When discussing Public Service Loan Forgiveness (PSLF), a common worry among borrowers is the fear of having to start over if they make a mistake.
There’s often confusion surrounding the need for ten years of employment with an eligible employer versus making 120 certified payments. Even though 120 monthly payments add up to ten years worth of payments, there are some significant differences.
This article will break down the time requirement for PSLF, including how factors such as changing employers, switching repayment plans, and pauses in payments affect the progression towards forgiveness.
Why 120 Certified Payments is More Accurate than Ten Years for PSLF
It isn’t wrong to say that it takes ten years to qualify for Public Service Loan Forgiveness. However, it’s more precise to state that PSLF requires 120 certified payments.
This distinction is crucial in regards to the payment certification process. When a borrower submits an employer certification form, the loan servicer does a comprehensive review of the borrower’s account before certifying the payment. The PSLF loan servicer, MyFedLoan, will evaluate each payment to verify that the borrower has eligible loans and is on an eligible repayment plan. If any requirement is unmet for a specific payment, that payment does not get certified.
Focusing solely on ten-years might lead to some unexpected and disappointing issues with your PSLF application.
Watch the Fine Print. In addition to 120 certified payments, borrowers must be employed full-time by a PSLF-eligible employer at the time they apply for forgiveness and when the debt is forgiven. If you wait until you have made 120 payments, it could take longer than ten years to have the debt forgiven.
Changing Employers, Breaks in Payments, and Switching Repayment Plans
Many borrowers fear that if they start a new job, pause payments, or take a break from public service, they will have to begin the PSLF process all over again.
Fortunately, PSLF does not require payments to be consecutive. As a result, borrowers have the flexibility to pause repayment, switch jobs, or leave the public sector for a private company. At some point in the future, they can choose to resume their path to PSLF right where they left off.
Even better: if you had deferment or forbearance months during qualifying employment, you may be able to buy back those months to reach 120 payments faster.
The key is reaching the total of 120 certified payments; how and when those payments are made offers some flexibility, allowing borrowers to navigate life changes without losing progress toward PSLF.
Sherpa Tip: As a sharp reader pointed out in the comments, it’s also worth noting that the 120 certified payments cannot start before 2007, when the PSLF program was first created.
The Starting Over Risk
Even though payments don’t have to be consecutive, there are situations in which a borrower might have to start from scratch on PSLF.
Consolidating Federal Student Loans – While there are many benefits to federal direct consolidation, one significant drawback is that it creates new loans and restarts the forgiveness clock. The limited waiver on PSLF resolved this issue for some borrowers, but the limited waiver expired on October 31, 2022.
Ineligible Loans or Repayment Plans – If a borrower isn’t on an eligible repayment plan or doesn’t have eligible loans, they won’t make any progress towards PSLF. It’s not uncommon for borrowers to believe they’re making progress towards loan forgiveness, only to discover some flaw that made those payments ineligible for PSLF. None of those payments can be certified and count towards their forgiveness.
Note for Borrowers on the Wrong Repayment Plan: If you discover that you were on the wrong repayment plan, there is a temporary federal program that can help.
Getting Payments Certified
The process to certify payments under PSLF is relatively straightforward. Borrowers must complete this form and get it signed by their employer.
If you are looking for a guided application, the PSLF Help Tool is an excellent resource. The Department of Education created the PSLF help tool to aid borrowers in verifying employment eligibility. The PSLF Help Tool also assists borrowers in completing the necessary paperwork for certification.
How Often Should I Certify Payments?
There are no rules stating how often payments must be certified for PSLF. Theoretically, a borrower could submit their first employer certification after ten years.
However, waiting ten years to certify payments comes with significant risk. If any eligibility issues are discovered in the borrower’s loans or repayment plan, it would be a major setback. Loan eligibility issues are often easy to resolve, but those ten years of payments would not count towards PSLF. Thus, waiting ten years may mean wasting ten years.
The best practice for borrowers is to certify payments when:
- starting a new job,
- leaving an old job, and
- getting married.
