What the proposed redefinition of “professional degrees” might mean for institutions, sectors, and workforce pipelines
The federal student loan landscape is undergoing its most sweeping restructuring in decades. Under the One Big Beautiful Bill Act (OBBBA) of 2025 and the U.S. Department of Education’s (ED's) proposed regulations, the definition of “professional degree” is being reinterpreted, sharply reducing the number of students eligible for the higher federal loan caps reserved for professional training.
The federal student loan landscape is undergoing its most sweeping restructuring in decades. Under the One Big Beautiful Bill Act (OBBBA) of 2025 and the U.S. Department of Education’s (ED's) proposed regulations, the definition of “professional degree” is being reinterpreted, sharply reducing the number of students eligible for the higher federal loan caps reserved for professional training. The resulting changes are likely to force institutions to rethink how they plan for tuition and aid, alter enrollment patterns, and influence the flow of workers into occupations that, in many places of the country, are already often going unfilled.