Aftergrad Ledger / Student loan guide

Federal student loan repayment plans: How to compare your options

Federal plans can set a fixed payment, adjust payments with income, or spread repayment across a longer period. The right comparison starts with your own loan types and dates, then looks at the payment, time to repay, total cost, and any forgiveness goal that may apply to you.

Federal Student Aid and CFPB guidance checked November 11, 2026. Federal rules and program details can change.

Federal repayment plans are options for eligible federal loans. The plan names and rules below reflect Federal Student Aid’s current published information, including changes that took effect July 1, 2026. Eligibility is specific to the borrower and each loan; a plan’s name alone does not show whether it is available to you. Use the official Federal Student Aid repayment-plan page and its income-driven repayment FAQ when checking your options.

Start with your loan records, one loan at a time.

Sign in to your StudentAid.gov account and review My Aid or My Loans. Record the following for each federal loan:

Loan program and type, such as Direct, FFEL, or Parent PLUS.
The date each loan was first disbursed.
Current balance, interest rate, status, servicer, and repayment plan.
Current monthly amount due and your next due date.

The first disbursement date matters because federal plan eligibility changed for loans first disbursed on or after July 1, 2026. Loans with different types or dates may not all qualify for the same plans. The Dashboard shows federal loan details; the servicer listed there handles billing and can answer questions about your bill and plan request. See your StudentAid.gov account and Federal Student Aid’s servicer directory and account guidance.

Fixed-payment plans trade a defined schedule for less flexibility.

These plans set payments using the amount owed, interest rate, and repayment term. A shorter payoff schedule generally means a higher monthly payment; spreading payments over more years can lower each payment while leaving more time for interest to accrue. The exact plan available depends on loan type and disbursement timing.

Standard Repayment Plan

For eligible older Direct and FFEL loans, the payment is generally fixed and pays the loan off within 10 years. Consolidation Loans can have 10-to-30-year terms. The standard schedule is shorter than an extended term, but its monthly amount may be higher. Direct Loans first disbursed on or after July 1, 2026, use the Tiered Standard Plan instead.

Tiered Standard Plan

This is the fixed-payment plan for the new Direct Loan system beginning July 1, 2026. Its term is based on the outstanding principal balance when you enter the plan and falls into a 10-, 15-, 20-, or 25-year tier. A longer tier can reduce the monthly payment compared with a shorter schedule while leaving more time for interest to accrue. Check the tier for your loan balance in the official calculator.

Graduated Repayment Plan

For eligible loans first disbursed before July 1, 2026, payments start lower and usually rise every two years. The scheduled term is generally 10 years, or 10 to 30 years for Consolidation Loans. The lower early payments can mean more interest over time than a level payment on a comparable loan.

Extended Repayment Plan

Borrowers generally need more than $30,000 in eligible outstanding Direct or FFEL loans. Payments can be fixed or graduated over a term of up to 25 years. The longer term can lower the scheduled monthly payment, but may increase the total interest paid compared with a shorter schedule.

The federal rules list eligible loan types and terms for each plan. For example, Standard and Graduated may cover eligible Direct and FFEL Subsidized, Unsubsidized, PLUS, and Consolidation Loans, while Tiered Standard applies to Direct Loans. Use the current Federal Student Aid plan comparison to confirm the rule that fits each loan; don't assume an older plan is available for a newer loan.

Income-driven plans connect payment rules to income and loan history.

Income-driven repayment (IDR) plans generally use income and family or dependent information to calculate payments. A payment may change as those details change; your payment could be lower than under a fixed plan, but a longer path can mean more interest or a different total amount paid. Current IDR options published by Federal Student Aid are RAP, IBR, ICR, and PAYE, subject to eligibility and scheduled transitions. “Discretionary income” is calculated under each plan’s federal rules; it is not simply a fixed percentage of take-home pay.

Repayment Assistance Plan (RAP)

RAP calculates a payment as 1% to 10% of adjusted gross income divided by 12, then reduces it by $50 for each dependent claimed on a federal tax return; the monthly amount cannot be less than $10. Its repayment period is 30 years. It is available for most Direct Loans disbursed before or after July 1, 2026. Parent loans and FFEL loans are not eligible, including when consolidated.

Federal Student Aid also describes an interest subsidy for borrowers who make full, on-time RAP payments when the payment does not cover monthly accrued interest, and a possible matching principal payment. Check the official plan information for conditions that may apply to your loans.

Income-Based Repayment (IBR)

For eligible Direct and FFEL loans disbursed before July 1, 2026, IBR generally uses 10% of discretionary income for qualifying new borrowers and 15% for others, capped at the 10-year Standard amount. The repayment period is 20 years for new borrowers and 25 years for others. Federal Student Aid defines an IBR new borrower as someone whose first loan was made on or after July 1, 2014, or who had no outstanding loan balance when taking out a new loan on or after that date. Parent PLUS loans have separate restrictions; review loan-specific consolidation history in the official eligibility guidance.

Pay As You Earn (PAYE)

PAYE generally uses 10% of discretionary income, capped at the 10-year Standard amount, with a 20-year repayment period. It is limited to eligible Direct Loans disbursed before July 1, 2026, and also has borrower-history tests: a borrower generally must have been a new borrower on or after October 1, 2007, with a Direct Loan disbursed on or after October 1, 2011. Parent loans are not eligible. Federal Student Aid says PAYE will end no later than July 1, 2028.

