Eligible Employers | American Student Assistance

Advocacy

Public Service Loan Forgiveness

Advocacy

Public Service Loan Forgiveness

Eligible Employers

Forgiveness is employer specific, not job specific. So, anyone working for an eligible employer (no matter what you do for that organization) who meets all the other criteria is eligible. To qualify, the employer must be one of the following kinds of organizations:

  • Tax-exempt nonprofits under 501(c)(3) of the IRS tax code
  • Government, including federal, state, local, and tribal agencies, the military, and law enforcement
  • Tribal colleges or universities
  • Public child or family services agencies
  • AmeriCorps or the Peace Corps
  • A not-for-profit organization that provides one of the following public services:
    • Public safety or emergency management
    • Public service law
    • Early childhood education
    • Public service for individuals with disabilities and the elderly
    • Public health
    • Public education, including school-based educational services
    • Public and school-based libraries

Exception: You can’t work for a labor union or partisan political organization, but being a member of a nonprofit union is allowed. You may work for an organization that provides religious instruction, worship services, or proselytizing if your job functions do not include these activities. For example, the priest, reverend, or pastor isn’t eligible, but the parish administrative staff is.

If you work for more than one eligible organization part time, you may be eligible as long as you work on average over 30 hours per week between the multiple organizations. Your service also does not need to be consecutive. It will just take longer than 10 years to achieve forgiveness if you work for non-eligible organizations.

If you are a qualified eligible employer, download the resources below to promote the PSLF program to your employees.

Eligible Employer Toolkit

What If I’m A Teacher?

In addition to PSLF, the federal student loan program also offers Teacher Loan Forgiveness. To qualify, you must be a full-time teacher for five consecutive years at an eligible low-income school or eligible education service agency in an eligible subject. So, if you’re ineligible for TLF based on these requirements, you may still qualify for PSLF. Also, it is possible to receive both PSLF and TLF, but your employment can only qualify for one of the forgiveness periods at a time. Download the application here.

What If I’m An Adjunct Faculty Member?

We often hear from adjunct faculty members at nonprofit higher education institutions that they cannot qualify for PSLF due to their part-time status. In October 2017, Senators Dick Durbin (D-Illinois) and Al Franken (D-Minnesota) introduced the Adjunct Faculty Loan Fairness Act of 2017, that would allow part-time faculty at colleges and universities to be eligible. However, this is the second time this legislation has been introduced, after going nowhere in 2014. If you’re adjunct faculty, you might want to track the status of this year’s bill and contact your Congressional representative to voice your support.

Next: How To Apply