SAVE - Saving on a Valuable Education
A new Income Driven Repayment (IDR) plan will become available - SAVE (Saving on A Valuable Education) which is replacing REPAYE.
There are couple of significant benefits to the SAVE plan:
A) 100% interest subsidy on any interest accrual (ie, if your payments are not sufficient to cover the interest, you will NOT be responsible for any interest accrual).
B) You can exclude spouse's income, if married, by filing separately.
C) The income exclusion for payment calculation is increasing from 150% to 225% of the poverty income level.
Please note that if you're currently in REPAYE the transition to SAVE should be automatic. For addition information, visit idrfactsheetfinal.pdf (ed.gov)
A new Income Driven Repayment (IDR) plan will become available - SAVE (Saving on A Valuable Education) which is replacing REPAYE.
There are couple of significant benefits to the SAVE plan:
A) 100% interest subsidy on any interest accrual (ie, if your payments are not sufficient to cover the interest, you will NOT be responsible for any interest accrual).
B) You can exclude spouse's income, if married, by filing separately.
C) The income exclusion for payment calculation is increasing from 150% to 225% of the poverty income level.
Please note that if you're currently in REPAYE the transition to SAVE should be automatic. For addition information, visit idrfactsheetfinal.pdf (ed.gov)
