What is the average salary

[moldovanits]

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Average salary for vets in Los Angeles for first start?
please inform me on this cause when i check pay scale.net it says 50-60k it just doesn't seem right?

 

[cyrille104]

That seems right to me...I was asked this same question in an interview (what is the starting salary for a small animal vet just out of school) and i said 50-70k and they said that's about right.

 

[pathognomonic]

These numbers sound about right.

I made 50K my first year out and 85K my seventh year in practice.

More distressing than entry pay is how associate pay tops out at 85-95K. With the school loans most new grads are carrying the bank won't help them out with practice ownership. I work with a nontrad who went to vet school in her late thirties. She readily admits that she will die with an unpaid balance on her student loans (she borrowed 180K). I graduated at 24 and will be in my fifties before my loans are paid back. I only borrowed 76K, but that loan payment is like another mortgage I have to pay every month.

Think very carefully about the financial aspects. If I were not a dual income family I couldn't buy a home. As it is, I won't be able to pay for my son to go to college or be able to retire. If you cannot go to vet school taking 50K or less in loans (including undergraduate loans), you might find repayment difficult on a veterinarian's salary. Another poster (a vet student, or prevet, can't remember which) suggested that it was unrealistic of me to expect to own a home or a car, but I could have roommates living with me, my husband and child, and utilize public transportation. If you would be comfortable living like a student the rest of your life (and some people apparently are), then by all means go ahead and take on 200K in debt.

 

[Azawakh]

Veterinarians are notoriously undercompensated and I believe there is an initiative in the AVMA to address this. Whether or not it will be successful remains to be seen. Nevertheless it is something that can be mitigated. I did a master's degree before beginning veterinary school so I know that for my financial security I need to do internship and residency because I need to make 125K/year to pay off my loans in a timely manner.

 

[Nexx]

Or consider not living in California? I mean moving states would seem to be a better choice than not choosing a career you are interested in. Then again, some people have constraints that others don't 🙂

I know of at least one clinic in Tampa who did a mass mailing in search of a vet and was offering at least $100k/year, 35 hour weeks, 2 weeks vacation, plus other benefits.

 

[pathognomonic]

mmm...I actually live in central Florida. I couldn't earn enough in CA to afford to live there anymore. I still couldn't buy a three bedroom house on my salary alone even here in Florida.

Look closely at that salary from Tampa...chances are that is not a guaranteed base but an estimate based on possible production. Even if it were a guaranteed salary the American Medical Association says that physician primary care salaries (167K last year) are inadequate to support doctors with over 100K in debt. Food for thought.

 

[tapir]

the American Medical Association says that physician primary care salaries (167K last year) are inadequate to support doctors with over 100K in debt. Food for thought.

I'm sorry, but that's just crazy. Perhaps inadequate on a single income family and with seven children? Even then I'd doubt it. 160k in loan debt on a 30-year repayment schedule at 6.8% yields a monthly payment of 1k. Yes, this payment would be very difficult on a salary of 50k, but my understanding was that salaries ramp up reasonably quickly (I could be wrong). In any case, for someone with a salary of 167k, it would leave you with the debt-free equivalent salary of... 150k?

I'm curious what most vet grads do nowadays in terms of loan repayment. 10 years, 15 years, 30 years? Graduated schedule, fixed, or income-sensitive? Does anyone know?

Anyway, households needing two wage earners is a reality across the board, not just for vets.

 

[chris03333]

um I do not know where these numbers are coming from, but I can tell you that most of my classmates which stayed in the Los Angeles area were offered 65-80,000 base + production (18-22%).

 

[Cheska]

um I do not know where these numbers are coming from, but I can tell you that most of my classmates which stayed in the Los Angeles area were offered 65-80,000 base + production (18-22%).

I know several brand new vets in the Phoenix area that are making similar salaries to what Chris has mentioned 👍 However here in Colorado, most of the offers for a vet with 5 years experience have typically been around 49K base plus 15% production 👎 (this certainly will help to bring down the national average). It seems with the vet saturation in northern CO, then only way to make more than 60K is to either own or work for Banfield/VCA. As nice as it is to live in the Rockies, it just doesn't seem worth the pay cut- especially if you have big loans.

 

[bakaduin]

Ive looked on the FVMA website classifieds for openings for vets and most the ones that say salary are in the 75k+ range.

