Future Undergraduate Student

Future Undergraduate Student

You are starting an undergraduate program in the Fall of 2026 or later

Pell Grants:

Updated Eligibility Criteria

• Certain Assets Excluded: Family businesses (≤100 employees), family farms, and commercial fishing operation assets will be excluded
• Foreign Income Included: Income from foreign sources will be added to adjusted gross income (AGI)
• Student Aid Index (SAI) limitation: Students with SAI ≥ $14,790 will not be eligible for Pell
• Other grants and scholarships limitation: Students with total grants and scholarships from non-federal sources ≥ total estimated cost of attendance will not be eligible for Pell

Thanks to Cornell's generous alumni and friends, we are committed to meeting 100% of all admitted undergraduates' demonstrated need. This means Cornell Grant eligible students are not impacted by changes to the federal Pell Grant program.

Federal Student Loans:

Undergraduate Loan Limits

• Annual: $5,500-$12,500 (based on year and dependency status)
• Total: $31,000 (dependent) or $57,500 (independent)

Did you know? Cornell does not include loans in undergraduate aid offers for families making up to $75,000 annually.

Parent PLUS Loan Limits

• Annual limit: $20,000 per year per student
• Lifetime limit: $65,000 total per student

Recommendation: If your parents plan to borrow in excess of new Parent PLUS limits, consider private education loan options

Reduced Annual Loan Limits for Part-Time Enrollment

Example: If you enroll in 6 credits for the Fall semester (half of full time), the portion of your annual loan limit attributable to the Fall will be reduced proportionally (also by half). If the amount you plan to borrow for the Fall exceeds the new limit, your Fall loan must be reduced to the new limit.

Recommendation: If you plan to enroll part-time, consider private education loan options

Program Accountability:

Students in programs with poor employment outcomes may not be able to borrow federal loans beginning with the 2030-2031 academic year.

Great News! Cornell is a Top-5 university for long-term career success according to LinkedIn (2025).

Current Graduate Student

Current Graduate Student

You are currently enrolled in a graduate or professional program and will continue in the 2026-27 academic year

What's Changing:

New Annual, Aggregate, and Lifetime Total Loan Limits

Action: If you do not qualify for an exception and your program costs exceed new limits, consider private education loan options

Reduced Annual Loan Limits for Part-Time Enrollment

Example: If you enroll half-time during the Fall semester (6 credits), the portion of your annual loan limit attributable to the Fall will be reduced by 50 percent. If the amount you plan to borrow for the Fall exceeds the new limit, your Fall loan will be reduced to the new limit.

Action: If you plan to enroll part-time and your federal loans are reduced leaving a funding gap, consider private education loan options

Exception for Current Students (a.k.a. "legacy" or "grandfather" provisions):

You may continue borrowing Graduate PLUS loans under prior limits for up to 3 academic years (or the remainder of your academic program, whichever is less) if -

• you are enrolled as of June 30, 2026, and
• you previously borrowed a federal loan for your academic progam, and
• you remain in the same academic program through graduation

Key Detail: The OBBB does not provide exceptions for:

• Reduced annual loan limits for part-time enrollment

What's Staying the Same:

No Interest Forbearance for Medical/Dental Residents

Future Graduate Student

Future Graduate Student

You are starting a graduate or professional program in the Fall of 2026 or later

Federal Student Loans:

New Annual, Aggregate, and Lifetime Total Loan Limits

Recommendation: If your program costs exceed these limits, consider private education loan options

Reduced Annual Loan Limits for Part-Time Enrollment

Example: If you enroll half-time during the Fall semester (6 credits), the portion of your annual loan limit attributable to the Fall will be reduced by 50 percent. If the amount you plan to borrow for the Fall exceeds the new limit, your Fall loan will be reduced to the new limit.

Program Accountability:

Students in programs with poor employment outcomes may not be able to borrow federal loans beginning with the 2030-2031 academic year.

Great News! Cornell is a Top-5 university for long-term career success according to LinkedIn (2025).

Borrower Currently In School

Federal Loan Borrower, Currently In School

You are currently in-school and haven't started repaying your loans yet

New and Updated Repayment Plans:

Standard Repayment Plan

• Fixed payments over 10-25 years (based on debt amount)
• Pays off loans fastest, lowest total interest

Repayment Assistance Plan (RAP)

• Income-based payments (minimum $10/month)
• Forgiveness after 30 years (360 payments)
• Good for variable income or public service careers

Income-Based Repayment (IBR)

• Only available if you borrowed prior to July 1, 2026 and do not borrow after July 1, 2026
• Payments capped at 10% of discretionary income
• Forgiveness after 20 years

Public Service Loan Forgiveness (PSLF):

• Full-time work for qualifying employer (government/eligible nonprofit)
• payments made under a qualifying repayment plan
• 120 qualifying payments

Borrower Currently in Repayment

Federal Student Loan Borrower, Currently in Repayment

You're currently repaying your student loans or are in deferment/forbearance

Transition To New Repayment Plans:

You will receive more information about transitioning to an available repayment plan directly from your loan servicer.

If you are currently in a SAVE or PAYE repayment plan:

Recommendation: To avoid interest accumulation, contact your student loan servicer to select an available repayment plan as soon as possible.

Available Options after July 1, 2026:

Standard Repayment Plan

• Fixed payments over 10-25 years (based on debt amount)
• Pays off loans fastest, lowest total interest

Repayment Assistance Plan (RAP)

• Income-based payments (minimum $10/month)
• Forgiveness after 30 years (360 payments)
• Good for variable income or public service careers

Income-Based Repayment (IBR)

• Only available if you borrowed prior to July 1, 2026 and do not borrow after July 1, 2026
• Payments capped at 10% of discretionary income
• Forgiveness after 20 years

Parent PLUS Borrowers:

For some families, an older child who is currently in college may qualify for an exception (prior loan limits apply), while new loan limits apply to a younger sibling in the same academic year.

For Parent PLUS loans taken prior to July 1, 2026:

• Parent Borrowers must use the Standard Repayment Plan (no penalty for early repayment)
• May not use RAP
• May consolidate to access ICR, but must transition out of ICR by June 30, 2028

Public Service Loan Forgiveness (PSLF):

Requirements:

• Full-time work for qualifying employer (government/eligible nonprofit)
• Payments made under a qualifying repayment plan
• 120 qualifying payments

Transition details:

• Payments made on SAVE/PAYE/ICR should count toward PSLF
• Must select a new qualifying plan by deadlines
• RAP and amended IBR expected to qualify (awaiting confirmation)

Recommendations:

• Continue making qualifying payments
• Submit Employment Certification Forms annually
• Monitor guidance on qualifying plans
• Plan transition before deadlines

Updated Tax Benefits:

• Can be used for student loan repayment or tuition
• Check if your employer offers this benefit

Other notable tax changes:

• Student loan interest deduction: Up to $2,500 (income limits apply)
• Loan discharge on death/disability: Not taxable income (made permanent)

Borrower Defense and Closed School Discharge: