How much money would it take you to defer a year?

[ThatQuestionGuy]

Going through this dilemma right now

---

Members don't see this ad.

 

[Cyradis]

If straight up deferring... I'd probably need about 80-100k? No real reason, just a number that seems about right to me.

 

[ThatQuestionGuy]

If straight up deferring... I'd probably need about 80-100k? No real reason, just a number that seems about right to me.

Haha you are UVA too aren't you? I think deferring would get me about 70k, that's why Im on the fence

 

[Cyradis]

Lol yes I am, but I am taking the MPH option (which to me, is a completely different ball game than straight up deferral).

I think a big part of whether the 40k is worth it is what you would do with your year off - if you're going to bum around then no it isn't worth it. If you have a job or research or something you want to pursue, then it'd sure be worth it.

I think if they offered me 100k to just defer normally for a year, I'd probably take it and go teach English in a foreign country for a year or something and take some time to travel see different countries etc.

 

[ThatQuestionGuy]

Lol yes I am, but I am taking the MPH option (which to me, is a completely different ball game than straight up deferral).

I think a big part of whether the 40k is worth it is what you would do with your year off - if you're going to bum around then no it isn't worth it. If you have a job or research or something you want to pursue, then it'd sure be worth it.

I think if they offered me 100k to just defer normally for a year, I'd probably take it and go teach English in a foreign country for a year or something and take some time to travel see different countries etc.

I do have a research job and they said I could continue. It's kind of unique because of my age, but they said if I defer the parental contribution drops a lot for all 4 years, something which doesn't happen if I go this year.

 

[Cyradis]

I do have a research job and they said I could continue. It's kind of unique because of my age, but they said if I defer the parental contribution drops a lot for all 4 years, something which doesn't happen if I go this year.

Wait why does the parental contribution drop a lot? I didn't know about that =/ (although I suppose that's a plus anyways =))

 

[ThatQuestionGuy]

Anyone else? I'm 24 btw. The money won't make up the difference (assuming salaries stay the same) for the lost year but it is a free year in my mid twenties

 

[anfleisch]

Exactly, assuming you will earn average (and if you are planning on doing something more than adjust this), you would need to earn at least over 200k, minus tiny bit of interest you might save by using the money for some expenses and not taking out loans. But even 80-100k would cost you at least that, and if you are doing rads or something like that even much more.

 

[bonsaitree1]

Haha you are UVA too aren't you? I think deferring would get me about 70k, that's why Im on the fence

Why does UVA offer ppl money if they defer a year?

 

[Penner]

The present value of the $300k I'd lose from working a year as a radiation oncologist 9 years from the year of deferment:

$300k/(1.04)^9 = $210k.

It'd take $210k for me to defer a year.

(I'm assuming interest rate - inflation = 4%... not sure how realistic that is considering our debt ratio is going through the roof right now)

 

[dingyibvs]

Take it and run dude. TAKE IT AND RUN WITH IT. Who cares about the lost year of salary? Never mind all the math, just think about it: when you're a 65 year old multi-millionaire, do you think you'd want another 500k or a year as a 24 year old with 70k in your pocket?

 

[Narmerguy]

Take it and run dude. TAKE IT AND RUN WITH IT. Who cares about the lost year of salary? Never mind all the math, just think about it: when you're a 65 year old multi-millionaire, do you think you'd want another 500k or a year as a 24 year old with 70k in your pocket?

This. 200k in the far future is not worth 70k now.

 

[Penner]

This. 200k in the far future is not worth 70k now.

Well, that's what you think now... Imagine if you had $200k right now by forgoing 70k like 10 years ago - you'd be a happy guy.

 

[Ischemic]

About as much money as I would lose not practicing for a year as a cardiologist in about 8-10 years.

 

[JJMrK]

That's a tough one. To be honest, I'm not sure I would do it at all. If I did, I don't think I'd do it for less than 1 year's COA.

 

[tncekm]

Defer = good for the brain / soul. I didn't do it, and being that I'm about done with MS1 I'm glad I'm done, but I think I would have performed better had I let my brain relax a bit prior to matriculating.

 

[FluffyRabbit]

It's not just about the money, you do get an extra year to do whatever you like, and if you have something productive lined up it could be a very good experience.

 

[loveoforganic]

About $20k, assuming I got to teach.