It’s also wise to submit a certification form at least once a year. Regular certification is the best way to stay on track with PSLF and avoid mistakes.
About the Author
Pedro Gomez is the new Student Loan Sherpa and a Certified Financial Planner™ with over a decade of experience helping clients navigate complex financial decisions. He is the founder of Global Financial Plan, where he writes about international living, geoarbitrage, and strategies for retiring young, and also leads Brickell Financial Group, a registered investment advisory firm focused on accelerating financial freedom.
Pedro is the architect behind the “12 Levels of Financial Freedom” framework and blends student loan strategy with long-term planning, tax efficiency, and investing. His work is especially geared toward upwardly mobile professionals, entrepreneurs, and those looking to design a life beyond the default path.
Pedro is available for strategy sessions and press inquiries.
I know for PSLF the 120 qualifying payments must be after October 2007. However, does ten-years of employment need to be after October 2007, too? For example, I worked in the public schools from 2003-2010. Then, I worked in a private setting up until 2021. Now, the last four-years have been in a public school setting. Therefore, would I have seven-years (if it starts in 2007) of qualifying employment, or would I have 11-years (if it starts in 2003) of qualifying employment?
There has to be ten-years of qualifying employment, correct? Further, if I was in forbearance from 2007-2008, am I not able to count that as a year of qualifying employment?
Thank you!
Great questions, Courtney! You’re right that PSLF requires 120 qualifying payments, and those payments must be made after October 2007—that date is tied to when the PSLF program officially started.
But when it comes to your employment timeline, here’s the key:
PSLF doesn’t require that your 10 years of public service employment happen after 2007, just that the payments that count toward forgiveness happen after that date.
So in your case:
Your public school employment from 2003-2007 wouldn’t count for PSLF payments (since PSLF didn’t exist yet), but the employment itself doesn’t disqualify you.
From October 2007 forward, as long as you were working full-time for a qualifying employer while making qualifying payments (or in certain deferments/forbearances covered under recent adjustments), you could be building PSLF credit.
As for your 2007–2008 forbearance, under the current PSLF rules, standard forbearance usually doesn’t count. But there’s a wrinkle:
The proposed Senate bill (which we covered in detail here: Senate GOP Student Loan Overhaul) would change how certain past deferments and forbearances (specifically those described in federal regs like 34 CFR 685.209(k)(4)(iv)) are treated. Some pre-enactment forbearance periods—like yours—could potentially count toward forgiveness under the new “Repayment Assistance Plan” and how it ties into PSLF.
That said, this bill isn’t law yet, and if it passes, it could reshape PSLF timelines for many borrowers.
Bottom line: Your employment from 2003-2010 counts toward the “public service job” requirement, but only your post-2007 payments and certain covered non-payment months could count toward the 120-payment requirement.
If the legislation passes, it’s worth doing a detailed review of your full payment history under the new rules. Let me know if you want help sorting through that.
Thank you! I misunderstood some of the qualifications, so I am happy I reached out to you.
I have $7,000 in student loans and have never made a payment. I worked for two years at a state government agency. Can I qualify for loan forgiveness?
You’ve got $7,000 in federal student loans, haven’t made any payments, and worked two years for a state government agency. That government job does count as qualifying employment under the Public Service Loan Forgiveness (PSLF) program, but unfortunately, PSLF also requires 120 qualifying payments while working in public service. Since you haven’t made any payments yet, those two years don’t move you closer to forgiveness—at least not under current PSLF rules.
The same logic applies to Income-Driven Repayment (IDR) forgiveness. Plans like IBR, PAYE, and SAVE offer forgiveness after 20–25 years of payments. In your case, because your balance is under $12,000, you could be eligible for forgiveness in as little as 10 years of payments under the right version of SAVE—if that plan becomes available again (it’s currently paused due to litigation). But again, you’d still need to start making qualifying payments to get that clock ticking.
