SoFi

Even if your parents are high earners (or you’re a grad student with a good salary), it’s worth filling out the Free Application for Federal Student Aid, or FAFSA®. While your earnings are a factor on the FAFSA, there are no set income limits to apply or to qualify for aid, and not all programs are based on need. The FAFSA also provides access to non-need-based programs, including institutional merit aid and unsubsidized federal loans.

Regardless of income, It’s generally recommended to fill out the FAFSA as close to its release date as possible. Typically, the FAFSA opens on October 1 for the following academic year.

Read on to learn more about income requirements to be eligible for financial aid and why it’s probably a good idea to fill out the FAFSA.

What Are FAFSA Income Limits?

There is no income maximum when you file the FAFSA as an undergraduate or graduate student to attend college or career school. In other words, any student attending or applying to an eligible school can fill out and submit the online form, even if they or their parents are higher earners.

In addition, there are no simple income cutoffs for financial aid eligibility, in part due to the complexity of financial aid formulas.

In general, to be eligible for financial aid, you’ll need to:

•   Have a high school diploma or a recognized equivalency, such as a GED, or have completed a state-approved home-school high school education

•   Demonstrate financial need (for most programs)

•   Be a U.S. citizen or an eligible noncitizen

•   Have a valid Social Security Number

•   Be enrolled or accepted for enrollment as a regular student in an eligible degree or certificate program

•   Maintain satisfactory academic progress in college if you’re already enrolled. Standards for satisfactory academic progress vary by school

💡 Quick Tip: Make no payments on SoFi private student loans for six months after graduation.

How Are FAFSA Needs Calculated?

Your eligibility for scholarships, grants, work-study, and federal student loans depends on two key factors: your Student Aid Index (SAI) and the school’s cost of attendance (COA).

If you’re a dependent student with divorced parents, the parent who provided more financial support to you during the last 12 months should complete the FAFSA. If both parents provided an equal amount of financial support (or if they don’t support you financially), the parent with the greater income and assets should fill out the FAFSA.

SAI

The Student Aid Index (SAI) is an eligibility index number (ranging from –1500 to 9999990) that a college’s financial aid office uses to determine how much federal aid a student would receive if they attended the school.

SAI is calculated using the information you provide in the FAFSA. The formula assesses you and your parents’ total financial resources (including income and assets), then deducts the minimum amount needed for your family’s normal annual living expenses. The remaining amount may, in part, be allocated for college expenses.

Where you fall on the SAI scale helps your school determine what level of financial support you may need.

Recommended: Harvard University Cost

Cost of Attendance

The cost of attendance (COA) of a college or university refers to the estimated cost of a year of attendance at that school, including tuition, lodging, food, local transportation, and personal expenses.

When financial aid staffers at a college or university calculate the amount of financial aid you can qualify for, they consider your SAI, any other financial assistance you are already receiving, and the school’s COA to determine your financial need.

You can get an estimate of how much financial aid you might qualify for by using the government’s Federal Student Aid Estimator .

Grants and Loans That Require Financial Need

Federal grants and loans that require you to demonstrate financial need in order to qualify include:

•   Federal Pell Grants

•   Federal Supplemental Educational Opportunity Grants

•   Federal Work-Study Program

•   Direct Subsidized Loans

Different Kinds of Financial Aid

Submitting the FAFSA puts you in the running for need-based, as well as non-need-based, aid. Depending on your financial profile, here’s what you may be able to get by completing the form.

Pell Grants

The Pell Grant is a need-based financial aid program from the federal government that is designed to help undergraduates from low-income families afford college. The Federal Pell Grant award amount changes yearly. The maximum Pell Grant award for the 2025-26 academic year is $7,395.

The actual amount of Pell Grant you can receive depends on your SAI, the COA at your college or university, your status as a full-time or part-time student, and the amount of time that you will attend school during the academic year.

FSEOG

The Federal Supplemental Educational Opportunity Grant (FSEOG), which typically doesn’t have to be repaid (unless you don’t fulfill your end of the bargain by completing school), goes to students who demonstrate exceptional need, as determined through the FAFSA.

