2021 Tax Return Strategy, Tips & Deductions for Student Loan Borrowers
There are many different opportunities for student loan borrowers at tax time.
There are many different opportunities for student loan borrowers at tax time.
Monthly payment calculations on income-driven repayment plans get especially complicated for borrowers living in community property states.
The clear trend shows that the student loan tax bomb probably won’t happen for the borrowers on IDR Plans like IBR, PAYE, and REPAYE
Student loan payments from parents or grandparents can trigger an IRS gift tax, but exceptions exist to avoid having to pay any taxes.
The student loan tax bomb may or may not happen. My plan uses a Roth IRA to save for retirement and prepare for big tax bill.
Getting married doesn’t mean payments will double for couples who both have student loans, but payments may still go up.
For most borrowers, a student loan refinance will not change eligibility for the student loan interest tax deduction.
In most cases an inheritance or gift won’t impact your monthly student loan payments, but there is at least one exception that could cause payments to go up.
Married couples on IBR and PAYE need to carefully consider the pros and cons of filing taxes separately. It could mean a huge savings on your monthly student loan bill.