 

[CookieBear]

I know a Ross grad. She's been out about seven years now. I forget what she just told me -- I think she borrowed about $140k. She works as a relief vet currently. She's doing things on her own (no help from parents, etc.) and she has managed to cut her debt in half at this point. She said she has always made extra payments on principle, and she aims for that every single month.

I think alot depends on your lifestyle and what you can and can't accept as acceptable. She just got married about six months ago, and I think they recently bought a home.

This is the NY area I'm talking about. I do know that for relief, she charges $70/hour. She carries her own PLIT insurance from the AVMA, and pays her own major medical (unless she's on her hubby's now).

Just another anecdotal example in case anyone finds that informative. She consolidated her loans into something like 5 or 5.5%... I could be remembering that wrong, but I think it's what she said.

 

[cyrille104]

I know a Ross grad. She's been out about seven years now. I forget what she just told me -- I think she borrowed about $140k. She works as a relief vet currently. She's doing things on her own (no help from parents, etc.) and she has managed to cut her debt in half at this point. She said she has always made extra payments on principle, and she aims for that every single month.

I think alot depends on your lifestyle and what you can and can't accept as acceptable. She just got married about six months ago, and I think they recently bought a home.

This is the NY area I'm talking about. I do know that for relief, she charges $70/hour. She carries her own PLIT insurance from the AVMA, and pays her own major medical (unless she's on her hubby's now).

Just another anecdotal example in case anyone finds that informative. She consolidated her loans into something like 5 or 5.5%... I could be remembering that wrong, but I think it's what she said.

What is a relief vet?

 

[PAThbrd]

What is a relief vet?

A vet who fills in at various practices so the vet there can have time off. Kind of like a substitute teacher for veterinary hospitals.

 

[pathognomonic]

um I do not know where these numbers are coming from, but I can tell you that most of my classmates which stayed in the Los Angeles area were offered 65-80,000 base + production (18-22%).

Keep in mind what this actually means. For easy numbers let's say 80K as the base and 20% production. You are guaranteed 80K no matter what, but to earn more than 80K you have to first bill 320K (80K is 20%), then you start earning 20% of production.

What is your average per client transaction? - mine is $120, national average is closer to $100. At $100 per transaction you need to see 3200 patients before you could start to see a production based salary increase. So, in 10 months (320 patients per month - reasonable for an experienced practitioner if the practice has the business) you could start to see some production-based income.

You have to determine as a new grad if you have the confidence and the hustle to practice like this. 10 minute appointments and 12-15 surgeries a day are not something most new grads are comfortable with. Remember production based = pay for service = you eat what you kill.

I am entirely production based (no guaranteed min.) and I do quite well, but I am fast and I work my rear off. I would have starved production-based my first year out.

Also, don't forget that for production you only get credit for what actually gets paid. The bills that the practice gets stuck with (5-20% depending on the area and practice policies) don't count toward production.

 

[clawsbeatskin]

I'm sorry, what is production?

 

[chris03333]

I'm sorry, what is production?

The amount of income you bring to the practice as a vet.

 

[chris03333]

Keep in mind what this actually means. For easy numbers let's say 80K as the base and 20% production. You are guaranteed 80K no matter what, but to earn more than 80K you have to first bill 320K (80K is 20%), then you start earning 20% of production.

What is your average per client transaction? - mine is $120, national average is closer to $100. At $100 per transaction you need to see 3200 patients before you could start to see a production based salary increase. So, in 10 months (320 patients per month - reasonable for an experienced practitioner if the practice has the business) you could start to see some production-based income.

You have to determine as a new grad if you have the confidence and the hustle to practice like this. 10 minute appointments and 12-15 surgeries a day are not something most new grads are comfortable with. Remember production based = pay for service = you eat what you kill.

I am entirely production based (no guaranteed min.) and I do quite well, but I am fast and I work my rear off. I would have starved production-based my first year out.

Also, don't forget that for production you only get credit for what actually gets paid. The bills that the practice gets stuck with (5-20% depending on the area and practice policies) don't count toward production.

ACT is closer to $200 in the Los Angeles Area.

 

[jfitzpatri8]

This thread scares me. I am an out-of-stater in MI. I had $10K in debt from undergrad. Will have close to a cool quarter mil after vet school. I have been living with my head in the sand, saying quietly to myself "equine vets make more after 3 years... equine vets make more after 3 years..."