Also, since you’ve never made a payment, your loan may now be in default. That means it’s not eligible for PSLF or IDR until you resolve the default—typically through rehabilitation or consolidation. Default can also trigger collections and damage your credit, so getting the loan back into good standing should be your first priority.
Bottom line: You’re not locked out of forgiveness, but your clock hasn’t started yet. Once you’re out of default and back in a qualifying plan, you can begin earning credit toward forgiveness. If you worked in public service before, we may be able to help document that history—but you’ll still need to start making payments to move forward.
I would also add that policies are rapidly changing. There are a lot of nuances that we could help you with; like exploring which plan might make the sense for you based on forgiveness or lower payments, determine how student loan payments could fit with your overall financial goals, and review your tax strategy to see if there are any opportunities to lowering your AGI.
Hi,
If I reach the 120 payments before the 10 years, would that count? I have not made any actual payments yet, but my QP goes up whenever the employer certifies my employment, and it’s approved. For example, I have 52 qualifying payments, and I need 68 more to have loans forgiven for one loan. I am currently still waiting for other employment to be certified and approved. What if all the employee certification gets me to the 120 payments before the actual 10 years of me working at my current job? MOHELA has me set to start paying back in August 2025. I submitted and IDR application for income driven, and waiting for it to be processed.
Great question Rykendra, and this is one of those PSLF edge cases that trips a lot of people up.
The short answer is yes: if your employment certifications and the payment count adjustment combine to get you to 120 qualifying payments, you can absolutely qualify for PSLF before hitting 10 full calendar years of employment. PSLF is based on 120 qualifying payments, not 10 years on the job.
The reason people usually assume it takes 10 years is because, under normal conditions, you’d be making one qualifying payment each month while working full-time for a qualifying employer. But if your previous employers are now certifying large blocks of time—and especially if you were in repayment, deferment, or forbearance periods that are eligible under the one-time adjustment—those retroactive months can be counted, even if you haven’t started making payments under your new IDR plan yet.
So if those approved employment periods push you to 120 qualifying payments—even if it’s been only 9 years and 2 months, for example—you could be eligible for immediate forgiveness once the 120 are confirmed.
Next year is my 10th year working as a full time teacher, however I will not meet the 120 payments at that time. After I reach those 10 consecutive years as a teacher, would I be able to change jobs and continue making the required payments until I reach 120? or would those payments no longer count given that I no longer work as an educator?
Hi Leonardo, thanks for the question. This is one of those common “almost there” scenarios that trips up a lot of borrowers.
Here’s the deal: PSLF isn’t based on calendar years of service, it’s based on making 120 qualifying payments while working full-time for a qualifying employer. So even if you’ve taught for 10 straight years, if you haven’t made all 120 payments by the time you leave the job, you won’t be eligible for forgiveness just yet.
Now the good news: you don’t have to stay in education specifically. PSLF covers any qualifying public service job—nonprofits, government positions, school districts, etc. So as long as your next job is with another qualifying employer, you can keep making payments and finish out the 120.
But if you leave public service altogether, those payments you make after leaving won’t count. PSLF requires that you’re actively working full-time for a qualifying employer at the same time you’re making those payments.
So bottom line: if you’re close but not at 120 yet, don’t jump ship to the private sector just yet. Or if you do, make sure your next role still qualifies under PSLF rules. Once you hit that 120th payment while working in public service, the forgiveness kicks in.
Making a move after 10 years is a significant life event. This would be a great time to work with a financial planner to revisit not only your student debt strategy but your overall financial plan.
If I can make several qualifying payments in a month and have the 120 payments made before 10 years, can the rest of my loan be forgiven, or does it have to be 10 years?
You can only make one qualifying payment per month. The only exception is the buyback program where you can buy back previous months that didnt count.
If I work full time at a qualifying employer for 5 years, then go part time at a qualified PSLF can I still qualify for the PSLF?
Unfortunately, PSLF work needs to be considered full time for it to count. The one exception is that you can combine two part time jobs to add up to full time work. For example, 15 hours at one PSLF eligible employer and then 25 at another.
