Funding & Loan Repayment

The Complete Loan Repayment Guide for Healthcare Workers

PSLF, NHSC, CalHealthCares, NURSE Corps, and every other program that can eliminate your student debt — explained clearly, with eligibility requirements and strategic guidance.

The Most Important Thing to Know About PSLF

PSLF forgives 100% of your remaining federal student loan balance after 10 years of qualifying payments while working full-time for a qualifying employer. The forgiven amount is not taxable under current law. This is not a small benefit — for nurses with $60,000–$150,000 in student debt, PSLF can be worth more than a $30,000 salary increase.

Qualifying employers include: All federal, state, and local government agencies (including CDCR, VA, county health departments, public universities) and 501(c)(3) nonprofit hospitals and health systems. Private for-profit hospitals do not qualify.

Loan Repayment Programs

These programs are not mutually exclusive. PSLF can be combined with NHSC, NURSE Corps, or CalHealthCares — though the same loan balance cannot be forgiven twice.

Federal

Public Service Loan Forgiveness (PSLF)

Amount

100% of remaining federal loan balance

Timeline

10 years / 120 qualifying payments

Eligibility: Full-time employment at a 501(c)(3) nonprofit, government agency, or public school. Must be on an income-driven repayment plan.

Best for: Nurses, civil servants, and allied health workers at hospitals, government agencies, or nonprofits

⚠️ PSLF requires careful documentation. Submit the Employment Certification Form annually — do not wait until year 10.

Federal — HRSA

NHSC Loan Repayment Program

Amount

Up to $50,000 (2-year commitment)

Timeline

2-year service commitment

Eligibility: Primary care clinicians (NPs, PAs, CNMs, physicians) working full-time at an NHSC-approved site in a Health Professional Shortage Area (HPSA).

Best for: Nurse Practitioners and CNMs in underserved communities

⚠️ NHSC sites must be HRSA-approved. Verify site eligibility before accepting a position.

Federal — HRSA

NHSC Students to Service

Amount

Up to $120,000

Timeline

3-year service commitment

Eligibility: Final-year students in primary care health professions programs. Must commit to serving at an NHSC-approved site.

Best for: NP students in their final year of training

California State

CalHealthCares Loan Repayment Program

Amount

Up to $300,000 (physicians) / $150,000 (NPs, PAs)

Timeline

5-year service commitment

Eligibility: Licensed healthcare providers who commit to serving Medi-Cal patients at a qualifying site for 5 years.

Best for: NPs and PAs in California serving Medi-Cal populations

⚠️ CalHealthCares is funded annually and applications open on a rolling basis. Monitor OSHPD for application windows.

Federal — HRSA

NURSE Corps Loan Repayment Program

Amount

60% of unpaid nursing education debt (2 years) + 25% for optional 3rd year

Timeline

2–3 year service commitment

Eligibility: RNs and advanced practice RNs working at a Critical Shortage Facility (CSF) in a HPSA.

Best for: RNs at critical access hospitals, rural health clinics, and federally qualified health centers

Federal — IHS

Indian Health Service Loan Repayment

Amount

Up to $40,000 (2-year commitment)

Timeline

2-year service commitment

Eligibility: Healthcare professionals who commit to serving in Indian health programs. Renewable annually.

Best for: Nurses and allied health workers interested in serving tribal communities

Military — Branch Specific

Military Loan Repayment (Active Duty)

Amount

Up to $65,000 (Army); varies by branch

Timeline

3–6 year service commitment

Eligibility: Enlisted and officer healthcare personnel. Varies significantly by branch, MOS/AFSC, and current needs.

Best for: Nurses and allied health workers considering military service

⚠️ Military loan repayment is subject to change based on recruiting needs. Verify current offers with a recruiter.

Income-Driven Repayment Plans

To qualify for PSLF, you must be enrolled in an income-driven repayment (IDR) plan. Standard 10-year repayment also qualifies, but IDR plans typically result in lower monthly payments and a larger forgiven balance at year 10.

Plan	Monthly Payment	Forgiveness Timeline	Notes
SAVE (Saving on a Valuable Education)	5–10% of discretionary income	10–20 years	The most favorable IDR plan for most borrowers as of 2024. Replaces REPAYE.
PAYE (Pay As You Earn)	10% of discretionary income	20 years	Requires financial hardship demonstration. Caps payments at standard 10-year amount.
IBR (Income-Based Repayment)	10–15% of discretionary income	20–25 years	Most widely available. 10% for new borrowers after July 1, 2014; 15% for older loans.
ICR (Income-Contingent Repayment)	20% of discretionary income or fixed 12-year amount	25 years	Least favorable of the IDR plans. Use only if others are unavailable.

Track Your PSLF Progress

Use our PSLF Tracker to log qualifying payments, employer certifications, and project your forgiveness date.

PSLF Tracker Tool PSLF Calculator