Many of the Democratic presidential hopefuls have laid out their plans for how to deal with student loan debt, none more comprehensively than Elizabeth Warren. Warren is advocating for universal free college and a retroactive cancellation of student loan debt for thousands of Americans. All of which, she says, can be paid for with a tax on the wealthiest Americans. Per the Atlantic:

In a Medium post, Warren criticized the government’s hands-off approach as affordable access to America’s universities declined. “Rather than stepping in to hold states accountable, or to pick up more of the tab and keep costs reasonable, the federal government went with a third option: pushing families that can’t afford to pay the outrageous costs of higher education towards taking out loans,” she wrote in the post. To remedy this, she is calling for a series of ambitious proposals, including the cancellation of student debt, universal free public college, and greater support for minority and low-income students. Of course, Warren is not the first politician to call for any of these policies specifically, but the details of her plan separate her reform package from the pack; she plans to pay for it with her “ultra-millionaire tax”—an annual 2 percent tax on families with $50 million or more in wealth. Critics of a wealth tax argue that it would be difficult to implement—accounting for assets such as antiques or land poses considerable difficulties—and that it would lead to more aggressive tax avoidance.

Warren’s plan would cancel student debt up to $50,000 for borrowers who make less than $100,000 a year. For every $3 a borrower earns yearly over that $100,000, the amount of debt forgiven would decline by $1 . “So, for example, a person with a household income of $130,000 gets $40,000 in cancellation, while a person with household income of $160,000 gets $30,000 in cancellation,” she wrote. Those who earn more than $250,000 a year would not be eligible for any debt cancellation, and the cancellation for borrowers who do receive it would not be treated as taxable income.

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