chanel
Silver Member
Right now, graduates enrolled in the federal governments student loan Income-Based Repayment Plan make monthly payments of 15 percent of their discretionary income and all debt is forgiven after 25 years. Congress has already passed a law to change that program to require students to make payments of just 10 percent of their monthly discretionary income and to forgive the loan after just 20 years. That law will take effect in 2014 unless Obama has his way. The president would like to promote the start date to 2012. Hmm. What else happens in 2012?
Obamas politically-motivated plan to help college students repay their loans « Hot Air
10% of DISCRETIONARY income; then 20 years - bye bye.
Discretionary income is money you have after you've paid off all of your bills. Discretionary income is income after subtracting taxes and normal expenses (such as rent or mortgage, utilities, insurance, medical, transportation, property maintenance, child support, inflation, food and sundries, &c.) to maintain a certain standard of living.[5] It is the amount of an individual's income available for spending after the essentials (such as food, clothing, and shelter) have been taken care of:
Let's say, Johnny owes 120K and gets a decent job making 40K.
How much will he screw the taxpayers for?
Can someone help me with the math?