Student Loan Changes Leave Nurses, Teachers, Social Workers Behind

The Department of Education is implementing new measures from President Trump's One Big Beautiful Bill that will change how much student loan 8money graduates can borrow. Whether a degree counts as "professional" now determines loan limits.

Annual loans for new borrowers are capped at $20,500 for graduate students and $50,000 for professional students. That $29,500 difference matters a lot when you're trying to pay for grad school.

Here's the problem: nursing isn't on the professional degree list. Neither are physician assistants, physical therapists, audiologists, architects, accountants, educators, or social workers.

But theology made the cut.

What Changed

The new Repayment Assistance Plan (RAP) replaces previous programs starting July 2026. The Grad PLUS program that helped graduate and professional students cover expenses gets scrapped. Parent PLUS loans for parents of dependent undergrads will be limited.

The regulatory definition of professional degrees comes from 1965 text that lists professions but says it's "not limited to" those mentioned. It’s unclear how many degrees not counted as professional now have always been considered non-professional. Either way, nursing's not on there.

The Nursing Problem

Amy McGrath, a U.S. Senate candidate in Kentucky, wrote on X: "Can someone explain how a theologian is considered more 'professional' than a nurse practitioner?"

She called it a way to "quietly push women out of professional careers" since excluded programs include fields dominated by women like health care, counseling, and social work.

The American Nurses Association started a petition to get the Department of Education to include nursing as a professional degree. The American Association of Colleges of Nursing said excluding nursing "disregards decades of progress toward parity across the health professions."

We already have a nursing shortage. Making it harder to afford nursing school won't help that situation.

Why This Matters

College is expensive. Over the last 30 years, average tuition for public and private colleges doubled after adjusting for inflation, according to NPR. In just the last decade, costs at public universities went up 30%.

Students pursuing high-cost degrees who don't qualify for higher loan limits could struggle to cover expenses. That deters people from choosing high-demand careers we actually need to fill.

Kevin Kinser, professor of education policy studies at Pennsylvania State University, told Newsweek the point isn't distinguishing professional degrees from other degrees. "It is to limit the exposure of the government to loans that will not be repaid."

The list of degrees not classified as "professional" currently includes:

• Nursing

• Physician assistants

• Physical therapists

• Audiologists

• Architects

• Accountants

• Educators

• Social workers

The list includes professions with high salaries. But it neglects professions with lower earnings or less prominence. Theology's the exception, which "may reflect more political calculations than anything else," Kinser said.

"We need nurses and teachers for example, yet loans would be unavailable to support people entering these professions."

The Impact

Paul Gaston, a professor at Kent State University, told Newsweek: "By what conceivable standard are nursing, physical therapy, and audiology not to be regarded as 'professional?' It should be obvious that nursing and allied health programs prepare students to enter the health care professions."

He added: "If such policies discourage or prevent students from pursuing an education to become health care professionals, American citizens will face an increasing challenge in gaining access to health care. A patient refused a hospital bed because of a nursing shortage will have little patience for discussions of definitions."

Peter Lake, a law professor at Stetson Law, said the federal administration "should track more commonly held views of what qualifies as a profession under the law."

He warned that narrowly construing professions could create "barriers to opportunities for students seeking a career in what is otherwise considered a profession." Private loans might not be sufficient or affordable, especially for students facing economic challenges.

What Happens Next

New measures take effect July 2026. Students applying for loans after that date will face the $20,500 cap for graduate degrees and $50,000 cap for professional degrees.

The American Nurses Association is petitioning to get nursing added to the professional degree list. Whether that succeeds remains to be seen.

Meanwhile, anyone planning to pursue nursing, teaching, social work, or other excluded fields needs to figure out how to cover grad school costs with $29,500 less in available federal loans.

Private loans exist but come with higher interest rates and fewer protections than federal loans. Not everyone qualifies. And taking on more expensive debt to become a nurse when nurses already don't make doctor-level salaries creates its own problems.

The Department of Education hasn't commented publicly on why these specific professions got excluded.

The Bottom Line:

If you're planning grad school for nursing or any other excluded field, budget accordingly. Federal loan limits just dropped $29,500 for you compared to "professional" degrees.

The definition might change before July 2026. Or it might not. Either way, it is worth knowing before you apply.

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