The "Family Farm and Small Business Exemption Act" seeks to restore crucial exemptions for families applying for federal student financial aid. Specifically, it amends Section 480(f)(2) of the Higher Education Act of 1965 to prevent the net value of certain assets from being included in financial need analysis. Under this bill, the net value of a family farm where the family resides would be excluded from asset calculations. Additionally, the net value of a small business with not more than 100 full-time or full-time equivalent employees, which is owned and controlled by the family, would also be exempt. These provisions are designed to ensure that families owning such assets are not unfairly penalized when seeking financial assistance for higher education, making it easier for their children to qualify for aid. The amendments made by this Act will apply to all need analyses conducted for award years beginning on or after the date the Act is enacted into law.