Save Student Loan Plan Calculator
Student Loan Repayment Plans
Savings Strategies
The SAVE Student Loan Plan Calculator is a powerful and easy-to-use tool designed to help U.S. federal student loan borrowers estimate their monthly payments, interest savings, and total repayment cost under the new SAVE Plan (Saving on a Valuable Education) program.
Introduced by the U.S. Department of Education, the SAVE Plan replaced the REPAYE Plan and offers one of the most affordable income-driven repayment (IDR) options ever created.
The SAVE Plan bases your monthly payment on your income and family size, not the total amount of your student debt — making it easier for millions of borrowers to manage their loans, stay current, and even qualify for forgiveness after a certain period.
With the SAVE Student Loan Plan Calculator, you can:
- Estimate monthly payments based on your income
- See how much interest you’ll pay over time
- Understand your potential savings under SAVE vs. Standard Repayment
- Find out when your loan could be forgiven
⚙️ How the SAVE Plan Works
The Saving on a Valuable Education (SAVE) Plan is an income-driven repayment (IDR) program that caps your federal student loan payments at a percentage of your discretionary income.
Here’s how it works:
- Undergraduate loans: You pay 5% of your discretionary income.
- Graduate loans: You pay 10% of discretionary income.
- If you have both, your payment is weighted between the two.
- Discretionary income = Your income minus 225% of the poverty guideline (based on family size and state).
After 20 or 25 years of qualifying payments (depending on your loan type), any remaining balance is forgiven.
The SAVE Student Loan Plan Calculator uses these same principles to help you understand how the plan affects your loan payments.
🧭 Step-by-Step: How to Use the SAVE Student Loan Plan Calculator
Follow these steps to calculate your estimated SAVE Plan payments 👇
Step 1: Enter Your Loan Information
Input the total amount you owe, including all your eligible federal student loans.
Example: $45,000 total student debt.
Step 2: Add Your Income
Enter your annual gross income before taxes.
Example: $42,000 per year.
Step 3: Select Your Family Size
Enter the number of people in your household (including dependents).
Example: Family size = 3.
Step 4: Choose Loan Type
Select whether your loans are:
- Undergraduate only
- Graduate only
- Mixed (both types)
Step 5: Click “Calculate”
The calculator instantly estimates:
- Your monthly SAVE Plan payment
- Total repayment amount over time
- Interest savings compared to standard repayment
- Projected forgiveness after 20–25 years
📘 Example: Real-Life Calculation
Let’s calculate using realistic numbers:
- Loan balance: $50,000
- Income: $40,000 per year
- Family size: 2
- Loan type: Undergraduate only
✅ Results from the SAVE Student Loan Plan Calculator:
- Monthly payment: $83/month
- Total interest over 20 years: $9,600
- Total paid before forgiveness: $29,520
- Forgiven balance after 20 years: $20,480
💡 Compared to the Standard 10-Year Plan, which costs about $575/month, the SAVE Plan saves this borrower nearly $50,000 in total payments — and offers forgiveness after consistent repayment.
🌟 Key Features of the SAVE Student Loan Plan Calculator
- 🧮 Accurate Payment Estimates: Calculates monthly payments based on real IDR formulas.
- 📊 Total Cost Projection: Displays lifetime interest and total repayment.
- 🎓 Forgiveness Timeline: Estimates when your balance could be canceled.
- 👨👩👧 Family-Based Adjustments: Accounts for household size and dependents.
- ⚡ Instant Results: View your calculations in seconds.
- 💵 Comparison Mode: See SAVE vs. Standard Repayment side by side.
- 🌍 Free & Private: No personal data saved or shared.
