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Started by ydalegrog
OP you are absolutely correct that any amount forgiven under PSLF is not taxed as opposed to loan forgiveness from IBR, etc. which occurs after 25 years of payments. The rules are very clear about this.
Academic positions are essentially the only PSLF qualifying jobs available for Ophthalmologists. Academics may or may not be a good fit for you. Hard to give an actual number but I would estimate 10% or less of jobs are in academics. Traditionally, academic positions are going to pay less and have a lower compensation ceiling than private practice so if you are pursuing an academic job primarily for PSLF eligibility, the overall math may not necessarily be in your favor. It's more important that you find the right fit.
OP what stage of training are you in? It is certainly not a bad idea to keep your options open and continue making IBR payments rather than refinance too early. I can tell you I had no interest in academics throughout training and was 99% sure I would be going private practice like the vast majority of Ophthalmologists. I was so sure that my wife and I even made an extra 25k payment towards my 6.8% federal loans while I was a resident. Instead, I ended up taking an academic job close to home that was a good fit with no research and great comp/very high ceiling.
I am now about 3 years away from 120 payments. As a hedge, if the program falls through, I have a side fund building up that will wipe the remaining loans away. By the way, most experts agree that any revision to the plan will grandfather in people currently enrolled as there is a good bit of legalese that makes PSLF binding. If it does actually go through then i'll have a nice bolus to put in to retirement and to splurge a little.
Academic positions are essentially the only PSLF qualifying jobs available for Ophthalmologists. Academics may or may not be a good fit for you. Hard to give an actual number but I would estimate 10% or less of jobs are in academics. Traditionally, academic positions are going to pay less and have a lower compensation ceiling than private practice so if you are pursuing an academic job primarily for PSLF eligibility, the overall math may not necessarily be in your favor. It's more important that you find the right fit.
OP what stage of training are you in? It is certainly not a bad idea to keep your options open and continue making IBR payments rather than refinance too early. I can tell you I had no interest in academics throughout training and was 99% sure I would be going private practice like the vast majority of Ophthalmologists. I was so sure that my wife and I even made an extra 25k payment towards my 6.8% federal loans while I was a resident. Instead, I ended up taking an academic job close to home that was a good fit with no research and great comp/very high ceiling.
I am now about 3 years away from 120 payments. As a hedge, if the program falls through, I have a side fund building up that will wipe the remaining loans away. By the way, most experts agree that any revision to the plan will grandfather in people currently enrolled as there is a good bit of legalese that makes PSLF binding. If it does actually go through then i'll have a nice bolus to put in to retirement and to splurge a little.
Why? If borrowers currently on track for PSLF are allowed to see it through, that would be a good thing in my book.
I have three years of payments remaining until I apply for forgiveness so I don’t have a positive or negative experience to draw upon. My backup plan/hedge is the side fund I am building.
Physicians who actually qualify have been getting approved for some time now.
The White Cost Investor website would be my recommended source for further reading regarding the pros/cons and considerations.
