Teacher Loan Forgiveness (PSLF) Calculator

1. Enter your current loan balance and interest rate.
2. Enter your monthly payment on a qualifying plan, which can be low on an income-driven plan.
3. Enter the qualifying payments you have already made toward the 120 needed.
4. Read the amount forgiven, how many payments remain, and what you will pay to get there.

Here is what each result means:

Public Service Loan Forgiveness, or PSLF, cancels the remaining balance on federal Direct Loans after you make 120 qualifying monthly payments while working full time for a government or eligible nonprofit employer. Teachers, nurses, and many public workers use it. The 120 payments do not need to be consecutive, but they must be on an eligible repayment plan.

The forgiven amount is not taxed as income under current federal rules, which sets PSLF apart from some other forgiveness. Because income-driven payments can be small, the balance can stay high or even grow, so the amount finally forgiven is often larger than borrowers expect.

It counts the payments you have left, then simulates each month, adding interest and subtracting your payment, until payment 120.

1. Find the payments remaining as 120 minus those already made.
2. Step through each remaining month, adding interest and taking off your payment.
3. The balance still owing at payment 120 is the tax-free amount forgiven.

To compare paying a loan off normally instead, see the student loan payoff calculator and the student loan true cost calculator.

Suppose you owe $45,000 at 6%, pay $250 a month on an income-driven plan, and have made 60 of the 120 payments.

Calculation: 60 payments remain, about 5 years. Your $250 payment is close to the monthly interest of about $225 early on, so the balance barely falls. After 60 more payments you would pay about $15,000 more and still owe roughly $43,256, which PSLF forgives tax free. A larger payment would forgive less; a smaller one would forgive more.

Teachers have two main federal programs, and they work differently. You generally cannot double count the same service years for both.

This calculator models the PSLF 120-payment path, which cancels the whole remaining balance. For the fixed teacher benefit, count 5 years and the capped amount instead.

Your Monthly Payment

The single biggest factor. A low income-driven payment leaves more balance to forgive, while a high payment can shrink or clear it before payment 120.

Interest Rate

A higher rate adds more each month. When your payment is below the interest, the balance grows, which raises the amount forgiven.

Payments Already Made

The closer you are to 120, the fewer months of interest and payments remain, and the sooner the balance is canceled.

The Right Loans

Only federal Direct Loans qualify. Older FFEL loans must be consolidated into a Direct Loan first, which resets counted payments.

The Right Employer

You must work full time for a government body or an eligible nonprofit. Certify your employment each year with the official form.

The Right Plan

Payments must be on an eligible plan, usually an income-driven one. Payments on the wrong plan do not count toward the 120.

Deciding on a Payment Plan

See how a lower income-driven payment changes what you pay and what is forgiven before you switch plans.

Tracking Progress

Update your payments made each year to watch the finish line and the projected forgiveness move.

Weighing Payoff vs Forgiveness

Check whether paying aggressively would clear the loan before payment 120, which cancels the benefit.

1. Overpaying Toward Forgiveness

Extra payments can clear the loan before payment 120, leaving nothing to forgive. On the PSLF path, paying the minimum often forgives more.

2. the Wrong Loan Type

FFEL and private loans do not qualify. Only federal Direct Loans count, so check before you rely on PSLF.

3. Skipping Employment Certification

Not certifying your employer each year can leave payments uncounted. File the form annually.

4. Being on the Wrong Plan

Payments on a non-qualifying plan do not count. Confirm your plan is eligible.

5. Expecting a Tax Bill

PSLF forgiveness is tax free federally, unlike some other programs. Do not assume the same rules apply everywhere.

The month-by-month math is exact for your inputs, but PSLF has rules a projection cannot capture.

It requires 120 qualifying monthly payments, about 10 years, while you work full time for a government or eligible nonprofit employer. The payments do not have to be consecutive, but they must be on an eligible plan.

It forgives your entire remaining Direct Loan balance at payment 120, with no dollar cap. Because income-driven payments can be low, the balance forgiven is often larger than borrowers expect.

Under current federal rules, PSLF forgiveness is not taxed as income. That is different from some other programs, and state treatment can vary, so confirm your situation.

If your payment is below the monthly interest, the balance grows instead of shrinking. More balance remains at payment 120, so more is forgiven. This is common on income-driven plans.

PSLF forgives your whole balance after 120 payments at any public-service employer. Teacher Loan Forgiveness gives up to $17,500 after five years at a low-income school. You generally cannot use the same years for both.

Only federal Direct Loans. Older FFEL loans and private loans do not, though FFEL loans can be consolidated into a Direct Loan first, which restarts the counted payments.

Usually not on the PSLF path. Extra payments can clear the loan before payment 120, leaving nothing to forgive. Paying the required minimum often forgives more.

Stay on an eligible repayment plan, work full time for a qualifying employer, and certify your employment each year with the official form so your payment count stays accurate.

No. The calculation runs in your browser and nothing you enter is stored or sent anywhere, unless you choose Save, which keeps the result only on this device.

• Public Service Loan Forgiveness (Wikipedia).
• How student loan forgiveness works (Investopedia).
• Loan amortization basics (Maths Is Fun).