The first thing to know is that you have options. Depending on your situation, you may be eligible for various payment plans. That may impact how you decide you and your spouse file your taxes, jointly or separately. The latter may increase your taxes , but depending on your tax situation, it could be offset by savings in loan payments.
A month ago we celebrated the new year—a time to make new plans and recommit to old ones—how are you doing with those? More specifically, when was the last time you checked to make sure you were “on track” with your student loan plans?
There has been a lot of excitement and speculation around President Biden’s extension of the moratorium on student loan payments until October. One news source went so far as to publish a recent article titled “Biden’s Student Loan Freeze Shows Path to Erase Billions of Debt.” We know that Biden wants to address the student debt crisis, but we also want to be realistically optimistic about what that means. Your Navigate team is meeting with politicians on the Hill this week to discuss these very issues.
Matthew Henry