PSLF and the new plans: what counts and what doesn't

What still holds

Public Service Loan Forgiveness forgives the remaining balance on Direct Loans after 120 qualifying monthly payments made while working full time for a qualifying employer. StudentAid.gov notes that PSLF forgiveness is the one kind of discharge it does not flag as possibly taxable.

Plans that count

StudentAid.gov lists all income-driven plans as qualifying: IBR, ICR, PAYE and RAP. The 2025 law added on-time RAP payments to the PSLF statute. The 10-year Standard plan also qualifies.

Plan that doesn’t

StudentAid.gov says payments under the Tiered Standard Plan are not qualifying payments for PSLF or Temporary Expanded PSLF. Because Tiered Standard is the default for newer loans and for SAVE borrowers with newer loans who miss their deadline, StudentAid.gov recommends that PSLF borrowers apply for a qualifying plan rather than wait to be placed.

Deferment and forbearance under RAP

The regulation excludes RAP periods from the rule that lets certain deferments and forbearances count for PSLF, and from the buyback of deferment and forbearance months. Credit comes from on-time payments.

The SAVE forbearance

Months in the SAVE forbearance don’t count toward PSLF. Once you have 120 months of qualifying employment, you can buy back certain months, including SAVE forbearance months.

Still to come

StudentAid.gov says it will publish more information about how RAP and PSLF interact. We will update this page when it does.

Tick the PSLF box in the calculator to see payments over 120 months on each plan.

Not financial or legal advice. This page explains the published rules. It does not tell you which plan to choose. Your loan servicer and StudentAid.gov have the final word on your account.

Next guide: RAP forgiveness after 30 years, and the tax question