Question

Yashari earns $27,000 per year, is single, and lives in Wyoming. She has $7000 in Direct Subsidized loans and another $19,000 in Direct Unsubsidized loans. She is trying to save up an emergency fund of at least 6 months’ take-home pay, so she’s torn about how much she should devote to her student loans and how much to the emergency fund every month.

Answer 1

Yashari earns $27,000 per year, has $7,000 in Direct Subsidized loans, and $19,000 in Direct Unsubsidized loans. She wants to save up an emergency fund of at least 6 months’ take-home pay and is unsure how much she should allocate to her student loans and emergency fund each month.

Step-by-step explanation:

Answer 2

Answer:Income-Contingent Repayment (approximately $37,812), 21 years

Step-by-step explanation:

With a monthly payment limit of 20% of her discretionary income and no loan forgiveness eligibility, Yashari would pay $147-142 per month, $37,812 total, until December 2043 (21 years from 2022).