Income-Contingent Repayment (ICR)

ICR generally uses the lesser of 20% of discretionary income or an income-adjusted payment on a 12-year fixed schedule. Its repayment period is 25 years. Eligible Direct Loans must have been disbursed before July 1, 2026; FFEL loans must be consolidated into a Direct Consolidation Loan. Parent-loan consolidation has timing-specific restrictions. Federal Student Aid says ICR will end no later than July 1, 2028.

SAVE is not a current option: Federal Student Aid says a federal court order ended the plan and borrowers enrolled in SAVE or with a pending SAVE application must choose another plan. ICR and PAYE have scheduled end dates; a borrower with an eligible pre-July 2026 loan may still be able to enroll before then, but should consider how a transition could affect a repayment timeline. Mixed loan types, dates, Parent PLUS history, default status, and consolidation can change the answer. Read the current IDR eligibility table and transition details before applying.

Compare the monthly amount with the full repayment path.

A monthly payment is one part of the decision. Put it beside the estimated total paid, expected repayment period, principal and interest paid, and any projected discharge amount. Lower payments may leave a balance unpaid for longer, which can increase interest under some plans. A higher payment may reduce the balance faster but could leave less room in a monthly budget.

With IDR, ask how your payment could change if your income, family size, or dependents change, and when you must update information. Consider a few realistic income and household scenarios rather than relying on one snapshot. Federal Student Aid's Repayment Calculator guidance explains how to compare monthly payment, total paid, principal, interest, payoff date, and possible discharge; it also describes comparing different income inputs.

For a separate one-loan projection, try Aftergrad Ledger’s Premium income-driven repayment scenario estimator. It projects one loan using the balance, interest rate, monthly payment, and period you enter. It does not determine whether you qualify for an IDR plan or calculate an official IDR payment; use Federal Student Aid’s calculator and confirm your terms with your servicer for those questions.

No single metric settles every situation. A payment that fits the budget now may matter more when cash flow is tight; someone with a stable budget may weigh a shorter term or a forgiveness goal differently. Check how your estimate changes when your assumptions change.

Include forgiveness only when its separate requirements fit.

Some eligible IDR plans can discharge a remaining balance after the required repayment period and qualifying payments. The period and eligibility depend on the plan and loan history; discharge is not automatic simply because a borrower makes payments for a certain number of years. Federal or state tax treatment may also depend on the effective date and the borrower’s circumstances. The Federal Student Aid IDR FAQ describes plan periods, discharge, and tax considerations.

Public Service Loan Forgiveness (PSLF) is a separate program. It can forgive a remaining Direct Loan balance after 120 qualifying monthly payments while working full-time for an eligible government or nonprofit employer, if the loan, repayment plan, employment, and payment requirements are met. Not every plan or borrower qualifies, and the remaining balance depends on the full payment history. Payments under the Tiered Standard Plan do not qualify for PSLF. PAYE and ICR are scheduled to end no later than July 1, 2028, so a transition can affect a borrower’s plan and timeline. If PSLF may be relevant, check your employer and payment progress with the official PSLF information and Help Tool and compare plans with that goal selected in the Repayment Calculator.

Questions to bring to your account or servicer.

What type is each federal loan, and when was each loan first disbursed? Are any loans Parent PLUS, FFEL, consolidated, or in default?
What plan am I enrolled in now, what is the current amount due, and when is my next payment? Does the StudentAid.gov record match my latest statement?
What would the estimated monthly payment and total paid look like under each plan I may qualify for? How long is repayment expected to take, and what assumptions affect those figures?
How might a likely change in income, family size, or dependents affect an IDR payment or annual update?
Am I pursuing IDR discharge or PSLF? Which loan, employment, plan, and payment requirements should I verify, and how should I track qualifying payments?
Before changing plans, when would a new payment start, what should I pay while the request is processed, and how could the change affect interest, forgiveness progress, or an upcoming plan transition?

Use the account-specific details in your StudentAid.gov Dashboard, then confirm the request, effective date, and bill with the servicer listed on your account. Federal Student Aid says the servicer sets the final terms after processing an application; keep the confirmation and any updated statement with your records.

Federal plans do not set the terms of private loans.

Private student loans are not part of the federal loan program. Their repayment choices, payment changes, and relief options are governed by the loan contract and lender policies; federal plan eligibility and federal forgiveness programs do not automatically apply to private debt. If you have both kinds of loans, review them separately and ask the private lender what its written terms allow. The CFPB explains differences in its guidance on federal and private repayment options and private student loans.

Repayment Calculator results are estimates based on the information entered and assumptions in the tool. They are not a bill, a final decision that a plan is available, or a guaranteed payment or forgiveness result. Federal Student Aid says your servicer sets final terms after processing an application. Check current information in StudentAid.gov and with your servicer before acting; federal rules and program details can change. See the official calculator guidance for how to interpret estimates.

Use current sources for the next step.

A reasonable next step is to compare the loans you have with plans the federal calculator says may be available, then confirm the details before submitting a request. There is no one plan that fits every borrower.

Compare your federal options

Review your loan details and estimates with Federal Student Aid.

Open the Repayment Calculator

Related Aftergrad Ledger guides: IDR recertification, PSLF payment tracking, and Parent PLUS repayment.

This guide is general education, not individualized financial, tax, or legal advice. It does not determine your eligibility or replace your account, loan documents, or servicer’s instructions. Confirm current rules and account-specific details before changing a repayment plan.