Student loan debt in the United States has surpassed $1.77 trillion in 2026, affecting over 43 million borrowers. The average graduate carries roughly $33,000 in student loans, and monthly payments consume income that could go toward rent, savings, or building a life after college. While broad student loan cancellation remains politically contentious, several targeted forgiveness programs are fully operational in 2026 and have already eliminated debt for millions of borrowers. If you have federal student loans, there is a real chance you qualify for partial or complete forgiveness — but you need to know which program applies to you and how to apply correctly.
Forgiveness programs take time — sometimes years of qualifying payments before your balance is wiped clean. During that period, you still need to make monthly payments and cover living expenses. Supplemental income can make the difference between struggling through repayment and managing it comfortably. With I am Beezy, you can earn $5 to $15 per day by viewing content on your cell phone, generating $150 to $300 per month that helps cover loan payments or the expenses they crowd out. Here is everything you need to know about student loan forgiveness in 2026.
Student Loan Forgiveness Programs Available in 2026
Public Service Loan Forgiveness (PSLF)
PSLF is the most well-known forgiveness program, eliminating the remaining federal loan balance after 120 qualifying monthly payments (10 years) while working full-time for a qualifying employer. Qualifying employers include federal, state, and local government agencies, 501(c)(3) nonprofits, tribal organizations, and military service. In 2026, PSLF has forgiven over $70 billion in student loans for more than 1 million borrowers. To qualify, you must have Direct Loans (or consolidate into Direct Loans), be on an income-driven repayment (IDR) plan, and make 120 qualifying payments while employed full-time by a qualifying employer.
Income-Driven Repayment (IDR) Forgiveness
If you do not work in public service, income-driven repayment plans offer forgiveness after 20 to 25 years of qualifying payments. The SAVE plan (Saving on a Valuable Education), which replaced REPAYE, forgives remaining balances after 20 years for undergraduate loans and 25 years for graduate loans. IBR (Income-Based Repayment) forgives after 20 years for new borrowers and 25 years for older borrowers. ICR (Income-Contingent Repayment) forgives after 25 years. Monthly payments under these plans are capped at a percentage of your discretionary income, making them manageable regardless of your salary.
Teacher Loan Forgiveness
Teachers who work full-time for 5 consecutive years in a low-income school or educational service agency can receive up to $17,500 in federal loan forgiveness. Highly qualified math, science, and special education teachers receive the full $17,500, while other qualifying teachers receive up to $5,000. This program can be combined with PSLF — use Teacher Loan Forgiveness during your first 5 years and then switch to PSLF for the remaining balance after 10 total years of public service.
Targeted relief programs
Several specialized forgiveness programs exist for specific borrowers in 2026. Borrower Defense to Repayment provides full discharge for students defrauded by their schools. Closed School Discharge applies if your school closed while you were enrolled or shortly after. Total and Permanent Disability Discharge eliminates loans for borrowers with qualifying disabilities. The Department of Defense also offers up to $65,000 in student loan repayment for qualifying military recruits.
| Program | Qualifying Period | Who Qualifies | Amount Forgiven |
|---|---|---|---|
| PSLF | 10 years (120 payments) | Government and nonprofit employees | Remaining balance (100%) |
| IDR Forgiveness (SAVE) | 20-25 years | Any federal loan borrower on IDR | Remaining balance (100%) |
| Teacher Forgiveness | 5 years | Teachers in low-income schools | Up to $17,500 |
| Borrower Defense | Varies | Students defrauded by schools | Full loan discharge |
| Disability Discharge | Immediate | Borrowers with total disability | Full loan discharge |
How to Apply for Student Loan Forgiveness
PSLF application process
Start by submitting an Employment Certification Form (ECF) annually at studentaid.gov to track your qualifying payments. When you reach 120 payments, submit the PSLF Application. Federal Student Aid will review your payment history and employment records. If everything checks out, your remaining balance is forgiven tax-free. The key mistake borrowers make is not submitting the ECF annually — if you wait until 120 payments and discover some did not qualify, you have lost years of progress. Submit the form every year and every time you change employers.
