Hi gang,
Here is some information regarding the F-1 status during the AOS process. There has been some discussion on this thread about how it is sort of a gray area when it comes to grad students having an assistantship and if you need to get an EAD for this while you are adjusting status. The international student office at my university brought in a couple of folks from DOS and USCIS to answer employment and immigration-related questions, and I specifically asked about the F-1 status during and after (if GC application is unsuccessful for any reason) going through AOS. They told me that the F-1 status and all of its provisions should remain unaffected while you wait for the AOS decision. That is, employment on campus at max 50% (TA or RA for example), for which you didn't need the employment authorization form in the first place, can be carried on as usual. Even in the case of students on OPT, who already have an EAD specifically issued for OPT employment, there is no need to apply for a new EAD under the AOS umbrella. If, for whatever reason, your GC application is not successful, you can revert to your F-1 status without repercussions (even if on OPT). However, when you apply for employment authorization with your AOS package (forms 485 + 765), and you activate your EAD, if your GC application is denied, then you cannot revert to F-1. This may be just a refresher for some, but I thought I'd convey what I heard from the mouths of USCIS and DOS employees.
The thing that struck me while in this Q&A session was how lucky we are to be in this position! Most questions were about OPT, H1B, employers petitioning for your GC and all the hoops you have to go through in order to become a permanent resident. Winning the visa lottery is exactly what this is, winning the lottery! We get to apply for permanent residence and short-circuit all the loops most people need to go through. And I think people with high degrees have it relatively easy compared to other categories. All I'm saying is that this is a great opportunity and I'd like to think I am doing a thorough job researching the process, and making sure I'm preparing a complete and correct application package. This has been emphasized lately on this thread but I’m reiterating: folks, try not to squander this chance by taking unnecessary risks. Better to be safe than sorry. Do your homework, choose the appropriate path as it pertains to your case, and I believe you'll be fine. This thread has been a great resource, and there are many knowledgeable users ready to help out, but that does not mean you don't have to do your own (at least basic) research. There are other places worth checking out for answers to your questions, such as the USCIS website or immihelp.com where some of the steps are basically laid out for you, and where you can find links to things such as civil surgeon offices and whatnot. I'm actually surprised that some of the more diligent posters here have not snapped earlier, and have patiently answered and re-answered questions regarding all the minutia of the application process.
And with that I conclude my rant, and wish good luck to all of you!