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Educators are the backbone of our society, shaping generations and facilitating a brighter future for many. But hefty student loans, combined with the often-low salaries of teachers, may prove challenging. More than half of teachers with student loan debt have an average loan balance of $58,700, according to the National Education Association, and 14% of educators with unpaid student debt have a current balance of $105,000 or more.
Whether you’re a kindergarten teacher, college professor, or adult educator—there are several loan forgiveness options that you might qualify for as an educator. From Public Service Loan Forgiveness, aka the PSLF program, to individual state programs, there might be a way for you to alleviate the stress of your student loans:
Teacher Loan Forgiveness
One of the most common loan forgiveness options for teachers is the Teacher Loan Forgiveness Program.
If you are an eligible borrower, this option may entitle you to receive up to $17,500 in forgiveness on your direct subsidized and unsubsidized loans after teaching for five consecutive years in a low-income school or educational service agency.
This program is available to teachers who are considered “highly qualified.” The general requirements for these teachers are that they have:
- Earned a bachelor’s degree or higher
- Received full state certification as a teacher
- Not had certification requirements waived on an emergency, temporary, or provisional basis
There are additional requirements for elementary, middle, and high school teachers who are new to the profession. These qualifying factors include passing a rigorous state academic test in each subject that you teach.
Additional requirements also exist for the reverse—teachers who are not new to the profession. These requirements may include demonstrating proficiency in subjects you teach based on an objective standard set by the state.
PSLF Program
To qualify for PSLF, you must work in public service—which can mean working for the government at a local, state, federal, or tribal level, or at a qualifying nonprofit organization. For teachers, this includes teaching in a public school or qualifying charter school.
Once enrolled in PSLF, you must make 120 qualifying monthly payments under an eligible Income-driven Repayment (IDR) plan. Following those ten years of repayment, you could be eligible for loan forgiveness.
State Teacher Loan Forgiveness
Many states offer their own loan forgiveness programs for teachers in addition to the widely available federal programs. These vary from state to state. While some programs provide a generalized benefit that applies to certain teachers, others offer forgiveness options to teachers in specific subjects, like STEM (science, technology, engineering, and math) or those who work in certain areas. For example, Iowa offers residents the Teach Iowa Scholars program, which provides up to $4,000 per year in loan forgiveness for qualified teachers who work in schools in designated shortage areas.
You can do more research to see what your state programs offer and what is required to qualify for them.
Final Thoughts
Teacher Loan Forgiveness and PSLF are two of the most popular federal programs that could offer significant financial help to teachers. It is important to remember that both have strict eligibility criteria, and documentation is necessary when applying. If neither of these plans is feasible in your case, look into programs at the state level. Many states have their own loan forgiveness programs tailored for educators. Do your research and don’t miss out on the opportunities available to help you find a student loan debt solution that meets your needs.
Resources:
https://www.nea.org/sites/default/files/2021-07/Student%20Loan%20Debt%20among%20Educators.pdf
Image Credit: Photo by National Cancer Institute on Unsplash