Student Loans in Massachusetts

Average debt, state-specific forgiveness programs, and repayment strategies for Massachusetts borrowers in 2026.

Average Debt

$36,357

Monthly Payment (Std)

$413

State Tax Deduction

Yes

vs. National Avg

+$4,357

Student Loan Overview for Massachusetts

Massachusetts borrowers carry an average student loan debt of $36,357, which is above the national average of approximately $32,000. Under the Standard 10-year repayment plan at the current federal interest rate of 6.53%, Massachusetts graduates would pay $413 per month and a total of $13,203 in interest over the life of the loan.

For borrowers seeking lower monthly payments, income-driven repayment plans like SAVE (formerly REPAYE) cap payments at 5-10% of discretionary income. Massachusetts residents working in public service should explore PSLF for potential forgiveness after 10 years of qualifying payments.

Massachusetts Student Loan Forgiveness Programs

Massachusetts offers the State Loan Repayment Program for healthcare providers and the Early Educators Loan Forgiveness Program.

In addition to state programs, Massachusetts borrowers have access to all federal forgiveness programs including PSLF, Teacher Loan Forgiveness ($17,500 for STEM and special education teachers), and income-driven repayment forgiveness after 20-25 years.

State Tax Deduction for Student Loan Interest

Massachusetts conforms to the federal student loan interest deduction. Borrowers can deduct up to $2,500 in student loan interest paid during the tax year on both their federal and Massachusetts state income tax returns. This deduction phases out for single filers earning $75,000-$90,000.

Top Massachusetts Colleges & Average Debt

Institution	Avg. Graduate Debt
MIT	$22,000
Harvard University	$16,000
Boston University	$42,000

* Debt figures are approximate averages for graduating students who borrowed.

Frequently Asked Questions

What is the average student loan debt in Massachusetts?

The average student loan borrower in Massachusetts graduates with approximately $36,357 in student loan debt. This is above the national average of $32,000.

Does Massachusetts offer student loan forgiveness?

Massachusetts offers the State Loan Repayment Program for healthcare providers and the Early Educators Loan Forgiveness Program.

Can I deduct student loan interest on Massachusetts state taxes?

Yes, Massachusetts conforms to the federal student loan interest deduction. You can deduct up to $2,500 in student loan interest paid on your Massachusetts state income tax return, subject to income limits.

What are the best colleges in Massachusetts for low student debt?

Among Massachusetts institutions, MIT has an average graduate debt of $22,000. In-state tuition at public universities is significantly lower than out-of-state rates.

What repayment plan should I use for student loans in Massachusetts?

Your best plan depends on your income and career. Massachusetts residents earning under $50,000 should consider the SAVE plan for the lowest payments. Those in public service should pursue PSLF. Higher earners may benefit from the Standard plan or refinancing.

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