How much student loan debt can I afford?
It is up to students to place limits on how much debt they are willing to incur for an education. Borrow wisely by utilizing the following resources and guidelines:
- Live like a student while you are a student. Check out a few financial savvy tips here.
- A student's loan payment should not exceed 8% of their expected monthly gross income after graduation. To view expected salaries by career click here.
- Parent or adult borrows must consider their total debts -- including mortgage payments, credit cards, car loans, etc. Total debt payments should not consume more than 35% of gross pay.
- Keep track of total student loan debt. It's easy to forget how much you owe, particularly if you borrow from a number of different lenders over a span of several years. Students can view their total student loan debt here.
Looking for a loan repayment estimator?
Click here to view personalized options after logging in with an FSA ID. Please contact the Financial Aid Office for additional questions regarding financial literacy.
*The following chart is based on the standard repayment option of 120 payments, a 6.80% interest rate and the salary required to not exceed loan repayments of more than 8% of income.
|Total Student Loan Debt
||Minimum Annual Income Needed To Reasonably Afford Monthly Payment