Public Service Loan Forgiveness (PSLF)

Student Loan Forgiveness Programs

To qualify for PSLF, you must

  • be employed by a U.S. federal, state, local, or tribal government or 501(c)(3) not-for-profit organization (federal service includes U.S. military service);
  • work full-time (30+ hours/week) for that organization;
  • have federal Direct Loans (or consolidate into a Direct Loan);
  • repay loans under an income-driven repayment plan; and
  • make 120 qualifying payments

PSLF Program Requirements and Changes

On Oct. 25, 2022, the Department of Education (ED) announced new regulations to program requirements for PSLF which will go into effect on July 1, 2023. We will provide updates on the implementation of these program changes as the ED announces them.


What is the Public Service Loan Forgiveness (PSLF) Program

The PSLF Program was established to encourage individuals to work in public service by forgiving the remaining balance of their Direct Loans after they have made 120 qualifying payments while employed by a qualifying employer.

What are the eligibility requirements for loan forgiveness under the PSLF Program?

You must be employed full-time by a qualifying employer when you make each of the required 120 qualifying payments on your Direct Loans, and also at the time you apply for loan forgiveness after making the last of those 120 payments, and when you receive loan forgiveness.

Are loan amounts forgiven under PSLF considered taxable by the IRS?

No. According to the Internal Revenue Service (IRS), student loan amounts forgiven under PSLF are not considered income for tax purposes. For more information, check with the IRS or a tax advisor.

Does my income level determine eligibility for PSLF?

There is no income requirement to qualify for PSLF. However, since your required monthly payment amount under most of the qualifying PSLF repayment plans is based on your income, your income level over the course of your public service employment may be a factor in determining whether you have a remaining loan balance to be forgiven after making 120 qualifying payments.

Can I be certain that the PSLF Program will exist by the time I have made my 120 qualifying payments?

We cannot make any guarantees about the future availability of PSLF. The PSLF Program was created by Congress, and Congress could change or end the PSLF Program.

I have federal student loans from a program other than the Direct Loan Program. Can I qualify for PSLF?

PSLF is available only for Direct Loans; however, if you have loans under another federal student loan program, you may consolidate those loans into a Direct Consolidation Loan, which is eligible for PSLF.

Public Sector

Student Loan Forgiveness Programs