PARENT PLUS LOAN
We have several parent plus loans for our 4 kids, all of them in my husband’s name alone. I know we need to consolidate them in order to take advantage of the income contingent plan by July 2026. Does it make sense for us to file our taxes Married Filing Separately for 2025 in order to reduce the amount of disposable income the payment will be based on?
Terry Says
Most Parent PLUS borrowers are nearing or already into retirement age. If your income is low enough, or mostly from Social Security, you can file taxes separately and take advantage of significantly lower monthly payments.
The key to this approach is making sure you put all of the Parent PLUS Loans in the name of the person who’s primarily receiving Social Security income or a very modest retirement income.
Read more details here: https://www.studentloanplanner.com/parent-plus-loan-forgiveness-after-2025/
