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How Physician Associates Can Qualify for Student Loan Forgiveness

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While your career as a physician associate offers many professional benefits and opportunities, many PAs begin their careers with substantial student loan debt—with an average debt of $112,000 after training. Even with high levels of student loan debt, the median annual salary for physician associates was $130,020 in 2023, according to the Bureau of Labor Statistics (BLS), and employment for PAs is expected to increase by 28% over the next 10 years—much higher than the average growth for other professions.

Fortunately, PAs have several options available to manage their student loan debt—and potentially receive student loan forgiveness. These options can provide significant relief, allowing you to focus on your career without the financial stress of managing student loans.

Forgiveness for physician associate student loans

As a PA, there are several student loan forgiveness and assistance programs to consider. Each program has specific requirements and considerations, including your work history, type of employer, time commitments, and whether you can qualify for total vs. partial loan forgiveness. Here are some of the forgiveness programs for PAs to consider.

Public Service Loan Forgiveness for PAs

The Public Service Loan Forgiveness (PSLF) program may forgive student loan debt for anyone who has worked in the public sector, including eligible government agencies or nonprofit organizations, for at least ten years and made 120 qualifying payments toward their student loan debt. For those who qualify, this will be the fastest path to reach federal student loan forgiveness. Qualifying employment for the PSLF Program isn’t necessarily about your specific job—instead, eligibility will depend primarily on your employer. For example, a full-time government employee (federal, state, local, or tribal) is eligible for PSLF.

For many PAs working in public health or at a nonprofit hospital, the PSLF program is a key part of their student loan debt management strategy. PAs working for several different types of employers could qualify for PSLF, including:

      • Qualifying not-for-profit hospitals or organizations
      • State hospital systems
      • Federal hospitals
      • Public schools, including universities and K-12 school systems

You can find the eligible employer search tool on studentaid.gov here or learn more about how to qualify for PSLF by talking to a Laurel Road student loan specialist.

AAPA members can get started with a free 30-minute consultation to learn more how to qualify and navigate the often complex requirements of PSLF and other forgiveness programs. Learn more about your student loan benefits here.

Income-Driven Repayment plans for PAs

The federal Income-Driven Repayment (IDR) program can be a financial lifeline for PAs, especially early in their careers. An IDR plan can help lower and stabilize your monthly payments based on factors like your adjusted gross income (AGI) and family size. Learn more about your IDR options and how to qualify for student loan forgiveness through IDR here.

Health Professions Loan Repayment Program

Medical professionals—including PAs in the US Air Force, Army, Navy, or National Guard on active duty or in the reserves—may qualify for student loan forgiveness through the Health Professions Loan Repayment Program (HPLRP). Participation is also an incentive to extend their commitment in return for the payment of professional educational loans. Some eligibility requirements include holding an appointment as a commissioned officer in one of the health professions and may include a commitment to serve on active duty for a prescribed time period. The maximum yearly loan repayment through HPLRP is $40,000, minus approximately 25% federal income taxes, which are taken out prior to lender repayment.

National Health Service Corps Loan Repayment Program

Licensed primary care providers in eligible disciplines can receive loan repayment assistance for their qualifying educational debt through the National Health Service Corps Loan Repayment Program. PAs who commit to at least two years of service at a facility that the NHSC has designated a Health Service-approved site may qualify for up to $75,000 in student loan assistance through this program.

AmeriCorps

AmeriCorps is a federal program that places volunteers into service roles at organizations nationwide. It offers the Segal AmeriCorps Education Award, the full-time value of which is equivalent to the maximum annual value of a Pell Grant in the same fiscal year. The amount of the award depends on the time committed to the program, including full-time, three-quarters time, half-time, and less. Like a Pell Grant, the award amount can change annually. The amount for less than half-time service programs varies based on the required terms of service.

Indian Health Service Loan Repayment Program

PAs could earn up to $50,000 in loan forgiveness for a two-year service commitment at a medical facility in an Indigenous community. The staffing needs of Indian health program facilities in specific health profession disciplines determine openings. Loan Repayment Program participants can extend their contract annually until their qualified student debt is paid.

Get expert help with student loan forgiveness

The stress of student loan debt shouldn’t stand in the way of a successful and rewarding career as a physician associate. Fortunately, there are many options available to PAs to help you reach student loan forgiveness. To get help understanding your options, reach out to a Laurel Road student loan expert who can provide valuable insights and help you create a personalized plan. In additional to a free 30-minute consultation, as an AAPA member, you’re also eligible for a 20% discount on an annual forgiveness counseling membership for PSLF or IDR Counseling.† Explore your student loan benefits and learn how you can get on the path to student loan freedom.

 

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