Income-Driven Repayment (IDR) plans permit federal student loan borrowers to make payments each month that are based on income and family size. Borrowers have to recertify income and family size annually in order to be eligible and get payments modified to suit circumstances. Recertification may bring a change in the monthly payments for the coming year.
Knowing the recertification process
You need to recertify each year as a federal student loan borrower under IDR plans. Even if you have not had a change in family size or income, you are required to submit new information each year. If you do not, you could be required to pay more or be placed in another payment plan. Your servicer has a duty to notify you at least three months prior to your recertification date, in time for you to act on it.
Recertification deadlines and extensions
The US Department of Education has also provided assurance that IDR plan recertification will not be required until at least February 2026. Relief is for borrowers who are already enrolled in plans such as Income-Based Repayment (IBR) and Pay As You Earn (PAYE). However, do ensure you remain in compliance with any changes and maintain contact with your loan servicer so that you remain in compliance with new deadlines.
Steps to recertify your income
When you must recertify, you have two general options:
- Online recertification:
- Visit the Federal Student Aid website at StudentAid.gov/IDR.
- Sign in with your Federal Student Aid (FSA) ID.
- Select the option to recertify your IDR plan that you have in place.
- Provide updated information regarding your job status, residents of your house, marriage, and income.
- You have the option of electronically having the IRS Data Retrievaluation Tool deliver your income details with a save-on-time approach.
- Check your information and transmit.
Recertification online usually proves quicker, further augmented with electronic receipt verification confirmation, useful in keeping you provided with documented assurance.
- Paper recertification
- Get the Income-Driven Repayment Plan Request form from your loan servicer or at StudentAid.gov.
- Fill out the form with your current income and family size information.
- Include any supporting documents, such as your latest federal income tax return or other proof of income such as pay stubs.
- Submit the form and documents to your loan servicer.
While this takes a longer process, it is available for those customers who would like or must have things in paper form.
Automatic recertification
The Department of Education provides automatic recertification to borrowers who will allow their tax return information to be accessed on an annual basis. By doing so, your IDR plan is automatically recalculated according to your last year’s tax return, reducing administrative burden. To consent, log into StudentAid.gov and finalize the automatic recertification.
Consequences of missing the recertification deadline
Failing to recertify by the deadline can lead to several consequences, depending on your specific IDR plan:
- Payment increase: Your monthly payments may no longer be based on your income, potentially resulting in higher amounts.
- Capitalization of interest: Any unpaid interest may be added to your loan principal, increasing the total amount owed.
- Change in terms of repayment: You will be placed on a different payment plan, altering the terms and life of your loan.
Evasive of all these aggravations, there is the requirement to meet deadlines for recertification and notify your lender.
Early recertification
If you are going through significant changes in income or household size before your annual date of recertification, you qualify to apply for early recertification for revising the payment changes. It is an anticipatory measure that enables your payments to be affordable and in your current economic position.
Being informed during policy changes
There has been recent judicial action that resulted in temporary delays and revisions of IDR applications and recertifications.
For instance, last February 2025, a federal appeals court decision briefly removed IDR applications from the Federal Student Aid website. Though already re-opened since then, any ensuing legal and administrative progression still has the potential to impact the recertification process. It is therefore crucial to be thoroughly informed of the latest developments by closely monitoring official notices from the Department of Education and your loan servicer consistently.
