With the Supreme Court decision and the recent Debt Ceiling signing, student loan repayment will start after 3.5 years of non-payment. Many borrowers will be seeking advice that the student loan servicers cannot provide. The increased use of Income-Driven Repayment methods has added new complications to the repayment process. Borrowers will need to manage the AGI better and at a household level. These changes will require better tax and financial planning advice.
In addition, the IRS data integration into the Department of Education will begin mid-summer 2023. The systems specifically affected are student loan repayment and FAFSA. With this change, borrowers' planning will need to improve. At the borrower's next income verification or recertification, the system will automatically use the borrower's tax information on file. Another legislative change is the SECURE Act 2.0 approval. More companies will be adding or considering Student Loan Assistance Benefits.
This program features student loan expert Fred Amrein who explained the details related to this decision that employers and employees need to know.
Attendees Comments:
I learned that the complications of holding a federal student loan are many and scary. I advise only students, and their parents, who are applying to college. This awakened me to the complications that go well beyond college.
- Joseph O.
This process of reinstating loan payments is going to be a mess - planners have an opportunity to prepare and advise clients AND earn immense goodwill during this difficult time.
- Kelly N.
Frankly, this one was over my head, as I expected it would be. Useful to be reminded again just how crazy it is to navigate this ever-changing process, something I already knew from Heather Jarvis webinars. Reaffirmed my belief that I would need to outsource the repayment piece of the puzzle to Heather or Fred!
- Maria R.
Understanding why tax planning is so integral to student debt repayment. Also how important it is to log into StudentAid.gov (may need your FSAID # which most people forgot after child graduates!)
- Nancy B.
I learned that the complications of holding a federal student loan are many and scary. I advise only students, and their parents, who are applying to college. This awakened me to the complications that go well beyond college.
- Joseph O.
This process of reinstating loan payments is going to be a mess - planners have an opportunity to prepare and advise clients AND earn immense goodwill during this difficult time.
- Kelly N.
Frankly, this one was over my head, as I expected it would be. Useful to be reminded again just how crazy it is to navigate this ever-changing process, something I already knew from Heather Jarvis webinars. Reaffirmed my belief that I would need to outsource the repayment piece of the puzzle to Heather or Fred!
- Maria R.
Understanding why tax planning is so integral to student debt repayment. Also how important it is to log into StudentAid.gov (may need your FSAID # which most people forgot after child graduates!)
- Nancy B.