Put the payment in perspective.

PAYE needs eligible Direct Loans without Parent PLUS history, both borrowing-date tests, and no new Direct borrowing from July 1, 2026. New enrollment also needs partial financial hardship. An unknown answer means review is needed, not automatic rejection.

Example: $55,000 AGI, family size 3 in the contiguous states: ($55,000 − 1.5 × $27,320) × 10% ÷ 12 = $116.83/month, before a cap or spouse-loan adjustment. If the applicable Standard benchmark is $400, the income calculation is below it.

PAYE ends by July 1, 2028. Borrowers must transition to an eligible plan. We do not project a fresh 20 years in PAYE or assume prior forgiveness credit.

At least one Direct Loan must be first disbursed on or after July 1, 2026. An older loan entering repayment today does not meet that test. FFEL is not directly eligible. New Direct Parent PLUS borrowing uses Tiered Standard rather than RAP.

The principal balance when entering the plan sets the term: under $25,000: 10 years; $25,000–$49,999.99: 15; $50,000–$99,999.99: 20; $100,000 or more: 25. Payments are fixed, generally at least $50, with a final-payment exception. Income and dependents do not change the amount.

Example: $42,000 at 6.5% over 15 years is about $365.87/month, compared with about $476.90 over 10 years. The longer term lowers the payment but increases total interest. The entered balance approximates the enrollment principal; accrued interest and prior repayment can change the quote.

This plan repays the balance in full. It does not provide IDR forgiveness. Do not assume a 15-, 20-, or 25-year fixed payment qualifies toward PSLF.

ICR: for eligible older Direct Loans, the lesser of 20% of income above the poverty guideline or an income-adjusted 12-year payment. The second branch requires the applicable income factor; a simple 20% figure is not a reliable quote. Parent PLUS consolidation dates and prior ICR payments need review. ICR also ends by July 1, 2028.

Traditional Standard: usually 10 years, with up to 30 for qualifying consolidation balances. Graduated: payments usually increase every two years; compare both the first and final payment. Extended: fixed or graduated for up to 25 years, with more than $30,000 in the relevant Direct or FFEL program and a new-borrower test from October 7, 1998.

Income-Sensitive: a FFEL option whose payment formula depends on the lender. SAVE: ended and is not offered as an available plan. For ICR factors, graduated schedules, extended eligibility, mixed loans and spouse proration, use the official calculator with the actual loan inventory.

For a single borrower supporting two children who qualify for both counts: enter 2 other qualifying family members and 2 RAP tax dependents. We automatically add you: PAYE / IBR family size is 3. You are never your own tax dependent.

These counts can differ. A supported family member may qualify for IBR even when they are not claimed on your tax return. Married filing separately? RAP uses dependents on your own return.

At $55,000 AGI, the RAP rate is 5%. ($55,000 × 5% ÷ 12) − $100 = $129.17/month. The $100 reduction is $50 for each of two tax dependents. The minimum is $10/month.

This example assumes no spouse-loan adjustment. RAP uses AGI, not income after an IBR poverty allowance.

If your salary is $60,000 but the applicable tax return shows $55,000 adjusted gross income, enter $55,000. If you file jointly, the calculation generally uses combined AGI. A spouse with federal loans may require a payment adjustment that this simple example does not include.

An eligible FFEL Stafford borrower can use IBR with forgiveness after the required qualifying repayment period, generally 25 years for FFEL. Consolidation is not required solely to obtain that IBR forgiveness.

PSLF is different: FFEL loans must be consolidated into Direct Loans. FFEL loans also cannot use RAP directly. Review the new consolidation date and Parent PLUS history before choosing a plan; consolidation is not an automatic recommendation.

A new Direct student loan first disbursed August 1, 2026 has RAP or Tiered Standard as its repayment choices. RAP is its only income-driven option; IBR is not available for that new loan.

Starting repayment in August on an older loan is different. Check the loan's first disbursement date. New consolidations count as new loans. Parent PLUS and portfolios with different loan types need individual review.

First compare AGI, tax dependents, IBR family size, loan dates and spouse-loan treatment. For example, $55,000 AGI gives RAP estimates of $229.17 with no dependents or $129.17 with two, before any spouse-loan adjustment.

Balance and interest affect fixed-payment plans. IBR may also use a historical payment cap. Confirm the final plan and payment with FSA or the servicer.