How much does the US spend on federal student loans a year?

$64.7 billion in fiscal year 2025 (October 2024 to September 2025), in net outlays recorded by the Treasury for the Federal Direct Student Loan program. In FY2024 it was $110.2 billion.

What share of the federal budget goes to federal student loans?

0.92% of all federal outlays in FY2025 ($64.7 billion of $7.01 trillion): about $9 of every $1,000 the government spent.

How much is that per person?

About $189 per US resident in FY2025, or $177.1 million a day.

How much does federal student loans cost per taxpayer?

About $397 per individual income tax return: $64.7 billion divided by the 162.8 million individual returns the IRS received in FY2025. Federal spending is paid for by all taxes and borrowing together, so this is an average, not what any one taxpayer pays; your tax receipt shows your own share.

How much has been spent on federal student loans in 2026?

In FY2026 through August 2026 it spent $37.6 billion, down 28% on the same months of FY2025 ($52.2 billion). Fiscal year 2026 ended on 30 September 2026; the September statement, published in mid-October, completes it.

Has spending on federal student loans gone up?

From $23.7 billion in FY2015 to $64.7 billion in FY2025, +173% in nominal dollars.

Is this the budget or actual spending?

Actual spending: outlays are what the Treasury paid out in each fiscal year. The budget Congress passes sets budget authority (what an agency may commit), which can be spent over several years, so appropriations in the news can differ from these figures.

Federal student loansFY2025 and FY2026 to date

How much do federal student loans cost the government?

$64.7 billion in fiscal year 2025: 0.92% of all federal spending.That is about $189 per US resident, or $397 per individual tax return. In FY2026 through August 2026 it spent $37.6 billion, down 28% on the same months of FY2025 ($52.2 billion). Treasury figures for the Federal Direct Student Loan program.

FY2025

$64.7B

-41% on FY2024

FY2026 to date

$37.6B

through Aug '26, -28%

Per US resident

$189

FY2025

Per tax return

$397

162.8M individual returns

By year

Federal student loans: $23.7 billion in FY2015, $64.7 billion in FY2025

Net outlays by fiscal year (October to September), nominal dollars · FY2026* = to August 2026

Every year as a table, with the share of federal outlays

Fiscal year	Net outlays	Share of federal outlays
FY2026 to Aug '26	$37.6 billion	0.55%
FY2025	$64.7 billion	0.92%
FY2024	$110.2 billion	1.63%
FY2023	$143.3 billion	2.34%
FY2022	$473.4 billion	7.55%
FY2021	$130.0 billion	1.91%
FY2020	$113.3 billion	1.73%
FY2019	$33.2 billion	0.75%
FY2018	$12.0 billion	0.29%
FY2017	$44.7 billion	1.12%
FY2016	$9.9 billion	0.26%
FY2015	$23.7 billion	0.64%

U.S. Treasury, Monthly Treasury Statement, Table 5.

By month

Largest month: July 2023, $70.9 billion

Net outlays in each month. Large one-month amounts are usually lump-sum transfers or accounting adjustments.

Monthly figures as a table

Month	Outlays in the month	Fiscal year to date
August 2026	$23.3 million	$37.6 billion
July 2026	$2.2 million	$37.6 billion
June 2026	$16.8 billion	$37.6 billion
May 2026	$3.6 million	$20.8 billion
April 2026	$6.1 million	$20.8 billion
March 2026	$6.1 million	$20.8 billion
February 2026	$53.3 million	$20.8 billion
January 2026	$9.1 billion	$20.7 billion
December 2025	$67.4 million	$11.7 billion
November 2025	$86.8 million	$11.6 billion
October 2025	$11.5 billion	$11.5 billion
September 2025	$12.5 billion	$64.7 billion
July 2025	$41.9 billion	$52.2 billion
October 2024	$10.3 billion	$10.3 billion
August 2024	$24.3 billion	$110.2 billion
June 2024	$65.8 billion	$85.9 billion
April 2024	$13.4 billion	$20.0 billion
October 2023	$6.6 billion	$6.6 billion
September 2023	$6.0 billion	$143.3 billion
July 2023	$70.9 billion	$137.3 billion
June 2023	$20.0 billion	$66.4 billion
March 2023	$23.2 billion	$46.4 billion
December 2022	$7.7 billion	$23.2 billion
November 2022	$11.6 billion	$15.5 billion

U.S. Treasury, Monthly Treasury Statement, Table 5.

