Student Loan Forgiveness Calculator

Compare cash-payment scenarios from current principal and accrued interest. Forgiveness remains conditional on official qualifying counts and eligibility.

Remember inputs on this device (optional) Include education when printing Include complete monthly ledger when printing Include loan labels in exports (optional)

Review saved or shared inputs

PSLF Eligibility Check

Official PSLF Qualifying Payments Already Credited

PSLF Count Status

Federal Loan Program

Current Principal ($)

Interest Rate (%)

Outstanding Accrued Interest ($, not capitalized)

Current Balance Date

Repayment Plan

Remaining qualifying payments120

Potential conditional dischargeUnknown

Payment and eligibility assumptions

Annual Adjusted Gross Income (AGI, $)

Employer Type

Family Size (legacy illustration only)

State / Territory

Annual Income Growth (%)

Tax Filing Status

Tax Dependents (RAP; not household size)

Spouse Eligible Principal + Interest ($, joint filing only)Joint filing uses joint AGI. The eligible-debt allocation share is held constant from the entered starting balances.

Loan History Confirmed With Servicer

Assume full, on-time eligible payments; no deferment, forbearance or paid-ahead zero-payment months Assume every future projected payment month is qualifying (not an official count)

The primary loan uses the verified count below. Add separate statement-based loan timelines for different counts; unsupported RAP allocation or consolidation adjustments require official guidance.

Official RAP Qualifying Payments Already Credited

RAP Count Status

Employer eligibility and qualifying employment verified Current repayment plan verified as PSLF qualifying Use a verified current monthly statement amount for the PSLF cash projection

Verified Statement Monthly Payment ($)

Hypothetical Future Tax Scenario

Apply my hypothetical tax rates; future law is unknown

Hypothetical Federal Tax Rate (%)

Hypothetical State Tax Rate (%)

PSLF federal exclusion is modeled separately. Tax assumptions never establish eligibility or a best plan.

Rule check: 2026-10-18. Interest is estimated monthly at note rate / 12, without daily servicing or automatic capitalization. Official RAP rules · Official PSLF count guidance

Optional nonqualifying employment period

Payments continue during this assumed gap; only future PSLF qualifying credits pause. RAP payment benefits still require eligible, full and on-time payments.

Start after this many future payment monthsNonqualifying months (0–120)

Separate loans with different verified counts

Each added loan uses its own verified statement amount and balance date. These separate cash timelines exclude RAP interest subsidies and principal matches. Household RAP allocation, consolidation adjustments and unverified counts are unsupported; use the official tools.

Historical context (not qualifying-payment proof)

Original Balance ($) (historical context only)

Years Worked (context only; not a qualifying count)

Loan Type

IBR Loan Vintage

PSLF Analysis

Remaining qualifying payments

120

Estimated Balance at Qualifying Point

—

Verify before relying on a projection

Official qualifying count for this loan
Eligible Direct loan and consolidation history
Qualifying employer and repayment plan
Future qualifying-payment and on-time assumptions

Official PSLF employer and count tools · Official Loan Simulator

Progress to PSLF 0%

0 payments made 120 needed

Payments Made

—

Remaining Payments

—

Debt at Qualifying Point

—

Total You Pay

—

Tax on Forgiveness

—

Monthly Payment

—

PSLF = 120 qualifying payments + verified eligibility → application for approval

Federal Student Loan Forgiveness Programs

Cash scenarios and eligibility status

Scenario	Status	Payment months	Future borrower cash	Remaining debt	Potential conditional discharge	Hypothetical tax

Separate statement-based loan timelines

Loan	Verified count	Calendar months	Modeled point	Future borrower cash	Remaining debt	Scope

Programs require separate official eligibility review
Program	What this tool supports	Verify
PSLF	Conditional forward cash ledger from an official per-loan count; discharge requires approval.	Official count and employment guidance
RAP	360 qualifying-payment rule checked 2026-10-18; eligible Direct debt only; future rules may change.	Official RAP eligibility and payment rules
PAYE / IBR and other discharge programs	Frozen payment-formula illustrations only. Transition rules, consolidation and other discharge eligibility are unsupported.	Confirm your actual plan and official count with your servicer.

*IDR forgiveness can have different federal and state tax treatment when forgiveness occurs. Confirm current law and your personal tax position with a qualified tax professional before making major repayment decisions.

Current balance receipt

Each scenario retains its own horizon. Remaining debt is a potential discharge only when the stated count and eligibility are verified.

Borrower Cash and Remaining Debt — Different Horizons

Verify the count and eligibility before comparing potential discharge. Valid cash-only illustrations remain separate.

