My monthly disability income is a little under $1,000. Almost $150 is taken out "offset" and I am left with $750 (a Medicare B premium is also taken out)..

My rent is over $600 and I am living on fumes.

They say I need to voluntarily pay $80 per month in addition to the involuntary $150 payment to get my loans out of default.

That's not realistic (see above) and it's not going to happen until income and/or expenses improve. (And I can't reduce my housing expense because I can't save up the money required to move into a cheaper place.)

The only thing that will work for me is a reduced payment, so I downloaded the forms. It appears there is NO allowance for building an emergency fund.

I don't have an emergency fund now but I know I need one.

So what happens to people with student loan problems when they have an emergency without an emergency fund?