Student Loan Forgiveness Tax Bomb Calculator
ARPA made forgiven student loans tax-free — but that expires 12/31/2025. After that, forgiven balances are taxable ordinary income. See your projected tax bomb and how much to save monthly.
Your Loans & Repayment Plan
Projected Forgiven Amount
$130,968Estimated Tax Bomb
$46,393Years to Forgiveness
19Plan for the Tax Bomb
When your loans are forgiven in 2045, the forgiven amount is treated as taxable ordinary income. ARPA's tax-free provision expires December 31, 2025 — forgiveness after that date IS taxable.
Federal Tax
$34,213
State Tax (est.)
$12,180
Save Monthly
$203
to cover the tax bomb