So in reality, you’re not getting a full ,000 in loan forgiveness. The more you get written off, the more you’ll end up having to pay in taxes, and the higher your income tax rate, the more you’ll owe on whatever you have to pay.

If you’d like to get the full story on how taxes and forgiveness benefits work, please visit my page about Student Loan Forgiveness Benefits and Taxable Income Laws.

I’m terrified of how IRS tax regulations are going to impact student loan borrowers that get forgiveness benefits, because I think it’s going to saddle people with an even worse debt than student loans: IRS Debt.

The Student Loan Relief Helpline can help you lower your monthly payments, apply for forgiveness benefits and maybe even get your loans discharged completely, and you won’t even have to pay a single cent for their advice unless you decide to let them handle your loans on your behalf.

Call the Helpline, tell them about your situation, ask what they think your fastest way to paying off your loans will be, and get a quote for what it would cost to have them take care of all the research, paperwork, and applications for you; usually, it’s only a few hundred dollars, and that few hundred dollars could save you TENS OF THOUSANDS over the course of your loan.

Both of these plans offer the same debt forgiveness benefit as the new PAYE and REPAYE plans – total, comprehensive debt forgiveness after 240 payments have been made (or 120 if you qualify for PSLF).

I’ll go into this component of the President’s reforms in detail further down on the page (skip to the section about the Public Service Loan Forgiveness Program if you want to full run-down), but for the purposes of introducing the idea, it is possible to receive total Federal student loan forgiveness at the 10 year mark, if you qualify for PSLF. Officially titled the Public Service Loan Forgiveness Program, it’s an incentive benefit to encourage people to work in positions that offer a tangible public good – some sort of value to society at large.

For the purposes of this post, I’m going to assume that you’ll pick either the Pay As You Earn Repayment Plan (PAYE), or the REPAYE Repayment Plan (REPAYE), as these are the best options for something like 99% of people looking to receive debt forgiveness.

Keep in mind though that the old Income-Based Repayment Plan and Income-Contingent Repayment Plans are both also eligible repayment plans for Obama loan forgiveness benefits.This page covers President Obama’s Student Loan Forgiveness Act of 2016 in comprehensive detail, explaining how each component of the Obama loan forgiveness programs works, including detailing everything you need to know about the latest and greatest Federal loan forgiveness benefits, as well as how the excellent PAYE and REPAYE Repayment Plans work, and why you should use them to repay your loans.I update this page on a regular basis, so be sure to check back often for the latest news and alerts.If you have any questions about the Obama-era reforms, please ask them in the Comments section below and I’ll get you a response as soon as possible.If you need an immediate answer to questions about what to do with your student loans, you don’t want to spend hours researching the options, plans and programs available, you’re afraid of falling prey to one of the many Student Loan Forgiveness Scams floating around, or if you’re simply just lost, then you need to call the Student Loan Relief Helpline. There are multiple payment programs and plans that are based on your current financial situation. She was amazing and was able to help me with my loan consolidation and answered all of my questions.