Student Loan Spotlight: How dentists can qualify for student loan forgiveness

Student loan debt can have a major impact on your career decisions and quality of life as a dentist. Since the average medical school graduate owes more than $227,000 in student loan debt and dental school graduates average even higher with more than $296,000 in student loan debt, managing this high level of debt and the resulting monthly student loan payments is often a challenge.

The good news is that dentists have several potential paths to student loan forgiveness, as well as programs that will make their monthly payments more manageable during their early-career years. Let’s explore how dentists can qualify for student loan forgiveness through federal programs, such as income-driven repayment plans.

How can dentists qualify for student loan forgiveness?

Whether you work in public health or the private sector, you could be eligible for student loan forgiveness as a dentist. Let’s take a closer look at income-driven repayment plans for dentists. 

Income-driven repayment is a federal repayment program that can stabilize your monthly student loan payments and provide forgiveness on your remaining student loan balance after 10, 20 or 25 years of repayment, depending on which plan you choose and how much student loan debt you have.

Unlike some other federal programs, you do not have to work for a government or nonprofit organization to be eligible; in other words, if you work in private practice, you could enroll in income-driven repayment.

What are the types of IDR plans?

The income-driven repayment program offers different plans that use varying formulas to calculate your monthly student loan payment amounts based on your discretionary income and family size. Current income-driven repayment plans include income-based repayment, income-contingent repayment, Pay As You Earn and Saving on a Valuable Education, formerly Revised Pay As You Earn.

Note, while the new Saving on a Valuable Education plan was introduced in 2023, multiple legal challenges made by states to the SAVE plan could impact implementation of key aspects of the plan. In addition, some of the plans above are not currently accepting new applications. For the most up-to-date developments, visit studentaid.gov.

Pros and cons of IDR plans

The pros and cons of income-driven repayment will vary for each individual borrower based on your circumstances, but benefits may include:

• Lower monthly payments, even as low as a zero payment for some borrowers.
• Potential loan forgiveness after meeting program requirements.
• Financial benefits for those who have high debt-to-income ratios or low income.

On the other hand, some drawbacks could include:

• Increases in the total interest over the life of the loan caused by extended repayment.
• The possibility of larger payments in the future if you experience salary increases.
• Loan forgiveness through income-driven repayment being a taxable event.

Is IDR right for you?

To learn more about income-driven repayment and how to apply, contact a Laurel Road student loan specialist for a free 30-minute phone consultation and analysis of your student loans. Our specialists are well versed in the details of income-driven repayment and can help you understand the right plan for you based on your unique financial profile. 

Ms. Schaefer serves as the general manager and chief experience officer of Laurel Road. She oversees all aspects of the business, including marketing, operations, risk, and profit and loss management, with particular attention to its digital products and customer experiences. Laurel Road is a brand of KeyBank National Association.