My daughter is finishing her teaching degree in a unique program where a school district pays her $10,000 a semester work her last two semesters of school (over 30 hrs a week) and she also earns college credits for student teaching, rather than traditional approach which is no pay for one semester of student teaching. As part of this, she is a public school employee and will get a W-2 and be taxed on the payments. She is currently in the SAVE plan on some of her loans (in administrative forbearance probably until Dec. 2025 which is her last month of student teaching). She wants to do PSLF. Should she switch out of SAVE now? Is her time student teaching for pay likely to count for PSLF for loans now in administrative forbearance?
That is a tricky situation. For starters, I can say that time on the SAVE litigation forbearance will not count toward PSLF. She could potentially switch to the IBR plan to start making progress toward PSLF, but I don’t want to make any assumptions about the eligiblity of her current work. My suggestion would be to reach out to the adminstrators of the program. You can’t be the first person with this question and I’d expect that they have explored PSLF before.
My wife has been a teacher and has loans going back to 2004; she has 10 years (120 months) of total service working in schools, but took breaks for grad school and for having our kids. We’ve got 120 payments. Do they need to have been at the same time?
Also, we used the 2022 window to switch my wife’s loan to a qualifying type with Mohela, and we submitted all of the PSLF paperwork to Mohela. I’ve also got a recording (with their knowledge) discussing all of this with Mohela’s rep. They seem to have lost all of this paperwork, and I’m not sure why but they put us in forebearance without asking. Is there any kind of class action lawsuit in process against Mohela based on their sabotage of this process?
I’ll start with the easy question, Tim. The 120 eligible payments do not have to be consecutive. Though I would also note PSLF was created in 2007, so time before it was created would not count.
The complicated question is about your income certifications and loan status. There is currently a lawsuit regarding the SAVE plan that has caused choas in all areas. If she was signed up for SAVE, it could explain the forbearance. Additionally, the Department of Education took over for MOHELA on the certification of PSLF payments and employment, and they are still trying to get caught back up on certifications.
I has student loans that are nearing the 120 months payments to qualify for PLSF. I recently went back to school and completed a masters degree with new loans. Are the loans treated separately? Am I still in line to get the first loans forgiven and begin a new 120 months for the new loan? I am a qualified service worker.
I think I’ve got some really good news for you.
Typically, the loans are all treated separately. However, there are a couple temporary programs you should no about, because there is potentially an excellent opportunity for you this month.
This summer they are doing a one-time adjustment on IDR payment counts and the adjustments will also cover PSLF progress.
As a part of this adjustment, people who consolidate before the June 30th deadline receive a more generous formula for determining progress toward forgiveness. This article about the recent extention breaks things down.
Hello,
My son just finished his graduate degree and just applied for the PSLF. He has been in the military since 2020 but has not made any payments toward his loan while he was still in school. I would like to know if my son can set up a repayment plan to pay back his loan starting in 2020. Thank you for any advice!
That is a great question, unfortunately, time on an in-school deferment can’t be used to count toward PSLF. The upcoming one-time adjustment will give borrowers credit for some deferements and forbearances to count toward PSLF, but the time during school will not count.
I just applied for the loan forgiveness program. It stated I didn’t qualify. I’ve been on my job 12 years (a nonprofit organization). It will be 13 years on 8/11/24. I thought I had made 120 payments. I’ve to have my employer validate I’ve been on my job since 8/11/2011. I don’t understand the reason for validation. If I didn’t meet the requirements. Please explain.
Hi Connie,
Did you submit the Employer Certification form using the PSLF Help Tool?
What reason did they use to say you were not eligible?
I think I would need some more details to explain this situation and to help you identify if there was a mistake or what to do next.
I have multiple loans from 2005 to 2016 (undergrad and graduate school). Do I need 120 qualifying payments under each of these individual loans? Or, once I hit 120 qualifying payments on my oldest loan, will the entire amount of all my loans be forgiven?
