 TITLE: What Is Income-Based Repayment? CONTENT: How Much Will My Payments Be for Income-Based Repayment?\n--------------------------------------------------------\nIf you qualify for an IBR plan, your monthly payment will be determined by two things: your discretionary income and when you became a new borrower of federal loans.\nIf you were a new borrower before July 1, 2014, your payment would be 15% of your discretionary income. If you became a new borrower on or after that date, though, it'd be 10% of your discretionary income.\nYour discretionary income is the difference between your annual household income and 150% of the poverty guideline for your state and family size. To get an accurate estimate of what your payment will be, use the Department of Education's loan simulator tool.\nAlso, note that your payment will not remain the same for the remainder of your repayment term. Each year, you'll be required to recertify your income and family size with your loan servicer. Also, federal poverty guidelines can change from year to year. Each year when you recertify, your monthly payment will be recalculated based on the updated information.\nIf you neglect to recertify your income and family size, you'll remain on the IBR plan, but your monthly payment will revert to what you were paying on the original 10-year standard repayment plan until you provide your servicer with the necessary details. END