Enrolling in an IDR plan
To set up income-driven repayment, apply at studentaid.gov or call your loan servicer. You will need your most recent tax return or pay stubs to verify income. The application takes about 10 minutes online. Your servicer will calculate your monthly payment based on your income and family size. Recertify your income annually — if you miss recertification, your payment could jump to the standard amount, and the months at the higher payment may not count toward forgiveness.
Consolidation considerations
If you have older federal loans (FFEL, Perkins), you may need to consolidate them into a Direct Consolidation Loan to qualify for PSLF or IDR forgiveness. Consolidation is free through studentaid.gov — never pay a company to consolidate your loans. Be aware that consolidation resets your payment count for IDR forgiveness, though some borrowers qualified for payment count adjustments under recent Department of Education reviews. Check your specific situation at studentaid.gov before consolidating.
Managing Payments While Waiting for Forgiveness
The long road and how to survive it
Whether you are on a 10-year PSLF track or a 20-year IDR plan, making monthly payments while covering living expenses is a juggling act. The average IDR payment is $200 to $400 per month, and even that amount can strain a tight budget. This is where building supplemental income creates breathing room. Instead of choosing between a loan payment and groceries, adding an income stream lets you cover both without falling behind.
How supplemental income keeps you on track
I am Beezy offers a straightforward way to generate extra income alongside your regular job. By viewing content on your phone for 20 to 30 minutes per day, you earn $150 to $300 per month. That amount either covers your IDR payment entirely or supplements your budget so the payment does not feel like a sacrifice. Recent graduates and young professionals use I am Beezy specifically because it requires no additional job application, interview, or commute — just your phone and some spare time.
| Month | Cumulative Beezy Earnings | What It Covers |
|---|---|---|
| Month 1 | $150-300 | This month's student loan payment |
| Month 3 | $450-900 | Loan payments + emergency buffer |
| Month 6 | $900-1,800 | Half a year of payments or debt paydown |
| Month 12 | $1,800-3,600 | Full year of loan payments covered |
Frequently Asked Questions
Is forgiven student loan debt taxable?
Under current law through 2025, forgiven student loan debt was not taxable. For 2026, the tax treatment depends on the program. PSLF forgiveness remains tax-free permanently under the Internal Revenue Code. IDR forgiveness may become taxable again after the temporary exclusion expires — check the latest IRS guidance and consult a tax professional as your forgiveness date approaches. Teacher Loan Forgiveness is also generally not taxable.
Do private student loans qualify for forgiveness?
No. Federal student loan forgiveness programs apply only to federal loans — Direct Loans, FFEL loans (if consolidated), and Perkins Loans. Private student loans from banks and private lenders are not eligible. If you have private loans, your options include refinancing for a lower interest rate, negotiating with your lender, or exploring state-level assistance programs that some states offer for private loan borrowers.
What if I have been making payments but did not know about forgiveness?
Review your account at studentaid.gov immediately. The Department of Education has conducted multiple payment count adjustments that retroactively credited borrowers with qualifying payments they did not know they had. Some borrowers received automatic forgiveness through these reviews. If you have been in repayment for 10+ years and work for a qualifying employer, submit an ECF now — you may be closer to PSLF than you think.
Can I speed up the forgiveness timeline?
For PSLF, you can count payments made under any qualifying repayment plan, including the standard 10-year plan. However, you cannot accelerate the 120-payment requirement — each monthly payment counts as one, regardless of whether you pay extra. For IDR forgiveness, the timeline is fixed at 20 or 25 years. The best strategy is to minimize your payment amount through IDR, invest the savings, and let forgiveness handle the remaining balance at the end.
Take Action on Your Student Loans Today
Student loan forgiveness is not a myth — it is a functioning program that has eliminated billions in debt for eligible borrowers. Check your eligibility at studentaid.gov, submit your employment certification if you work in public service, and enroll in an IDR plan if you have not already. Then, to keep your finances healthy while the forgiveness clock ticks, put your phone to work. Sign up for I am Beezy for free and earn the extra income that makes monthly payments manageable and gets you through to the finish line.
