When it comes to student debt, New Jersey paints a complicated picture—one that’s often overshadowed by larger states like California and Texas. While New Jersey has significantly fewer borrowers overall, the average burden each borrower carries is among the highest in the country.

Based on US DOE Data, New Jersey reports approximately 1.23 million student loan borrowers, far fewer than:

• California (3.95 million)

• Texas (3.89 million)

• Florida (2.72 million)

• New York (2.48 million)

This makes sense given New Jersey’s smaller population. But the smaller borrower pool doesn’t equate to a lighter debt profile.

New Jersey borrowers owe a total of $46.2 billion in federal student loans and  NJ ranks 18th highest in the country for average student debt per borrower- $37,449 -in federal loans. That’s more than borrowers in Texas and just behind debt-heavy states like Florida and New York.

Top-ranking states for average student debt include:

1. District of Columbia – $54,894

2. Maryland – $43,836

3. Georgia – $42,128

4. Virginia – $40,295

5. Florida – $39,538

New Jersey falls just outside the top 15 and over 8% of New Jersey borrowers owe more than $100,000— matching or exceeding larger states like California, Florida, and New York-despite a smaller borrower base.

Another fact to consider?

According to the U.S. Census Bureau, college graduates in New Jersey between the ages of 25 and 39 earn a median annual income of $77,166, compared to $67,362 nationally. That $9,800 difference, while notable, may not be enough to offset the state’s higher cost of living or the larger-than-average student loan balances many residents carry. As a result, borrowers in New Jersey may feel greater financial strain during repayment — even though they technically earn more than their peers nationwide.

See Data Connected to Loans

See Data on NJ v US Income Across Employment Categories

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