I want kids, and I want to stay home with them. I plan to work on-call for as many night shifts and weekend covers as I can get close by. My husband wants to be a HIGH SCHOOL TEACHER.

We are going to be more poor after school than in school. I am feeling a need to increase my antidepressants... where are my SSRI's?

Jenn

 

[chris03333]

This thread scares me. I am an out-of-stater in MI. I had $10K in debt from undergrad. Will have close to a cool quarter mil after vet school. I have been living with my head in the sand, saying quietly to myself "equine vets make more after 3 years... equine vets make more after 3 years..."

I want kids, and I want to stay home with them. I plan to work on-call for as many night shifts and weekend covers as I can get close by. My husband wants to be a HIGH SCHOOL TEACHER.

We are going to be more poor after school than in school. I am feeling a need to increase my antidepressants... where are my SSRI's?

Jenn

Hey I have a cool quarter mil in loans (that is just my loans, husband has 30K for bachelors), just graduated, gonna get only crap pay as a resident for the next 3 years, and my husband IS a high school teacher😱

You will be fine, at least that is what I tell myself

 

[pathognomonic]

Please, please, please don't bury your head in the sand. Actually crunch the numbers. If you can make it work, you'll feel much better. If the numbers don't work you can look for alternatives while you still have time.

Go to Sallie Mae or the Stafford website and use their loan calculator. 250K in loans over 30 years is a greater than 2K a month payment (even at less than 5% interest). I don't know what high school teachers make, but my husband makes 56K a year. His take home (after taxes and health insurance) is $2,750 per month. I cried for weeks at the end of my maternity leave (unpaid because very few veterinary hospitals except universities provide paid maternity). I had to put my son in daycare because we literally couldn't pay my loans, his loans and have more than $500/month left over.

If I had known this in vet school I would have looked into having the Public Health Service or Army pay for vet school. If I had known this before vet school I wouldn't have gone to vet school. Even if you are doing what you love, it matters if you can't provide for your children or your own retirement. It's not like there's even going to be social security by the time we retire. It's not that I don't like being a vet...I do. It's just that I believe with the cost of a veterinary education, only those who are wealthy or have alternate means of paying for vet school or who marry someone with a high earning potential/wealth will be able to provide for their families in more than the ramen and garage sale way (forget about paying for your kid's college education, sending them to summer camp or taking them to Disney World).

Veterinarians don't make bad money. In fact, if we had no student debt, most of us would be upper middle class. It's just when you factor in our extraordinary debt load, our income is simply inadequate.

 

[tapir]

just graduated, gonna get only crap pay as a resident for the next 3 years

Are you able to defer your loan payments during those three years or pay only interest?

Please, please, please don't bury your head in the sand. Actually crunch the numbers. If you can make it work, you'll feel much better. If the numbers don't work you can look for alternatives while you still have time.

I think most people who've gotten to the point of entering vet school (and are intelligent enough to have been accepted) have run the numbers and they tend to work out okay to very good (at least for two-income families). I think the scenario of 250k in debt and a 50k salary is EXTREME. As others have pointed out, starting salaries have been rising notably, and salaries for specialists (or in Banfield, if you choose that route for awhile) are in the six-figures. If you want to pay off your loans in 10 years, you'll have problems, but if you take an extended 30 year schedule, a graduated schedule, or even the income-sensitive repayment, I don't think you'd have any problems. We all know vets, even recent graduates, who are quite comfortable financially. This would not be a widespread occurrence if the doomsday scenario were widespread.

Or am I missing something obvious?

 

[chris03333]

Are you able to defer your loan payments during those three years or pay only interest?

I can do both.

 

[pathognomonic]

I think the scenario of 250k in debt and a 50k salary is EXTREME. As others have pointed out, starting salaries have been rising notably, and salaries for specialists (or in Banfield, if you choose that route for awhile) are in the six-figures.

I agree that this is the extreme example, but one of the posters said in the same breath that she was 250k in debt, but wanted to stay home with her kids, living off her husband's salary as a high school teacher. That would be living off 50k while 250k in debt.

