Update: The Revised Pay As You Earn (REPAYE) plan has been discontinued and was turned into the Saving on A Valuable Education (SAVE) plan as of August 2023.
The Revised Pay As You Earn (REPAYE) plan is a federal loan repayment plan that falls under the umbrella of income-driven repayment (IDR).
The monthly payment amount for REPAYE is based on 10% of your discretionary income and is not capped.
If all of your loans are from undergraduate study, the remainder of your loans can be forgiven after 20 years of making payments in the REPAYE plan. If any of your loans are from graduate or professional study, the remainder of your loans can be forgiven after 25 years of making payments in the REPAYE plan. The amount that’s forgiven may be taxed as income.