Repayment plans
RAP vs IBR for dentists: which plan fits your dental school loans?
Since July 1, 2026, the Repayment Assistance Plan (RAP) is the only income-driven plan for new federal loans. If you borrowed earlier, you may still choose between RAP and a revised Income-Based Repayment (IBR). Here is how they differ for a dentist's income and debt.
Last updated October 2, 2026
The short answer
- New loans (first disbursed on or after July 1, 2026)
- Your repayment choices are RAP and the Tiered Standard plan. IBR is not available for these loans.
- Loans from before July 1, 2026
- You can choose RAP or IBR until July 1, 2028. Confirm which plans apply to each of your loans on StudentAid.gov.
- Private loans
- Neither plan applies. Private loans have no income-based repayment or forgiveness.
RAP and IBR compared
| RAP | IBR | |
|---|---|---|
| Who can use it | Any Direct loan borrower, including new loans after July 1, 2026 | Only loans first disbursed before July 1, 2026 |
| How the payment is set | A percentage of your adjusted gross income (AGI), from 1% to 10% in bands of $10,000, applied to your whole AGI | 10% of income above 150% of the poverty line (15% if you borrowed before July 1, 2014) |
| Highest rate | 10% of AGI once AGI is over $100,000 | 10% or 15% of income above 150% of the poverty line |
| Payment cap | None, so the payment keeps rising with income | Never more than the 10-year standard payment |
| Minimum payment | $10 a month | Can be $0 at low income |
| Children | $50 off the monthly payment per dependent child, never below $10 | Counted in family size, which raises the poverty line |
| If the payment does not cover interest | The unpaid interest is waived | Depends on the plan rules for your loans; check StudentAid.gov |
| Principal help | The government matches up to $50 of principal a month when your payment is smaller | No principal match |
| Forgiveness | After 30 years (360 payments) | After 20 years (240 payments) for newer borrowers, 25 years (300) if you borrowed before July 1, 2014 |
| Counts for PSLF | Yes, with qualifying employment | Yes, with qualifying employment |
| Tax on forgiveness | Forgiven amounts may be taxed as income (PSLF is federally tax-free) | Same |
A worked example: $300,000 balance, $150,000 income
Single, no children, a $300,000 balance at 7.5%, and an adjusted gross income of $150,000. Figures use the 2026 rules in our planner and are illustrations, not a quote.
| Plan | Monthly payment | How it is set |
|---|---|---|
| RAP (new loans) | $1,250 | 10% of $150,000 divided by 12. |
| Tiered Standard (new loans) | $2,217 | A $300,000 balance falls in the 25-year tier. |
| IBR, borrowed after July 1, 2014 (older loans) | $1,051 | 10% of income above 150% of the poverty line, capped at the 10-year standard payment. |
| IBR, borrowed before July 1, 2014 (older loans) | $1,576 | The 15% version. |
| 10-year standard (older loans) | $3,561 | The payment IBR is capped at, for reference. |
What to weigh as a dentist
- RAP's payment rises with every raise and has no cap. A dentist earning $250,000 pays about $2,083 a month under RAP, where a capped IBR payment would stop at the 10-year standard amount.
- RAP's interest waiver and principal match mean your balance should not grow while you make on-time payments, which can matter in residency or a lower-paid first year.
- Forgiveness takes 30 years under RAP but 20 or 25 under IBR. Most dentists on a high income pay their loans off long before forgiveness, so it matters most for those on public service or part-time paths.
- For PSLF, the plan changes your monthly payment, not the 120-payment count. A lower payment on a qualifying employer can mean more forgiven.
- Refinancing with a private lender can lower your rate, but it ends access to RAP, IBR, PSLF and federal protections. See our refinancing guide before you decide.
Common questions
- Is RAP better than IBR for a dentist?
- It depends on your income, balance and how long you plan to be in repayment. RAP usually gives a lower payment at a modest income and waives unpaid interest, while IBR caps the payment at the 10-year standard amount and forgives after 20 or 25 years. If you borrowed before July 1, 2026, you can compare both with your own numbers in the planner.
- Can I still choose IBR as a new dental student?
- Not for loans first disbursed on or after July 1, 2026. For those loans your choices are RAP and the Tiered Standard plan. Loans you took out before that date may keep IBR as an option until July 1, 2028.
- How much will I pay on RAP as a dentist?
- RAP charges a percentage of your adjusted gross income, from 1% in the lowest band up to 10% over $100,000, then divides by 12 and subtracts $50 per child. At a $150,000 income that is about $1,250 a month before any child discount.
- Does RAP or IBR count toward PSLF?
- Yes, payments under either plan can count toward the 120 payments for Public Service Loan Forgiveness if you work for a qualifying employer. Confirm your employer and payment count on StudentAid.gov.
- Will forgiven loan balances be taxed?
- Balances forgiven under RAP or IBR may be taxed as income when they are discharged. PSLF forgiveness is not taxed at the federal level. Talk to a tax professional about your situation.