Will you owe taxes on student loan forgiveness??

Tax season is on us and if you're going for student loan forgiveness (whether it be PSLF or IDR forgiveness) you need to know whether or not you'll have to pay taxes on debt forgiven.
Note: the states that I know of which tax student loan forgiveness are: Indiana, North Carolina, Mississippi, and Wisconsin.
Laws change - check with your state's department of revenue to find out if you will owe on forgiven student loan debt
0:00 short - student loan forgiveness and taxes

[@TheNathanBowdenShow]

Do I need to consolidate my direct loans for IDR, SAVE or PSLF?

[@themoneylibrarian]

Hi @TheNathanBowdenShow - Student loans can be very confusing! Direct loans are eligible for all the things you mentioned. Here's some clarification vids that may be helpful for you to understand how your loans work.
IDR refers to the payment plans that are based on your income. (here's my vid on the four IDR payment plans - th-cam.com/video/Rz38mIVocoA/w-d-xo.html
SAVE is one of the four IDR plans. (Deep dive on the awesomeness that is SAVE here: th-cam.com/video/Iz1C8Ou-Bgc/w-d-xo.html
PSLF is a forgiveness program for people who work for the government or non-profits (here's my vid on how it: th-cam.com/video/XrJ0D_uIn-I/w-d-xo.html
Hope this helps and thanks for watching! -k

[@akc1739]

Public school teacher with close to 300K forgiven after 30 years. Now NC wants $70K in taxes 😂. What have I learned? Not to be bothered. Stress kills and life’s too short.

[@themoneylibrarian]

Hi @akc1739 - I love your laid back attitude!! after some googling it looks like it state taxation on PSLF may not be as cut and dry as it looked on the surface - you may want to dig into this more, it could save you $70k. Good luck and let me know how it goes! -k