leo56

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Mar 22, 2006
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Hi Everyone,

I'm freaking out and I hope someone can help. The COA at my D.O. school is $66K/year (with living expenses, etc). I didn't get into my state schools, etc.

Loans are available, but how the heck can I pay this off in the future? The cost is so much I'm beginning to question whether all the financial sacrifice is worth it. I've thought about the military scholarship, didn't get the Nat'l Health Service Corps scholarship. I don't want my future to suck b/c of huge huge loan repayments.

How are you all dealing with this???

thanks!!
 

LADoc00

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Sep 9, 2004
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leo56 said:
Hi Everyone,

I'm freaking out and I hope someone can help. The COA at my D.O. school is $66K/year (with living expenses, etc). I didn't get into my state schools, etc.

Loans are available, but how the heck can I pay this off in the future? The cost is so much I'm beginning to question whether all the financial sacrifice is worth it. I've thought about the military scholarship, didn't get the Nat'l Health Service Corps scholarship. I don't want my future to suck b/c of huge huge loan repayments.

How are you all dealing with this???

thanks!!
3 year school or 4? Wait and reapply?

4x66k=
 
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ShyRem

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Dude. You'll only be looking at about $240K of debt. When you get done with residency and make $200K/yr gross, that's about $140K/yr net. You can pay $50K/yr to your loans to pay them off in 6 years (with interest) and still live off of $90K/yr. Or flip that (I'll be doing this I hope) and pay them off in 3 years. No big deal.
 

AGAPE487

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leo56 said:
Hi Everyone,

I'm freaking out and I hope someone can help. The COA at my D.O. school is $66K/year (with living expenses, etc). I didn't get into my state schools, etc.

Loans are available, but how the heck can I pay this off in the future? The cost is so much I'm beginning to question whether all the financial sacrifice is worth it. I've thought about the military scholarship, didn't get the Nat'l Health Service Corps scholarship. I don't want my future to suck b/c of huge huge loan repayments.

How are you all dealing with this???

thanks!!
How do you know that you did mot get the Nat'l health service corps scholarship? I did not know they sent out notices already...
 

newbie1kenobi

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Has anybody here heard of deals for hospitals or physican groups that will assist you in paying the loans? (in exchange for X years of committment, of course).
 

BiOGoly

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Jun 12, 2003
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ShyRem said:
Dude. You'll only be looking at about $240K of debt. When you get done with residency and make $200K/yr gross, that's about $140K/yr net. You can pay $50K/yr to your loans to pay them off in 6 years (with interest) and still live off of $90K/yr. Or flip that (I'll be doing this I hope) and pay them off in 3 years. No big deal.
1. Not all physicians make $200k/yr after residency, many never reach that figure.

2. Even if you were making $200k/yr, net would be more like $125k in that tax bracket (worse if you live in Taxachusetts or someplace similar).

3. Interest alone on a $240k loan is over $16,000/yr assuming a fixed 6.8% interest rate. However, since there is a cap on Stafford loans most of that total would be at a higher interest rate.

Sure you can pay that off in 6 years if you cough up $50k a year. But that's not nearly as easy as you make it sound. For a family practice physician (the majority of DO's go into FP, no?) this kind of debt is a lead weight around the neck, especially if your spouse has a lower income or is similarly encumbered with debt. When you're in your mid 30's after more than a decade of school and residency you expect a "doctor's" lifestyle, not living hand to mouth.

Hey, you gotta do what ya gotta do. If you want to be a physician and the only way to do that is to take on an astronomical debt, then that's what you do. Then chip away at it with as much as you can afford. But don't think it's "no big deal". Many physicians with far less student debt have discovered that just the opposite is true.
 

ShyRem

I need more coffee.
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I think it's a matter of priority. Do you want to buy the brand new sports car to make yourself feel good or do you want to drive the old but paid for car and pay your student loans off? Do you NEED the 2500 sq ft home with 4 bedrooms and 5 baths or would you be happy with the 1200 sq ft home with 2 br and 1 bath? If you have kids, how about a smaller split level in a modest neighborhood rather than the biggest, baddest, best house you can qualify for? And at 200K, your tax bracket is about slightly over 22% for married filing jointly. If you're single, it'll be closer to 26-28%. Unless you live in a high tax state, you should pull in more than $125K for 200K gross.

It's all choices. Just like raising a family on one income vs. NEEDING two incomes. You make choices. Right now I'm raising a family on a take-home income of far less than $50K. $75K/yr take home even while paying $50K/yr to my loans sounds like heaven and a first family trip to Disneyland. Ever. Choices.
 

FutureDocDO

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leo56 said:
Hi Everyone,

I'm freaking out and I hope someone can help. The COA at my D.O. school is $66K/year (with living expenses, etc). I didn't get into my state schools, etc.

Loans are available, but how the heck can I pay this off in the future? The cost is so much I'm beginning to question whether all the financial sacrifice is worth it. I've thought about the military scholarship, didn't get the Nat'l Health Service Corps scholarship. I don't want my future to suck b/c of huge huge loan repayments.

How are you all dealing with this???

thanks!!
You don't need all that do you? Tuition is $37,676 a year. I'm guessing with fees it'll be around $39,000. You can share an apartment with someone for $500 a month including utilities so that would come out to be $6000 a year. NOTE: I haven't lived in a big city like those in NY so my figures could be off but I've been reading your class thread and there's been a lot of students asking/looking for a roommate with rent around that price. $39K + $6K = $45K. Figure in foods ($3K - if you cook), books ($1500 or less), gas ($500) = $5K. $45K + 5K + 5K (for miscellaneous) = $55,000. Unless you have a family to support I think you could easily survive with $55K a year. Unfortunately, those numbers didn't take into account the yearly tuition hikes. :laugh: I just wanted to throw some numbers out for you to think about.

Have comfort in knowing that your classmates are borrowing just as much as you are. Some even have undergrad loans. Also, most DO students are borrowing just as much as you are.
 

Shah_Patel_PT

MD
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Apr 28, 2005
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leo56 said:
Hi Everyone,

I'm freaking out and I hope someone can help. The COA at my D.O. school is $66K/year (with living expenses, etc). I didn't get into my state schools, etc.

Loans are available, but how the heck can I pay this off in the future? The cost is so much I'm beginning to question whether all the financial sacrifice is worth it. I've thought about the military scholarship, didn't get the Nat'l Health Service Corps scholarship. I don't want my future to suck b/c of huge huge loan repayments.

How are you all dealing with this???

thanks!!
Dude thats nothing...my cousin got into a school in CA this year....paying 100,000/year just tuition!!!! Its USC Keck SOM.
 

newbie1kenobi

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Shah_Patel_PT said:
Thanks for the update...i guess my cousin was lying.
Your cousin may have meant cost of attendance, though that would mean an extra ~$60K.
 
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