Bill > HB130

This bill establishes the Pay As You Earn Education Program (PAYE), a unique student loan initiative for Georgia residents attending eligible in-state postsecondary institutions. Under this program, students are required to pay $1,000 annually toward their educational costs, with the remaining expenses covered by a loan that is repaid based on future earnings. Specifically, after graduation, participants will repay the loan by contributing 3% of their federal annual adjusted gross income for 15 years, or alternatively, they can choose to repay the total loaned amount plus 3% simple interest within ten years. The program is available to legal residents who are graduates of eligible high schools and have been accepted to participating public or private institutions, with at least 1% of each institution's incoming freshman class required to participate. Students must complete their undergraduate degree within four years (or five years for first professional degrees) and are ineligible if they have defaulted on previous educational loans, have certain criminal convictions, or do not meet specific citizenship and registration requirements. As an additional incentive, participating private institutions can receive a $1,000 tax credit for each enrolled PAYE student, and students can deduct their loan repayments from their Georgia taxable income.

Education

https://www.legis.ga.gov/legislation/69504