Managing pharmacy school debt

[Digsbe]

Given discussions on high loans I'd like to propose the question of how people are suggesting students pay off their loans efficiently.

IBR? PSLF? PAYE? Possible student loan forgiveness? Or should graduates just blitz down their loans on a 10-20 standard repayment plan?

In my situation I'll likely have roughly 235k in student loan debt combining undergrad (which only cost me about 23k) and PharmD (near 200k). It's a high number, but given the state I live in and in state tuition the cheapest option for me was to actually go to a private school and live with my parents to save big on living expenses. If I went to a "cheaper" state school I'd have more debt after cost of living is factored in. This was the cheapest option for me believe it or not and I'm sure many other students have similar numbers.

I am tumbling around with many options. Option 1 would be to chase dreams. I'd like to do residency and possibly do a PGY2 to specialize in oncology or attempt to go to med school and ultimately become an oncologist. My personal passion is for cancer patients. Obviously this is likely not the most financially sound option unless I can make massive money as an oncologist (which isn't likely due to reimbursement rates seeming to fall for that area of practice). From the research I've gleaned a clinical pharmacist working in oncology makes roughly below the average salary for pharmacists, that being between 100-110k per year which also requires residency (aka lost income from being paid about 40k a year for 2 years).

The other options I'm looking into would be to not do residency and try to get a pharmacy manager position somewhere in the country (willing to relocate, but preferably somewhere in the northeast) and make 130-140k per year while also attempting some per diem work or trying to fill extra shifts for more income. This seems to be the best paying option and I could live frugally and blitz down loans in 5 years or so. I honestly don't dislike retail or management, I worked retail for 2 years cumulatively with 2 different chains (and rotated and basically all the others). Drug addicts and metrics can be a pain, but they don't bother me all that much and it's worth it for a higher salary in my view. I honestly enjoy counselling patients, giving immunizations and I think I'd be good at managing staff and technicians. I used to not want to do retail, but after thinking about it I don't particularly dislike it and find some aspects personally gratifying. From my research being a pharmacy manager pays the most money, if money is the only focus anyone know of other areas that pay higher apart from running your own pharmacy and getting successful?

Given all the opinions on the cost of pharmacy school and the best way to tackle debt, what do you all think? I hesitate to work public sector/non-profit jobs that pay less with the prospect of loan forgiveness (which may not happen) that may also be subject to taxes, and at this point I'm almost willing to sell out on my dreams to just make money, pay off loans and find more fulfillment outside of working a job. How are current pharmacists managing their debt or planning to do so? I graduate next year and I'm mulling over my options now.

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[SClENCE]

I'v been told to make as much money as possible by a retail pharmacist - and the pay difference is very significant.

I'v been told by 3-4 other retail pharmacists to work in a hospital/go to med school because the retail environment is nothing short of hostile.

It all comes down to personal preference. If you feel like you will have a generally negative attitude towards a retail job I would stay away - otherwise the extra pay is worth it.

I personally think I will go for retail and save/invest aggressively so I don't feel like a slave to my job.

 

[Dred Pirate]

again - decide what you like better - retail vs hospital vs something else. The differences between retail and hospital have been hashed over and over here. I could make more in retail - maybe 15k more - but you loose have of that to taxes, plus I get 7 weeks vacation. Hospitals pay shift dif that often makes up SOME of the difference. Either way, do NOT count on forgiveness. When these loans hit 10 years in 2017 - do not be surprised if the rules change. We are not 1% ers but we are 5-10%'ers. The poor/middle class are going to have a hard time supporting us in agreeing to pay off our loans, and that is where the voting strength is. There cold easily be an income limit applied.

If you want medical school - you should have gone there before pharmacy school - it makes no sense to do a BS then Pharmd then MD - skip the PharmD - you will end up 500k in debt.

But live frugally - you are the upper limit of what you legitimately afford with student loans based on the salary you will get. Do whatever you can do to pick up extra shifts/moon light.

 

[BMBiology]

The best case scenario is for you to work for a non profit or public institution and hopefully PSLF will still be there.

Actually the best case scenario is for you to marry someone who comes from a wealthy family and she will pay off your student loans. Who doesn't want to marry a male pharmacist?!

 

[BMBiology]

The worse case scenario is for you to work for CVS and then you realize you can't leave because of your student loans. Yeah, you know who are you!

 

[rxglasshalffull]

The worse case scenario is for you to work for CVS and then you realize you can't leave because of your student loans. Yeah, you know who are you!

you think pslf will still be here in a decade?
also its surprising to see that students still think they can just get a residency and job so easily, yes even CVS.

 

[rxglasshalffull]

its laughable. full-time job and per-diem, preferbably in the northeast. LOL good luck in a few years.

 

[BMBiology]

you think pslf will still be here in a decade?
also its surprising to see that students still think they can just get a residency and job so easily, yes even CVS.

No one really knows. It depends on who is in congress and who is in the white house. Just last year, the republicians in the house proposed:

http://askheatherjarvis.com/blog/congress-seeks-to-increase-taxes-on-student-loan-borrowers

"And if Congress also required student loan borrowers who have committed their careers to public service to pay tax on loan forgiveness they earned, the Joint Committee on Taxation estimates they could increase tax revenue by an additional $1.1 billion.

