Student Loan RAP Calculator

How the Student Loan RAP Calculator works

The Repayment Assistance Plan (RAP) replaces most federal income-driven repayment plans for new enrollments starting around July 1, 2026. Unlike older plans, RAP's payment formula is a straightforward tiered percentage of your income — no discretionary-income subtraction, no poverty-line lookup. This tool applies the exact tier table and compares the result to a standard 10-year repayment on the same balance.

The formula

Worked example

A borrower with $45,000 AGI falls in the 4% tier ($40,001-$50,000): $45,000 × 4% = $1,800 a year, or $150 a month. With two dependents, that drops by $50 each, to $50 a month. Compare that to a standard 10-year repayment on a $30,000 balance at 6% interest — RAP is often substantially lower for moderate-income borrowers with dependents.

Common mistakes

• Assuming RAP automatically applies — most borrowers need to actively enroll or recertify once it becomes available.
• Forgetting the $10 minimum applies no matter how many dependents you claim — the payment never reaches $0.
• Using gross salary instead of AGI, which can meaningfully change which tier you fall into.

Frequently asked questions

What actually moves this number

Specific levers, and roughly what each one is worth. Not “save more” — the things that change the figure above by an amount you can measure.

• Do not miss the transition window

  Borrowers leaving SAVE had 90 days from July 1, 2026 to choose a plan actively. Missing it means the servicer picks for you, and it will not necessarily pick the cheapest option available to you.

• Recertify on time, every time

  Payments are computed from AGI at recertification. Missing the deadline can throw you onto a standard schedule at a much higher payment, and getting back is paperwork you did not need to do.

• If income dropped, recertify early

  You do not have to wait for the annual date. A layoff, a reduction in hours, or a career change can be reflected immediately, which is exactly when a lower payment matters most.

• Confirm PSLF treatment in writing before switching

  Whether payments under a given plan count as qualifying payments is the detail most worth having from Federal Student Aid or your servicer directly, rather than inferred from any summary.

What this calculator does not cover

Every calculator simplifies, and the useful thing is knowing exactly where. These are the specific gaps between this estimate and your real situation:

• RAP took effect July 1, 2026 and parts of its administration are still being implemented. Confirm details with your servicer before acting on an estimate.
• Payments are computed from adjusted gross income, so a change in income changes the payment at your next recertification, not immediately.
• Parent PLUS loans and consolidation loans containing them are not eligible for RAP and are not modeled.
• The forgiveness timeline and the treatment of qualifying payments for Public Service Loan Forgiveness are the details most worth confirming directly with Federal Student Aid.

For anything that turns on an exact figure, use the primary sources below or a qualified professional. How these limits are decided and disclosed is described in the editorial standards.