(WXYZ) — Hundreds of thousands of Michiganders could have all or some of their federal student loan debt wiped out after President Joe Biden announced a plan earlier this week.
Under the plan, people making less than $125,000 per year will have $10,000 in student loan debt forgiven, and those who received a federal Pell Grant will have up to $20,000 forgiven.
According to the U.S. Department of Education, as of March 31, 2022, Michiganders owed $51.3 billion in student loan debt among about 1.4 million people. That averages out to just under $36,642.85 per person.
Michigan ranks 9th in the country for the most amount of student debt.
The state has the 9th most amount of student debt in the country, with California, Texas, Florida, New York and Georgia in the top 5.
Of the people that owe federal student loan debt in Michigan, more than half – 50.5% – owe $20,000 or less in student debt. The largest group has between $20,000 and $40,000, according to the Education Department.
<5K - 203,000
$5K-$100K - 221,500
$10K-$20K - 282,900
$20K-$40K - 305,600
$40K-$60K - 142,600
$60K-$80K - 92,600
$80K-$100K - 49,400
$100K-$200K - 73,400
$200K+ - 28,700
The education department also breaks down the amount owed and the number owed by age group, with the 25-34 group having the most amount of people owing, but the 35-49 age group owing the most amount of money.
There are around 233,000 people 24 and under that owe a total of $3.72 billion. There are around 490,300 people between the ages of 25-34 owe $17.15 billion. 416,900 people between the ages 35-49 owe $19.01 billion. 194,400 people between 50-61 owe $8.79 billion and 63,900 people ages 62 and up owe $2.66 billion.