RAP Payment Calculator

The Repayment Assistance Plan (RAP) is the newest federal income-driven repayment plan, and for many people in healthcare it's now the main alternative to a standard 10-year plan. It ties your payment to your income, waives interest your payment doesn't cover, and adds a small federal match to keep your balance shrinking. This calculator estimates your payment today and what the plan looks like over time.

What this calculator does

Enter your adjusted gross income (AGI), number of dependents, federal loan balance, average interest rate and how fast you expect your income to grow. The calculator shows:

• your monthly payment now,
• the interest waived in your first year,
• the principal match in your first year,
• the total you'd pay over the life of the plan,
• years in repayment, and
• any balance forgiven after 30 years.

The chart shows your balance year by year.

The formula in plain English

Base payment = AGI × your RAP rate ÷ 12. The rate depends on your income: 1% for $10,001–$20,000, rising by 1% for each $10,000, up to 10% above $100,000. Income of $10,000 or less pays the $10 minimum.

Payment = base payment − $50 for each dependent, but never less than $10.

Each month, the calculator applies your payment to that month's interest first.

• If the payment is less than the interest, the unpaid interest is waived.
• If the payment reduces principal by less than $50, a federal match reduces principal by the difference, up to $50 or the amount of your payment, whichever is less.

Your income grows each year at the rate you enter, so your payment rises over time. After 360 qualifying payments (30 years), any remaining balance is forgiven.

A worked example

Dr. Johnson is a PGY-1 earning $72,000, with no dependents and $250,000 of federal loans at 6.8%. She expects her income to grow about 3% a year in this example. (In real life it would jump after training.)

• Her AGI is in the 7% tier: $72,000 × 7% ÷ 12 = $420 a month.
• Monthly interest is about $1,417, so about $11,900 of interest is waived in year one.
• Because her payment doesn't reduce principal, the $50 match applies every month: $600 in year one.
• If her income only grew 3% a year, she'd pay about $323,000 over 30 years and have about $231,000 forgiven.

If she works for a nonprofit hospital, those same RAP payments count toward PSLF, and her remaining balance could be forgiven tax-free after 10 years.

Why it matters at each career stage

If you're: Student

You can't use RAP until you graduate, but it's worth understanding now. The plan's low payments during training make borrowing feel lighter, but your balance still needs a plan once your income rises.

If you're: Resident / fellow

RAP keeps payments low while your income is low, and the interest waiver stops your balance from growing during training. If you might work for a nonprofit or government employer, every RAP payment you make in residency can count toward PSLF.

If you're: Employed

Once your income rises, RAP payments climb to 10% of AGI. Compare RAP with refinancing and aggressive payoff. If you're not pursuing PSLF, a higher-income borrower may pay less overall by paying the loan off faster.

Making RAP work for you

Keep your income records current. RAP uses your AGI, so recertify on time each year.

Pre-tax retirement contributions lower AGI. Contributing to a 403(b) or 401(k) lowers your RAP payment while you save for retirement.

Dependents matter. Each dependent lowers your payment by $50 a month.

Know what married filing jointly does. Joint returns use combined income, which can raise payments. Compare filing options with a tax professional.

Track PSLF if it applies. Use the employer certification tool on studentaid.gov.

Next, compare with PSLF, see how extra payments shorten a standard payoff, and read what changed for PSLF in 2026.