🎓 Student Loan Calculator
Calculate your student loan monthly payment, total interest, and see how extra payments can save you thousands and years of payments.
Why Use This Calculator?
Calculate Total Student Loan Cost Accurately
See your complete repayment picture including total interest paid. A $50,000 loan at 6% over 10 years costs $66,607 total - that's $16,607 in interest. At 5% it's only $63,635. Understanding true cost helps you prioritize aggressive payoff or refinancing.
Compare Repayment Plans Side-by-Side
Standard 10-year vs. extended 25-year vs. income-driven plans each have different monthly payments and total costs. $30,000 at 5%: 10-year = $318/month ($38,184 total) vs. 25-year = $175/month ($52,595 total). Lower payment costs $14,411 more.
Model Extra Payment Impact on Payoff
Small extra payments create huge savings. Adding just $100/month to a $50,000 loan at 6% saves $5,262 in interest and finishes 2.5 years early. $200 extra saves $8,764 and cuts 4 years off repayment. See your exact numbers.
Understand Federal vs Private Loan Differences
Federal loans (3.5-7% fixed, income-driven plans, forbearance options) vs. private loans (4-12% variable, fewer protections, credit-based). Calculate each separately to see which to prioritize paying off first - usually highest rate private loans.
Plan for Income-Driven Repayment Forgiveness
Income-Driven Repayment (IDR) forgives remaining balance after 20-25 years but you pay taxes on forgiven amount. $80,000 forgiven in 25% tax bracket = $20,000 tax bill. Calculator helps you plan if standard payoff or IDR strategy is better.
Evaluate Refinancing Savings Potential
Refinancing from 7% federal loans to 4% private saves thousands but loses federal protections (forbearance, forgiveness, IDR plans). See exact savings to decide if trade-off is worth it. $60,000 refinanced from 7% to 4% over 10 years saves $10,080.
Step-by-Step Guide
Enter Your Total Student Loan Balance
Add up all federal and private student loans. Check National Student Loan Data System (NSLDS.ed.gov) for federal loans. Contact private lenders for their balances. Include undergraduate and graduate loans combined.
Example:
Example: $32,000 federal undergraduate + $18,000 private + $25,000 federal grad school = $75,000 total student loan debt
Input Your Weighted Average Interest Rate
If you have multiple loans at different rates, calculate weighted average: (Loan1_Balance × Rate1 + Loan2_Balance × Rate2) ÷ Total_Balance. Or calculate each loan separately for more precision.
Example:
Example: $30,000 at 4.5% + $20,000 at 6.8% = (30,000×0.045 + 20,000×0.068) ÷ 50,000 = 5.42% weighted average rate
Select Your Repayment Term Length
Standard federal repayment is 10 years. Extended plans: 25 years. Graduated plans: start lower, increase over time. Income-Driven: 20-25 years with forgiveness. Shorter terms = higher payments but less interest. Longer = lower payments, more interest.
Example:
Example: 10-year standard = $318/month on $30,000. 25-year extended = $175/month. Monthly savings: $143. Total cost difference: $14,411 more for extended.
Consider Extra Monthly Payment Amount
Even $50-100 extra per month dramatically reduces interest and payoff time. Extra payments go directly to principal, not interest. Specify extra amount and calculator shows years saved and interest reduction.
Example:
Example: $40,000 loan at 5.5%, 10 years = $437/month standard. Add $100 extra = $537/month total. Result: Payoff in 7.8 years (2.2 years early), save $3,284 interest.
Review Monthly Payment and Total Interest
Calculator shows required monthly payment, total interest paid over loan life, and total amount repaid (principal + interest). Compare this to your budget and income to ensure affordability.
Example:
Example: $50,000 at 6% for 10 years = $555/month payment, $66,607 total repaid, $16,607 interest paid. That's 33% more than you borrowed!
Calculate Income-Driven Payment if Applicable
For federal loans, IDR plans cap payments at 10-20% of discretionary income (income above 150% of poverty line). Useful if standard payment exceeds 10-15% of take-home pay. Remaining balance forgiven after 20-25 years (but taxable).
Example:
Example: $70,000 income, $60,000 loans. Standard = $668/month. IDR = 10% of ($70,000 - $21,870) = $402/month. Lower payment but extends to 20-25 years.