This is a great question Peter.
Generally speaking, it is per loan. So as each loan hits 120 qualifying payments, it can get forgiven.
However, there is a one-time update that is happening on IDR and PSLF payment progress. If you consolidate your loans now, the new consolidated loan will get credit for the full payment history.
So confusing! And I have a grad degree. 😉 Anyway, I only have 5 years (~$15.5k) left on my loan. I started repayment in 2005 (2006? at the latest) never missed a payment, so I’m all good on the 120 payments. My question is I worked for 1.5 years for the State, and just started a job at a non-profit (yes, both qualify). Do I need 10 years of public/non=profit service, or can I forgiveness for the period I did/am working?
Also, I currently have a ridiculously low fix rate. It seems like it’s telling me I have to move my loan. Does that mean giving up the rate?
Thanks,
Aaron
The important thing about those 120 payments is that you have eligible loans, on an eligible repayment plan, while working for an eligible employer. There are temporary programs to help people who were on the wrong repayment plan or timed consolidation wrong, but you still need a full 10 years of work at an eligible employer.
When you consolidate, they use the weighted average of your existing loans, so it shouldn’t change your rate. However, if you have an FFEL loan and a promotional interest rate, it will revert back to the rate of the original federal loan.
I want to understand what is considered a qualifying payment under the PSLF program. I have been in income based repayment plans basically since graduation and often had $0 required monthly. If the plan calls for a $0 payment does it still qualify? I’m not in any easier position to repay my loans than before and I hate have them hanging over my head. I also had a long term deferment due to bankruptcy.
$0 payments can qualify for PSLF, so long as you meet the other requirements.
If you haven’t already done so, I’d encourage you to submit an employer certification form. It is the best way to verify whether or not that time will count.
Thank you, yes I did so earlier this evening. I am really hoping I meet the qualifications, or will soon.
I have met the 120 Qualification on loan payments; however, I have not been with my eligible employer for 10 years. Will this qualify me?
I’m not sure I follow this question. Have you had 120 payments certified as eligible for PSLF?
You don’t have to be with the same employer for all 10 years. For example, you could work 5 years with one government agency and then 5 years with another.
The important thing is that for a total of 120 months, you had eligible payments, on eligible loans, with an eligible employer.
Lastly, be sure to keep in mind that even if you do reach 120 payments, you cannot leave your job right away.
Hello, so glad i came across this post. Thank you for the information. What counts as one of the 120 payments? Can I make 2 full payments in one month and it would count as 2 payments or would it only count as one? I have been working for the same eligible employers over the years and have been re certifying regularly and now have 80 certified payments under my belt. I am scheduled to have my loans forgiven by 2026 as having the loan balance make it difficult to apply for things like mortgages. I work a second job and would love to put that money to having my loans forgiven earlier, i just always assumed it had to be 10 years.
Unfortunately, you can only make one payment per month. Also, please remember that you will need to be in the PSLF job at the time you apply and when the loan is forgiven.
As for getting a mortgage, the new SAVE plan could be a big asset. If you really want to dig into ways to get your student loans ready for mortgage applications, be sure to check out this guide.
This makes sense. I kind of figured 2 payments wouldn’t going to count, worth asking though. Thanks for the guidance about having to be in the job at the time I apply, I didn’t know that. This job is relatively stable and I don’t see myself leaving before the forgiveness period. Do you know anything about the buyback program mentioned in the recent forbes article about the new changes? https://www.forbes.com/sites/adamminsky/2023/07/25/new-changes-expand-student-loan-forgiveness-for-public-service-borrowers/?sh=50da6702559d I can’t seem to find much and it doesn’t appear that they have implemented it yet. I am asking because I found potentially 9 months of forbearance that pushed my 120 payments schedule out. They were within the certified employment periods and i was working full time, but due to financial hardship I was not able to make the payments (partner lost their job or we were in transition). If i could make payments or get them to count somehow with the new rules that would be awesome. Thanks again for your helpful articles and responses.
