Majority of college students say they will be affected by Trump’s new tax bill: ‘Honestly, I’m cooked’

With Donald Trump’s “big, beautiful bill” set to alter how families and students finance higher education starting in July 2026, a new survey suggests the majority of college students expect to be affected by the bill.

A US News & World Report surveyed nearly 1,200 college students, with most responders saying the changes will affect them. When asked about the law’s broader effects, 61% of students said they would personally feel its impact, while 20% said they would not and 19% responded “I don’t know.”

About a third (32%) of students anticipate being affected by the removal of repayment options such as the Save Plan, a 2023 income-driven repayment plan for student debt implemented by former president Joe Biden.

Trump’s bill sets new caps on borrowing and reduces the repayment plan options available for federal student loan borrowers who take out loans beginning in the summer of next year. It also eliminates Grad Plus loans for graduate and professional students after that date.

Awareness of the scope of the incoming changes varies among those surveyed. Just 20% of students say they fully grasp the upcoming policy shift, while 19% admit they don’t understand it at all. Another 39% say they understand somewhat, and 22% are unsure how the new rules will apply to them.

A slight majority of students (51%) oppose all of the bill’s student loan changes. Even when asked about individual provisions, support remains weak, with only around one in five approving of borrowing caps or the elimination of certain income-driven repayment plans.

For many, the new rules are causing them to reconsider their educational path. According to the survey, 35% are thinking about cutting back on their studies, 32% about changing degrees, 31% about completing school abroad, and 26% about enlisting in the military for financial support.

First-generation students are even more likely to consider reducing their schooling (45%) or changing majors (44%), an outcome possibly also related to Trump’s rescinding of longstanding protections against immigration raids on school campuses, as data shows 47% of first-generation students in the US are also first-generation immigrants.

Some students shared their thoughts directly: “I’m thinking about not finishing law school,” one said. Another explained: “I wanted to go to medical school, but now I won’t.” One summed it up simply: “Honestly, I’m cooked.”

Graduate and professional students are expected to feel the greatest impact, given the new borrowing limits and the loss of Grad Plus loans.

Currently, students in programs such as law or medicine can borrow up to $138,500 over the course of their education, including undergraduate borrowing. Other graduate students have borrowing limits between $81,000 and $107,500, depending on what they took out as undergrads.

The new legislation will cap borrowing for master’s and academic doctoral degree programs at $20,500 per year and $100,000 in total. Professional practice doctoral degrees, such as medicine and law, will have higher limits of $50,000 per year and $200,000 in total.

Although these new limits are technically higher than current caps, students needing more than that amount will find their options have shrunk.

Currently, Grad Plus loans allow graduate students to borrow up to the full cost of attendance. While they carry higher interest rates than direct loans, they offer important benefits compared to private loans, such as fixed rates and access to income-driven repayment plans.