Student loans and the rest of student aid

Net outlays from the same Treasury table.

Account	FY2015	FY2025	FY2026 so far
Direct student loans (cost)	$23.7B	$64.7B	$37.6B
Pell Grants and other student aid	$31.6B	$42.1B	$33.6B
All of Federal Student Aid	$57.6B	$111.2B	$80.5B
All of Education	$90.0B	$34.7B	$61.3B

On your tax bill

Federal spending is paid for by all taxes and borrowing together, so each dollar of federal income tax is split in proportion to spending. Federal student loans took 0.92% of it in FY2025.

Income	Income tax	To federal student loans
$40,000	$2,620	$24.17
$60,000	$5,020	$46.30
$75,000	$7,670	$70.75
$100,000	$13,170	$121
$150,000	$24,734	$228

Single filer. Tax: 2026 federal brackets after the standard deduction, no credits. Share: 0.92% of total federal outlays in FY2025. Enter your own income for every part of the budget.

What this counts

Outlays of the Federal Direct Student Loans program account. Under federal credit accounting this is not the amount lent: it is the estimated lifetime cost of the loans (the subsidy cost), plus each year's re-estimates of that cost for every loan already made. Loan forgiveness, repayment-plan changes and interest-rate assumptions move it sharply, and it can be negative when the cost is revised down.

Figures are net outlays: payments made, minus any offsetting collections credited to the same accounts, as printed in the Monthly Treasury Statement. They are not adjusted for inflation. In the budget-function view it falls under education.

Questions and answers

How much does the US spend on federal student loans a year?: $64.7 billion in fiscal year 2025 (October 2024 to September 2025), in net outlays recorded by the Treasury for the Federal Direct Student Loan program. In FY2024 it was $110.2 billion.
What share of the federal budget goes to federal student loans?: 0.92% of all federal outlays in FY2025 ($64.7 billion of $7.01 trillion): about $9 of every $1,000 the government spent.
How much is that per person?: About $189 per US resident in FY2025, or $177.1 million a day.
How much does federal student loans cost per taxpayer?: About $397 per individual income tax return: $64.7 billion divided by the 162.8 million individual returns the IRS received in FY2025. Federal spending is paid for by all taxes and borrowing together, so this is an average, not what any one taxpayer pays; your tax receipt shows your own share.
How much has been spent on federal student loans in 2026?: In FY2026 through August 2026 it spent $37.6 billion, down 28% on the same months of FY2025 ($52.2 billion). Fiscal year 2026 ended on 30 September 2026; the September statement, published in mid-October, completes it.
Has spending on federal student loans gone up?: From $23.7 billion in FY2015 to $64.7 billion in FY2025, +173% in nominal dollars.
Is this the budget or actual spending?: Actual spending: outlays are what the Treasury paid out in each fiscal year. The budget Congress passes sets budget authority (what an agency may commit), which can be spent over several years, so appropriations in the news can differ from these figures.

Sources and notes

U.S. Department of the Treasury, Monthly Treasury Statement, Table 5: Outlays of the U.S. Government, line "Federal Direct Student Loans", every month from April 2015 to 2026-08-31, Fiscal Data API. Public domain.
Per tax return: 162,754,810 individual income tax returns filed in FY2025, IRS Data Book Table 1-2.
Population: U.S. Census Bureau, Vintage 2025 estimates, 50 states and DC.
Tax on your bill: 2026 IRS brackets and standard deduction (Rev. Proc. 2025-32 as amended), as in our calculator.