20+ Pharmacist Student Loan Forgiveness Programs
An education in pharmacy doesn’t come cheap, but pharmacist student loan forgiveness programs can provide significant relief.
The good news is that, depending on your employment and location, you may be eligible for partial or full loan forgiveness through the state or federal government.
National student loan forgiveness options for pharmacists
In a recent survey by the American Association of Colleges of Pharmacy, about 20% of graduating pharmacists said they were unaware of the eligibility requirements for state or federal student loan repayment programs.
In fact, there are several national student loan forgiveness or repayment assistance programs, with options for both federal and private student loans.
Income-driven repayment loan forgiveness
If you have federal student loans and cannot afford the payments under a standard 10-year repayment plan, another option is to enroll in an income-driven repayment plan.
These plans base your payments on a percentage of your discretionary income and have a loan term of 20 or 25 years. If you still owe money at the end of the new loan term, the government will forgive the remainder.
Loans forgiven under income-driven repayment are currently tax-free through 2025 — previously borrowers had to pay tax on the forgiven amount.
The income-driven repayment programs are for federal loans only.
National Health Service Corps (NHSC) Substance Use Disorder Workforce Loan Repayment Program
The NHSC Health Service Corps Substance Use Disorder Workforce Loan Repayment Program is designed to encourage pharmacists and other medical professionals to work in designated areas to address substance use disorders.
Those who commit to three years of full-time service may be eligible for up to $75,000 in repayment funds, while those who agree to three years of half-time service may qualify for up to $37,500.
Full-time employment is defined as working a minimum of 40 hours a week for 45 weeks a year, while those in the half-time program must work at least 20 hours a week for 45 weeks a year.
Funds received through the program can be applied to both federal and private student loans.
Public Service Loan Forgiveness (PSLF)
Do pharmacists qualify for student loan forgiveness under PSLF? It depends on your employer. Pharmacists with outstanding federal student loans must work for a government agency or nonprofit organization to qualify for this loan forgiveness option.
To qualify, you must work full time (which is classified as at least 30 hours a week) for a qualifying employer for 10 years and make 120 qualifying monthly payments. For PSLF, qualifying payments include payments made under an income-driven repayment plan.
Eligibility for PSLF can be tricky, so make sure your loans, payment plan and employment meet PSLF’s requirements by using the PSLF Help Tool.
Note that private student loans are not eligible for PSLF.
National Institutes of Health loan repayment programs
If you’re interested in pursuing a career in medical research and have a pharmacy degree, the National Institutes of Health (NIH) offers several programs that help.
There are two loan repayment programs: one for researchers not employed by the NIH (extramural), and another for researchers who do work for the NIH (intramural).
For extramural programs, the maximum amount of assistance is $50,000 per service year, up to a maximum of $100,000. For intramural programs, the maximum amount of assistance is $50,000 per service year, up to a maximum of $150,000.
To qualify for the program, your student loan debt must be at least 20% of your base salary when you receive the award.
The repayment funds can be used toward federal or private student loans.
Indian Health Service Loan Repayment Program
Through the Indian Health Service Loan Repayment Program, health care professionals who practice in facilities serving American Indian and Alaska Native communities may be eligible for loan repayment assistance. Through the program, participants can receive up to $50,000 in exchange for two years of service.
You can use the program to repay federal or private student loans.
U.S. Army and Navy student loan repayment assistance
If you’re interested in working for the U.S. Army or Navy, you could get significant loan repayment assistance.
Qualified U.S. Army candidates can receive up to $120,000 in assistance to pay back your pharmacy school loans.
Another option aside from the repayment program is the Pharmacist Accession Bonus. Qualified pharmacists may be eligible for a $30,000 bonus in exchange for a four-year service commitment.
The Navy offers financial assistance through the Health Professions Loan Repayment Program. It will pay up to $40,000 a year toward loan repayment, minus 25% or so in federal income taxes.
Individuals must qualify for or be an active-duty commissioned officer and be enrolled as a full-time student in their last year of school. Individuals may also qualify if they’re in the final year of a residency program.
The programs can be used for federal and private student loans.
Pharmacist loan forgiveness options by state
Alaska
Alaska’s SHARP program offers loan assistance to pharmacists working in underserved communities. Through the SHARP-I program, pharmacists can receive up to $35,000 a year. In some cases, if the position is difficult to fill, pharmacists may be eligible for up to $47,250 a year.
To qualify, pharmacists must work at least half time and commit to serving for at least three years. If a recipient remains in good standing, they can reapply, but they must repeat the process.
Federal and private loans are eligible for the SHARP program.
Arizona
Through the Arizona State Loan Repayment Program, pharmacists can receive loan repayment assistance by serving at an eligible nonprofit or designated Health Professional Shortage Area (HPSA).
Funding depends on a variety of factors, including HPSA score, years of service, provider type and how much funds are available.
Pharmacists can receive up to $50,000 in loan repayment assistance for the first two years. They can receive additional funding by committing to additional years of service. You can get up to $25,000 in the third year, up to $20,000 in the fourth and $10,000 in the fifth (and beyond).
California
The California State Loan Repayment Program offers loan repayment assistance to pharmacists who commit to working in a designated HPSA.
Pharmacists who work full-time can receive up to $50,000 for a two-year service agreement.
