Student Loan Calculator 2026 — RAP vs Standard
Everything about federal student loans changed on July 1, 2026 — here's what you'll actually pay.
Compare the new Repayment Assistance Plan (RAP) — payment set by AGI tier, interest waived, $50 minimum principal cut, forgiveness at 30 years — against the tiered standard plan, modelled month by month at 2026-27 rates.
2026-27 federal rules. Private loans follow their own contracts.
Payment by income, protection by design
The formula
Your monthly RAP payment is a flat percentage of your entire AGI divided by twelve, minus $50 per dependent, never below $10. The percentage steps up 1% per $10,000 tier of income — a $60,000 AGI pays 6% ($300/mo), a $35,000 AGI pays 4% ($116.67/mo). Note the payment ignores your balance entirely: owing $10,000 or $200,000 costs the same each month.
The safety nets
Two provisions make RAP gentler than the plans it replaces: unpaid interest is waived (never added to the balance), and if a payment reduces principal by less than $50, the government credits the difference — so every balance falls by at least $50 a month, even on a $10 payment. Whatever survives 360 payments is forgiven.
One percent per $10,000 — applied to all of it
| AGI | Rate | Monthly payment |
|---|---|---|
| Up to $10,000 | 1% | $10 (floor) |
| $10,001 – $30,000 | 2–3% | $17 – $75 |
| $30,001 – $50,000 | 4–5% | $100 – $208 |
| $50,001 – $70,000 | 6–7% | $250 – $408 |
| $70,001 – $90,000 | 8–9% | $467 – $675 |
| Over $90,000 | 10% | $750+ |
The rates are cliffs on the whole income, not marginal brackets: $90,000 pays $675 a month but $90,001 pays $750. Near a boundary, pre-tax 401(k), HSA or traditional-IRA contributions that pull AGI under the line cut the loan payment too — a double win this calculator makes visible.
Your menu is bigger — for now
Existing Direct-loan borrowers keep the classic 10-year standard plan and can choose between RAP and IBR (10% or 15% of discretionary income with 20/25-year forgiveness). SAVE, PAYE and ICR are winding down — SAVE was repealed outright, interest resumed for its paused borrowers in August 2025, and everyone must land on a surviving plan before the old ones close in 2028. Waiting means being migrated by default; comparing now (this page for RAP, your servicer's IBR quote) keeps the choice yours. RAP payments count toward PSLF's 120-payment clock.
What you can actually borrow from July 2026
The same law that created RAP capped federal borrowing: Grad PLUS is gone for new borrowers; graduate students are limited to $20,500 a year ($100,000 lifetime), professional-degree students to $50,000 a year ($200,000 lifetime), and Parent PLUS to $20,000 a year per student ($65,000 total). An all-programs lifetime ceiling of $257,500 applies. Gaps above the caps push borrowers toward private loans — which have no RAP, no forgiveness and no federal protections, so exhaust federal eligibility first.
❓ Frequently asked Frequently asked questions
How is the RAP payment calculated?
Tier% of your whole AGI ÷ 12, minus $50 per dependent, floor $10. $60,000 AGI → 6% → $300/mo; with two dependents, $200.
What replaced SAVE?
RAP. SAVE was repealed; its borrowers must move to RAP or IBR before the old plans close in 2028. Loans made from July 2026 get RAP as the only income-driven option.
How long is the new standard plan?
Tiered by balance for new borrowers: 10 years under $25k, 15 to $49,999, 20 to $99,999, 25 at $100k+. Pre-2026 borrowers keep the 10-year version.
Can my balance grow under RAP?
No — unpaid interest is waived and principal falls by at least $50/month thanks to the government credit.
When is the loan forgiven?
After 360 qualifying payments (30 years). PSLF still forgives at 120 payments for eligible public-service workers.
What are the 2026-27 rates?
6.52% undergraduate, 8.07% graduate, 9.07% Parent PLUS — fixed for the life of loans disbursed July 2026 – June 2027.
Where these figures come from
Rules come from Federal Student Aid and the Congressional Research Service.
- RAP structure — CRS — The Repayment Assistance Plan in P.L. 119-21.
- 2026-27 interest rates — Federal Student Aid — 2026-27 Direct Loan rates.
- Repayment plans — StudentAid.gov — Repayment plans.
- PSLF — StudentAid.gov — Public Service Loan Forgiveness.
Last checked: July 2026. IBR quotes for pre-2026 borrowers depend on family size and poverty guidelines — get an exact figure from your servicer.
Select the question that matches where you are right now.
Your result is the month-by-month truth of both plans: what RAP costs at your income, what standard costs at your balance, and which one wins over the full term.
Pick the plan whose TOTAL cost and cash-flow fit your life — the chart shows when the RAP line stops falling meaningfully and forgiveness becomes the real strategy.
Not an IBR quote (that needs family size and poverty tables) and not tax advice — forgiveness taxation after 2025 is still a live question.
RAP tiers, waiver and credit per the 2025 law; 2026-27 official rates. All calculations run in your browser.
Three numbers drive everything.
RAP runs on adjusted gross income: pre-tax retirement and HSA contributions shrink it, and the payment with it.
Owe less than you earn → standard usually costs less overall. Owe more → RAP caps the bleeding.
Old borrowers get the 10-year standard and an IBR escape hatch; new borrowers get the tiered standard (up to 25 years) and RAP only. The same $38,000 balance repays five years longer for a new borrower.
The levers, in order of power.
Near any $10k boundary, a 401(k) or HSA dollar cuts both your tax bill and your loan payment — the only true double-dip in the system.
Extra payments apply penalty-free on every federal plan — on standard they shorten the term; on RAP they only help if you'll pay off before year 30.
Government or 501(c)(3) work: RAP's low payment + 120-payment forgiveness beats every payoff strategy.
The loan payment is one line in the monthly budget.