How to Get Ahead of Your Student Loan Debt

If you have student loan debt, you aren’t alone. Total student loan debt among Americans is $1.75 trillion, with the average borrower owing $28,950.

According to The College Board, students and parents took out over $99 billion in federal and private student loans for the 2023-2024 academic year.

If you completed a bachelor’s degree program, you likely have several outstanding student loans, all with their own due dates and minimum payment amounts. Combined, these accounts can take up a significant amount of your monthly income, making it difficult to get out of debt and afford your other expenses.

If you’re overwhelmed by your education debt, you can manage your loans more effectively and make your payments more affordable with these eight tips:

1. Verify how much student loan debt you owe.

College students often leave school with several student loans, so the first step in developing a student loan repayment strategy is identifying all of your loans, finding out what companies are managing each account, and determining how much you owe.

Federal student loans

If you have federal student loans, there are two ways to find your loans:

1. StudentAid.gov

You likely already have a StudentAid.gov account from when you completed the Free Application for Federal Student Aid (FAFSA) and took out your loans. You can log into the account and find out who your loan servicer is so you can make payments or contact the servicer with questions.

2. Federal Student Aid Information Center (FSAIC)

You can call the FSAIC to get help finding your loans at 1-800-433-3243.

Private student loans

StudentAid.gov and the FSAIC only have information about federal student loans. If you have private student loans, you’ll instead have to find them through your credit reports.

You can view your credit reports from each of the three major credit reporting agencies— Equifax, Experian, and TransUnion—at AnnualCreditReport.com.

Previously, you could only view a free credit report from each of the credit bureaus once a year. However, as of 2025, you can now view your credit reports from each credit bureau on a weekly basis.

Your credit report will list all of the outstanding loans under your name and the lender holding them. Once you have that information, you can create online accounts with each lender to view your loans and make payments.

2. Evaluate your income.

Next, think about your income and your debt, including other debt beside your student loans, such as credit card balances or car loans.

Include all of your fixed bills, such as your rent, car payment and insurance, and estimate how much you spend on groceries, clothing, transportation, prescription medications, and other essentials. (Don’t forget to budget for savings and retirement account contributions, too.) Add in your incidental spending, including how much you spend on entertainment or nights out with friends, by reviewing expenditures on your debit card or through any payment apps you use.

For the most accurate look at your income and spending, keep a spending diary for the next 30 days to see exactly where you spend your money. Compare that with your income over that same period. That will give you a full financial picture, show you how much you have left at the end of each month, and allow you to create your loan repayment strategy.

3. Pay more of your student loan debt than the minimum due.

For illustrative purposes, let’s say your student loan debt looks like this, two years after graduation, with eight years remaining on the standard 10-year repayment schedule for federal loans (the payment length varies for private loans):

Loan 1: $719.16 at 3.760% fixed-rate interest
Loan 2: $4,632.75 at 4.290% fixed
Loan 3: $2,840.55 at 4.660% fixed
Loan 4: $5,027.52 at 3.760% fixed

Using a student loan calculator, you determine that the combined minimum payment for these loans is $162.01 per month. Your monthly budget shows you can afford to pay double that amount (which will accelerate your repayment plan, and save you money in interest).

Where do you put that extra $162? You can assign it to a specific loan rather than spread the money over each loan through the debt avalanche or debt snowball methods. Which approach to use depends on your goals.

Debt avalanche

If you follow the debt avalanche repayment strategy, you put the extra money toward the debt with the highest interest rate; in this case, that’s loan #3. By targeting the loan with the highest rate, you’ll save more money in interest and pay off your total debt faster. Once it’s paid off, you re-allocate that extra $162 to the loan with the next highest rate, loan #2.

Debt snowball

Some people opt to follow the debt snowball method, which targets the loan with the smallest balance rather than the highest rate. The thought process is that you’ll pay off the account faster, giving you a psychological boost which can help you stay motivated. Under this approach, you’d target loan #1 first. Once the small loan is paid off, you can roll the payment you were making toward the loan with the next smallest balance; in this case, that would be loan #3.

You can use the debt avalanche vs. debt snowball calculator to figure out which plan would be best for you.

4. Consider student loan refinancing.

Depending on when you took out your student loans and, in the case of private loans, your credit at the time you took them out, they could have high rates. As of 2025, student loans can have rates ranging anywhere from 3.5% to 18.00%.

