The Biden administration is expected on Wednesday to announce it is canceling a chunk of student debt.

Under the plan, borrowers earning less than $125,000 per year could see at least $10,000 in cancellation of their federal student loans.

The Biden administration is expected on Wednesday to announce it is canceling a chunk of student debt.

The amount is much lower than many progressives aimed for but would mark the most significant forgiveness in federal student debt for borrowers ever.

Annual consumer inflation hit 8.5 percent last month, easing from a four-decade high of 9.1 percent the prior month.

Republicans have pinned much of the blame on Democrats, specifically citing stimulus spending passed under the Biden administration as helping fuel inflation.

Experts downplay the effects of the years-long payment freeze on the recent spike in costs. 

Advocates have pushed back on plans by the White House to apply income restrictions to who is eligible for student loan forgiveness.

There are questions about whether the current income caps set at $125,000 are too high.

A recent analysis estimated about 70 percent of debt forgiven under the proposed $10,000 plan "accrues to households in the top 60 percent of the income distribution".