Federal plan comparison · verified September 29, 2026
RAP vs IBR: What's the Difference?
RepayPilot compares the current federal rules, then lets you model supported inputs without declaring one plan universally better.
RepayPilot Answer
RAP bases the annual payment on an AGI band, then subtracts $50 per claimed dependent, with a $10 monthly floor. IBR uses 10% or 15% of income above 150% of the poverty guideline, capped at the estimated 10-year Standard payment; the borrower category determines the rate and forgiveness horizon.
Last verified September 29, 2026 · Current federal rules effective July 1, 2026.
At a glance
| Decision factor | RAP | IBR |
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| Payment formula | Annual base payment depends on AGI band; divide by 12 and subtract $50 per tax-return dependent. At least $10 per month except a final payment. | 10% for a new borrower or 15% for other borrowers of discretionary income, capped at the estimated 10-year Standard amount. |
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| Income threshold | No separate poverty deduction in the RAP base formula. | AGI above 150% of the applicable poverty guideline for family size. |
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| Borrower / loan eligibility | Direct Loans except Parent PLUS and specified Parent PLUS consolidation loans. | Direct Loans made before July 1, 2026, with additional restrictions for some borrower histories. |
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| Forgiveness horizon | 360 qualifying monthly payments over at least 30 years. | 240 qualifying payments (20 years) for new borrowers; 300 (25 years) for other borrowers. |
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| PSLF | RAP is a qualifying repayment plan; all PSLF loan, employment, and payment requirements still apply. | IBR is an income-driven qualifying repayment plan; all PSLF loan, employment, and payment requirements still apply. |
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| Important limits | Future balance, principal benefit, unpaid-interest benefit, prior-plan credit, and exact forgiveness date are not projected. | Multiple loan rates, spouse allocations, FFEL details, future balances, and prior qualifying-payment progress are not projected. |
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Use My Numbers
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How to use this comparison
Compare eligibility, your current estimated payment, the plan-specific forgiveness horizon, household treatment, and how the choice may interact with PSLF. A lower payment today is not necessarily a lower long-term cost.
Ask your servicer to confirm which loans are eligible, the official payment amount, your payment-count credit, and whether your employment and payments qualify for PSLF.