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Last updated: 21 October 2026. Figures as of: HRSA program pages for the 2026 application cycles (accessed 21 October 2026); 34 CFR 685.219 (current eCFR); Department of Education final rule of 1 May 2026.
Written by WageNorth Editorial. Fact-check: pending human review.
General information, not legal, financial or immigration advice. Rules vary by state/province; check the official source or a licensed professional.
Part 1 of 2: NURSE Corps vs PSLF vs NHSC vs state programs, and how to find your state’s program
In this guide:
- NURSE Corps vs PSLF vs NHSC vs state programs, and how to find your state’s program (this page)
- Which roles and workplaces qualify, taxes, timing and a checklist
The short answer
Nurses have four main official routes to student loan relief: HRSA’s NURSE Corps Loan Repayment Program, Public Service Loan Forgiveness (PSLF), National Health Service Corps (NHSC) programs, and state loan repayment programs. None is automatic. Each needs an application, qualifying loans and qualifying work.
| Program | Who runs it | What it pays | Service or work required |
|---|---|---|---|
| NURSE Corps Loan Repayment Program | HRSA | 60% of qualifying nursing education loans over 2 years; a possible third year for an extra 25% | 2 years full-time at a critical shortage facility, or as faculty at an eligible school of nursing |
| Public Service Loan Forgiveness | US Department of Education | Forgives the remaining balance on eligible Direct Loans | 120 qualifying monthly payments while working full-time for a qualifying employer |
| NHSC Substance Use Disorder Workforce LRP | HRSA | Up to $75,000 for full-time service (up to $37,500 half-time) | At least 3 years at an NHSC-approved SUD treatment facility in a shortage area; RNs are eligible |
| State loan repayment programs | States, often with HRSA funding | Varies by state | Varies; usually service in shortage areas |
The key figures
- NURSE Corps LRP: HRSA says it pays 60% of your total outstanding, qualifying nursing education loans over a two-year contract. After the two years, you may be eligible for a third year and an additional 25%. HRSA’s page also describes the program as paying “up to 85%” of unpaid nursing education debt, which is the 60% and 25% combined. The 2026 application cycle is closed, and HRSA said all applicants would be notified by 30 September 2026.
- PSLF: under federal regulation 34 CFR 685.219, you need the equivalent of 120 monthly qualifying payments on eligible Direct Loans while employed full-time by a qualifying employer, both when you make the payments and when you apply. There’s no dollar cap. The amount forgiven is whatever principal and interest remain.
- **NHSC SUD Workforce LRP:** HRSA lists up to $75,000 for full-time or $37,500 for half-time over a three-year obligation, with a possible Spanish-language enhancement of up to $5,000. Registered nurses, nurse practitioners, certified nurse-midwives and psychiatric nurse specialists are among the eligible disciplines.
A worked example: what the percentages mean
HRSA pays NURSE Corps awards as a share of your qualifying nursing education loans, so it helps to put the percentages into dollars. Take an illustrative balance of $40,000 (an example, not an average):
| NURSE Corps LRP stage | Share of qualifying balance (HRSA) | On a $40,000 balance |
|---|---|---|
| First two-year contract | 60% | $24,000 |
| Optional third year, if approved | Additional 25% | $10,000 |
| Maximum | Up to 85% | $34,000 |
HRSA says these payments are not exempt from federal income and employment taxes, so the amount that reaches your loans is not the whole benefit to you after tax. By contrast, the NHSC SUD Workforce LRP offers up to $75,000 for three years of full-time service, and HRSA says NHSC loan repayment funds are exempt from those taxes. PSLF works differently again: it forgives whatever balance remains on eligible Direct Loans after 120 qualifying payments, so the value depends on your balance and repayment plan.
What decides which program fits
- Your loan type. PSLF covers federal Direct Loans only. HRSA programs consider qualifying educational loans, and their guidance sets out which loans count.
- Your employer. PSLF depends on the employer type (government or nonprofit). NURSE Corps depends on whether the facility is a critical shortage facility.
- Your role. Some NHSC programs are limited to advanced practice roles, while the SUD program includes RNs.
- Taxes. HRSA says NURSE Corps LRP funds are not exempt from federal income and employment taxes, while NHSC loan repayment funds are exempt (Part 2).
In short: NURSE Corps pays up to 85% over three years for shortage-facility service, PSLF forgives the remaining balance after 120 qualifying payments, and NHSC and state programs add role- and location-specific options.
State nurse loan forgiveness and repayment programs
HRSA’s State Loan Repayment Program (SLRP) provides grant funding to states and territories, which then design their own loan repayment programs. According to HRSA, SLRP-funded programs support primary medical, mental and behavioural health, and dental clinicians, who agree to work in areas with provider shortages in exchange for help with their student debt. Many states also run programs funded entirely by the state, and some are aimed specifically at nurses or nurse educators.
Because each state sets its own rules, award amounts, eligible professions and service terms vary. We haven’t listed state award amounts here, because they change between funding cycles and many depend on annual budgets. A table we couldn’t keep current would risk misleading you.
How to find your state’s options
- Start with your state health department or office of rural health. These offices commonly administer SLRP-funded programs.
- Check your state board of nursing and higher-education agency for nurse-specific scholarships and repayment programs.
- Use HRSA’s SLRP pages to see the federal requirements that SLRP-funded state programs must follow, including the clinician eligibility and service requirements.
- Ask employers. Some hospitals and health systems offer their own loan repayment or tuition benefits as part of recruitment. These are employer benefits, not government programs, so get the terms in writing.
Questions to ask about any state program
| Question | Why it matters |
|---|---|
| Which professions are eligible: RN, APRN, LPN or faculty? | Many programs focus on advanced practice or shortage specialties |
| Where must I work? | Often limited to shortage areas or specific facility types |
| How long is the commitment? | Typically multi-year; check penalties for leaving early |
| How much, and how is it paid? | Annual payments, lump sums or matching funds vary |
| Is it taxable? | Treatment differs by program; ask the administrator |
| Can I combine it with NURSE Corps or PSLF? | Some programs restrict “stacking” service obligations |
Combining programs
HRSA’s NURSE Corps Scholarship and loan repayment rules mention existing service obligations, and eligibility pages for HRSA programs ask about existing commitments. Before accepting any award, check whether it conflicts with another service obligation. PSLF is different, because it’s based on employment and payments rather than a service contract. Even so, confirm how any outside repayment would affect your PSLF count with your loan servicer or studentaid.gov.
In short: state programs are funded and designed state by state, often with HRSA grants. Check your state health department and board of nursing, and compare service terms before you combine awards.
