CHICAGO – Today Obama for America released a new digital calculator today that shows how President Obama’s policies have helped college graduates who responsibly pay their student loans get on their feet after graduation with more affordable monthly payments – one part of his larger efforts to restore middle class security and America’s competitive edge by improving families’ access to a quality, affordable education.
Specifically, the “Pay As you Earn” program caps monthly federal student loan repayment at 10 percent of a borrower’s monthly discretionary income, meaning that a responsible student can choose the college they want to attend based on their career goals and not only the price of tuition. It provides families the peace of mind of knowing that as long as college graduates make their payments on time, they won’t owe more than they can reasonably afford to pay each month. The new calculator is featured on an updated webpage that highlights the strong contrast between President Obama’s continued focus on making college more affordable for middle class families and the Romney-Ryan plan that would slash aid that college students depend on and restore billions of dollars in excessive taxpayer- funded subsidies for big banks and corporations. The new calculator allows Americans to enter in their annual income and family size to find out how much they save under President Obama’s program.
Obama for America also released new state reports today that highlight the key differences between President Obama’s efforts to build a world-class, competitive education system and the Romney-Ryan approach to education, which would gut resources that children, teachers, schools and college students depend on. The President believes that education is critical to building an economy from the middle out – not the top down. That’s why he has taken steps to help students afford college, including doubling Pell Grant scholarships, providing families with a $10,000 College Opportunity Tax Credit and incentivizing colleges to hold down costs. For example, in Nevada, a state that the President will visit today to speak about the importance of education, his policies would provide new college tax credits for 81,000 students and larger Pell Grant scholarships for 41,000 students. Mitt Romney and Paul Ryan, on the other hand, support a plan that would give millionaires tax breaks while cutting college scholarships for low-income and middle-class students and other key resources dedicated to improving our schools.
And to accompany the reports, Americans from across the country can also use more digital tools to see how the President’s plan will provide access to a quality education compared what the Romney-Ryan plan would mean for students. The tools show that in Nevada, for instance, the President has a plan to train an additional 17,000 Nevadansfor jobs while the Romney-Ryan plan would eliminate 220 work study positionsin the state.