The awards range $100 to $4,000 a year. The amount of money you can get depends not only on your level of need but also on when you apply, the amount of other aid you get, and how much your college or university can offer students.

Work-Study Programs

Work-study is a federal program that helps college students with financial need get part-time jobs either on or off campus to earn money for college. Students are typically responsible for securing their own work-study jobs.

Not all schools offer work-study, so it’s a good idea to reach out to the financial aid offices at the schools you’re interested in to see if they offer the program. To apply for work-study, you simply need to select the box on the FAFSA that indicates you want to be considered for work-study.

Direct Subsidized Loans

A Direct Subsidized Loan is a loan provided by the federal government for students who demonstrate financial need. You do not have to pay interest on the loan while you’re in school, during any deferment, or for six months after you graduate (known as the grace period). The government picks up this tab.

Before receiving the funds from a Direct Subsidized Loan, you need to complete entrance counseling, which goes over your obligation to repay the loan, and sign a master promissory note, which indicates that you agree to the loan terms.

For undergraduate students who get (or got) loans after July 1, 2025 and before July 1, 2026, the interest rate for Direct Subsidized Loans is 6.39%.

Direct Unsubsidized Loans

Like a Direct Subsidized Loan, a Direct Unsubsidized Loan comes from the federal government, but graduate and professional students can also receive these loans.

Unlike Direct Subsidized Loans, Direct Unsubsidized Loans are non-need based and the government does not pay the interest while you’re in school, during any deferment, and during the grace period. You will be responsible for paying all interest, which begins accruing as soon as the loan is dispersed.

For undergraduate students who get (or got) loans after July 1, 2025 and before July 1, 2026, the interest rate for Direct Unsubsidized Loans is 6.39%.

For graduate or professional students, the interest rate for Direct Unsubsidized loans is 7.94%.

It’s worth noting that for both types of Direct loans, you do not need to undergo a credit check in order to qualify. These types of loans also have annual and aggregate loan limits.

Direct PLUS Loan

Parents of undergraduate students and graduate or professional students can receive a Direct PLUS Loan from a school that participates in the Direct Loan Program. Some schools call this loan type a parent PLUS loan or grad PLUS loan to differentiate the two.

For Direct PLUS Loans first disbursed on or after July 1, 2025, and before July 1, 2026, the interest rate is 8.94%.

You’ll undergo a credit check as a parent or a graduate/professional student to look for adverse events, but eligibility does not depend on your credit scores.

(Note: As of July 1, 2026, Federal Direct PLUS Loans for graduate students will no longer be available. Federal Direct Loans will remain, however, and are available to graduate and professional students.)


💡 Quick Tip: Parents and sponsors with strong credit and income may find competitive rates on no-fees-required private parent student loans than federal parent PLUS loans. Federal PLUS loans also come with an origination fee.

Beyond Federal Student Loans

Do you have to file the FAFSA? No, it’s not required, but it is a good idea to do so. Schools, states, and other programs also use the FAFSA to determine merit-based grants and scholarships.

Aside from federal loans, here’s a look at other ways to pay for college.

Savings

Some parents, and grandparents, prepare for the task of paying for college well in advance using a tax-advantaged savings account, such as a 529 account. A 529 plan allows your savings to grow tax-free, and some states even offer a tax deduction on your contributions.The advantage of tapping into savings is obvious: You don’t have to borrow funds and pay interest.

Private Student Loans

Private student loans come from a bank, credit union, or other private lender. Loan limits vary by lender, but you can often get up to the total cost of attendance for school. Each lender sets its own interest rate and you can often choose to go with a fixed or variable rate. Unlike some federal loans, qualification is not need-based. However, you will need to undergo a credit check, and students often need a cosigner.

You generally want to exhaust federal loan options before turning to private student loans, since private loans generally don’t offer the borrower protections — like income-based repayment and forbearance — that come with federal student loans.

Grants

Grants, which are typically need-based, are a type of financial aid that students generally don’t have to repay. The federal grant program includes the Pell Grant, Federal Supplemental Educational Opportunity Grant, and Teacher Education Assistance for College and Higher Education (TEACH) Grant.

