The federal government may forgive all or part of teachers’ and nurses’ federal student loans if the students meet certain requirements, the Kentucky Higher Education Assistance Authority has reported.
The authority, or KHEAA, explained the forgiveness options by saying:
For teachers to qualify, he or she must teach at least five, full years in a low-income school in an eligible district. Depending on the teacher’s field, he or she may have up to $17,500 in student loans forgiven. For complete details, visit www.ed.gov.
For nurses to qualify, he or she must be at least a registered nurse and agree to work full time for at least two years in a critical shortage facility. Those who fulfill that requirement will have 60 percent of their loan balance forgiven. Another 25 percent will be forgiven if you work a third year. Nurses teaching at an accredited school of nursing may also qualify. For complete details, visit https://bhw.hrsa.gov.
KHEAA also said the Internal Revenue Service counts the amount forgiven as income. Those seeking forgiveness of a loan should talk with a tax professional to understand the impact it may have on their taxes, the administration said.
KHEAA is a public, non-profit agency established in 1966 to improve students’ access to college. It provides information about financial aid and financial literacy at no cost to students and parents. To learn more about those services, visit www.kheaa.com.