Public Service Loan Forgiveness (PSLF) Calculator

Understanding the PSLF Calculator

The Public Service Loan Forgiveness (PSLF) program is a U.S. federal program designed to encourage individuals to enter and continue to work full-time in public service jobs. This calculator provides a simplified, unofficial estimate of the loan amount that could be forgiven after the required service period.

How It Works

The calculator estimates your total payments over the 10-year (120-payment) period and projects the remaining balance that could be forgiven. It's based on a few key inputs:

• Loan Balance & Interest Rate: Your current federal student loan details.
• Your Annual Income: This is used to estimate your monthly payment under an Income-Driven Repayment (IDR) plan, which is a requirement for PSLF. This calculator uses a simplified model of the PAYE/REPAYE plan, which is typically 10% of your discretionary income.
• Qualifying Payments Already Made: The number of payments you've already made while working for a qualifying public service employer.

The Calculation Logic

First, the tool estimates your monthly IDR payment. Then, it simulates the loan's amortization over 120 total payments, adding accrued interest and subtracting your estimated payments each month. The final balance remaining after the 120th payment is your estimated forgiveness amount. For many public servants, especially those with high loan balances relative to their income, this can result in a significant amount of debt being forgiven tax-free.

Disclaimer: This is an educational tool only. Your actual payment and forgiveness amount will depend on your specific IDR plan, family size, and future income changes. You must use the official PSLF Help Tool on StudentAid.gov to certify your employment and track your progress.

Frequently Asked Questions