A student can seek other grants from their state, their college or career school, or another organization.

Scholarships

Scholarships, like grants, are a type of financial aid that you don’t have to pay back. Scholarships are available through a wide variety of sources, including professional organizations, your job or your parents’ jobs, local organizations, religious groups, your college or career school, and more.

There are a number of scholarship finders available online.

Part-Time Work

Even if you don’t qualify for work-study, you can look for a part-time job. If you have the time and energy to pair a part-time job with your studies, you can consider doing so after classes or on the weekends. Part-time work can help you pay for school or additional expenses, such as rent or groceries.

The Takeaway

There are no income limits for filing the FAFSA, and completing it can open the door to a wide range of financial aid opportunities — from need-based grants and work-study programs to merit aid and federal loans. Even if you or your parents earn a higher income, submitting the FAFSA early ensures you won’t miss out on potential opportunities to lower the cost of college.

If you’ve exhausted all federal student aid options, no-fee private student loans from SoFi can help you pay for school. The online application process is easy, and you can see rates and terms in just minutes. Repayment plans are flexible, so you can find an option that works for your financial plan and budget.

FAQ

Can you get financial aid if your parents make over $100K?

The U.S. Department of Education doesn’t have an official income cutoff to qualify for federal financial aid. The reason is that the formula for determining need-based aid is complex and involves more than just your parents’ income. Assets, the size of your family, your school’s cost of attendance, and other factors all go into deciding how much aid you can receive.

Also keep in mind that not all financial aid is need-based, including Federal Direct Unsubsidized Loans and institutional merit aid. That’s why it’s important to fill out the Free Application for Federal Student Aid (FAFSA®) each year.

How are FAFSA income limits different for divorced parents?

For the FAFSA®, the parent who provided more financial support to you over the past 12 months is responsible for completing the FAFSA, regardless of who you live with. If the parent who provides greater financial support has remarried, your stepparent’s income and asset information must also be reported on the FAFSA.

Are FAFSA income limits different for independent students?

No. The U.S. Department of Education uses the same formula for calculating aid regardless of whether you are a dependent or independent student.

That said, independent students may receive more aid than dependent students simply because they tend to have less income and fewer assets to report. You can qualify as an independent student if you are at least 24 years old, married, a graduate or professional student, a veteran, a member of the armed forces, an orphan or a ward of the court, or taking care of legal dependents.

About the author

Melissa Brock

Melissa Brock is a higher education and personal finance expert with more than a decade of experience writing online content. She spent 12 years in college admission prior to switching to full-time freelance writing and editing. Read full bio.

Photo credit: iStock/Prostock-Studio

SoFi Private Student Loans
Please borrow responsibly. SoFi Private Student loans are not a substitute for federal loans, grants, and work-study programs. We encourage you to evaluate all your federal student aid options before you consider any private loans, including ours. Read our FAQs.

Terms and conditions apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. SoFi Private Student loans are subject to program terms and restrictions, such as completion of a loan application and self-certification form, verification of application information, the student's at least half-time enrollment in a degree program at a SoFi-participating school, and, if applicable, a co-signer. In addition, borrowers must be U.S. citizens or other eligible status, be residing in the U.S., Puerto Rico, U.S. Virgin Islands, or American Samoa, and must meet SoFi’s underwriting requirements, including verification of sufficient income to support your ability to repay. Minimum loan amount is $1,000. See SoFi.com/eligibility for more information. Lowest rates reserved for the most creditworthy borrowers. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change. This information is current as of 4/22/2025 and is subject to change. SoFi Private Student loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org).

SoFi Bank, N.A. and its lending products are not endorsed by or directly affiliated with any college or university unless otherwise disclosed.

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

SOISL-Q325-144

Academic dismissal is when a student is asked to leave a school due to continued poor academic performance. It typically follows a period of probation, which occurs when a student is given a warning and a set amount of time in which they can try to improve their grades and avoid dismissal.