💰 Benefits of Using the SAVE Student Loan Plan Calculator
- ✅ Understand your true payment potential under SAVE
- ✅ Avoid overpaying by comparing repayment options
- ✅ Plan for loan forgiveness eligibility
- ✅ Manage your budget with accurate monthly projections
- ✅ Use as proof of affordability before applying for SAVE
- ✅ Get clarity without paperwork or official applications
🧩 Who Should Use This Calculator
The SAVE Student Loan Plan Calculator is ideal for:
- 🎓 Federal student loan borrowers seeking lower payments
- 👩🎓 Graduates entering repayment for the first time
- 💼 Borrowers considering switching from another IDR plan
- 💑 Married borrowers with combined or separate incomes
- 🧮 Financial advisors helping clients estimate repayment scenarios
- 🏦 Loan servicers explaining SAVE benefits to borrowers
⚖️ Expert Tips for Accurate Results
- Use your adjusted gross income (AGI) for precise results.
- Update family size annually — it affects your discretionary income.
- Recalculate each year to reflect income or household changes.
- Include all federal loans, but exclude private loans (not eligible).
- Compare SAVE vs. PAYE/IBR to see which suits you better.
- Check forgiveness timelines carefully — 20 or 25 years.
- Use live poverty guidelines for your state for accurate calculations.
- Estimate tax implications for forgiven debt (if applicable).
- Keep copies of all estimates for financial planning.
- Combine this with an official loan simulator for final decisions.
❓ Frequently Asked Questions (FAQs)
1. What is the SAVE Plan?
The SAVE Plan (Saving on a Valuable Education) is a U.S. federal income-driven repayment plan that bases payments on income, not loan size.
2. How does the calculator work?
It uses your income, family size, and loan type to estimate monthly payments under the SAVE formula.
3. Who qualifies for the SAVE Plan?
Borrowers with federal Direct Loans — including consolidated loans — qualify.
4. Are private loans eligible?
No. Only federal student loans can be repaid under SAVE.
5. What percentage of income do I pay?
5% of discretionary income for undergraduate loans and 10% for graduate loans.
6. What is discretionary income?
Your income minus 225% of the federal poverty guideline based on family size and location.
7. How long until my loan is forgiven?
Usually 20 years for undergraduate loans and 25 years for graduate loans.
8. Does interest accrue while I’m on SAVE?
No — if your monthly payment doesn’t cover your interest, the government covers the unpaid portion.
9. Can I switch to SAVE from REPAYE or IBR?
Yes, most borrowers can switch to SAVE at any time.
10. Does SAVE lower monthly payments?
Yes, it typically lowers payments significantly compared to Standard Repayment.
11. Is forgiveness under SAVE taxable?
Currently, federal law excludes forgiveness under IDR plans from taxation through 2035.
12. How often do I need to recertify income?
Once a year, using your most recent tax return or pay stubs.
13. Can married couples file separately to lower payments?
Yes — under SAVE, payments are based on individual income if you file separately.
14. Does family size really affect payments?
Yes — larger families increase the income threshold before payments begin.
15. What happens if my income increases?
Your payments will gradually increase, but only within your income limit.
16. Does SAVE affect credit score?
No — as long as you make consistent payments, it helps your credit by preventing default.
17. Can I use this calculator outside the U.S.?
Yes, but the poverty guideline and income thresholds are based on U.S. data.
18. How accurate is the SAVE Calculator?
It closely matches federal repayment simulations but should be used as an estimate.
19. Does this tool require my Social Security Number?
No — it’s completely anonymous and requires no personal identifiers.
20. Is this calculator free?
Absolutely — it’s free, private, and available 24/7.
🏁 Conclusion
The SAVE Student Loan Plan Calculator empowers borrowers to take control of their repayment journey. It shows exactly how the SAVE Plan affects your monthly budget, how much you’ll save in interest, and when your loan might be forgiven — all in seconds.
Whether you’re just starting repayment, managing multiple loans, or exploring forgiveness options, this tool gives you the clarity and confidence you need to make smart, informed financial decisions.
🎓 Try the SAVE Student Loan Plan Calculator today and discover how affordable your education repayment can truly be.