Forgiveness and PSLF · calculator
Student loan forgiveness in 2026: what exists, when it comes, how much
In 2026 federal student loan forgiveness comes through four doors: Public Service Loan Forgiveness after 120 qualifying payments in a public service job, the Repayment Assistance Plan after 360 payments, Income-Based Repayment after 20 or 25 years, and discharge for death or total and permanent disability. There is no broad cancellation program: the SAVE plan, which promised faster forgiveness for small balances, was closed by a court-approved settlement in March 2026, and its borrowers must move to another plan. For a borrower with $90,000 of loans, a $48,000 income and one child, PSLF would forgive about $138,000 after ten years on RAP; outside public service, RAP would leave $70,043 to forgive after 30 years, and IBR would leave $160,693 after 20 years. Taxes changed too: since January 1, 2026, only PSLF and death or disability discharges are clearly excluded from federal income.
Largest projected forgiveness
$160,693
Income-driven forgiveness needs 20 to 30 years of payments
| RAP: forgiven after 360 payments | $70,043 |
| IBR: forgiven after 240 payments | $160,693 |
PSLF forgiveness is tax-free under 26 U.S.C. 108(f)(1). Since January 1, 2026 the broad federal exclusion for other forgiveness is gone (Public Law 119-21 sec. 70119). Payments assumed on time. How this is calculated.
The federal routes to forgiveness after the 2025 law, the end of SAVE and the new tax rule, computed for your own loans.
Checked by Radif Partners · Editorial policy · How we calculate
The routes side by side
| Route | Who | When | Taxed federally? |
|---|---|---|---|
| PSLF | Full-time employees of a government or qualifying nonprofit, Direct Loans | 120 qualifying payments | No (108(f)(1)) |
| RAP | Direct Loans except parent PLUS | 360 qualifying payments | Possibly, since 2026 |
| IBR | Loans made before July 1, 2026 | 240 or 300 payments | Possibly, since 2026 |
| Death or disability discharge | Any federal loan | On approval | No (108(f)(5)) |
Why the amount forgiven depends on your income path
Income-driven forgiveness is what is left after decades of payments, and the payments follow income. A borrower whose income grows steadily may repay everything before the end, as RAP's interest waiver and principal match push the balance down each month. A borrower with a large balance relative to income will have more forgiven. The calculator above runs each route with the raise you expect; try a 0% and a 4% raise to see how sensitive your forgiveness is. The forgiveness timeline page explains which past payments count.
PSLF is the fastest route
Ten years of full-time work, at least 30 hours a week, for a government employer or a qualifying nonprofit, and 120 payments on a qualifying plan: an income-driven plan, the 10-year standard plan, or any plan whose payment is at least the 10-year amount. RAP counts, by the 2025 law. From July 1, 2026, organizations found to have a substantial illegal purpose are excluded as employers (final rule of October 31, 2025). The PSLF calculator projects your remaining payments and the amount forgiven.
What changed with the 2025 law
Public Law 119-21 added RAP and its 30-year horizon, made RAP payments count for PSLF, removed the partial financial hardship test from IBR, ended ICR and PAYE on June 30, 2028, and limited borrowers with new loans to RAP and Tiered Standard (sections 82001 and 82004). The tax section rewrote the forgiveness exclusion, so the forgiveness date also becomes a tax planning date. Taxes on forgiveness shows the possible bill.
Disability and death discharges
A federal loan is canceled when the borrower dies, and a parent PLUS loan also when the student dies. A borrower who becomes totally and permanently disabled can have federal loans discharged after approval. Since January 1, 2026, section 108(f)(5) of the tax code excludes those discharges from federal income permanently, for federal loans and for private education loans alike, provided the taxpayer's Social Security number appears on the return (26 U.S.C. 108(f)). This is the one part of the 2025 tax changes that protects borrowers rather than exposing them.
Protecting your count
Forgiveness counts are long and errors happen. Download your payment history from StudentAid.gov once a year, keep PSLF employment certifications, and check that months spent in a qualifying deferment were counted. Avoid gaps: a payment that arrives late can lose its qualifying status on RAP, and leaving public service for a few years pauses PSLF without erasing earlier payments. If a servicer's count looks wrong, write to them with your records before filing a complaint.