Model Refinancing to Lower Rate
If you have good credit (700+) and stable income, refinancing federal/private loans to lower private rate saves money but loses federal benefits (forbearance, forgiveness). Calculate savings vs. lost protections.
Example:
Example: $50,000 at 7% federal loans refinanced to 4.5% private = save $7,644 over 10 years. But lose IDR, forbearance, PSLF eligibility. Worth it if you don't need protections.
Compare Standard vs. Graduated Repayment
Graduated plans start with lower payments that increase every 2 years. Good for new grads expecting income growth. But you pay more interest overall because early payments mostly cover interest, not principal.
Example:
Example: $30,000 loan - Standard: $318/month fixed for 10 years. Graduated: Start $212, increase to $425 later. Total interest: Standard $8,184 vs. Graduated $10,255. Cost $2,071 more.
Evaluate Public Service Loan Forgiveness (PSLF)
Work for government/nonprofit? Make 120 qualifying payments (10 years) on IDR plan and remaining balance forgiven tax-free. Only works for federal Direct Loans. Calculate if worth staying in qualifying job for forgiveness.
Example:
Example: $100,000 loans, IDR payment $400/month for 10 years = $48,000 paid. $52,000+ forgiven tax-free. But only if you stay in qualifying public service job entire time.
Factor in Student Loan Interest Tax Deduction
Deduct up to $2,500 of student loan interest paid per year (phases out above $75k single/$155k married income). Reduces effective interest rate by your tax bracket percentage. A 22% bracket makes 6% loan effectively 4.68%.
Example:
Example: Pay $3,000 interest, deduct $2,500. In 22% bracket = $550 tax savings. Effective rate: 6% loan becomes 5.45% after tax benefit (first few years of repayment).
Expert Tips & Strategies
Prioritize Private Loans Over Federal for Extra Payments
Private loans typically have higher rates (6-12%) and no income-driven plans or forgiveness. Federal loans have protections and potentially forgiveness. Pay minimums on federal, attack private loans with extra payments first to save most interest.
Refinance Only if You Don't Need Federal Protections
Refinancing federal to private saves interest but permanently loses federal benefits: income-driven repayment, forbearance during hardship, potential forgiveness, PSLF eligibility. Only refinance if you have stable high income and emergency fund.
Make Extra Payments Toward Principal, Not Ahead
When making extra payments, instruct servicer to apply to principal, not prepay future payments. Prepaying doesn't save interest. Reducing principal does. Saves thousands and shortens payoff time.
Use Autopay for 0.25% Interest Rate Discount
Almost all lenders (federal and private) offer 0.25% rate reduction for autopay enrollment. On $50,000 loan, this saves $600-800 over 10 years. Free money - always enroll in autopay.
Avoid Extended or Graduated Plans Unless Necessary
Extended (25 year) and graduated plans lower monthly payments but cost $10,000-20,000+ more in interest. Only use if you truly can't afford standard 10-year payment. Otherwise, massive waste of money.
Consider Income-Driven Repayment If Loan-to-Income Ratio High
If student loans exceed 1.5× your annual income and you work modest-paying job, IDR + forgiveness might beat aggressive payoff. Calculate both strategies. $100k loans on $50k income? IDR probably better. $50k loans on $80k income? Aggressive payoff better.
Recertify Income-Driven Plans Before Raises
IDR payment based on last tax return. Got a big raise? Recertify income before it shows on tax return for lower payment one more year. Perfectly legal. Can save $1,000-2,000 before payment adjusts upward.
Make Payments During School If Possible
Federal loans don't require payment during school but interest accrues on unsubsidized loans. Paying even $50-100/month during school prevents interest capitalization (adding to principal). On $30k unsubsidized over 4 years, preventing capitalization saves $5,000+.
Common Mistakes to Avoid
Choosing Extended Repayment to Lower Monthly Payment
Stretching $40,000 loan to 25 years cuts payment from $424 to $240/month, which feels affordable. But it costs $31,974 extra in interest compared to 10-year standard plan. That $184/month savings costs $31,974 over time.
✓ Better approach: Only use extended plans if truly cannot afford standard payment. Otherwise, massive waste. Better to live frugally for 5-10 years and aggressively pay off loans. The sacrifice is temporary, the savings are permanent.
