools.

The military's financial support is particularly attractive at a time when the costs of higher education are skyrocketing, with no end in sight. The average college endowment — the main pool for funding financial aid at private institutions — dropped 25-30% in the last year. Although tuition fees have grown more slowly this year, the savings are still a pittance. Public colleges are no longer the affordable fallback plan either, as noted in the June issue of MONEY. As options for high education seem bleak, the newest crop of students seem willing to take risk of serving in the military in the return for the promise of some financial stability.

Even if a student's family can navigate through the expenses of an elite private or public college, after all, the prospect of economic payoff from a degree feels more at risk. Consider that the unemployment rate for new graduates, at 11%, is higher than the national average. After adding the burden of student debts to that mix, pursuing an undergraduate degree through the traditional path doesn't feel like an ideal investment. 

In addition to avoiding accrued debt, graduates of military academies may have another advantage in entering the workforce after service. An undergraduate education at a military academy is comparable to an education at an elite civilian university; the leadership skills, discipline and technical skills honed in the military’s core curriculum make these veterans unique candidates. General Electric, for one, offers veteran officers a special management training program with the explanation, “Your service made you a leader and a disciplined, strategic thinker with a level of loyalty that is unmatched.”

Obviously the volatility of the labor market still make job placement uncertain for veterans. Another downside may be that the years of required active duty fall during the prime career-building period when civilian peers are creating their early job history.  Returning veterans may find themselves behind in making connections that are crucial to long-term success — although they may have their own network of military colleagues to draw upon.

The financial stability provided by the government is a necessary payment for the unparalleled risks faced by members of the armed forces. Serving is no joke, but neither is managing student debt for decades after graduation.