 

[Narmerguy]

Well, that's what you think now... Imagine if you had $200k right now by forgoing 70k like 10 years ago - you'd be a happy guy.

Well, the idea is that the $200k comes to me at a time where I can't do as much with the $200k as I would really want. I'll likely have a family, kids, an obligation. In truth, I'd probably just use it to pay off debt which, sooner or later, is going to be paid anyway. Even after my debts are paid, what will I do that exciting with it? At 22, $70k is nearly a fortune and I could really have an amazing year doing whatever I want.

 

[GoodmanBrown]

Honestly, I think you'll be happy you deferred. You'll have a full year where your evenings are all just spent kicking it with friends. No need to study, cram, worry. Plus, by the end of the year, you'll be really ready to go to med school. To me it's an easy choice.

Even starting at 24, you'll have a full 33+ years of practice. If money wasn't an issue, which would you do? Do that.

 

[anders11]

Well, the idea is that the $200k comes to me at a time where I can't do as much with the $200k as I would really want.

If money wasn't an issue, which would you do? Do that.

Also, UVA needs to get, what, 30 students to withdraw? They're going to up the offer pretty soon. If I were in your shoes, I'd be holding out for at least $40,000 up front to live on (not in the lousy $10k/4 years "tuition reduction" sense - that's just kind of insulting).

I mean, sure, maybe you'll want to get a job during the gap year because you'd be bored otherwise or whatever. That's fine (props for contributing to society), but I know that if I was in the UVA administration right now, I'd be trying to think of how to entice more students without necessarily spending more money. They seem to be prepared to pay $40k for 30 students, so I'd bet their next move will be making it a lump sum, and only after they try that will they start increasing the potential payoff.

Then again, I don't work in medical administration. And honestly, I'd take a $40k lump sum - I'd buy a plane ticket to Europe, pull out my hiking backpack, and travel on the cheap for as long as possible. That's the one thing I'm pretty certain I won't ever get a chance to do again once I start med school, so I'd take the money and run.

 

[surftheiop]

Apparently I don't understand pre-meds, If I were in the UVA situation I would take that 40k so fast and defer for a year. Having a year just to relax, surf, fish, etc. before 8-10 years of intense training would be so nice.

 

[anders11]

Apparently I don't understand pre-meds, If I were in the UVA situation I would take that 40k so fast and defer for a year. Having a year just to relax, surf, fish, etc. before 8-10 years of intense training would be so nice.

I think a lot of people would. Problem is, right now UVA's not really offering them $40k - just $10k per year of tuition reduction once they start next year, working out to $40k by the time they graduate. Makes it hard to see any short-term benefit for the gap year.

 

[surftheiop]

I think a lot of people would. Problem is, right now UVA's not really offering them $40k - just $10k per year of tuition reduction once they start next year, working out to $40k by the time they graduate. Makes it hard to see any short-term benefit for the gap year.

What I was really getting at is I would probably do it for free and the money would be a bonus.

(This is of course assuming my parents would still feed me and let me live in their house)

 

[NightSwim]

IMO 10K per year reduced tuition is a pretty awesome deal in exchange for a year off and the security of having a gaurenteed MD seat for the following year. Though, it ultimately depends on the person. Many premeds care about not giving up that extra 300K when they're 65. Many others though, would kill for a gaurenteed MD seat along with a deferred year off prior to M1 where they could do anything AND not getting any money in return. You'll be a doctor for the rest of your life. I'd take the year off for sure.

 

[NightSwim]

What I was really getting at is I would probably do it for free and the money would be a bonus.

(This is of course assuming my parents would still feed me and let me live in their house)

I definitely wouldn't spend the year off living with my parents. It doesn't take that much work to support living expenses.

 

[Gifted Hands]

Defer = good for the brain / soul. I didn't do it, and being that I'm about done with MS1 I'm glad I'm done, but I think I would have performed better had I let my brain relax a bit prior to matriculating.

Assuming you don't have a big rush, hold out for the best offer possible (probably closer to 60k, doubt they will actually give money) and defer. Most of the people in med school have taken at least a year off and I've never heard one person regret it. I took a year off and it was amazing. Not only would you have a year off, but you wouldn't have the stress of applying during that year? Take the deferral and run with it. Go travel. Go see your family and friends. Live your life before you don't have the time to live it the way you want to.

