You may be eligible for a zero dollar payment on your federal student loan(s) under an Income-Driven Repayment (IDR) plan if you meet certain criteria. Typically, you may qualify for a zero dollar payment if your income is low enough relative to your loan balance and family size. The best way to find out is to use the Savi tool to see your repayment plan estimates.
Which plans can result in a zero dollar payment?
The following IDR plans may result in a zero dollar payment, depending on your income and loan type:
- Income-Based Repayment (IBR) — available for Direct Loans made before July 1, 2026
- Pay as you Earn (PAYE) - available for Direct Loans made before October 1, 2007
- Income Contingent Repayment (ICR) - available for Direct Loans made before July 1, 2026
Please note: SAVE (formerly REPAYE), PAYE, and ICR are being phased out. SAVE is no longer an eligible plan. PAYE and ICR will sunset on July 1, 2028. If you are currently on one of these plans, you will need to transition to RAP, IBR, Standard, Graduated, or Extended repayment by July 1, 2028.
Please note: The RAP repayment plan is not eligible for a $0.00 payment. The lowest possible payment on this plan is $10.00.
What about Public Service Loan Forgiveness (PSLF)?
If you are working toward PSLF, zero dollar payments can still count toward your PSLF credits, as long as:
- You are enrolled in a qualifying repayment plan (IBR, PAYE, and ICR all currently qualify for PSLF)
- You are continuing to work for a qualifying employer (a non-profit or government organization)
- The zero dollar amount is your scheduled payment for that period
- Your payments are made on time — deferment and forbearance periods do not count toward PSLF under RAP
Important: The Tiered Standard Repayment Plan does not qualify for PSLF. If your goal is PSLF, make sure you are enrolled in IBR or RAP after July 1, 2028.
If you make any payments above zero while you are eligible for a zero dollar payment and pursuing PSLF, those extra payments will not benefit you. You will be considered paid ahead, and your monthly PSLF count may not be credited correctly. Any amount paid ahead while pursuing PSLF could result in smaller forgiveness once you have met all eligibility requirements.
Not sure which plan is right for you?
Use the Savi tool to compare your repayment plan options and see whether you may qualify for a zero dollar or low payment under the plans available to you.