Refinancing Federal Loans and Losing Protections
Refinancing $60,000 federal loans from 6.5% to 4% private saves $7,200 interest. Sounds great until you lose job and can't use federal forbearance or IDR. Now you're stuck with $630/month private payment you can't afford.
✓ Better approach: Only refinance federal loans if: (1) You have 6-12 months emergency fund, (2) Stable career with high income, (3) Don't plan to use PSLF or IDR, (4) Save at least 1.5%+ in rate. Otherwise, keep federal protections.
Making Minimum Payments on High-Rate Private Loans
You have $20,000 federal at 4.5% and $15,000 private at 9%. Paying minimums on both means the 9% loan costs you $7,641 interest over 10 years while the lower federal loan could wait.
✓ Better approach: Pay minimums on everything, then attack highest interest rate loan with all extra money. Avalanche method saves the most. Pay off that 9% private loan aggressively while keeping federal loans on standard plan.
Not Making Payments During 6-Month Grace Period
After graduation, federal loans have 6-month grace period before payments start. But interest accrues on unsubsidized loans! Not paying means $3,000 loan accumulates $100 interest that gets capitalized (added to principal), costing $30 more over life.
✓ Better approach: Make interest-only payments during grace period to prevent capitalization. Or start full payments immediately if you can afford it. Every month you wait costs you more in compounded interest.
Ignoring Employer Student Loan Repayment Benefits
Many employers now offer $100-300/month student loan repayment assistance as a benefit. Some people don't even know they have this benefit and leave free money on the table.
✓ Better approach: Check your employee benefits. If available, take advantage! $200/month employer contribution for 5 years = $12,000 free toward your loans. On $40,000 loan, this cuts payoff time by 2-3 years.
Confusing Forbearance with Solution to Debt
When struggling financially, forbearance lets you skip payments for 12 months. Sounds helpful until you realize interest still accrues! $30,000 loan at 6% accumulates $1,800 interest in forbearance, which capitalizes. Now you owe $31,800.
✓ Better approach: Forbearance is emergency-only. Better options: Switch to income-driven repayment (payment based on income), or make interest-only payments. Forbearance should be last resort, not a strategy.
Paying Off Low-Rate Federal Loans Before High-Rate Debt
You aggressively pay off 4% student loans while carrying $8,000 credit card balance at 22% APR. Mathematically backwards - the credit card costs 5.5× more in interest!
✓ Better approach: Pay off debt in order of interest rate: Credit cards (18-25%), then private student loans (6-12%), then federal student loans (3-7%). Keep federal loans on minimum while destroying high-rate debt first.
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Frequently Asked Questions
What is the average student loan debt?
The average student loan debt for 2024 graduates is around $30,000-$40,000. Graduate students average $70,000-$90,000. Total U.S. student loan debt exceeds $1.7 trillion. Federal loans offer better terms than private loans.
Should I pay off student loans early?
It depends. Federal loans under 5% APR: consider investing instead (market returns ~10%). Private loans over 7%: pay off aggressively. Balance: make extra payments while investing for retirement. Always keep emergency fund first.
What are income-driven repayment plans?
IDR plans cap federal loan payments at 10-20% of discretionary income. After 20-25 years of payments, remaining balance is forgiven (but taxed). Options: SAVE, PAYE, IBR, ICR. Good for low income or high debt-to-income ratio.
Can I refinance my student loans?
Yes, if you have good credit and income. Refinancing can lower your rate (currently 4-7%), but you lose federal benefits (IDR, forbearance, potential forgiveness). Best for private loans or high federal rates with stable income.
What is the student loan interest deduction?
You can deduct up to $2,500 of student loan interest per year on your taxes. Phase-out starts at $75,000 income (single) or $155,000 (married). This is an above-the-line deduction - you do not need to itemize.
Financial Disclaimer
This calculator is provided for educational and informational purposes only. The results are estimates based on the information you provide and should not be considered as financial, legal, or tax advice.
Actual results may vary based on your specific circumstances, market conditions, and other factors. Always consult with qualified financial, legal, and tax professionals before making any financial decisions.
We make no guarantees about the accuracy, completeness, or reliability of the calculations. Use this tool at your own risk.