40K/year??
Started by srbutros
srbutros said:
Go to http://www.paycheckcity.com/netpaycalc/netpaycalculator.asp
and you can calculate your take home pay.
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here's what you do:
buy a piece of property - condo, house, whatever. live in it. pay mortgage interest on it. rent out the other room if you can.
basically the mortgage interest you are paying deducts from your gross pay check and your taxable income will be almost zero.
buy a piece of property - condo, house, whatever. live in it. pay mortgage interest on it. rent out the other room if you can.
basically the mortgage interest you are paying deducts from your gross pay check and your taxable income will be almost zero.
The federal tax rate for incomes ranging from around 28,000 to 62,000 (can't remember the exact numbers) is 25%. So you can expect that to be gone right off the top. Add to that social security, medicare, and whatever state and local taxes are...much higher if you live in Mass than say if you live in Texas (no state income tax), and add property tax if you are going to own the property you will be living in during residency. For my estimates, I figure I will have about 40% deducted from my gross pay.
The main factor is the cost of real estate. These programs all pay about the same amount of money, or about $43,000. Cornell in NY pays $45,000. That's not much difference. This is not like law where practicing in NY automatically means you make 5 times as much. In medicine, salaries are pretty flat across the country, from the residency level on up.
In some places like Ohio, you pay $500 for rent. In NY or California, you may be paying 3 times that. That's something to keep in mind. A lot of people here seem to be enamored with programs at places like UCSF or Cornell where I'm not sure the average middle class person can afford a home. It's a trade off for location if you're single, but if you've got a family, you may want to think twice before going to one of these coastal places with costly real estate.
<-- Son of someone who did his residency on Long Island, NY. Boy did our standard of living suck.
In some places like Ohio, you pay $500 for rent. In NY or California, you may be paying 3 times that. That's something to keep in mind. A lot of people here seem to be enamored with programs at places like UCSF or Cornell where I'm not sure the average middle class person can afford a home. It's a trade off for location if you're single, but if you've got a family, you may want to think twice before going to one of these coastal places with costly real estate.
<-- Son of someone who did his residency on Long Island, NY. Boy did our standard of living suck.
If you pay off the interest from your student loans, you can use that as a tax deduction as well.
I've also heard from many different people that you are still eligible to use the HOPE Lifelong Learning credit when you file taxes your intern year, since you where technically in school for about half of the year. That should give you a nice fat refund from the Federal government.
I've also heard from many different people that you are still eligible to use the HOPE Lifelong Learning credit when you file taxes your intern year, since you where technically in school for about half of the year. That should give you a nice fat refund from the Federal government.
angel80 said:
You can only use this credit this year if your loans were disbursed after January 1, 2006.
Unfortunately mine were disbursed in November of 2005. 👎