Full-time pharmacists may be eligible for one-year extensions for a total of four years, which could result in an additional $50,000 maximum in loan repayment assistance. Half-time applicants are eligible for up to $50,000 for a four-year service agreement, with another $25,000 available over four one-year extensions.
To qualify, pharmacists must work at an approved facility serving low-income residents.
Both federal and private student loans are eligible.
Colorado
Under the Colorado Health Service Corps program, clinical pharmacists (PharmD.) working in a designated shortage area may be eligible for loan repayment assistance.
Pharmacists must commit to three years of service and work either part time or full time.
Full-time pharmacists are eligible for up to $90,000 in loan repayment assistance, while part-time pharmacists are eligible for up to $45,000. The funds can be used for private and federal loans.
Kentucky
Through the Kentucky State Loan Repayment Program, pharmacists may be eligible for help with their student loans. Participants must have a sponsor, such as an employer or private foundation, that matches each dollar contributed to the program.
Qualified candidates that work at a designated HPSA and work full time may be eligible for up to $100,000. They must serve a two-year commitment.
Minnesota
Under Minnesota’s Rural Pharmacist Loan Forgiveness Program, eligible candidates can receive loan repayment assistance if they work in a designated rural area.
Pharmacists may be eligible to receive up to $24,000 a year for a maximum of four years, totaling $96,000. Funds can be used to repay federal or private student loans.
Interested candidates must work at least 30 hours a week for at least 45 weeks a year and commit to three years of service.
Montana
Pharmacists in Montana may be eligible for up to $37,500 per year in loan repayment assistance through the Montana State Loan Repayment Program.
Recipients must work at an approved site, which may be a public or private nonprofit facility. Some rural private practice sites in a designated shortage area may also be approved.
Pharmacists can serve for up to two one-year continuations after the initial two-year service commitment.
Federal and private loans are eligible for the program.
Nebraska
Nebraska offers two programs for pharmacists that work in designated shortage areas:
- State Loan Repayment Program (SLRP): Pharmacists can receive a maximum of $90,000 for a three-year service commitment.
- NHSC Nebraska State Loan Repayment Program: Under this program, pharmacists can receive a maximum of $100,000 for serving for four years.
Eligible candidates can receive a total of $90,000 to $100,000 in loan repayments. To qualify, you must commit to two to four years of service.
An employer or local entity will need to provide matching funds. You must have at least 32 hours of scheduled patient time a week to be eligible.
Both federal and private loans are eligible for the program.
New Mexico
The New Mexico Health Professional Loan Repayment Program offers loan repayment for pharmacists if they serve in a designated shortage area for at least two years.
The maximum award amount depends on many factors, including your student loan debt balance and the program’s available funding. To qualify, candidates must be residents of the state for at least 12 consecutive months prior to their service commitment.
Pharmacists may be eligible for the program, but other health care professionals receive funding priority.
Oregon
The Oregon Partnership State Loan Repayment Program offers loan repayment assistance to pharmacists who work in designated shortage areas.
Full-time providers can receive repayment assistance amounting to 50% of qualifying student debt — up to $35,000 a year — for the initial two years. Part-time providers can receive payment assistance of up to 50% of their debt, with a maximum of $17,500 a year for the first four years.
The program requires a two-year commitment, with the possibility of two additional one-year extensions.
Rhode Island
Through the Rhode Island Health Professionals Loan Repayment Program, pharmacists in Rhode Island who work at a qualified site in a designated shortage area could be eligible for loan repayment assistance.
Participants can receive up to $50,000 in exchange for a two-year service commitment. However, pharmacists must work in an outpatient setting.
Virginia
The Virginia State Loan Repayment Program offers pharmacists loan repayment assistance in exchange for serving in a designated HPSA at a qualified site in Virginia.
The program requires a dollar match from the community work site. To qualify, eligible candidates must commit to two years of service.
Candidates are eligible for a maximum award of $140,000 for a four-year commitment.
Washington
Washington has two programs:
- Health Professional Loan Repayment and Conditional Scholarship Program: Pharmacists can receive up to $75,000 in exchange for three years of service. This program does require pharmacists to work at a designated HPSA.
- Federal Health Program: Pharmacists can receive up to $70,000 in exchange for two years of service at an eligible site.
Both federal and private loans are eligible for the program.
West Virginia
Through the West Virginia Health Sciences Service Program, pharmacists can qualify for up to $40,000 for a two-year service commitment at an approved site.
Pharmacists are eligible for $25,000 per year for up to two additional years, for a maximum of $90,000 in total loan repayment assistance.
More ways to manage your pharmacy school student loans
Although there are many pharmacist student loan forgiveness programs and repayment grants, not everyone will qualify for them at the federal or state level. Whether your state doesn’t offer a program or your employer isn’t an eligible site, loan forgiveness may not be an option.
However, there are other ways to manage your loans:
- Employer repayment assistance: Some employers will help you repay your loans by matching your payments.
- Alternative payment plans: You may be eligible for an alternative repayment plan if you can’t afford your payments. With federal loans, you can dramatically reduce your payments with an income-driven repayment plan.
- Student loan refinancing: If you have pharmacy student loans with high interest rates, refinancing could help you save money and pay off debt faster.
By exploring these options, you could make it much easier to repay your loans.