Agencies may make payments (which are taxable) of up to $10,000 a year and $60,000 lifetime for that purpose. The authority is limited to federally insured student loans made by educational institutions or banks and other private lenders.
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To receive student loan repayment benefits, you would have to sign a service agreement to remain in the service of the agency for at least three years.
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Depending on your modified adjusted gross income, you may be eligible for:
The American Opportunity Tax Credit of the first 100 percent of $2,000 of qualified higher education expenses, plus 25 percent of the next $2,000 of qualified expenses for the first four years.
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