While academic dismissal may seem like the end of the world, it doesn’t mean that the student can never go to college again. It simply means they have to stop attending their current school, at least for a certain period of time. In addition, there are a number of ways to get back on track after a dismissal and either overturn the decision and return to school, or start on a new path that’s a better fit.

Reasons for Academic Dismissal

Everyone’s academic journey is different, and for some, the transition to college-level work can be more challenging than for others. A student may struggle with grades because they chose a major that’s not compatible with their specific skill set. Or perhaps they faced too many distractions, from personal events or hardships to an overwhelming list of extracurriculars.

When teachers and administrators notice a pattern of poor academic performance, including a GPA below 2.0 or a failure to attain enough credits (as a result of dropping or failing to complete enough courses in a semester), they may put a student on academic probation.

If a student fails to bring up their GPA by the end of their probation period, they may face academic dismissal. Academic probation is not meant to serve as a kind of punishment, but more as a wake-up call to students who are falling seriously behind.

Depending on the school, academic probation may make students ineligible for certain university activities. This makes sense, as probation is meant to be a time to focus seriously on grades in an effort to avoid eventual academic dismissal.

Academic probation or dismissal can also affect a student’s financial aid. The U.S. Department of Education requires students to maintain satisfactory academic progress toward their degrees to receive financial aid — which may include federal, state, and institutional grants and scholarships; work-study; and federal student and parent loans.

There are still options for students who lose their financial aid due to poor academic standing, including some private student loans. Keep in mind, though, that your GPA can also impact your ability to get a private student loan. Each private loan is different, so there’s no one magic number for a student’s GPA. It can be worth shopping around and comparing options from different lenders.

Recommended: How Grades Affect Your Student Loans

How to Appeal Academic Dismissal

If a student ultimately faces the prospect of academic dismissal, there are multiple routes they can take to try and handle the situation. First, it can be wise to take a moment to reflect on what may have caused the decision to dismiss and reassess one’s priorities. Perhaps a student was up against too much pressure, was pursuing a subject area that didn’t suit them, or had a personal crisis.

If a student decides to appeal the decision, they should be prepared to present a strong and sincere case. Luckily, most schools will allow students to appeal academic dismissal. Most school authorities are receptive to select reasoning or excuses for a poor academic performance. These usually include extenuating circumstances like financial issues, psychological or mental issues, or a family crisis, including an unexpected death in the family.

Approach the case with understanding and humility instead of anger, and try to fight the battle without parents. Students may want to prove that they can handle the stress and academic rigor of college on their own, which involves a certain degree of maturity and independence.

Bouncing Back After Being Dismissed

There’s a lot you can learn from an academic incident like probation or dismissal, and ultimately, it can help you become a better and more dedicated student.

Applying to college after academic dismissal can be a good idea, but only if a student has taken the time to reflect and is ready to make a fresh start. This is especially true if a student is re-applying to the same school.

Some schools will require that students wait at least a year before re-applying, and some will have students show that they’ve received a certain number of credits from community college while on hiatus from the institution. Research each school’s particular policy on reapplying before taking any specific measures.

It can be helpful to talk to professors and academic counselors to determine if going back to college is the right decision and if so, if a student should re-apply to the same school.

It can also be helpful to research schools that have lenient policies around past dismissals when looking to re-apply to school.

College is not for everyone. Other options may include getting a job, pursuing a trade at trade school, or completing an apprenticeship. There’s not one route to a career, so bouncing back may look a little different for everyone.

The Takeaway

It’s important to handle academic probation and dismissal thoughtfully and methodically, assessing all available options and identifying the issues that may have caused a student to fall behind in the first place. If college is still on the table, set a goal to improve grades, whether through tutoring, time management strategies, or a peer study group. Also look into what’s required in terms of getting or regaining financial aid.

If you’ve exhausted all federal student aid options, no-fee private student loans from SoFi can help you pay for school. The online application process is easy, and you can see rates and terms in just minutes. Repayment plans are flexible, so you can find an option that works for your financial plan and budget.

FAQ

What is academic dismissal?

