Roth IRA – no. Retirement assets don’t count on the FAFSA (only income from the account – which you said wouldn’t happen). I-Bonds yes. The asset will be the student (or parent). But assuming the parent already had the money, it’s likely already factored in. But moving it to the student’s name would be impactful.

$0 payments 100% qualify! And the program is working exactly as it should. Don’t believe the media – we are seeing a lot of success stories and the math proves it’s working.

See this article: Why the PSLF Headlines are Misleading.

Thank you. The income based repayment plan makes sense. But the Public Service Loan Forgiveness program doesn’t seem to have panned out as intended. Plus that program requires that the person makes 120 qualifying monthly payments under a qualifying repayment plan. I’m not sure that payments of $0 would qualify.

Ahh, I see what you’re mentioning. Student loans are eligible for up to $10,000 from a 529 plan, but not directly from an IRA. The normal distribution rules apply here.

My advice would be to let her Roth IRA grow. I hate seeing people pull money out of retirement accounts early. It’s such a loss of future growth.

For her loans, get on an income-driven repayment plan. If she earns no income, her loan payments would be $0. Furthermore, if she works for a US-based non-profit, her time working for this organization would count towards Public Service Loan Forgiveness.