REPAYE / SAVE Payment Calculator

About the REPAYE / SAVE Payment Calculator

The SAVE plan (Saving on a Valuable Education) replaced REPAYE during the recent federal redesign and offers very generous terms for undergraduate borrowers. Payments are 5% of discretionary income for undergrad loans and 10% for graduate loans, with no payment cap.

SAVE also provides a significant interest subsidy: if your payment does not cover all accruing interest, the government covers the difference, preventing your balance from growing. This eliminates the negative amortization problem that affects other IDR plans.

This calculator estimates your SAVE plan payment and shows how it compares to other repayment options. For many borrowers, SAVE offers the lowest monthly payment of any federal plan while protecting against runaway interest.

When This Page Helps

SAVE offers the lowest payments for undergraduate borrowers and the most generous interest subsidy of any IDR plan. At 5% of discretionary income, SAVE payments are half what IBR and PAYE charge. The interest subsidy means your balance won't grow even if your payments don't cover interest. This makes SAVE the default best choice for most federal borrowers with undergraduate debt.

How to Use the Inputs

1. Enter your adjusted gross income.
2. Select your family size.
3. Choose whether your loans are undergraduate, graduate, or mixed.
4. Enter your loan balance and interest rate.
5. View your SAVE monthly payment.
6. Compare against standard and other IDR plan payments.

Example Calculation

Tips & Best Practices

• SAVE uses 225% of FPL (not 150%), resulting in lower discretionary income and lower payments.
• No partial financial hardship requirement — all federal borrowers are eligible.
• The interest subsidy means your balance won't grow even with $0 payments.
• SAVE includes spouse income regardless of tax filing status (married filing separately won't help).
• Early forgiveness is available for small-balance borrowers: as few as 10 years for balances under $12,000.
• Graduate borrowers pay 10% instead of 5%; blended rates apply for mixed undergrad/grad debt.

The SAVE Revolution in Student Loan Repayment

SAVE represents the most borrower-friendly federal repayment plan ever created. By cutting the payment percentage to 5% for undergrads, raising the income protection threshold to 225% of the poverty level, and providing a full interest subsidy, SAVE dramatically reduces the burden of student debt for millions of borrowers.

SAVE's Interest Subsidy Explained

On other IDR plans, if your payment is $100/month but $200/month in interest accrues, the extra $100 adds to your balance. On SAVE, the government covers that $100 gap, keeping your balance flat. This is transformative for borrowers in the early career years when income is lowest and interest burden is highest.

Who Should Choose SAVE

SAVE is the best choice for most undergraduate borrowers, especially those with moderate incomes and high debt. The only drawbacks are the lack of a payment cap (relevant for high earners) and the inclusion of spouse income. If you're married to a high earner and have your own modest income, PAYE or IBR with separate filing may result in lower payments.

Frequently Asked Questions

• What is the SAVE plan?

  SAVE (Saving on a Valuable Education) is a federal income-driven repayment plan that replaced REPAYE during the recent redesign. It offers low payments (5% for undergrad, 10% for grad) and a 100% interest subsidy, making it one of the most generous IDR options for many borrowers.

• How is SAVE different from REPAYE?

  SAVE improved on REPAYE in several ways: lower undergrad rate (5% vs 10%), higher income exemption (225% vs 150% of FPL), 100% interest subsidy (vs 50% on unsubsidized), and early forgiveness for small balances (as few as 10 years).

• Is there a payment cap on SAVE?

  No. Unlike PAYE and IBR, SAVE has no payment cap at the standard 10-year amount. As your income grows, your SAVE payment can exceed the standard amount. However, the lower percentage and higher FPL threshold mean this is uncommon for most borrowers.

• Does SAVE include my spouse's income?

  Yes. SAVE always includes spouse income in the AGI calculation, regardless of whether you file taxes jointly or separately. This is a key difference from PAYE and IBR, where filing separately can exclude spouse income.

• What is the SAVE interest subsidy?

  If your SAVE payment doesn't cover all accruing interest, the government pays 100% of the remaining interest. This prevents your balance from growing (negative amortization), which is a major advantage over other IDR plans.

• When is SAVE forgiveness available?

  Standard forgiveness is after 20 years (undergrad) or 25 years (grad). Additionally, borrowers with original balances of $12,000 or less receive forgiveness after just 10 years, with an extra year added for each $1,000 above $12,000.