Selected scenario ledger

Interest Subsidized (noncash)

Government Principal Match (noncash)

Ending Unpaid Interest

Annual borrower cash and noncash benefits (USD)
Year	Principal Paid	Interest Paid	Interest Subsidy	Principal Match	Debt Remaining

Monthly Ledger (USD)

Month	Cash Paid	Interest Accrued	Interest Paid	Principal Paid	Interest Subsidy	Principal Match	Principal	Unpaid Interest	Total Debt	Qualifying credit / projected count

3 min read 5 steps 5 terms 2 examples 7 FAQs Remaining qualifying payments = max(0, 120 − official credite…

Read borrower cash, paid interest, interest subsidy, principal support and remaining debt separately.

YMYL Reviewed by Calculover Editorial Review · Updated 2026-08-10 · 6 sources

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Walk-through

How to Use This Calculator

5 steps

Verify counts and current balances

Enter each loan’s official verified count, current principal, accrued interest, note rate and balance date. Keep original debt and years worked as historical context.

Confirm payment assumptions

Verify loan, employer and plan history and future qualifying payments. For RAP, use AGI, tax dependents and full on-time payment assumptions; the tool cannot approve eligibility.

Add optional scenarios

Optionally pause PSLF credits during an employment gap while cash payments continue. Added loans use independent verified statement timelines and exclude RAP benefits; unsupported allocation and consolidation require official tools.

Compare cash and potential discharge

Read borrower cash, potential conditional discharge and optional hypothetical tax as separate amounts. Select a scenario to read its own horizon and complete annual/monthly ledger; there is no default plan ranking.

Review before saving or exporting

Saving is opt-in. Review restored inputs and shared links; links start without financial data and loan labels are omitted by default. CSV contains full monthly rows; printing can include education and monthly detail.

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Reference

Formula & Methodology

2 formulas

PSLF Qualifying Payments

Remaining qualifying payments = max(0, 120 − official credited count)

PSLF requires verified eligible loans, qualifying employment and an official per-loan count. At 120 qualifying payments, apply for official review; the calculator cannot approve a discharge. Federal and state tax treatment differ.

IDR Monthly Payment (RAP)

Payment = max($10, (annual RAP amount / 12 − $50 × tax dependents) × eligible joint-debt share)

Cash pays accrued interest before principal. Eligible full/on-time RAP months waive newly unpaid monthly interest, then add max(0, min($50, cash paid) − borrower principal paid), clipped to remaining principal.

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YMYL

Trust, Methodology & Sources

Reviewed by Calculover Editorial Review · Updated 2026-08-10 · 6 sources

Editorial accountability

Author: Quinn Sumner - Editor

Owner: Quinn Sumner - Editorial owner

Reviewer: Calculover Editorial Review - Source and limitation review

Last reviewed: 2026-08-10

Last verified: 2026-10-18

Data effective: 2026-07-01

Methodology

This tool accrues monthly interest on principal at the entered note rate / 12. It keeps historical unpaid interest separate and does not infer daily servicing or capitalization events. Cash pays accrued interest before principal. Eligible full/on-time RAP months waive newly unpaid monthly interest, then add max(0, min($50, cash paid) − borrower principal paid), clipped to remaining principal.

Assumption: Enter current principal, unpaid accrued interest, your statement note rate and balance date. Historical original debt is context, not a second charge.

Assumption: Use each loan’s official qualifying-payment count and verification status. Years worked and ordinary payments do not establish credited payments. Keep different counts on separate timelines; unsupported consolidation adjustments require an official count.

Assumption: RAP uses annual AGI and tax dependents, not gross wages or household size. Eligible joint debt is allocated before the $10 minimum. Verify Direct-loan and consolidation history first.

Assumption: Optionally pause PSLF credits during an employment gap while cash payments continue. Added loans use independent verified statement timelines and exclude RAP benefits; unsupported allocation and consolidation require official tools.

Assumption: No. Remember inputs is optional on this device. Saved and shared records are reviewed before applying. A shared link begins without financial data; include it deliberately after review. Loan labels are omitted from exports unless separately selected. No credentials or documents are requested.

Limitations & guidance

Standard, tiered, graduated and extended outputs are arithmetic scenarios. IBR/PAYE columns freeze 2026 payment formulas and poverty guidelines; future transitions, eligibility and discharge are unsupported.

Future forgiveness tax law is not established. Optional federal and state rates are hypothetical, not forecasts. The current federal PSLF exclusion is separate; unverified tax or eligibility cannot establish a universal best plan.

Professional guidance: Student Loan Forgiveness Calculator is for debt-planning education only and is not credit, legal, tax, or student-aid advice. Confirm loan terms, eligibility, and repayment options with the lender, servicer, or Federal Student Aid.

