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New plan — live since 1 July 2026Replaces SAVE

RAP CalculatorRepayment Assistance Plan — estimate your payment, forgiveness date and the tax on what's written off

The Repayment Assistance Plan (RAP) is the only income-driven repayment plan open to US federal student loan borrowers whose first loan is disbursed on or after 1 July 2026. Your payment is a bracketed percentage of your total Adjusted Gross Income — from 1% to 10% — minus $50 per dependent, with a $10 monthly minimum. Unpaid interest is waived each month, and any remaining balance is forgiven after 360 qualifying payments (30 years).

Your Details

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RAP uses total AGI — not discretionary income. Currently in the 5% bracket.

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Estimate only. Parent PLUS loans and consolidations containing them are not eligible for RAP.

Enter your details to see your estimated RAP payment, total cost, and forgiveness outcome.

RAP Payment Brackets

Adjusted Gross IncomePayment RateExample Monthly
$0 – $10,000Flat $10/mo$10 on $5,000
$10,001 – $20,0001%$13 on $15,000
$20,001 – $30,0002%$42 on $25,000
$30,001 – $40,0003%$88 on $35,000
$40,001 – $50,0004%$150 on $45,000
$50,001 – $60,0005%$229 on $55,000
$60,001 – $70,0006%$325 on $65,000
$70,001 – $80,0007%$438 on $75,000
$80,001 – $90,0008%$567 on $85,000
$90,001 – $100,0009%$713 on $95,000
Over $100,00010%$1,000 on $120,000

Less $50 per month per dependent. Minimum payment is $10/month regardless of income or dependents.

Sources & methodology — RAP was established by P.L. 119-21 and took effect on 1 July 2026. Figures on this page are compiled from US Department of Education material, Congressional Research Service briefing IF13075, and federal loan servicer documentation. Figures confirmed as of 2026-09-16 for the 2026-27 award year.

Important limitations — RAP is new and Department of Education implementation guidance is still settling. This calculator models the bracket rate as applying to your whole AGI, and assumes steady income growth with no periods of deferment, forbearance or non-payment. Real payments are recalculated annually from your filed tax return. This is an estimate, not financial advice — verify against your servicer and studentaid.gov before making decisions.

What Is The Repayment Assistance Plan?

The Repayment Assistance Plan (RAP) is the US federal student loan repayment plan that took effect on 1 July 2026 under P.L. 119-21. It is the only income-driven repayment plan available to borrowers whose first loan is disbursed on or after that date, replacing the SAVE plan which was struck down by the 8th Circuit. RAP sets your monthly payment as a bracketed percentage of your total Adjusted Gross Income — between 1% and 10% — rather than a percentage of discretionary income as older plans did. It includes two borrower protections older plans lacked: unpaid monthly interest is waived rather than capitalised, and a $50 monthly principal match ensures every payment reduces what you owe.

How RAP Payments Are Calculated

RAP applies a percentage to your total AGI based on which income bracket you fall into, then subtracts a flat $50 per dependent, with a hard floor of $10 per month. Unlike IBR, there is no cap tied to the Standard repayment amount, so higher earners pay a straight 10% of AGI. Any balance remaining after 360 qualifying payments is forgiven.

01

Find your bracket

Your total Adjusted Gross Income determines your rate — 1% at $10,001–$20,000, rising one point per $10,000 of income, up to 10% above $100,000.

02

Apply the rate

The bracket rate is applied to your total AGI, then divided by twelve to give the monthly figure.

03

Deduct for dependents

Subtract $50 per month for each dependent. The payment can never drop below the $10 monthly minimum.

04

Interest is waived

If your payment does not cover the month's interest, the shortfall is cancelled rather than added to your balance, so the loan cannot grow while you pay on time.

RAP Payment Formula

Monthly Payment = max($10, (AGI × bracket rate ÷ 12) − ($50 × dependents))

The bracket rate runs from 1% to 10% depending on total Adjusted Gross Income, with borrowers earning $10,000 or less paying a flat $10 per month. Because the rate applies to total AGI rather than discretionary income, the federal poverty guideline does not reduce the payment — household size affects the result only through the $50 per dependent deduction.

Tips & Best Practices

  • RAP has no payment cap — if you expect high earnings, compare RAP against IBR, which caps payments at the 10-year Standard amount

  • Forgiveness under RAP is federally taxable from 2026, so plan for a tax bill in the forgiveness year — PSLF forgiveness remains tax-free

  • Parent PLUS loans cannot be repaid under RAP, and neither can consolidation loans that include one

  • The interest waiver means your balance will not grow while you pay on time, which is a significant change from older income-driven plans

  • If you work in qualifying public service, PSLF forgiveness after 120 payments is both faster and tax-free compared with waiting 360 payments under RAP

Frequently Asked Questions

TC

The Calculator App Editorial Team · 25+ Years UK Financial Services

Important Information

This calculator is for informational purposes only and does not constitute financial advice or a personal recommendation.

Results are estimates based on the information you provide and may not reflect your actual financial position.

You should consider seeking independent professional advice tailored to your specific circumstances before making any financial decision.