The “Tax Reform Act of 2014” includes provisions that, if enacted, would:

• repeal the deduction for interest on education loans for tax years beginning after 2014, and
• repeal the exclusion for discharge of student loan indebtedness for amounts discharged after 2014."

See the "student loan indebtedness for amounts discharged after 2014? Yup, it doesn't have a grandfather clause for PSLF. Of course this didn't go anywhere. If a republician was in the white house, then it may be a total different story.

 

[Ackj]

The best case scenario is for you to work for a non profit or public institution and hopefully PSLF will still be there.

Actually the best case scenario is for you to marry someone who comes from a wealthy family and she will pay off your student loans. Who doesn't want to marry a male pharmacist?!

Taylor Swift still hasn't responded to any of my tweets. The struggle.

 

[Digsbe]

The MD thing would be dream chasing, prior to pharm school I didn't want to go to med necessarily, but after learning about oncology and having a personal passion for it, going to be an oncologist would be a pursuing of that if I didn't do a PGY2 in oncology. The average salary for an oncologist is around 270k I believe so in the end I'd wind up making more but it would be a loss of loans and years of lost wages. But you're right, I'd have near 500k in loans at the end of it all and about 10 years of lost PharmD salary.

Going up to the northeast isn't necessary, just preferred. I'd be fine going to Cali or wherever else. I just want to be in a city not in the south/desert. I currently live in the southeast US and although it has it's good point I just don't think it's for me.

I hesitate to rely on loan forgiveness because I feel like there is the strong and likely potential that those relying on it will be screwed over either through taxes or changes in the rules.

 

[Guilded_Age]

Just never pay. Simple as that. Free money and an amazing lifestyle.

 

[Digsbe]

Just never pay. Simple as that. Free money and an amazing lifestyle.

Until the feds garnish your tax returns and take away your license for being delinquent on payments. If you are delinquent on your federal student loans they have the authority to take away your pharmacy license.

I'm tempted to move to Cali to make a bigger salary, live as cheap as possible and blitz off my loans with overtime pay as a staff pharmacist or pharmacy manager (if I could land a gig like that).

 

[Guilded_Age]

Until the feds garnish your tax returns and take away your license for being delinquent on payments. If you are delinquent on your federal student loans they have the authority to take away your pharmacy license.

I'm tempted to move to Cali to make a bigger salary, live as cheap as possible and blitz off my loans with overtime pay as a staff pharmacist or pharmacy manager (if I could land a gig like that).

They can't take away my license if I make 99 copies and bury them across the globe. Just you try to find them all. I'll be a pharmacist forever.

 

[mik30102]

Until the feds garnish your tax returns and take away your license for being delinquent on payments. If you are delinquent on your federal student loans they have the authority to take away your pharmacy license.

I'm tempted to move to Cali to make a bigger salary, live as cheap as possible and blitz off my loans with overtime pay as a staff pharmacist or pharmacy manager (if I could land a gig like that).

Actually you can only lose your license in the following states (Alaska, California, Florida, Georgia, Hawaii, Illinois, Iowa, Kentucky, Louisiana, Massachusetts, Minnesota, Mississippi, Montana, New Jersey, North Dakota, Oklahoma, Tennessee, Texas, Virginia and Washington) 😛.

 

[ExpressMaiL]

Until the feds garnish your tax returns and take away your license for being delinquent on payments. If you are delinquent on your federal student loans they have the authority to take away your pharmacy license.

I'm tempted to move to Cali to make a bigger salary, live as cheap as possible and blitz off my loans with overtime pay as a staff pharmacist or pharmacy manager (if I could land a gig like that).

Up to you. I would not trade my younger years just to pay off my loans in some podunk town. The loans will be there, learn to live with them but be smart about it and aim to clear them in 10 years or less.

 

[BMBiology]

Up to you. I would not trade my younger years just to pay off my loans in some podunk town. The loans will be there, learn to live with them but be smart about it and aim to clear them in 10 years or less.

I hate to say it but there is some truth to this. I didn't have to move but I can't imagine moving to the boonies for 5-10 years. You basically spent your prime years in school and now you are going to spend the rest of your prime years away from your family and friends?

Taking on a reasonable amount of debt for your education and career is a good idea. You need to think twice if you need to take more than $250 k to attend an expensive school and to support your lifestyle. You are basically borrowing (+ interest) from your future self.

 

[brianuseruser]

Until the feds garnish your tax returns and take away your license for being delinquent on payments. If you are delinquent on your federal student loans they have the authority to take away your pharmacy license.

I'm tempted to move to Cali to make a bigger salary, live as cheap as possible and blitz off my loans with overtime pay as a staff pharmacist or pharmacy manager (if I could land a gig like that).

Good plan. Less desirable Cali areas are low cost of living and high salary. We only owe 48k on my fiances student loans. Started at 150k in 2013. Lots of ot available if you are willing to work hard.

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