Education & StudentsPopular

Student Loan Income-Driven Repayment Estimator

Estimate monthly payments and forgiveness timelines under IBR, PAYE, and ICR income-driven repayment plans using 2026 federal poverty guidelines and current rules.

Total Loan Balance

Interest Rate (%)

Adjusted Gross Income (AGI)

Family Size

Loan Type

IDR Plan

Note: The SAVE plan was struck down by federal courts in 2024. Borrowers were transitioned to IBR or other available IDR plans. IBR for new borrowers is the closest available alternative as of 2026.

IDR Payment Estimate

Enter loan and income details and click estimate.

Embed This Calculator on Your Website

Add this free calculator to your blog, website, or CMS with a simple copy-paste embed code.

Introduction

Federal income-driven repayment plans exist for one reason: to prevent borrowers from defaulting when their monthly loan payment exceeds what their income can support. The U.S. Department of Education reports that as of 2025, roughly 8 million borrowers are enrolled in income-driven repayment (IDR) plans. But IDR plan availability has changed significantly. The SAVE plan -- launched in 2023 as the most generous IDR plan in federal history -- was struck down by federal courts in 2024. Borrowers placed into SAVE forbearance were transitioned to IBR and other available plans. As of 2026, the available IDR plans are IBR (Income-Based Repayment), PAYE (Pay As You Earn), and ICR (Income-Contingent Repayment). This estimator calculates your monthly payment under each available plan so you can compare them directly.

What This Calculator Does

This IDR estimator calculates your estimated monthly payment under the three available federal income-driven repayment plans: IBR for new borrowers (5% of discretionary income for undergraduate loans), IBR for older borrowers (15% of discretionary income), PAYE (10% of discretionary income), and ICR (20% of discretionary income or fixed 12-year payment, whichever is lower). It uses your adjusted gross income (AGI), family size, and 2026 federal poverty guidelines to calculate discretionary income.

The Formula

IDR Monthly Payment = (AGI - Poverty Threshold x Income%) x Payment Rate% / 12 | IBR new: 5% of discretionary income | IBR old: 15% | PAYE: 10% | ICR: 20%

Discretionary income equals your AGI minus the applicable percentage of the federal poverty guideline for your family size and state. IBR (new borrowers, undergraduate only) uses 150% of the poverty line and 5% payment rate. PAYE uses 150% and 10%. IBR (old borrowers) uses 150% and 15%. ICR uses 100% of the poverty line and 20%. Payments are capped at the standard 10-year repayment amount -- you will never pay more than the standard payment under any IDR plan. Any remaining balance after 20 or 25 years of qualifying payments is forgiven.

Step-by-Step Example

Enter income and family information

AGI: $48,000. Family size: 1. State: contiguous US. 2026 federal poverty guideline for 1 person: $15,650.

Calculate discretionary income

IBR new / PAYE: AGI - 150% poverty = $48,000 - $23,475 = $24,525 discretionary. ICR: AGI - 100% poverty = $48,000 - $15,650 = $32,350 discretionary.

Calculate monthly payments by plan

IBR new (5%): $24,525 x 5% / 12 = $102/month. PAYE (10%): $24,525 x 10% / 12 = $204/month. IBR old (15%): $24,525 x 15% / 12 = $307/month. ICR (20%): $32,350 x 20% / 12 = $539/month.

Compare against standard payment

Standard 10-year payment on $40,000 at 6.53%: $451/month. IBR new at $102/month saves $349/month -- but extends repayment to 20 years and increases total interest significantly unless PSLF applies.

Real-World Use Cases

PSLF Strategy Calculation

A teacher earning $44,000 with $55,000 in graduate loan debt would pay $2,600/month under the standard plan -- clearly unaffordable. Under IBR new, her payment is $86/month. After 10 years (120 payments) working for a qualifying public school employer, the remaining balance is forgiven tax-free under PSLF. Total paid: $10,320 versus $113,000 on the standard plan -- a $102,000 advantage.

Post-Graduation Budget Planning

A new social work graduate earning $38,000 uses this estimator before selecting a repayment plan. The IBR new payment of $63/month is affordable. The standard payment of $380/month would require 12% of gross income. Selecting IBR immediately after graduation prevents the first-payment shock that sends many borrowers into delinquency.

Income Growth IDR Exit Planning

A borrower currently earning $42,000 projects income growth to $75,000 within 5 years. At $75,000, their IBR payment rises to $430/month -- approaching the standard payment. They use this calculator to model the crossover point and plan to switch to accelerated repayment when income-driven savings diminish relative to total interest accumulation.