Academic dismissal occurs when a student is required to leave a college due to continued poor academic performance.

Will I be warned before academic dismissal?

Yes, typically a student is put on academic probation prior to academic dismissal. This is a warning period during which grades must be improved to continue as a student at the school.

Does academic dismissal mean I can’t go back to my school?

When academic dismissal occurs, some colleges may allow you to reapply after a specific period of time and by showing why you are now qualified to return to your studies. It’s worthwhile to check with a school about their policy if you are at risk of academic dismissal.

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.

Terms and conditions apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. SoFi Private Student loans are subject to program terms and restrictions, such as completion of a loan application and self-certification form, verification of application information, the student's at least half-time enrollment in a degree program at a SoFi-participating school, and, if applicable, a co-signer. In addition, borrowers must be U.S. citizens or other eligible status, be residing in the U.S., Puerto Rico, U.S. Virgin Islands, or American Samoa, and must meet SoFi’s underwriting requirements, including verification of sufficient income to support your ability to repay. Minimum loan amount is $1,000. See SoFi.com/eligibility for more information. Lowest rates reserved for the most creditworthy borrowers. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change. This information is current as of 4/22/2025 and is subject to change. SoFi Private Student loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org).

Financial Tips & Strategies: The tips provided on this website are of a general nature and do not take into account your specific objectives, financial situation, and needs. You should always consider their appropriateness given your own circumstances.

SOISL-Q325-121

While many med school students eventually may earn six figures or more, they also can expect to graduate with student debt that averages close to a quarter of a million dollars. According to the Education Data Initiative (EDI), the average medical school debt for students is $234,597.

And that’s just what these graduates owe for their medical school education. EDI found that 31% of indebted medical school graduates also have premedical education debt to pay for.

Because of the high cost of medical school debt, it’s crucial for aspiring and current medical school students and graduates to understand their debt repayment options.

Medical School Debt Statistics

Here’s a snapshot of what the average medical school debt can look like for graduates, based on a roundup of the most recent statistics available:

•  According to a 2024 report by EducationData.org, medical school graduates had, on average, $264,519 in total education debt (premed and medical school). Compare that with the average educational debt for the class of 1999-2000: $87,020.

•  When the Association of American Medical Colleges (AAMC) looked at members of the class of 2020 who took out educational loans (the most recent data available), it found that:

◦  5.4% borrowed $1 to $49,999 for premed studies and medical school

◦  6.1% borrowed $50,000 to $99,999

◦  8.2% borrowed $100,000 to $149,999

◦  13.7% borrowed $150,000 to $199,999

◦  25.1% borrowed $200,000 to $299,999

◦  11.2% borrowed $300,000 to $399,999

◦  2.9% borrowed $400,000 to $499,999

•  Between 1998 and 2019, average medical school debt increased by 48.5%.

Source: Association of American Medical Colleges

Factors That Influence Medical School Debt

The increase in medical school debt is due to a number of factors, including the cost of education, the type of medical specialty a student chooses, years spent training, and relocating for a residency, among others.

Tuition and Fees

The cost of medical school increased 39% between 2001 and 2024, according to EDI. The average cost of tuition and fees for a first-year medical student in the 2023-2024 school year was $58,327. The average price of medical application fees alone was almost $3,000 in 2023.

The cost of tuition and fees can vary widely depending on whether a medical student attends a public or private university. According to the AAMC, the average cost of tuition and fees at private schools is more than $60,000 yearly. At public schools, the cost is approximately $41,000 for in-state students.

Cost of Living and Relocation

In addition to tuition and fees, medical students also need to cover cost-of-living expenses, such as housing, food, transportation, and books and other supplies needed for classes. Depending where the student goes to school, these expenses can add upward of $10,000 to the total cost of medical schooling.

When a med student is ready to begin their residency, it will typically involve relocating to another city. Along with travel expenses involved with applying for residency, a medical student will also likely need to pay for movers or to ship their belongings, rent for a new place to live (which typically involves a security deposit), and any necessary fees to hook up utilities and so on. If a med student is doing their residency in a big city, the cost for everything from food to rent may be more expensive as well.

