This tool calculates your estimated Income-Based Repayment (IBR) amount for student loans based on your income and family size.
Income-Based Repayment (IBR) Estimator
Use this calculator to estimate your monthly federal student loan payment under the Income-Based Repayment (IBR) plan.
How to Use:
- Enter your annual income.
- Specify your family size.
- If applicable, enter your spouse’s annual income.
- Enter your state of residence.
- Input your total loan balance.
- Include the average interest rate on your loans.
- Set the expected repayment period in years.
- Click “Calculate” to see your estimated monthly payment.
How It Calculates:
The calculator estimates your IBR payment by considering:
- Your annual income and that of your spouse (if applicable).
- Your family size, which impacts the federal poverty line applicable to you.
- Your state of residence, used in a simplified manner here.
- The total balance and average interest rate of your student loans.
- A repayment period, typically 20-25 years under IBR.
Limitations:
Note that this calculator provides an estimate based on simplified assumptions:
- Poverty guideline calculations are generalized and may not reflect official guidelines for your specific state or situation.
- The interest rate and loan balance input assume consistency over the repayment period.
- Extra payments, changes in income, family size, or interest rates are not accounted for.
Use Cases for This Calculator
Calculate Your Income-Based Repayment (IBR)
Estimate how much you could be paying for your student loans using the Income-Based Repayment (IBR) plan. Simply input your annual income and family size, then see the monthly payment amount based on the IBR formula.
Compare IBR with Standard Repayment
See the difference in monthly payments between the IBR plan and standard repayment options. Input your loan balance, interest rate, and term to compare how much you could save with IBR based on your income.
Estimate Loan Forgiveness Eligibility
Find out if you qualify for loan forgiveness under the IBR plan by entering details about your loan type, repayment plan, and employment status. Receive a projection on the potential amount that could be forgiven over time.
Adjust Income for Future Salary Increases
Factor in anticipated salary increases by adjusting your annual income to see how it affects your IBR monthly payments. Explore different income scenarios to plan ahead for potential changes in your repayment amount.
Explore Payment Options for Married Couples
For couples with student loans, input combined income and family size to calculate IBR payments. Compare the total amount paid under a joint IBR plan versus separate plans to determine the most cost-effective option.
Estimate Total Interest Paid Over Time
Input your loan details and projected income growth to estimate the total interest paid over the life of the loan under the IBR plan. Visualize how different income trajectories can impact the overall cost of repayment.
Calculate Monthly Payment Cap
Determine the maximum monthly payment cap based on your income and family size. Understand the limit on your IBR payments to better plan your budget and ensure that your repayments remain manageable.
Plan for Loan Consolidation Benefits
Explore the benefits of consolidating your loans for IBR eligibility by entering details about your current loans. Compare the monthly payments and potential forgiveness amounts before and after consolidation to make an informed decision.
Review Documentation Requirements
Learn about the documentation needed to apply for the IBR plan by checking the list of required materials. Ensure you have all the necessary paperwork ready to streamline the application process and avoid delays in approval.
Get Real-Time Updates on IBR Regulations
Stay informed about the latest IBR regulations and income thresholds by subscribing to real-time updates. Receive notifications on any changes that could impact your repayment plan, helping you make informed decisions about your student loans.