Comparison

Plan	Discretionary Income Base	Payment Rate	Forgiveness Timeline	PSLF Eligible?
IBR (new borrowers)	150% poverty line	5% undergraduate / 10% graduate	20 years undergrad / 25 years grad	Yes (10 years)
PAYE	150% poverty line	10%	20 years	Yes (10 years)
IBR (old borrowers)	150% poverty line	15%	25 years	Yes (10 years)
ICR	100% poverty line	20% or fixed 12-yr	25 years	Yes (10 years)
Standard (10-year)	N/A	Fixed amortization	10 years (no forgiveness)	Yes (counts toward 120 payments)

Common Mistakes to Avoid

Missing the annual income recertification deadline. IDR plans require borrowers to recertify income every 12 months. Missing the recertification deadline causes your payment to jump to the standard 10-year payment amount, potentially increasing your bill by hundreds of dollars until you recertify. Set a calendar reminder 2 months before your anniversary date.
Assuming SAVE plan is still available. The SAVE plan was struck down by federal courts in 2024. Borrowers automatically enrolled in SAVE were placed into forbearance and then transitioned to other IDR plans. As of 2026, do not apply for SAVE. Evaluate IBR, PAYE, or ICR as your available options.
Forgetting that IDR forgiveness after 20-25 years may be taxable. Under current law, the amount forgiven after 20 or 25 years on IBR, PAYE, or ICR is treated as ordinary taxable income in the year of forgiveness. PSLF forgiveness after 10 years remains tax-free. A borrower with $80,000 forgiven after 25 years on IDR may owe significant income tax in that year.
Choosing PSLF without confirming employer and loan eligibility. Not all government and nonprofit jobs qualify for PSLF. Only loans in the Direct Loan program qualify. FFEL loans and Perkins loans must be consolidated into Direct Loans first. Payments must be made on an IDR plan while working full-time for a qualifying employer. Each of these conditions must be met for every qualifying payment.

Frequently Asked Questions

Which IDR plan has the lowest monthly payment in 2026?

For most new undergraduate borrowers, IBR with the 5% payment rate produces the lowest payment. For graduate borrowers or those with older loans on the 15% IBR rate, PAYE at 10% is typically the lowest available rate. ICR at 20% almost always produces the highest IDR payment. The differences are substantial: at $24,525 discretionary income, IBR new is $102/month versus ICR at $539/month -- a $437 monthly difference.

What are the 2026 federal poverty guidelines used in IDR calculations?

For the contiguous 48 states and D.C.: 1 person: $15,650; 2 people: $21,150; 3 people: $26,650; 4 people: $32,150; add $5,500 for each additional person. Alaska guidelines are approximately 25% higher; Hawaii guidelines are approximately 15% higher. IDR plans use 150% of these figures as the poverty threshold for calculating discretionary income (except ICR which uses 100%).

What happened to the SAVE plan?

The SAVE plan (Saving on a Valuable Education) was introduced by the Biden administration in 2023 as a replacement for REPAYE with more favorable terms. It was challenged in federal courts by multiple states and struck down by the 8th Circuit Court of Appeals in 2024. Borrowers enrolled in SAVE were placed into administrative forbearance (no payments, but interest accrues) and then transitioned to IBR or other available plans. The SAVE plan is not currently available for new enrollment as of 2026.

Is there a minimum payment under IDR plans?

If your calculated IDR payment is $0 or a very small amount, you may be assigned a $0 payment. Zero-dollar payments still count as qualifying payments toward PSLF and IDR forgiveness as long as you are enrolled in an IDR plan and your income certifies below the threshold. You are not penalized for having a $0 payment -- it still advances your forgiveness clock.

Accuracy and Disclaimer

IDR payment estimates are based on simplified calculations using 2026 federal poverty guidelines and current plan parameters. Actual payments calculated by your loan servicer may differ based on your specific loan type, AGI verification, tax filing status, and servicer calculation methods. The SAVE plan status reflects federal court rulings as of early 2025. IDR plan terms are subject to regulatory and legislative changes. Consult studentaid.gov or your loan servicer for official payment calculations and plan eligibility.

Conclusion

IDR plans reduce monthly payments at the cost of paying more total interest over a longer repayment period. They make the most financial sense when your income is significantly below your debt load, when you work for a PSLF-qualifying employer, or when your forgiveness timeline under IDR is shorter than it appears. After comparing IDR options here, use the Student Loan Payoff Calculator to model standard and accelerated repayment costs, and the Loan Repayment Calculator for graduated and extended plan comparisons.

Related Education & Students Calculators

Education & Students

GPA Calculator

Calculate your semester and cumulative GPA from course grades and credit hours on the standard 4.0 scale. Add unlimited courses and see your GPA update in real time.

Use Calculator Education & Students