People take years off in the middle of med school all the time. I hate this dumb "losing future salary" argument. It's not very practical IMO. Enjoy your life. Take the money and run, amigo

 

[GoodmanBrown]

Also, UVA needs to get, what, 30 students to withdraw? They're going to up the offer pretty soon. If I were in your shoes, I'd be holding out for at least $40,000 up front to live on (not in the lousy $10k/4 years "tuition reduction" sense - that's just kind of insulting).

I mean, sure, maybe you'll want to get a job during the gap year because you'd be bored otherwise or whatever. That's fine (props for contributing to society), but I know that if I was in the UVA administration right now, I'd be trying to think of how to entice more students without necessarily spending more money. They seem to be prepared to pay $40k for 30 students, so I'd bet their next move will be making it a lump sum, and only after they try that will they start increasing the potential payoff.

Then again, I don't work in medical administration. And honestly, I'd take a $40k lump sum - I'd buy a plane ticket to Europe, pull out my hiking backpack, and travel on the cheap for as long as possible. That's the one thing I'm pretty certain I won't ever get a chance to do again once I start med school, so I'd take the money and run.

Interesting. So, UVA over-offered and is now giving 10K/yr. tuition reduction if you skip a year?

 

[runawayclock]

IMO 10K per year reduced tuition is a pretty awesome deal in exchange for a year off and the security of having a gaurenteed MD seat for the following year. Though, it ultimately depends on the person. Many premeds care about not giving up that extra 300K when they're 65. Many others though, would kill for a gaurenteed MD seat along with a deferred year off prior to M1 where they could do anything AND not getting any money in return. You'll be a doctor for the rest of your life. I'd take the year off for sure.

Absolutely agree. If I got a year off, even if it's just 10K/year reduced tuition, I would take it and run. Use the year to start my own gallery space, or travel, or just work in a really interesting lab. There is so much you could do in a year, especially when not worrying about getting into medical school. To me: Equivalent of 40K in your pocket in your early/mid 20s >>>>>> 200K at age 60.

 

[ButImLETired]

The only argument against taking the deal is the fact that the job market right now is AWFUL. If they don't give you any money up front, and you don't have thousands of dollars lying around the house, putzing around Europe for a year isn't really feasible (although if that's an option, I'd go with that). You'd have to find a job, and that's really, really hard nowadays.

I'd say this: if they offered me a job at UVA (say, starting a research project that you could continue as a student) ending in, say, May of next year, I'd save up the money, get to know the city, get to know some faculty, then take the money I saved and travel from May to when classes start next year. I think that might be fun. But just taking the 10k/year tuition reduction with no concrete plans for this year...no thanks. Just not worth it.

 

[ThatQuestionGuy]

A few things:

I'm 24, so I will be 25 when I go to school next year (not a huge deal though)
I have a research job and they'd let me continue for a year.
It's actually more than 40k (60-70k according to my back of the envelope calculations) because I'd be 25.

 

[NightSwim]

The only argument against taking the deal is the fact that the job market right now is AWFUL. If they don't give you any money up front, and you don't have thousands of dollars lying around the house, putzing around Europe for a year isn't really feasible (although if that's an option, I'd go with that). You'd have to find a job, and that's really, really hard nowadays.

I'd say this: if they offered me a job at UVA (say, starting a research project that you could continue as a student) ending in, say, May of next year, I'd save up the money, get to know the city, get to know some faculty, then take the money I saved and travel from May to when classes start next year. I think that might be fun. But just taking the 10k/year tuition reduction with no concrete plans for this year...no thanks. Just not worth it.

Depends on what you want to do. Research assitant (RA) jobs are plentiful. If you can get into UVA med school, landing an RA job should be cake. Want to be a ski or surf bum? I'm sure you can find part time jobs in those areas. Want to travel to a foreign country, but don't have the cash? Swinging a deal to teach english or volunteer in some other country in exchange for living expenses is totally possible, you just have to search for these opportunities. Want to party for the year in a city where you have lots of friends? Snag a part-time RA job, maybe get another part-time low paying job, and you'll make enough money to pay rent and go out all the time. There are so many things you can do. I don't think the bad job market will limit you.

