Federal standard, income-linked, and refinance routes with balance and cumulative-cash checkpointsLive current inputs
Finance & Money
Student Loan Scenario Comparison Calculator
Compare federal standard repayment, income-linked payments, and private refinancing on payment path, total cash cost, remaining balance, and forgiveness exposure.
Federal standard payment—
First-year IDR payment—
Refinance payment—
Standard total paid—
IDR modeled total cost—
Refinance total paid—
Modeled IDR balance forgiven—
Lowest modeled cash cost—
Repayment route map
Federal standard, income-linked, and refinance routes with balance and cumulative-cash checkpoints
Three paths preserve different payment rules. Route endpoints distinguish paid cash from remaining or forgiven balance so a low payment is not mistaken for a low total cost.
Live decision table
Repayment-route scorecard
Compare first payment, total paid, payoff or forgiveness timing, and remaining-balance exposure.
| Route | Initial payment | Cash paid | End balance | Key risk |
|---|
Cash-flow schedule
Annual and monthly cash-flow schedule
How to compare
Use the same opening balance but preserve route-specific rules
- Enter the weighted federal rate.
- Use realistic taxable income growth.
- Set protected income for the applicable program.
- Enter only a refinance quote actually available.
Scenario method
Monthly payment is only one dimension
Income-linked payments can improve near-term liquidity while extending interest exposure. Refinancing may lower cost but can surrender federal protections.
The route map keeps cash paid and end balance visible at the same time.
Calculation method
Simulate three repayment rules across a common balance and income path
The standard and refinance routes use fixed amortization. The income-linked route recalculates annually from projected income, accrues interest monthly, and adds any entered tax estimate on the balance remaining at forgiveness.
Detailed calculation process and general formulas
P_std = Lr/[1-(1+r)^(-120)]P_IDR,y = max[(Y_y-Y_p)s/12, 0]Y_y = Y_0(1+g)^yB_m = max[B_(m-1)(1+r)-P_m,0]Cost_IDR = ΣP_m + τB_f Symbols, meanings, and units
- L
- opening student-loan balancecurrency
- r
- monthly loan ratedecimal/month
- Y_y
- projected annual income in year ycurrency/year
- Y_p
- protected annual incomecurrency/year
- s
- IDR assessment ratedecimal
- B_f
- balance at forgiveness horizoncurrency
- τ
- entered forgiveness tax ratedecimal
The worked example below substitutes the current inputs in formula order and reconciles the headline result with the visual and live table.
Decision audit
Review benefits the arithmetic cannot price automatically
- Forgiveness eligibility and recertification.
- Interest subsidies and hardship options.
- Cosigner release and variable-rate terms.
- Tax treatment at the expected forgiveness date.
Route anatomy
Where repayment routes diverge
Rate, term, income linkage, and forgiveness rules create different cash and balance paths.
Near-term IDR relief
—First-year income-linked payment before later income growth.
Forgiveness exposure
—Balance still outstanding at the modeled program horizon.
Modeled winner
—Route with the lowest entered-scenario cash cost.
Decision takeaway: Choose a route only after comparing total cash, end balance, protections, and the consequences of leaving the federal system.
Practical applications
Decisions this calculator is designed to support
Early-career income growth
A graduate expects low initial earnings followed by steady increases.
What the result clarifies: The IDR route rises with income rather than remaining at its first-year payment.
Low refinance quote
A borrower qualifies for a lower fixed rate but would lose federal safeguards.
What the result clarifies: The route map quantifies cash savings while leaving the protection decision explicit.
Worked example
Current-input substitution and reconciliation
Important note
This is not a program eligibility or tax opinion. Federal payment formulas, poverty allowances, interest subsidies, forgiveness rules, recertification, refinance underwriting, and tax law can change.
Student Loan Scenario Comparison Calculator FAQ
Why can IDR cost more despite a lower first payment?
A lower payment may allow more interest and a larger balance to persist.
Is forgiven balance always taxable?
No. The rate is an explicit scenario input because applicable law and program rules vary.
Does refinancing preserve federal benefits?
Generally private refinancing replaces federal program rights; verify the specific transaction.