RAPpath

Plan comparison

RAP vs ICR: Which Should You Choose?

ICR is the oldest and costliest income-driven plan, and it ends in 2028 — but it is the one plan Parent PLUS borrowers can use. RAP is cheaper for almost everyone else. Here is the comparison.

From line 11 of your IRS Form 1040.

−$50/mo each

For IBR compare

Estimated RAP payment
$—
RAP
$—
IBR
$—

RAP vs ICR by income

Single borrower, no dependents, family size 1:

AGIRAP/moICR/mo
$50,000 $167 $573
$75,000 $438 $989
$100,000 $750 $1,406

ICR shown as 20% of discretionary income (AGI minus 100% of the poverty line). The plan also caps payments at a 12-year fixed-equivalent amount, so your actual ICR figure may be lower.

Key differences

RAPICR
StatusAvailable July 1, 2026Ends July 1, 2028
Based onFull AGIDiscretionary income (100% FPL shelter)
Rate1%–10% by bracket20% of discretionary
Parent PLUSNot eligibleEligible (after consolidation)
ForgivenessAfter 30 yearsAfter 25 years

Frequently asked questions

Is RAP cheaper than ICR?

Almost always, yes. ICR charges 20% of discretionary income and shelters only 100% of the poverty line, which makes it the most expensive income-driven plan. RAP charges 1%–10% of AGI on a sliding scale, so for most borrowers RAP is far lower than ICR.

Who still uses ICR?

ICR is mainly relevant to Parent PLUS borrowers. A Parent PLUS loan that has been consolidated into a Direct Consolidation Loan can be repaid under ICR — and ICR is the only income-driven plan those loans qualify for. Parent PLUS loans are not eligible for RAP.

Is ICR going away?

Yes. ICR, PAYE, and SAVE are phased out on July 1, 2028, after which the only income-driven options are RAP and IBR. Borrowers on ICR will need to switch (or, for consolidated Parent PLUS loans, move to an applicable IBR plan if eligible).

Next: RAP vs IBR · RAP & Parent PLUS loans · RAP payment by income