What counts as a government employer for the PSLF Program?
Any U.S. federal, state, local, or tribal agency is taken into account a government employer for the PSLF Program. This includes employers like the U.S. military, public elementary and secondary schools, public colleges and universities, public child and family service agencies, and special governmental districts (including entities like public transportation, water, bridge district, or housing authorities).
A government contractor isn’t considered a government employer.
View an inventory of most government agencies and departments. you’ll also visit our Public Service Loan Forgiveness (PSLF) Help Tool, which can assist you determine if an employer is taken into account a qualifying employer under the PSLF Program.
Note: Service as an elected member of the U.S. Congress isn’t qualifying employment for PSLF. However, if the organization may be a union or a partisan political organization, it isn’t an eligible PSLF employer. additionally , if you perform religious activities as a part of your job, there are limitations on your ability to possess your employment qualify for PSLF.
Eligible not-for-profit organizations include most private elementary and secondary schools, private colleges and universities, and thousands of other organizations. Your employer can tell you if it’s a not-for-profit organization and what its tax status is, otherwise you can use the IRS’s searchable database of tax-exempt organizations.
Amounts forgiven under the PSLF Program aren’t considered income by the interior Revenue Service. Therefore, you’ll not need to pay federal tax on the quantity of your Direct Loans that’s forgiven.
You should submit the Employment Certification form every year, even though it’s not mandatory. When you submit the form, you’ll have multiple receipts that show you have worked at a Public Service Loan Forgiveness qualified employer during your 120 months.
Here is how to do it:
First, Download the Public Service Loan Forgiveness application. Complete the form by using black or blue ink, and get your employer’s certification. Usually, your employer should have an authorized official who will certify your employment. If that’s not the case in your part, tick the box stating that and complete Sections one, two, and three of the form.
Second, submit the Public Service Loan Forgiveness application to the FedLoan Servicing. Lastly, wait as the FedLoan Servicing review your form. They’ll check to find out if your request is complete and if you qualify for the government employee student loan forgiveness.
After the FedLoan Servicing finish their review and confirm that your Public Service Loan Forgiveness application is correct, they’ll notify you of the following:
The number of payments you have made working at a public service organization
The remainder of the number of payments you have to make before you are qualified to apply for the government employee student loan forgiveness
Issues With The Public Service Loan Forgiveness Application
If the fedLoan Servicing finds a problem with your application, such as your application being incomplete or your employer not being eligible, you’ll have the opportunity to provide more information or correct the form.
Apply for Student Loan Forgiveness Help
If you struggle with university student loan forgiveness, then you should get help with that. Because the employees in these agencies are dealing with the student loans every day and they have enough experience for solving different kinds of student loan problems. In March 2018, as part of the Consolidated Appropriation Act, Congress set aside $350 million for students like you who made payments under the wrong repayment plan. If you haven’t applied already, you need to apply for the TEPSLF immediately because the loan forgiveness is on a first-come, first-served basis. Once the $350 million runs out, you’ll not get the chance again.