A proposed $20,500 annual limit on federal loans for graduate programs will shrink the PA workforce, according to a survey of 4,545 practicing PAs, students and individuals aspiring to join the profession.
The American Academy of Physician Associates conducted the survey Dec. 9-Jan. 26, which focused on potential outcomes of a proposed $20,500 limit on federal loans for graduate students.
Fifty-eight percent of survey respondents said it is extremely or somewhat likely they would have delayed enrolling in PA school due to financial burden if federal student loan borrowing was capped at $20,500 per academic year.
Thirty-seven percent said it is likely or very likely they would not have considered pursuing a healthcare career if the limit was or went into effect.
Under the Education Department’s proposed rule, the U.S. will limit graduate students’ borrowing at $20,500 a year and an aggregate $100,000 cap, effective July 1. The proposal aligns with statutory changes outlined in H.R.1, which President Donald Trump signed into law July 4, 2025.
The AAPA has advocated for the loan borrowing limit to recognize a Master of Science in Physician Assistant Studies as a professional degree, which would have a $50,000 annual limit and $200,000 aggregate cap. The department said in a Jan. 30 proposed rulemaking the “unsettled regulatory landscape” surrounding PA licensure and scope of practice means the degree does not qualify as a “professional” degree.
“Because the overwhelming majority of states substantially restrict the practice of physician assistants and require them to collaborate with, or be supervised by, physicians, the department believes it would be inaccurate to treat an MSPAS as a professional degree,” the proposed rule said.
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