 

[NightSwim]

A few things:

I'm 24, so I will be 25 when I go to school next year (not a huge deal though)
I have a research job and they'd let me continue for a year.
It's actually more than 40k (60-70k according to my back of the envelope calculations) because I'd be 25.

Do you WANT to continue the research job? If you don't like it, then passing on the 60K and going to med school right away is a very viable option. If that'll make you happier.

 

[Cyradis]

My thoughts on it are that sure, you might miss out on 250k when you're 65 or 70 or something... but as someone else has pointed out, would you rather have 60-70k now or 250k 40 years from now? Personally, I'd rather have 60-70k now (and this is, of course, taking the simplified assumption that you retire at a fixed age).

Bear in mind too that 70k now is worth about 150-160k 40 years from now even if you are only accounting for inflation (assuming 2%), and when you throw that on top of interest associated with 70k reduction in debt, and the most important factor of all IMO that a year off when you're in your mid-20s is more valuable than a year off when you're in your mid 60s... totally worth it as long as you have something meaningful to do in the year.

And yeah whoever asked earlier, UVA over-enrolled and is now offering 10k/year scholarships for people to defer. They offered us 2 options:

1) Just defer for a year and get 10k/year + tuition offset for first year to account for any tuition hike. You enroll next fall, graduate in 2015.
2) Same deal as above, except enroll in a dual degree program (MD/MPH), and do all your work for the MPH in first year, do the 4 years of the MD program starting next fall, and get both degrees in 2015.

 

[morning]

I'd defer so fast it'd make your head spin.

I'm not knowledgeable of this situation...why is UVA offering this?

 

[Cyradis]

I'd defer so fast it'd make your head spin.

I'm not knowledgeable of this situation...why is UVA offering this?

Schools usually send out a certain number of offers based on a statistical formula (based on previous years etc.) expecting that a certain % of students will accept the offer, and the rest will go somewhere else. So, they used that formula to aim for 148 people, with a maximum capacity of 160 for the program, but they screwed up their prediction pretty bad and 189 people were holding offers as of May 15th.

So... a few of those 189 will drop off because they got into other schools from wait list.... but by and large they still had way too many people.

So they offered us money.

 

[JJMrK]

Well, the idea is that the $200k comes to me at a time where I can't do as much with the $200k as I would really want. I'll likely have a family, kids, an obligation. In truth, I'd probably just use it to pay off debt which, sooner or later, is going to be paid anyway. Even after my debts are paid, what will I do that exciting with it? At 22, $70k is nearly a fortune and I could really have an amazing year doing whatever I want.

They are not giving out money. They are reducing tuition by a certain amount. You don't get a check for 70k to spend, but you'll end up with less debt on the other side.

 

[plzNOCarribbean]

I would totally defer. I would love to relax, travel, and maybe learn spanish. It's funny you guys bring this up bc I met a general surgery resident and he was from UVA, and he goes man "the best thing you can do is take a year off because once this **** starts, its not going to end so enjoy your time and take a break". If I am fortunate enough to get accepted, I have really been thinking about deferring. However, I thought this was uncommon and frowned upon on. Is that true? and reduced tuition, plus having a job lined up for your off your that you enjoy to make a little extra $, have a good type, and mentally re-energize before med school begins seems like a no brainer to me if you are so fortunate as to have the opportunity to do this.

 

[mvenus929]

That's a tough one. To be honest, I'm not sure I would do it at all. If I did, I don't think I'd do it for less than 1 year's COA.

Ditto. But even then, I'm not sure I'd do it. I've already taken two years off, and while I'm still younger than a good portion of the class (22), I'm ready to get out and get started already. My house is already being moved into when I leave, and I don't like my current job anyway. The only option for me would be still moving to Charlottesville and getting a job there. That'd get me in-state residency and all, but I still don't know that it's worth it.

Also, UVA needs to get, what, 30 students to withdraw? They're going to up the offer pretty soon. If I were in your shoes, I'd be holding out for at least $40,000 up front to live on (not in the lousy $10k/4 years "tuition reduction" sense - that's just kind of insulting).

They're already down 20 students as of two days ago... the class size is right at 170 (according to someone on the facebook group). That means they need less than 10 to defer. With all the people on SDN seriously considering the offers already, I'm pretty sure they'll meet it without increasing the amount they give.