Choice of Specialization

The area of medicine a medical student chooses to specialize in can also impact the average cost of medical school. Certain specialties require longer and more specialized training. For example, med students who want to become surgeons typically need to do an extended residency of five to seven years, compared to three to five years of residency for those studying to become primary care physicians. This can result in a higher overall cost for borrowers in specialties and sub-specialties of medicine.

What Does This Mean for Borrowers?

With all these expenses to cover, many aspiring doctors turn to student loans when they’re trying to figure out how to pay for medical school. Data from EDI shows that 70% of medical school students take out loans to help with medical school costs specifically.

It’s important to note that when it comes to borrowing for medical school, loan terms and conditions offered by the federal government might be different from borrowing as an undergrad. This is one of the basics of student loans that it’s helpful to understand when it comes to the average medical school debt.

Some med students may benefit from finding scholarships and loan forgiveness programs that may cut their costs substantially. But many will end up making loan payments for years — or even decades.

So what does the average debt after medical school look like? According to EDI, the average doctor will ultimately pay from $135,000 to $440,000 for their educational loans, with interest factored in.

Source: Association of American Medical Colleges

Medical School Loan Options

Due to upcoming changes to student loans as part of the domestic policy bill that was signed in July 2025, there will be just one type of federal student loan available to medical students as of July 1, 2026 — the Direct Unsubsidized Loan.

Another type of federal student loan that has previously been available to those going to medical school, the Grad PLUS Loan, will be eliminated for new borrowers on July 1, 2026.

Instead graduate students will have new lending limits through the Direct Unsubsidized Loan program. This includes an annual limit of $20,500 for graduate students with a $100,000 lifetime limit. Professional students, such as medical students, may qualify for a Direct Unsubsidized Loan with a yearly limit of $50,000 and a lifetime limit of $200,000.

However, those who already have Grad PLUS Loans before the changes take place, can continue to borrow money under the current limits for three additional academic years.

Medical students also can apply for private student loans to help cover their average medical student debt. Generally, borrowers need a solid credit history for private student loans, among other financial factors that will vary by lender. Private lenders offer different rates, terms, and conditions, so it can be worthwhile to shop around.

Just be aware that federal loans currently come with many student protections and benefits that private loans don’t, such as the Public Service Loan Forgiveness program and income-driven repayment.

Recommended: A Complete Guide to Private Student Loans

How to Deal With Debt

There are several medical school repayment strategies that graduates grappling with the average medical student debt may want to consider.

Deferment

Temporarily delaying payments while in school may seem like a good idea during a stressful time, but delaying can be costly. During student loan deferment, most Direct Unsubsidized Loans and Direct PLUS loans continue to accrue interest. The problem those in medical fields can face is debt accumulation during their residency, which can last anywhere from three to seven years.

Even while making a modest income — in 2024, the average resident earned $70,000, according to Medscape — the debt would grow considerably.

If your loans are in deferment, making interest-only payments and putting that money toward student loans can reduce the amount of interest that could be added to the loan.

Income-Driven Repayment

Medical residents who can’t afford full payments may want to consider an income-driven repayment (IDR) plan. These plans are designed to make student loan payments more manageable by basing monthly payments on the borrower’s discretionary income and family size.

As of August 2025, there are three income-driven repayment plans you can enroll in, but only one of them — the Income-Based Repayment (IBR) Plan — may allow borrowers to have the outstanding balance of their loan forgiven after 20 years.

However, the new U.S. domestic policy bill will eliminate a number of student loan repayment plans. For borrowers taking out their first loans on or after July 1, 2026, there will be only one repayment option that is similar to the current IDR plans: the Repayment Assistance Program (RAP). On RAP, payments range from 1% to 10% of a borrower’s adjusted gross income for up to 30 years. At that point, any remaining debt will be forgiven. If a borrower’s monthly payment doesn’t cover the interest owed, the interest will be cancelled.

Refinancing Loans

Refinancing medical school loans to help cover the average medical student debt is an option during residency, after residency, or both.

