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The average college graduate in 2016 owes a staggering $37,172 in student loan debt. This debt can hinder reaching financial milestones like buying a home or saving properly for retirement, which leaves many graduates wondering how to pay off student loans in less time. Thankfully, there are plenty of strategies college graduates can use to to pay off student loans faster than their original time frames. Check out 9 ways to kick your college debt to the curb, and start working towards other financial goals.

1. Focus your money on the loans with the highest interest rate first.

If you have a set amount you can put towards your loans each month, put everything towards the highest interest rate loan first. Once that loan has been paid, you can snowball that money towards each consecutive loan. High-interest rates can cost you thousands of dollars over the life of a loan, so by paying off a high-interest rate loan first, you’ll actually pay less overall to cancel out your student loan debt.

2. Pay above the minimum requested amount.

If you’re only paying the minimum billing amount each month, the interest will quickly build over the life of the loan. Make larger payments to cut down on the principal balance and save on interest long-term.

Example: You graduate with $37,172 in student loan debt. Your current repayment plan is $427/month for 10 years. By paying $1,172/month instead, you can pay off the loan in 3 years and save $9,064 in interest!

You don’t have to increase your monthly payment by $745 to see a definitive impact. Even if you pay just $100 more each month, you could pay off your student loan two and a half years early and save over $3,700 in interest.

3. Set a goal date.

If you’re serious about paying off the loans early, create a specific goal date. Whether that be 2, 3, or 5 years in the future, this will help you stay serious about putting extra money towards your loan each month.

4. Hold yourself accountable to that date.

Tell your family and friends what your goal is. By vocalizing it out loud, you’ve opened the door to others asking about your progress and helping to hold you accountable to your goal.

5. Prioritize spending.

In order to put more money towards your loans each month, you have to cut costs elsewhere. Track your income and expenses for a month to see what you’re actually spending money on. Prioritize the necessary expenses first, and then decide what you can live without. Make sure you’re still allowing a small budget towards items and experiences that aren’t considered necessary. This will help to prevent burn-out and keep your budget sustainable on the way to your end goal.

If you’re new to creating a budget, check out our informational budgeting series on the Cents to Save blog, as well as a free template to track your income and expenses.

6. Bring in extra income.

It’s likely that cutting costs and prioritizing spending won’t be enough to pay off your loans in a couple years. You’ll need to increase your income and put that extra money straight to your loans. Here are a few ideas on how to increase income:

• Start a side-hustle relating to your profession or passion.
• Pick up odd jobs on sites like TaskRabbit.com.
• Sign up to baby-sit or pet-sit in your town on sites like rover.com.
• If looking for a new job, ask for a higher starting salary.
• Don’t be afraid to ask for a raise at your current position.

7. Set up automated payments.

Some student loan providers allow for a discounted interest rate if you set up a monthly automated transfer to make your payment. Not only do automated transfers help in this regard, but you can also set up a portion of your direct deposit paycheck to go immediately into a savings account. This will help you not be tempted to spend that money while it’s in your checking account.

8. Refinance your student loans.

9. Utilize loan forgiveness programs.
This isn’t the right option for everyone, but it does have the potential to save you a lot of money on interest. Refinancing student loans could be a good choice for you if you have multiple high-interest private loans, or the federal loans you do have come with unusually high-interest rates. One drawback to refinancing normal federal loans is that you’ll lose the flexible payment options and loan forgiveness plans that come with federal loans.

Many graduates don’t even realize these types of programs exist. These programs are built to forgive a specific percentage or amount of your student loans in return for some type of needed service. Many times it is incentive to work in the public service sector or under-served communities. Some professions that offer forgiveness programs include teaching or nursing. See this list for a comprehensive overview of all loan forgiveness programs offered in the country to see if you qualify.

Remember that each graduate’s financial journey is different.

Whatever strategies you use, the most important part is that you’re starting to evaluate your current financial situation and are taking steps to eliminate debt. The right timeline and budget for one person may not be right for you, but regardless of your end goal, you’ve now learned how to pay off your student loans in less time than your original payment terms. Let us know in the comments below which of these tactics you’re using to pay down debt or if you have any additional tips!

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