Income Driven Repayment Plan Pslf

If you need to make lower monthly payments or if your outstanding federal student loan debt represents a significant portion of your annual income one of the following income driven plans may be right for you.

Income driven repayment plan pslf. Income driven repayment plans idr pslf ian foss nathan arnold 1. At my new job at the nonprofit i m making 37k. This is due to the fact that under a 10 year repayment plan you will have paid off your loan balance in 10 years. I applied for the income driven repayment plan idr and it was approved this.

Conversely neither the standard 10 year plan nor the graduated or extended. Details of income driven repayment plans 2. Payments made under the standard repayment plan for direct consolidation loans would qualify for pslf purposes only if the maximum repayment period was set at 10 years. Plus all four income driven repayment plans meet the requirements for public service loan forgiveness pslf if you plan to pursue forgiveness under that program.

These include monthly payments of 0 that might accrue if you re earning a wage below the poverty line. As most of you know it feels like you need a professional degree to understand how the student loan repayment system works particularly for those of you looking for public student loan forgiveness which is an added layer of complexity on top of the income driven repayment plans. The pslf program is a federal program that forgives specific remaining debt after 120 student loan payments under an idr plan. Income based repayment ibr pay as you earn repayment paye revised pay as you earn repayment repaye and income contingent repayment icr.

While the standard 10 year plan does count as an eligible repayment plan for pslf you ll want to enter into an income driven repayment idr plan if you want to receive forgiveness. Income based repayment ibr income contingent repayment icr although a 10 year standard repayment plan is a qualifying plan you will not receive forgiveness unless you re enrolled in an income driven repayment plan. Each plan qualifies for the public service loan forgiveness program. Income driven repayment idr plans are designed to make your student loan debt more manageable by reducing your monthly payment amount.

My income in 2019 was 29k this is what i used for the idr application. This is because if you are making payments under the standard plan while working towards pslf you will pay off your debt within 10 years. The income driven repayment plans include. These four repayment plans are referred to as income driven repayment idr.

Qualified repayment plans include any income driven repayment plans.