Refinancing student loans with a private lender might help save you money if you can get a lower interest rate than the rates of your current student loans.

Student loan refinancing means paying off one or more of your existing student loans with one new loan. An advantage of refinancing student loans is that you’ll only have one monthly payment to make.

If you refinance your student loans and get a better rate, you could choose a term that allows you to pay off the loan more quickly if you’re able to shoulder the payments, which should save you on interest.

However, refinancing federal loans isn’t a good fit for those who wish to take advantage of federal programs and protections. Refinancing federal loans means you no longer have access to these benefits.

Consolidating Loans

The federal government offers Direct Consolidation Loans through which multiple eligible federal student loans may be combined into one. The interest rate on the new loan is the weighted average of the original loans’ interest rates, rounded up to the nearest one-eighth of a percentage point.

If your payment goes down, it’s likely because the term has been extended from the standard 10-year repayment to up to 30 years on the consolidation loan. Although you may pay less each month, you’ll be paying more in interest over the life of your loan.

Schools With the Highest Student Debt

When it comes to student debt, all medical programs are not equal. According to U.S. News and World Report’s “Best Grad School” rankings, the range can be extensive. Out of 122 medical schools listed, the three that left grads with the most debt in 2022 (the most recent year available) were:

•   Nova Southeastern University Patel College of Osteopathic Medicine (Patel) in Fort Lauderdale, Florida: $322,067

•   Western University of Health Sciences in Pomona, California: $281,104

•   West Virginia School of Osteopathic Medicine in Lewisburg, West Virginia: $268,416

On the other end of the spectrum, the school that graduated students with the least amount of debt was the University of Houston Tilman J. Fertitta Family College of Medicine, with about $34,000 of debt, according to a 2025 report by the AAMC.

Public vs. Private Medical School

The cost of attending a private medical school is typically higher than a public school.

According to EDI, these were the average yearly costs of tuition and fees based on the type of school.

•   Public medical school: $53,845

•   Private medical school: $67,950

•   Public school, in-state resident: $52,107

•   Public school, nonresident: $67,348

However, EDI also found that the average cost of an out-of-state education has decreased; whereas costs for in-state public schools have risen by more than 10%.

Strategies for Minimizing Medical School Debt

For medical students looking for ways to reduce the amount of debt they accumulate, there are some programs that can help. Here are two options to explore.

Scholarships and Grants

There are many scholarships and grants available to medical school students to help reduce the average cost of medical school. In fact, some of the top medical school scholarships are worth thousands of dollars to those who qualify.

Scholarships are offered by the federal government, state governments, private organizations, and even medical schools. Cast a wide net to search for a scholarship you may be eligible for.

Service-Based Loan Forgiveness Programs

Medical students may also be eligible to have their student loans forgiven. For example, there are loan repayment programs for those in the medical field who choose to work in an underserved area and/or medical specialty.

The National Health Service Corps Loan Repayment Program offers doctors and other eligible health care providers an opportunity to have their qualifying federal or private student loans repaid while serving in communities with limited access to care.

Medical professionals in a variety of fields, including pediatric research, health disparities research, and clinical research, may be eligible for the National Institutes of Health (NIH) Loan Repayment Programs. Payments may be up to $50,000 annually and can be applied to qualifying federal or private educational debt.

And the Public Service Loan Forgiveness (PSLF) program may be an option for doctors who work in public service careers. If they work full-time for a qualifying government, nonprofit, or public health employer and make 120 qualifying student loan payments, borrowers may be eligible to have their remaining federal Direct loan balance erased.

The Takeaway

Studying medicine can lead to a lucrative career, but the expense involved can be daunting. When the average debt of a medical student tops $230,000 (excluding undergraduate debt), some aspiring and newly minted doctors will want to look for a remedy, stat. Options to help make payments more manageable include income-driven repayment, federal Direct Loan Consolidation, and refinancing.