Primary sources

Repayment Assistance Plan (RAP) - Edfinancial / Federal Student Aid servicer

RAP payment allocation and benefits - MOHELA / Federal Student Aid servicer

Repayment rule effective July 1, 2026 - U.S. Department of Education / Federal Register

Official PSLF count and employer guidance - Federal Student Aid

2026 poverty guidelines - HHS ASPE

Student-loan forgiveness and taxes (March 2026) - IRS Taxpayer Advocate Service

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Glossary

Key Terms Explained

5 terms

PSLF PSLF requires verified eligible debt, employment and an official count per loan. After120 qualifying payments, official discharge approval is still required; federal and state taxes differ.

Qualifying Payment Use the official qualifying-payment count for this one loan. Years worked and ordinary payments do not verify credit; eligibility and future qualifying months remain explicit assumptions.

Discretionary Income Your income above a specified multiple of the federal poverty level for IBR and other plans; RAP uses a different income-and-dependents formula.

Tax Bomb Optional federal and state rates are hypothetical. Future law is unknown; the current federal PSLF exclusion is separate. Neither unknown tax nor eligibility can establish a best plan.

Repayment Assistance Plan (RAP) RAP uses annual AGI and tax dependents, not gross wages or household size. Eligible joint debt is allocated before the $10 minimum. Verify Direct-loan and consolidation history first.

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Scenarios

Real-World Examples

2 worked examples

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Alex

Verified-count forward illustration

Current principal $45,000.00 Note rate 0% Official qualifying count 36 / 120 Verified monthly statement payment $250.00 Future payment assumption Continuous eligible months assumed

84 qualifying payments remain. Future cash $21,000.00; estimated debt at that point $24,000.00. Start from current debt; do not subtract historical payments again. Discharge needs approval.

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Sarah

Conditional RAP / PSLF illustration

Current principal $45,000.00 Note rate 6.52% Annual AGI $0.00 Tax dependents 0 Official qualifying count 0 / 120 Future payment assumption Full/on-time qualifying monthly payments assumed

Future cash $1,200.00 over 120 months; principal support $1,200.00; estimated debt $43,800.00. Full/on-time eligibility is assumed; this is not an approved discharge or guaranteed tax outcome.

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Reference

Cite This Calculator

APA & MLA

Use either format to cite this calculator in a paper, report, or resource list.

APA

MLA

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Deep Dive

Understanding Student Loan Forgiveness Options

3 chapters · 3 min read

Read borrower cash, paid interest, interest subsidy, principal support and remaining debt separately. A remaining balance is not an approved discharge, and future taxes are unknown.

Verify Counts Before Projecting

Use the official qualifying-payment count for this one loan. Years worked and ordinary payments do not verify credit; eligibility and future qualifying months remain explicit assumptions.

Income-Driven Forgiveness for Non-PSLF Borrowers

RAP uses annual AGI and tax dependents, not gross wages or household size. Eligible joint debt is allocated before the $10 minimum. Verify Direct-loan and consolidation history first.

Maximizing Your Forgiveness Strategy

Future forgiveness tax is unknown. Optional federal and state rates are hypothetical, not a forecast. The current federal PSLF exclusion is separate; unknown tax or eligibility cannot establish a universal best plan.

Extras may shorten repayment and reduce interest, but may also reduce potential forgiveness. RAP benefits require the stated full/on-time, no-paid-ahead assumption; confirm actual payment allocation with your servicer.

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Questions

Frequently Asked Questions

7 questions

How does Public Service Loan Forgiveness (PSLF) work?+

What counts as a qualifying payment for PSLF?+

Use each loan’s official qualifying-payment count and verification status. Years worked and ordinary payments do not establish credited payments. Keep different counts on separate timelines; unsupported consolidation adjustments require an official count.

Will my forgiven student loan balance be taxed?+

How are RAP amounts and benefits modeled?+

RAP uses annual AGI and tax dependents, not gross wages or household size. Eligible joint debt is allocated before the $10 minimum. Verify Direct-loan and consolidation history first.

How do I know if I qualify for loan forgiveness programs?+

How do employment gaps and separate loans affect the projection?+

An assumed nonqualifying employment period pauses future PSLF credits, not ordinary cash payments. RAP benefits depend on their own stated payment assumptions. Separate-loan statement timelines omit RAP subsidies and principal matching; unsupported household allocation is not guessed.

Are my inputs saved or shared automatically?+

No. Remember inputs is optional on this device. Saved and shared records are reviewed before applying. A shared link begins without financial data; include it deliberately after review. Loan labels are omitted from exports unless separately selected. No credentials or documents are requested.

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