If you’ve already done the work of doing your research, gotten the best advice, and made a plan, it’s usually best to stick with it: keep filing your paperwork and wait for it to do it’s work. This is especially true if you’re pursuing Public Service Loan Forgiveness: changing strategies—such as consolidating or refinancing—can have major ramifications, ones that could extend repayment.
As we navigate the gray, the charcoal, and even the rough black of deepening December darkness, I’m looking for the light. Just like the dormant scaly brown tubers of my dahlias will sprout and yield dazzling hues, I know that December will yield to fresh green May and shimmering June. We wish you a peaceful end to this dark and difficult year, with quiet and confident hope for a brighter one to come. Happy holidays.
For those on income-driven repayment plans (IDRs), your student loan payments are recalculated each year based on how much money you made the year before. This is typically done using your AGI, taken directly from last year’s 1040—you can even link your tax documents directly from the IRS when you submit your income recertification. By reducing your AGI through pre-tax contributions, you save the tax on the deferred income, your annual tax bill, and on your monthly student loan payment. Between the three, that can add up to significant savings!
The PSLF Help Tool is designed to guide borrowers through the steps of determining if their employment qualified them for PSLF, making sure they’re on the right repayment plan, and filling out the ECF properly.
We and our partners are working to make sure that PSLF stays strong, works better, and endures. You may not be able to wrap it and tie a bow around it, but—for many—PSLF is a gift that keeps on giving, and one that can last for generations.