"Massive Student Loan Forgiveness Success: Nebraskans and Ohioans Eligible, Tax Implications"

President Joe Biden has announced that about 750 Nebraskans have had a total of $5.3 million in student loan debt canceled through the Saving on a Valuable Education (SAVE) Plan, a new income-driven repayment plan. The plan allows for borrowers with less than $12,000 in debt to have their loans canceled after 10 years of payments, and any borrower enrolled in the SAVE plan can have their debt forgiven after 20 or 25 years, regardless of the amount. The program also sets payments at $0 per month for borrowers making less than $15 per hour and prevents unpaid interest from causing loan balances to grow.