To receive Federal loan forgiveness at the 10 year mark, all you need to do is work for a qualifying non profit organization (any 501(c)(3) will count) for at least 30 hours per week, and make your monthly student loan payments in-full, on-time, and under one of the excellent Income-Based Student Loan Repayment Plans.: President Trump’s Proposed 2019 Budget calls for ELIMINATING the Public Service Loan Forgiveness Program entirely, which would mean that Non-Profit Loan Forgiveness is going to disappear.
For details on this update, please visit my page about President Donald Trump’s Student Loan Plan.
Once you’ve satisfied these requirements, you’ll receive a complete discharge on your eligible Federal student loans, meaning that your student loan debt will be cancelled entirely.
But that’s not all, because non profit loan forgiveness benefits are also one of the only Federal forgiveness benefit programs that doesn’t require you to claim the amount of money forgiven as taxable income, which means they don’t generate any additional tax liabilities.
In 2018, Non Profit Student Loan Forgiveness programs remain widely accessible for employees of all 501(c)(3) organizations, as well as for others not traditionally considered “non profit” employees.
In fact, the Public Service Loan Forgiveness Program (PSLF) – which is the official name of the student loan debt forgiveness program for nonprofit workers – remains the absolute best Federal Student Loan Forgiveness Program on offer, as it provides complete loan forgiveness after making just 10 years of monthly payments, and also allows you to avoid paying taxes on the debt you have forgiven!
Out of all the existing student loan relief options available to Americans in 2018, PSLF is by far the most powerful program, as it’s the quickest way to earn Complete Student Loan Forgiveness.Under the current laws, the nonprofit student loan forgiveness program has no cap, which means that your loans will be forgiven in their entirety no matter how much you owe.Years ago, there was talk of instituting a limit to non profit loan forgiveness, setting the cap at the arbitrary ,000 in total relief, but thus far nothing has actually been done to make that into law and I haven’t heard anyone with any power float anything along those lines ever since.However, like any time that the Government changes the rules of the game while it’s being played, I do anticipate that President Trump’s Student Loan Debt Reforms will only apply to future borrowers, and that anyone who had already taken out their Federal student loans would remain eligible for the older, better version of forgiveness offered by PSLF.UPDATE: If you’re one of the unlucky people who didn’t realize you needed to be enrolled in an Income-Based Repayment Plan, and so you’ve made payments that aren’t counting toward your 120 threshold, then I’ve got great news!