i'm really scared of being in a crap-load of debt once i'm done with med school...
I don't want to sound lame but...
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you're not the only one, (after signing my MSII loans I'm now over the $100k mark)i t's definetly something to mindful of... just remember that you're paying a lot for this, work hard at your classes, and remember that you only live once, do what you want with your life... best of luck in the next couple months getting going 🙂
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esox said:
Yes your arithmetic is correct. At $57,000 per year, you will borrow a total of $228,000 over four years. With interest, you will owe triple this, which is $684,000. 😱
Are you crazy? Do you think anyone is borrowing 600-700K for medical school? By the time I graduate, I will have borrowed a total principle of $200,000 for undergrad and med school and I only accumulated about $7000 in interest through my third year. With a 30 year payback period, I will pay back a total of about $280,000-$300,000 over the entire life of the loan.
My monthly payment for all of my student loans will be about $1000-1200 per month. Therefore, I will pay around $12,000-$14,000 per year for student loans. With a salary of $200,000 (and you can make a triple this in some fields), you will still have $186,000-$188,000 (minus taxes) for your salary. Pretty damn good if you ask me.
The debt is horrible to acquire if you're not completely sold on the idea of being an MD, but if you are sure that it is the only thing you want to do, then the debt is probably worth it in the end.
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I finished medical school with around 180K in debt. With interest, now 3 years out of medical school, that has climbed to around 195K.
Estimates of my monthly payment once I start paying back after residency (its been in deferment since finishing medical school) are around 2-3K per month depending on the repayment plan. That's 24-36K per year. I admit that on a low end primary care salary, that would be daunting. However, with most specialties you can make 120-150K relatively easily. SO, that still leaves 100K or so pre-tax. Not that bad.
Estimates of my monthly payment once I start paying back after residency (its been in deferment since finishing medical school) are around 2-3K per month depending on the repayment plan. That's 24-36K per year. I admit that on a low end primary care salary, that would be daunting. However, with most specialties you can make 120-150K relatively easily. SO, that still leaves 100K or so pre-tax. Not that bad.
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esox said:
I think it is an easy decision. Ask yourself 2 questions. (1) How badly do I want to be a doctor? (2) Are there any other careers that I would like to do as much or more (or maybe even a bit less) that will offer me more financial security?
The debt is a lot, but you have to look at the debt to income ratio. If you want to be a high-school teacher, you won't have any post-undergrad debt (unless you get your MA) but your salary will still be 30-50% of what a doctor makes AFTER his loan repayment. Even as an engineer, you may make 100K per year, but you still have to pay for grad school. Sure, tuition will be cheaper, but by how much?
Also, it sounds like Whiskey has a 10-15 year loan repayment period. Many people with as much debt will do a 30 year repayment. It will take you longer, but it may be a smarter investment in the long run. With the previously low interest rates, you could take a longer loan period and lower monthly payment and invest the money you would have spent on a higher student loan payment in something that has a higher yield than the student loan interest. But with the raise in interest rates, I do not know if this would still be feasible.
Nonetheless, if medicine is what you want to do, it is definately worth the debt. Think about how many business majors in college either cannot find a job or are doing something they hate. This is not as common in medicine. You can take your skill anywhere in the world and become as generalized or specialized as you want.
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Debt sucks but it's part of the deal.
If it's what you want to do then you shouldn't "worry" about it at all. Be cognizant but don't stress.
Being a physician is one of the few professions where you're GUARANTEED a six-figure salary; in some cases much more (like the 4th yr rad resident above 👍 ).
People can babble about attorneys or brokers or whatever. The fact is that people not graduating in the top halves of their law schools often have trouble getting ANY jobs.
You're guaranteed to have the capability to pay the loans off...perhaps sooner rather than later depending on your specialty.
Borrow away and hope for a job offer w/ loan forgiveness... 😀
If it's what you want to do then you shouldn't "worry" about it at all. Be cognizant but don't stress.
Being a physician is one of the few professions where you're GUARANTEED a six-figure salary; in some cases much more (like the 4th yr rad resident above 👍 ).
People can babble about attorneys or brokers or whatever. The fact is that people not graduating in the top halves of their law schools often have trouble getting ANY jobs.
You're guaranteed to have the capability to pay the loans off...perhaps sooner rather than later depending on your specialty.
Borrow away and hope for a job offer w/ loan forgiveness... 😀
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Consolidate your loans. Call Sallie Mae. Quickly - today's the last day.
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I agree the debt is ridiculous, but I have never met a doctor yet that is still paying back loans. There are ways to pay them back sooner and it's also a motivator to do well and get scholarships. I know someone who got about 40K in scholarships this year which left about 8K in loans. Not too shabby huh.... 😀 ....no need to consolidate that amount and lose the grace period.
