Adjusted Gross Income
AGI is usually Line 11 on IRS Form 1040. RAP uses AGI to find the bracket rate that drives the payment estimate.
What RAP changes
RAP ties payment to Adjusted Gross Income (AGI), dependents, and an income bracket. Instead of calculating only from loan balance and interest rate, RAP starts with income, applies a bracket percentage, divides by 12, subtracts a dependent allowance, and applies a $10 minimum monthly payment.
RAP takes effect on July 1, 2026. For the timeline — what changes that day, who must act, and the firm July 1, 2028 deadline — see the July 1, 2026 deadline guide.
The basic estimate is:
Monthly RAP payment = max($10, AGI x bracket rate / 12 - dependents x $50)
Informational only. Not financial, tax, or legal advice. Always verify your actual payment with your loan servicer and at StudentAid.gov.
The inputs that matter
Dependents
Each dependent you claim on your federal tax return reduces the monthly payment by $50 before the $10 minimum applies.
Loan balance
Balance does not drive the basic RAP payment, but it matters for interest growth, forgiveness, and possible tax-bomb planning.
Recertification
Income-driven plans generally require annual income recertification with the loan servicer. Missing it can create payment shock.
Planning tips before choosing a repayment path
- Use a calculator to compare your monthly RAP payment against Standard 10-Year and IBR-style scenarios.
- Check whether dependent deductions materially lower the payment or whether the $10 minimum already applies.
- Model income growth. A payment that looks manageable today can change as AGI rises.
- Watch negative amortization. If your payment is below monthly interest, the balance can grow over time.
- Plan for annual recertification. Put the date somewhere you will actually see it.
- Ask your servicer to confirm eligibility, exact payment, and how your loan type is treated.
How RAPlan helps
The free web calculator estimates the monthly payment from AGI and dependents. The RAPlan app adds saved scenarios, income-growth projections, IBR comparison, tax-bomb estimates, and annual recertification reminders.
Open the free RAP calculator or download RAPlan on the App Store.