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Methodist Pastors Student Loans

CarolKovacs
Level 1

Does anyone have information on student loan forgiveness for Methodist Pastors.  There are programs for seminary students but nothing I could find for current employed Methodist Pastors saddled with large amounts of student debt.

Has anyone had clients in this situation and are there resources available to explore eligibility for loan forgiveness or some abatement?

If his church offers to pay off all or some of the debt, wouldn't that be considered a taxable benefit to the Pastor, I told him I thought so.

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qbteachmt
Level 15

Let's review some details:

Methodist or not doesn't matter. The Loan matters. Public Vs Private, for instance.

Programs for seminary students won't apply to graduates; you seem to be asking about someone who is done with school and not needing help with school costs now.

The Work matters. Who you work for and what you do, matters. I found these resources:

https://www.clergytaxnet.com/do-members-of-the-clergy-qualify-for-public-service-loan-forgiveness-wi...

https://studentaid.gov/manage-loans/forgiveness-cancellation/public-service

https://pastorswallet.com/are-pastors-eligible-for-public-service-loan-forgiveness/

As for the employer paying school debt, the CARES act has a special offering in it:

https://www.plansponsor.com/employers-can-offer-student-loan-repayment-help-employees/

https://money.com/student-loan-employee-benefits-taxes/

 

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