 

[Dreaming big]

I would take the MPH with the money - that seems the best option b/c extra degree

 

[drizzt3117]

I'd do it personally. Although it's kind of late, I'd see I'd I could get some mileage doing research at UVa in a field of interest, ending in May-ish and then travel for a bit. A lot of people are concerned about doing research in med school and while it wouldn't be the same as taking a year off after the pre-clinicals, it'd still be helpful and may obviate the need for a year off later.

 

[MacVA]

Ditto. But even then, I'm not sure I'd do it. I've already taken two years off, and while I'm still younger than a good portion of the class (22), I'm ready to get out and get started already. My house is already being moved into when I leave, and I don't like my current job anyway. The only option for me would be still moving to Charlottesville and getting a job there. That'd get me in-state residency and all, but I still don't know that it's worth it. QUOTE]

Dude, if you defered a year, got instate tuition and got 10K off your tuition this is seriously a no brainer...

 

[Narmerguy]

They are not giving out money. They are giving reducing tuition by a certain amount. You don't get a check for 70k to spend, but you'll end up with less debt on the other side.

Ah. This makes the situation more murky. I don't know that the issue is quite that transparent then.

I would take the MPH with the money - that seems the best option b/c extra degree

I'd do it personally. Although it's kind of late, I'd see I'd I could get some mileage doing research at UVa in a field of interest, ending in May-ish and then travel for a bit. A lot of people are concerned about doing research in med school and while it wouldn't be the same as taking a year off after the pre-clinicals, it'd still be helpful and may obviate the need for a year off later.

Both of these, combined with the money, might entice me to do the deal. If I could get them to agree to let me do research there during that year I'd probably be sold...especially if I got paid a decent amount for the research.

 

[drizzt3117]

Both of these, combined with the money, might entice me to do the deal. If I could get them to agree to let me do research there during that year I'd probably be sold...especially if I got paid a decent amount for the research.

And got in-state tuition with the research? Where can I sign up?

 

[guyski79]

They are not giving out money. They are giving reducing tuition by a certain amount. You don't get a check for 70k to spend, but you'll end up with less debt on the other side.

if this is the case, there's no way i'd defer. it doesn't make any economic sense.

the extra year of full earning potential at the end of your career dwarfs any debt reduction you'd get by deferring.

 

[drizzt3117]

if this is the case, there's no way i'd defer. it doesn't make any economic sense.

the extra year of full earning potential at the end of your career dwarfs any debt reduction you'd get by deferring.

People say that, but that's not really the way it works out, simply because you're talking about the present value of working a year far in the future. It's not a year of extra income unless you're planning to work till death. You can always delay retirement a year anyways. One could make the argument that you're going to make the money a year earlier so you'll enjoy it earlier but I'm not sure even that mskes a lot of sense either. Personally I think a compensated year off sounds nice.

 

[guyski79]

nevermind

 

[spyderracing32]

Well, that's what you think now... Imagine if you had $200k right now by forgoing 70k like 10 years ago - you'd be a happy guy.

A) 70k with no ties and zero responsibilities > 200k with a ton of responsibilities and lacking your present youth.
B) 70k invested today > 200k in 10 years or so. This is like a payday advance. Serious misunderstanding of time-value of money ITT.

Personally I justify with option A anyways. Hell I tried to defer for free, but apparently working at the base of your favorite ski resort (best access to back country too) isn't enough to get a deferral!

 

[JJMrK]

if this is the case, there's no way i'd defer. it doesn't make any economic sense.

the extra year of full earning potential at the end of your career dwarfs any debt reduction you'd get by deferring.

I tend to agree.

A) 70k with no ties and zero responsibilities > 200k with a ton of responsibilities and lacking your present youth.
B) 70k invested today > 200k in 10 years or so. This is like a payday advance. Serious misunderstanding of time-value of money ITT.

Personally I justify with option A anyways. Hell I tried to defer for free, but apparently working at the base of your favorite ski resort (best access to back country too) isn't enough to get a deferral!

Again, they are not giving you a check for 70k. They are reducing the tuition by a certain amount (sounds like 40k).

 

[HurricaneKatt]

Ok hold on...they PAY you to deffer for a year? So I could get accepted, deffer for a year, go to Africa to volunteer or something, and then start the next year with a couple thousand dollar discount? Or do you have to pay the school to defer? I thought you had to pay but then I haven't looked into it too much...