Income-Driven Repayment Calculator

It is a percentage — typically 10% — of your discretionary income, defined as income above a multiple of the federal poverty line for your household size. It ignores your balance entirely, so a large loan and a small one cost the same monthly if your income is the same.

Your income above a set multiple of the poverty guideline for your household — historically 150%, and 225% under more generous plans. Everything below that multiple is protected, so lower earners and larger households pay less. Only the amount above it counts toward the payment.

When your payment is smaller than the monthly interest, the shortfall is added to the balance and it grows despite your payments. It is common under IDR for large balances and low incomes. Some plans cover part of the unpaid interest, and forgiveness at the end can wipe out the grown balance.

Yes — after 20 or 25 years of qualifying payments, or 10 years under Public Service Loan Forgiveness for eligible employers. The catch is that forgiven balances outside PSLF may be taxed as income in the year forgiven, which can be a large bill. PSLF forgiveness is tax-free.

Federal IDR plans have changed repeatedly through legislation and litigation, so the specific names and parameters shift. This calculator lets you set the protected multiple and payment percentage to match whatever plan currently applies. Confirm the current terms at StudentAid.gov before relying on a figure.