That’s because her spouse’s income won’t affect her loan payments under PAYE as long as the two of them file separate tax forms.If she doesn’t qualify for the Pay As You Earn plan, Talbert should enroll in the newer Revised Pay As Your Earn (REPAYE).It doesn’t help that student loans carry unfamiliar terms, that there are different rules for different types, or that an array of repayment options can drastically affect your monthly payment, the total amount you pay, and your tax bill. We found three borrowers who needed guidance on repaying their loans and matched them with experts: a financial planner, a student debt counselor, and a lawyer who specializes in student loan laws.
Above: Mattie Talbert (left) and her mother pose for a photo last May before Talbert graduated from the University of South Carolina.
(For Talbert, there’s little downside to consolidating her loans, but that’s not always the case.
Read more about that here.) “You don’t want to be surprised years later if you switch jobs and were planning to have your loans forgiven…
Monthly payments under income-driven plans can change each year because of this, which means as Talbert’s income increases, so, too, will her monthly payments.
Regardless, those complications don’t outweigh the benefits—namely that Talbert would save at least 0,000 in loan repayments under the forgiveness plan.
That, along with a one-year master’s degree program, also at USC, left her with a debt load of $112,348 in federal loans, plus about $44,000 in private loans.