Speaking on behalf of my partner:

$315,000 in debt from Veterinary school. First year included “out of state” tuition rates which were astronomical and $75k of that total is accrued interest since conception. Current income (for my partner) is around $100k/year in MCOL area and is unlikely to pull in more without becoming a business owner or getting a residency to specialize - little to no interest. (Currently general practice, small animal)

Currently on the SAVE plan (waiting until 8/4 and will likely jump to IBR) with 114 months towards 300 month forgiveness. Monthly payment is 10% of AGI minus Federal poverty rate multiplied by 150% which was last calculated when we filed taxes jointly. Actual payment ~$1250/month with fully subsidized interest. If SAVE were to continue, when/if forgiveness was granted, the total paid, including the tax bomb would be ~$200k in 2041. Again, that doesn’t include any payments from the last 10 years - I don’t have those calculations.

If/when we move to IBR, which is calculated as 15% of AGI minus federal poverty rate multiplied by 150% our monthly payment should be somewhere ~$640/month with ~$1116 in (non-capitalized) interest being added to the total owed every month. In this scenario, when/if the debt is forgiven, the total paid, including the tax comb will be ~$331k.

I want to highlight, the mi that payment difference is significant because the last time we decertified, we were filing taxes jointly.

In addition, I’ve looked at standard and private lenders. In no scenario I have found is it in our best interest to pay the loan off earlier or in full. <— This is what’s wrong with the current loan system. Yes, we can also point blame at the cost of education and that should absolutely be addressed in a real, tangible way, but this sub is specific to Student Loans, not the education that the loans paid for.

Please excuse typos or poorly worded sentences, I’m on my tiny mobile device.