Great question.
That buyback opportunity isn’t yet available, but it could be a great fit for your circumstance.
The only word of caution I would add is that you might get credit for that time under the one-time account adjustment, scheduled to take place in early 2024. If you have a total of 9 months of forbearance, it probably won’t count. However, if this time was classified as a deferment, it would count. I’d suggest double-checking the classification and then discussing it with your servicer.
someone told me that during the current loan forgiveness pause/ the moratorium on federal student loan payments, interest and collections, that started in March 2020, we have been getting monthly credits to reach the 120 qualifying payments requirement during this pause/moratorium even if we haven’t been making payments. Is this true?
Hi Jim. I’d rate that comment as mostly true. The time during the payment pause can count towards PSLF forgiveness. However, you still need to be working in a PSLF-eligible job and have eligible loans.
I consolidated my loans. I am close to the 120 payment mark on two of the loans. The other three have two years left. Am I eligible now for all of the loans or can I get those two forgiven?
If you consolidated the loans, the consolidated loan should have one count, and it will likely be the highest number of the included loans. Either way, I’d encourage you to apply now. Processing can take some time, and if you are not quite up to 120, you can always submit another PSLF form later on.
I had student loans with FedLoan Servicing, and I consolidated with Nelnet. My question is, will all the payments I have paid to FedLoan Service count even though I consolidated with Nelnet?
It is possible. What type of loan is your current loan with Nelnet? Is it a direct consolidation loan or an FFEL consolidation loan?
If you don’t know, you can look this information up on studentaid.gov
I received a notice saying I have 0 qualifying payments even though I have paid for 20 years. I know the processing times are long, but the letter sounded definite. I called the PSLF help number, but the wait times are a nightmare as you might imagine. Do I have any other recourse?
You could try emailing your servicer… but sometimes the long hold time is the only way to get answers. I’d suggest taking care of it before the repayment restart begins, because it will only get worse.
Hi! Like so may public servants, who were duped by the Bush Administration, I made 180 hefty payments for my consolidated FFEL loans beginning in 2007 prior to conversion to a DOE loan in 2022. My remaining loans were just forgiven through the TEPSLF. Outrageous that we can’t currently be reimbursed for the 60 extra payments, but I also made 2 very large extra payments (total 25K) during my repayment. My question is that since payments were suspended 03/13/2020, can I get reimbursed at least for the payments made after that date until the DOE consolidation this year? Thanks so much for your counsel.
It depends. It sounds like you were making payments on FFEL loans. Refunds are not available for those loans. If the extra payments were made towards a federal direct loan, you can get a refund.
According to the servicer, not any 10-year period qualifies, only late 2007 to 2017. I retired in 2013 with 38 years service. I was told I didn’t qualify for PSLF. This seems designed only to benefit people recruited during the Obama administration.
Thats a great point Darlene. The PSLF program wasn’t created until 2007 when then President George W. Bush signed it into law. Public service before the existence of the PSLF program does not count.
I met the 120 Qualifying Payments. I have been teaching for over 30 years in the public schools here in Massachusetts. I just got off the phone with PSLF Rep. and it will take at least another 1-3 months to be Forgiven. Why? I have met all the requirements. Should be immediate.
The PSLF processing times have been all over the place of late.
I’m in the same boat. I met all the requirements. I made 124 “qualifying” payments but my account still shows a balance. I was wondering how long it takes for my balance to reflect the forgiveness. Glad you asked.
One of my bosses told me it took almost four months for their 120 months of qualified payments to be certified. She was also told not to leave her public service employer before she got the certification approved.
I still have four years to go. But the four-month wait for certification has made me think about my retirement date. Instead of July 2027, my retirement date goes to December 2027. If I work till July 2028, my pension benefit will increase from 24% to 26% of my final average salary. But I’ll be 71 years old versus 70.
Definitely a big decision.
You are smart to be careful about your exact retirement date. You will need to finalize PSLF first.