Learn how new federal loan caps impact financial aid for respiratory therapy programs. Explore scholarship options to help you pay for your degree.
Respiratory therapy is one of the most accessible pathways into a high-impact healthcare career. With strong salaries, fast entry into the workforce, and growing demand, becoming a respiratory therapist has long been an attractive option for students who want to make a difference without spending years in school.
But a major shift is changing how students pay for their education as they pursue respiratory therapy roles, with new federal student loan caps limiting how much they can borrow. For future respiratory therapists, understanding what these changes mean and how to plan around them has never been more important.
What Are the New Federal Loan Caps?
Beginning July 1, 2026, new federal policies will significantly change student borrowing limits, especially for graduate and healthcare career-focused programs.
Under the new rules:
- The Grad PLUS loan program will be eliminated, removing a key option that previously allowed students to cover the full cost of attendance. Direct unsubsidized loans will still be available.
- A new system of borrowing caps is created, with programs being split into professional degrees and non-professional degrees, each with its own limit.
How Will New Federal Loan Caps Impact Respiratory Therapy Financial Aid?
| Program Type | Annual Loan Amount | Total (Aggregate) Limit | Qualifying Programs |
|---|---|---|---|
| Professional degree programs | Up to $50,000 | Up to $200,000 | Professional programs, including Medicine, Law, Dentistry, Pharmacy, Veterinary Medicine, Optometry, Osteopathic Medicine, Podiatry, Chiropractic, Clinical Psychology, Theology |
| All other orgorams | Up to $20,500 | Up to $100,000 | All programs not listed above |
Source: Office of Federal Student Aid
In the past, many students relied on Grad PLUS loans to cover any remaining costs after federal loan limits were reached. With that option removed, students in non-professional programs may need to cover more expenses through scholarships, savings, or other funding sources.
Is Respiratory Therapy Considered a Professional Degree?
No, under current federal definitions, respiratory therapy is not classified as a professional degree program. That means students in these programs are subject to lower borrowing limits.
While this classification affects financial aid, it does not reflect the level of training required. Respiratory therapists must complete accredited programs, gain clinical experience, and pass national credentialing exams to practice.
In other words, respiratory therapy is still a career-focused healthcare degree, even if it is not categorized as a professional degree under federal loan policies.
How to Afford a Respiratory Therapy Degree Under New Loan Caps
While new loan caps limit how much you can borrow, they don’t make a respiratory therapy degree out of reach. In many cases, respiratory therapy remains one of the more affordable options in healthcare education and training.
One advantage of respiratory therapy is that it typically requires less time in school than many other healthcare careers. It typically requires an associate degree, which can be completed in two years. That shorter timeline can reduce both tuition costs and the amount you need to borrow overall.
To manage costs effectively:
- Look for lower-cost programs, such as community colleges or in-state options
- Apply to schools that offer scholarships and grants, which can significantly reduce out-of-pocket expenses
- Consider your total cost of attendance, including housing, transportation, and time to completion
With the right approach, many students can complete their education with limited borrowing—or avoid loans altogether. Learn more about accessing financial aid at community colleges and how to attend community college for free in New Mexico.
Why Respiratory Therapy Is Still a Smart Career Investment
Even with changes to financial aid, respiratory therapy remains a strong return on investment.
According to the U.S. Bureau of Labor Statistics:
- The median salary for respiratory therapists is $80,450 per year.
- Employment is projected to grow 12% from 2024 to 2034, much faster than average.
- There are about 8,800 job openings each year.
Because entry into the field typically requires an associate degree, you’ll enter the workforce sooner than many other healthcare professions, meaning you’ll be able to start earning more quickly.
This balance of lower education costs and strong salary potential can make respiratory therapy a more financially sustainable path compared to longer, more expensive healthcare programs.
Start your Respiratory Therapy Career at San Juan College
As federal loan options become more limited, affordability is essential. At San Juan College, the Respiratory Therapy AAS program is designed to help you enter the workforce without taking on unnecessary debt, including:
- Low tuition rates: We offer low in-state tuition rates for New Mexico residents, as well as affordable rates for out-of-state students.
- Scholarship opportunities: New Mexico residents may qualify for Opportunity and Lottery Scholarships, which can significantly reduce—or even eliminate—tuition costs
In addition to affordability, our program offers:
- Hands-on clinical training
- Access to advanced simulation facilities
- Eligibility for national certification exams
Explore the School of Health Sciences and start building your career today.
Frequently Asked Questions
Respiratory therapists are healthcare professionals who treat patients with breathing and cardiopulmonary conditions. They work in hospitals, clinics, rehabilitation centers, and home settings with people of all ages, from premature infants to older adults. They help manage conditions like asthma, chronic obstructive pulmonary disease (COPD), and other respiratory illnesses.
Their responsibilities may include:
- Assessing lung function and breathing patterns
- Administering oxygen therapy and medications
- Managing ventilators and other life-support equipment
- Assisting in emergency situations, such as cardiac or respiratory distress
Learn more about how to become a respiratory therapist.
Under new federal loan caps, most students in non-professional programs, including respiratory therapy degrees, can borrow up to $20,500 per year, with a total limit of $100,000. For a two-year respiratory therapy associate degree, this shakes out to a limit of $41,000 in total available loans.
Pursuing this degree at a community college means lower tuition costs and makes the most out of any aid you borrow. Learn about the benefits of community colleges.
No. Under federal definitions, respiratory therapy is not classified as a professional degree program. Under new rules, non-professional degrees like RT have a borrowing limit for federal financial aid.
No. Beginning July 1, 2026, Grad PLUS loans are being eliminated for graduate and professional students. This means you may need to rely more on scholarships, grants, or other funding options to cover remaining costs.
Most students can complete a respiratory therapy associate degree in about two years, followed by certification exams required to begin working in the field.
