Public Service Loan Forgiveness (PSLF) Guide: What It Is, Who Qualifies, and How to Apply

Student loan forgiveness can make a life-changing difference for public service professionals. The Public Service Loan Forgiveness (PSLF) program is a federal initiative that forgives the remaining balance on qualifying federal loans after 120 qualifying payments while working for a qualifying employer. But navigating eligibility, payment requirements, and application steps can be confusing.

In this guide, we’ll walk you through exactly what PSLF is, who qualifies, what loans and repayment plans are eligible, and how to avoid common mistakes that prevent borrowers from getting forgiveness.

🎓 Federal Student Loan Update: On April 3, 2025, the U.S. Department of Education announced plans to revise key federal loan programs—including income-driven repayment and Public Service Loan Forgiveness.

Table of Contents

1. What is PSLF, and how does it work?
2. What loans qualify for PSLF?
3. What repayment plans qualify for PSLF?
4. What jobs and employers qualify for PSLF?
5. How to qualify for PSLF
6. How to apply for PSLF
7. Mistakes to avoid with PSLF
8. Are refinanced student loans eligible for forgiveness?
9. Is PSLF worth it?
10. PSLF vs. TEPSLF: What’s the difference?
11. Alternatives if you don’t qualify for PSLF

What is PSLF, and how does it work?

Public Service Loan Forgiveness allows federal student loan borrowers to have their remaining debt forgiven after 10 years of qualifying payments while working full-time for a qualifying employer. PSLF is tax-free and only available for Direct Loans.

You must:

• Work full-time (30+ hours/week) for a qualifying public service employer
• Make 120 qualifying monthly payments
• Be enrolled in an eligible repayment plan, like an income-driven repayment (IDR) plan
• Certify your employment

Forgiveness is not automatic. You must apply through the PSLF Help Tool at StudentAid.gov.

What loans qualify for PSLF?

Only federal Direct Loans are eligible for PSLF. Other federal loan types must be consolidated into a Direct Consolidation Loan to qualify.

Loan type	PSLF eligible?
Direct Subsidized Loan	✔️ Yes
Direct Unsubsidized Loan	✔️ Yes
Direct PLUS Loan (Grad)	✔️ Yes
Direct Consolidation Loan	✔️ Yes
Family Federal Education Loan	❌ No
Federal Perkins Loan	❌ No
Parent PLUS Loan	✔️ Yes*

*Parent PLUS Loans must be consolidated and repaid under the Income-Contingent Repayment (ICR) plan.

What repayment plans qualify for PSLF?

You must be on a qualifying repayment plan to make eligible payments toward PSLF.

Qualifying repayment plans include:

• Pay As You Earn (PAYE)
• Revised PAYE (REPAYE)
• Income-Based Repayment (IBR)
• Income-Contingent Repayment (ICR)
• Saving on a Valuable Education (SAVE)
• Standard 10-Year Repayment

---

Important note:

Payments made on the Standard 10-Year Repayment plan do count toward PSLF. However, if you stay on this plan for the full 10 years, your loan will likely be paid off by the time you reach 120 payments—leaving you with no remaining balance to forgive. That’s why most borrowers pursuing PSLF switch to an income-driven repayment (IDR) plan.

---

Not eligible for PSLF:

• Extended Repayment
• Graduated Repayment
• Standard Repayment for Consolidation Loans

What jobs and employers qualify for PSLF?

Your employer must be a government organization or nonprofit that meets PSLF criteria. Eligible employment includes:

• Federal, state, local, or tribal governments
• Military service
• Public schools and colleges
• 501(c)(3) nonprofits
• Certain public-serving nonprofits

Use the Employer Search Tool in the PSLF Help Tool to confirm your employer qualifies.

You must work at least 30 hours per week. Multiple part-time jobs may count if both employers qualify and the combined hours meet the minimum.

How to qualify for PSLF

To get student loan forgiveness through PSLF, you must:

1. Have eligible Direct Loans
2. Work full-time for a qualifying employer
3. Enroll in an IDR plan or qualifying repayment plan
4. Make 120 qualifying payments
5. Certify your employment

You can start the process any time—the sooner you certify your employment, the sooner your qualifying payments begin.

How to apply for PSLF

1. Log in to StudentAid.gov, and open the PSLF Help Tool.
2. Verify your loan and employer eligibility.
3. Generate the PSLF form, and send it to your employer for certification.
4. Submit your form to MOHELA, the loan servicer handling PSLF.

Track your payment progress and submit a final form when you reach 120 payments.

Mistakes to avoid with PSLF

Many denials happen because borrowers don’t meet one or more technical requirements. Common mistakes include:

• Being on the wrong repayment plan
• Not consolidating ineligible loans
• Failing to certify employment [not required each year but strongly recommended]
• Missing payments or pausing them without proper documentation
• Relying on employer assumptions instead of checking eligibility

A common mistake is assuming because you work for an eligible employer and make payments, you’re automatically meeting the qualifications for PSLF.

In addition to making sure you have the right loan type and repayment plan, it’s wise to certify your employment regularly and recertify your income annually. Certifying your employment annually is not required, but it’s an effective way to track your payment progress. You are required to recertify your income annually to remain in an income-driven repayment plan. 

Are refinanced student loans eligible for forgiveness?

No. If you refinance your federal loans with a private lender, you will not be eligible for any federal forgiveness programs. The U.S. Department of Education doesn’t offer a refinancing option.

Is PSLF worth it?

PSLF is worth pursuing if you:

• Work in public service and plan to stay long-term
• Have a high loan balance relative to your income
• Need lower monthly payments via IDR plans

There’s no benefit to paying more than required if you’re pursuing PSLF. You should select the qualifying repayment plan that has the lowest payment so the largest portion of your loans is forgiven.”

So if you expect to pay off your loans in less than 10 years or plan to leave public service, PSLF may not provide much benefit.

PSLF vs. TEPSLF: What’s the difference?

Temporary Expanded Public Service Loan Forgiveness (TEPSLF) was a limited program that temporarily expanded PSLF eligibility, but it is no longer accepting new applications as of 2024. It was designed to help borrowers who were denied PSLF due to repayment plan issues.

Alternatives if you don’t qualify for PSLF

If you don’t qualify for PSLF, consider:

• IDR plan forgiveness after 20 – 25 years
• Employer student loan repayment assistance
• Student loan refinancing (only if you don’t need PSLF or federal protections)

If refinancing might make sense for you, we recommend comparison shopping with Credible, our favorite marketplace. Credible will show you your prequalified rates and terms with any partner lenders you’re eligible to refinance with.