Refinancing your loan at a lower interest rate can reduce your monthly payments, allowing you to put more money toward your loan in the long run.

For instance, say you had $10,000 in loans with a 10-year term and a 5.00% rate. If you refinanced and qualified for a 10-year loan at 3.75%, you’d reduce your total repayment amount by over $700.

However, think twice before refinancing federal loans. Refinancing federal student loans transfers them to private lenders, and you’ll no longer qualify for federal loan programs like income-driven repayment plans or loan forgiveness.

5. Ask your employer for help.

According to the International Foundation of Employee Benefit Plans, approximately 14% of employers offer student loan benefits to their workers. With these programs, employers match the worker’s student loan payment amount, up to a monthly maximum. For example, if your employer offers student loan repayment benefits, they may be willing to match your payments up to a maximum of $150 per month.

With your employer’s help, you can reduce your total interest and pay off your loans years ahead of schedule. Talk to your human resources department to find out if student loan repayment benefits are available.

6. Claim student loan interest tax deductions.

If you made payments toward your student loan debt, you may be eligible for the student loan interest tax deduction (consult your tax advisor). You can deduct the interest you paid toward federal or private loans or $2,500, whichever is less.

Claiming the deduction can reduce your taxable income. In turn, you may have a smaller tax bill or even qualify for a larger tax refund you can use to make a lump sum payment toward your debt.

7. Other ways to increase your student loan repayment.

If your budget doesn’t allow you to put additional funds toward your payment, or if you’d like to find a way to pay even more, you’ll have to get creative with coming up with some extra cash. Some are easy; some require sacrifices.

Put extra money toward your loans.

Receive a tax refund? Bonus? Get a raise? Make a lump-sum payment or increase your monthly payment whenever possible. A $25 a week increase in your take-home pay is $1,300 a year that can go toward your student loans.

Cancel unused subscriptions.

Perhaps you subscribe to several streaming services or apps. Canceling even just one or two can give you more money to put toward your loans.

Cook at home.

Dining out or ordering food through delivery services can be expensive. Meal planning and cooking at home can save you hundreds each month.

Get a roommate.

If your rent and utility bills are high, getting a roommate can slash your bills in half, giving you more breathing room in your budget.

Pick up a side gig.

Side gigs like delivering groceries, pet-sitting, graphic design, or even assembling furniture can allow you to earn more money in your spare time.

Sell unused items.

Your career might mean you don’t have time to play video games anymore, or you just might not use that expensive handbag you received as a gift very much. An influx of a few hundred dollars from selling some unused things online could fund an extra payment on your loan.

8. Consider other repayment options.

The sooner you pay off your student loans the better. But we all know that making even the minimum payment can be tough under certain circumstances.

The federal government recognizes some student loan recipients might have a hard time making their monthly payments, either on a short- or long-term basis.

If you have federal loans, you can apply for an income-driven repayment plan that is based on a percentage of your discretionary income. These repayment plans have longer terms—depending on the plan and loan type, the term is either 20 or 25 years. If you still have a balance at the end of your repayment term, the government will discharge the remaining amount.

Because these plans have longer repayment terms, you may end up paying more over the life of the loan. However, the reduced payment amount can make it easier to manage your payments, particularly when you’re just starting out in your career.

There are currently three repayment plans:

1. Income-Contingent Repayment (ICR)

The ICR plan caps payments at 20% of your discretionary income, with a repayment term of 25 years.

2. Income-Based Repayment (IBR)

With IBR, payments are capped at 15% of your discretionary income, and the repayment term is 25 years.

3. Pay As You Earn (PAYE)

Under PAYE, the payments are 10% of your discretionary income, with a 20-year term.

Note: The Saving on a Valuable Education (SAVE) plan introduced in 2024 is no longer available.

You can see how much your payments would be under each of these plans by using the Federal Loan Simulator tool.

The government also allows you to apply for forbearance or deferment, which allow you to postpone your student loan payments. While it sounds attractive, this option should be used in emergencies, such as after losing your job or while undergoing medical treatments, because interest may continue to accrue, increasing your overall loan cost.

In conclusion

You didn’t earn your college degree overnight, and you won’t pay off the student loan debt overnight, either. But with a solid repayment strategy, and by staying on top of how much you owe on a regular basis, you’ll be able to whittle down those loans and pay them off before their scheduled end date.