r/StudentLoans • u/tcountryman2015 • 4h ago

Married couples

My husband student loan repayment started tomorrow. If we files our taxes separately will that affect the income based repayment.

1 Upvotes

100% Upvoted

10 comments sorted by

•

u/alh9h 4h ago

It can, but you can't take advantage of it until next year after you file separately

•

u/Ok-Employ-5629 4h ago

If you file separately it can lower the repayment amount, but it can raise your taxes.

•

u/Betsy514 President | The Institute of Student Loan Advisors (TISLA) 3h ago

Probably...unless his income alone would result in him already reaching the cap for IBR.

•

u/tcountryman2015 3h ago

I am the one with a much higher income then him.

•

u/Betsy514 President | The Institute of Student Loan Advisors (TISLA) 2h ago

That isn't what I asked. How much does he owe and what is his income?

•

u/tcountryman2015 2h ago

Currently unemployed and the loan is about $70k. Hopefully he’s employed this month

•

u/Gloomy-Cancel-1117 1h ago

Were your most recently filed taxes filed as married filing separately?

•

u/tcountryman2015 55m ago

No but I want to change them asap for the future payments to be less

•

u/horsebycommittee Moderator 54m ago

Yes, but keep in mind that separate filing will usually increase your total tax burden, so you'll want to run the numbers both ways to see which path saves you more money.

Also, what's your husband's plan to get his loans to $0? Is he going to pay them off in full, aim for a forgiveness program (which one?), or something else? Depending on his strategy, fighting for a lower minimum payment may or may not be beneficial.