Looking to lower your monthly student loan payment? Refinancing may be one way to do it — by extending your loan term, getting a lower interest rate than what you currently have, or both. (Please note that refinancing federal loans makes them ineligible for federal forgiveness and protections. Also, lengthening your loan term may mean paying more in interest over the life of the loan.) SoFi student loan refinancing offers flexible terms that fit your budget.

FAQ

How long does it take to pay off medical school debt?

The time to pay off medical school debt varies widely, typically ranging from approximately eight to 25 years. Factors include the total debt amount, income, repayment plan, and any loan forgiveness programs. Many doctors aim to pay off their debt within 10 years, but it can take longer depending on individual circumstances.

Is medical school worth it financially?

Medical school can be financially worthwhile due to the high earning potential of physicians. However, it often comes with significant debt. The return on investment depends on factors like specialty choice, career path, and personal financial management. Many find it worth it, but it’s a complex decision.

How can you pay off medical school debt faster?

To pay off medical school debt faster, consider strategies like living frugally, maximizing income through high-paying specialties, refinancing loans, and exploring loan forgiveness programs. Creating a strict budget and making extra payments may also accelerate the process.

What is the average debt for medical students who attend private institutions?

The average debt for medical students in the class of 2024 who attended private schools is $227,839, according to the American Association of Medical Colleges. By comparison, the average debt for medical students who attend public colleges is $203,606, the AAMC found.

Are there medical schools with lower tuition costs?

Yes, there are medical schools with lower tuition costs. Public medical schools with the lowest annual tuition costs include the University of Texas Austin Dell Medical School ($19,994 for residents and $35,058 for nonresidents), the University of Central Florida Medical School ($29,680 for in-state and $59,241 for out-of-state), and the University of Texas Rio Grande Valley School of Medicine ($21,532 for residents and $34,632 for nonresidents).

The least expensive private schools of medicine are New York University Grossman School of Medicine, which is offering a full tuition scholarship, and Baylor College of Medicine ($19,682 for residents and $32,782 for nonresidents).

SoFi Student Loan Refinance
Terms and conditions apply. SoFi Refinance Student Loans are private loans. When you refinance federal loans with a SoFi loan, YOU FORFEIT YOUR ELIGIBILITY FOR ALL FEDERAL LOAN BENEFITS, including all flexible federal repayment and forgiveness options that are or may become available to federal student loan borrowers including, but not limited to: Public Service Loan Forgiveness (PSLF), Income-Based Repayment, Income-Contingent Repayment, extended repayment plans, PAYE or SAVE. Lowest rates reserved for the most creditworthy borrowers. Learn more at SoFi.com/eligibility. SoFi Refinance Student Loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org).

SoFi Private Student Loans
Please borrow responsibly. SoFi Private Student loans are not a substitute for federal loans, grants, and work-study programs. We encourage you to evaluate all your federal student aid options before you consider any private loans, including ours. Read our FAQs.

Terms and conditions apply. SOFI RESERVES THE RIGHT TO MODIFY OR DISCONTINUE PRODUCTS AND BENEFITS AT ANY TIME WITHOUT NOTICE. SoFi Private Student loans are subject to program terms and restrictions, such as completion of a loan application and self-certification form, verification of application information, the student's at least half-time enrollment in a degree program at a SoFi-participating school, and, if applicable, a co-signer. In addition, borrowers must be U.S. citizens or other eligible status, be residing in the U.S., Puerto Rico, U.S. Virgin Islands, or American Samoa, and must meet SoFi’s underwriting requirements, including verification of sufficient income to support your ability to repay. Minimum loan amount is $1,000. See SoFi.com/eligibility for more information. Lowest rates reserved for the most creditworthy borrowers. SoFi reserves the right to modify eligibility criteria at any time. This information is subject to change. This information is current as of 4/22/2025 and is subject to change. SoFi Private Student loans are originated by SoFi Bank, N.A. Member FDIC. NMLS #696891 (www.nmlsconsumeraccess.org).

SoFi Loan Products
SoFi loans are originated by SoFi Bank, N.A., NMLS #696891 (Member FDIC). For additional product-specific legal and licensing information, see SoFi.com/legal. Equal Housing Lender.