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I'll be drowning in debt too. My friends (who aren't in med school and don't plan on going) have never given me any sympathy... My parents keep telling me that I'll be filthy rich and this amount of debt won't matter. It seems like people assume that doctors are rich. This is sooo not the case...
I'm glad to see that I'm not the only med student stressing about all of this. -L.
I'm glad to see that I'm not the only med student stressing about all of this. -L.
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you guys need to quit complaining about debt.
you got 20 years to pay it off
the only people who should be scared of debt are the people who can't cut it in med school.... cuz then you will not have an MD, and you'll also have a way way hard time paying off the debt accumulated up till then.
But with doctors making 6 figures, you won't have a problem paying off your debt in 20 years.
Come on, you'll be 50 when you send in your last check. Just don't be stupid and splurge on benzes and crap while you have creditors breathing down your neck.
you got 20 years to pay it off
the only people who should be scared of debt are the people who can't cut it in med school.... cuz then you will not have an MD, and you'll also have a way way hard time paying off the debt accumulated up till then.
But with doctors making 6 figures, you won't have a problem paying off your debt in 20 years.
Come on, you'll be 50 when you send in your last check. Just don't be stupid and splurge on benzes and crap while you have creditors breathing down your neck.
sox, just have a game plan in mind. Everytime you want to go out to eat instead of preparing something at home...when you have the urge to get cable 'cause you tired of watching regular TV...starbucks vs. instant coffee. When/If you use your loan to buy new clothes or for something frivolous, remember you're financing it. Try as best you can to live below your means. It's called living on a budget.
To save on living expenses...find a roommate...or rent a room in some quiet old lady's house. If you have control over your behavior regarding your finances, you shouldn't feel overwhelmed by the amount of debt you'll incur.
Thank God for state schools and living at home.
To save on living expenses...find a roommate...or rent a room in some quiet old lady's house. If you have control over your behavior regarding your finances, you shouldn't feel overwhelmed by the amount of debt you'll incur.
Thank God for state schools and living at home.
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esox said:
I think this is one of the biggest BS "party lines" in medicine --- ooh no, those terrible loans. Pay no attention to the 6-figure incomes behind the curtain. I think that even in the worse-case scenario, you should have no problems paying off the loans within 15 years of becoming an attending. This assumes a fixed $150k salary and a yearly contribution of $25k, meaning that you're living as if you only make $100k... and this is assuming that the loan payments aren't tax-deductible or whatever.
It's almost as silly as the claim that "there are lots of easier ways to make more money than medicine". Really! But is there any other occupation where you are GUARANTEED stable employment with a 6-figure salary (~$150k and up, varying depending on specialty)? Didn't think so.
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esox said:
Hi there,
Scholarships are available if you do very well in medical school so keep this in the back of your mind as you study. A couple of good scholarships can greatly reduce your debt up front. Second, if you find that you are loving primary care, go for public health scholarships where you give back one year for each year financed. There is also the option of armed forces health care scholarships where you give back year for year financed. Be proactive about getting money to finance your education and budget yourself very carefully. I ended up with a full-ride tuition scholarship and a bit extra. My debt load at the end of medical school is not about $40K and I am three years out and doing surgery. Do some homework and find some money. Start by living in your school's financial aid office. They have plenty of resources.
nbjmd 🙂
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njbmd
thackl said:
Hi there,
Check with your financial aid office and see what is available. The AOA (Alpha Omega Alpha) chapter at my school gave very generous scholarships to students who did very well during first and second year. I also found that I qualified for other scholarships after my first year and a paid fellowship between my second and third year. I just worked with my financial aid office. You have to do some looking and hounding but money is out there especially if you score high in your classes. Sometimes your incoming MCAT and GPA can qualify you for a merit-based scholarship.
njbmd 🙂
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sdnetrocks said:
i HATE when people say that. And I've never heard these same people list WHAT jobs are easier to make more money in. SOMEONE.... please list these easier jobs for me. I'm very curious.
people think that anyone can easily become Bill Gates
I don't think there is any easier way to make $300000 per year for at least 5 years straight, unless you're a hot shot cocaine dealer.
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The typical responses are MBA and Law. The truth is that half the poeple I worked with had MBA's and weren't making any more $$ than I was as an engineer. Most Lawyers make less than $100k/yr and work as many or more hrs than Doc's (especially the high powered ones who make the 'big bucks'). There are a lot of people on this forum who have never held a real job but have a friend of a friend who knows an MBA who makes $1MM/yr. Medicine is one of the few proffessions that nearly guarantees an upper-middle class lifestyle.YouDontKnowJack said:
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esox said:
Use this website to get a more accurate view of what your loans will be with interest: http://finaid.org/calculators/
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