Loan Advice - Orthodontics

[DrTooth19]

Advertisement - Members don't see this ad

Hi. So - I love orthodontics and am committing to this no matter what. But I want help with the financial situation, because we aren't taught much of this in school.

After dental school, I will be $400,000 in debt. With ortho residency, it will be $600,000. I know I should choose a cheap program but there aren't many out there. So with $600,000 in debt, what kind of loan repayment should I do? Let's say I get offered a starting salary of $175,000, what kind of breakdown should I expect in terms of loan repayment, retirement saving, living expenses, etc?

Also, what is the average starting salary in this economy in a city/suburban area (not middle of nowhere)? Is $175,000 reasonable or should I increase this breakdown to $200k?

Thank you!!

 

[DrTooth19]

I got the idea from this:

There isn't one for orthodontics so it would be helpful for future ortho if we can make one!

 

[charlestweed]

I had to pay $5k a month for the $450k student loan amount (some loan terms were 10 years and some were 20 years). So for the $600k debt amount, your required minimum monthly payment will be around $ 6500-7000/month. An income of $175k/year is not enough because after paying taxes, your take home will only be around $120k/year (or only 10k a month). An income of $175k will probably require you to work 10-15 days/ month (this is base on an average pay of $1000-1500/day). You’ll need to travel to more offices on the other free days in the month so you can double that income. It helps a lot if you have a spouse who also works hard and earns good income.

I don’t think there is a one-size-fits-all answer to your income question because not all orthodontists are created equal. Some work harder than others. Some have better clinical and business skills than others. Your salary depends on how hard you work, how far you are willing to travel, the number of days you work (working 6 days/week will allow you to make 2x as much as a guy, who only works 3 days/week) and how picky you are…there are some new grad orthos, who’d rather be unemployed than accepting a job that doesn’t pay well or requires working on Saturdays. And when you set up your own office, your income and your success depend on your clinical skills (patients tend to choose an ortho who has the reputation of doing good work...and not how beautiful his office looks or what high tech gadgets he has in the office), your ability to communicate with the referring GPs, your ability to control your overhead etc.