Married student-loan borrowers in the United States could face a significant increase in their monthly loan payments starting as early as May 10, 2025, due to a regulatory shift under the Trump administration’s Education Department. The change follows a federal court’s decision to block key provisions of President Biden’s income-driven repayment (IDR) initiative, known as the SAVE plan.

Background: The Block on Biden’s SAVE Plan

The Saving on a Valuable Education (SAVE) Plan, introduced by the Biden administration in 2023, was designed to ease the burden of student loan repayment for millions of Americans. The plan lowered the percentage of discretionary income used to calculate payments and shortened the timeline for loan forgiveness for some borrowers.

However, a recent federal court ruling struck down major components of the SAVE plan. As a result, the U.S. Department of Education announced it must revert to prior rules for how monthly payments are calculated—rules that were in place during the Trump administration.

What’s Changing for Married Borrowers?

One of the most significant changes affects how income is calculated for married borrowers enrolled in income-driven repayment plans. Under the SAVE plan, borrowers who filed taxes separately could have their monthly payments calculated based only on their individual income. That approach allowed many dual-income households to qualify for lower monthly payments.

Starting in May, that benefit will be eliminated. The Education Department now says it is required to include spousal income in the repayment calculation—even for borrowers who file taxes separately.

This change means many married couples could see dramatic increases in their student loan payments, depending on their combined household income.

When Will the Changes Take Effect?

The Department of Education has stated the changes will be implemented by May 10, 2025. Borrowers currently on the SAVE plan or planning to enroll in income-driven repayment (IDR) plans are being urged to consult their loan servicer or the official StudentAid.gov portal for updates.

Due to the policy reversal, online IDR applications have been temporarily removed for updates. Borrowers applying for or adjusting repayment plans may experience delays as the Department updates forms and systems to reflect the rule change.

Why the Change Is Happening

The change is a direct result of the SAVE plan being halted by the courts. In an April announcement, the Education Department described the inclusion of spousal income as a “required consequence” of the ruling.

Though not directly a policy choice by the Trump administration today, the underlying rule reflects regulations from that era. The Biden administration’s efforts to modernize IDR plans are now on pause, leaving pre-existing rules in place.

How Borrowers Can Prepare

Borrowers affected by the change have several options to consider:

• Switching to Another Repayment Plan: Borrowers may consider enrolling in alternate IDR plans such as Pay As You Earn (PAYE) or Income-Contingent Repayment (ICR). These plans use different formulas that may offer some relief. A breakdown of available repayment plans can be found on StudentAid.gov’s repayment page.
• Public Service Loan Forgiveness (PSLF): Those working in public service may be eligible for PSLF, which forgives the remaining balance after 120 qualifying monthly payments. Borrowers can also explore the “buyback” program to count certain months that may have been previously excluded.
• Consulting Loan Servicers: Because of the changes and expected delays in processing, borrowers are strongly encouraged to contact their loan servicer directly for guidance.

Potential Political and Legal Fallout

It remains uncertain whether the Biden administration will pursue additional legal challenges or policy revisions to restore parts of the SAVE plan. In the meantime, advocacy groups are voicing concern over the potential burden this places on working families.

“We’re seeing families who planned around one set of rules now scrambling to afford payments based on a completely different income formula,” said a spokesperson for the nonprofit Student Borrower Protection Center.

Further legal action or legislative intervention could occur, but for now, borrowers must prepare for a return to the previous status quo.

Final Thoughts

With the May deadline approaching, time is running short for married borrowers to evaluate their options and make necessary adjustments. Whether through switching repayment plans, consulting with servicers, or exploring forgiveness programs, proactive planning will be essential.

Borrowers can monitor ongoing updates via the U.S. Department of Education’s official website