Let's look at a realistic situation. I earn 85k in a state with no income tax. I'm also not having health insurance taken out since my husband has it through work. I'm taking home roughly 4500 a month after taxes. A thousand bucks goes to loans (remember my debt load is only 76k). My mortgage plus taxes is $1200 (cheap house 146K). Now I'm down to 2200. Day care runs me 800 per month. Now I'm down to 1400. I have a car payment, car insurance and drive 500 miles a week (can't afford to live in the area where the highest paying job I could find is). Now I'm down to 750 bucks a month to pay utilities (AC in Florida in the summer), groceries, clothes/diapers for the baby, tires, home repairs and all the incidentals. Oh wait a minute....I haven't saved anything for retirement or my son's education.

This is doable on dual income, but not all veterinarians are dual income. This is also not doable with a more expensive home. Median home cost is over 250K, I paid 146K. Also...and this is the most important point - I don't owe 250K. I owe 76. If I owed 250K, my loan payment and mortgage would eat virtually every penny I earn...especially if I lived in CA...even if I earned 6 figures.

 

[chris03333]

I agree that this is the extreme example, but one of the posters said in the same breath that she was 250k in debt, but wanted to stay home with her kids, living off her husband's salary as a high school teacher. That would be living off 50k while 250k in debt.

Let's look at a realistic situation. I earn 85k in a state with no income tax. I'm also not having health insurance taken out since my husband has it through work. I'm taking home roughly 4500 a month after taxes. A thousand bucks goes to loans (remember my debt load is only 76k). My mortgage plus taxes is $1200 (cheap house 146K). Now I'm down to 2200. Day care runs me 800 per month. Now I'm down to 1400. I have a car payment, car insurance and drive 500 miles a week (can't afford to live in the area where the highest paying job I could find is). Now I'm down to 750 bucks a month to pay utilities (AC in Florida in the summer), groceries, clothes/diapers for the baby, tires, home repairs and all the incidentals. Oh wait a minute....I haven't saved anything for retirement or my son's education.

This is doable on dual income, but not all veterinarians are dual income. This is also not doable with a more expensive home. Median home cost is over 250K, I paid 146K. Also...and this is the most important point - I don't owe 250K. I owe 76. If I owed 250K, my loan payment and mortgage would eat virtually every penny I earn...especially if I lived in CA...even if I earned 6 figures.

you must be on a 10 year repay plan. My largest consolidated loan, on 30 year payment (gradual increase in payment) has its highest monthly payment at $675. This is for $205,000. If your monthly payment on 76k is 1000 and your are not on a 10 year plan then you need to look into changing lenders. If you are on a ten year plan, more power to you👍

 

[tapir]

My largest consolidated loan, on 30 year payment (gradual increase in payment) has its highest monthly payment at $675. This is for $205,000.

WOW. How did you swing that? Is your rate much lower than the current (awful) 6.8%, or did you get massive consolidation benefits? This would be really useful to know. The finaid.org calculator shows a monthly payment of 1,336k for a fixed 30 year schedule on 205k. Graduated should be roughly the same (starting at ~1k and ending at ~1.6k).

 

[chris03333]

WOW. How did you swing that? Is your rate much lower than the current (awful) 6.8%, or did you get massive consolidation benefits? This would be really useful to know. The finaid.org calculator shows a monthly payment of 1,336k for a fixed 30 year schedule on 205k. Graduated should be roughly the same (starting at ~1k and ending at ~1.6k).

My interest is one of the great 2.5ish % Consolidated before the higher rates went into effect.

 

[tapir]

My interest is one of the great 2.5ish % Consolidated before the higher rates went into effect.

Well that's like winning the lottery! Congrats, and no more residency salary complaints from you 😉.

 

[GallopRealyFast]

Living in the suburbs of NYC I don't see many vets living less than upper middle class, but I understand what you guys are saying. My best guess is that it has a lot to do with Mommy and Daddy paying for their bills/mortgage. Its a shame that it is the way it is when you aren't born with a silver spoon in your mouth (or your spouse's)🙁. Hey as long as you and your family is happy and healthy what more can you ask for.

 

[birdvet2006]

My interest is one of the great 2.5ish % Consolidated before the higher rates went into effect.

You must have all federal loans then. Unfortunately for overseas grads like me, we couldn't get more than $18500 in Staffords each year. I consolidated my Staffords to about 3%, but I have the most debt in private loans which are running about 9.25% 🙁

Loan payments for those biggie loans start in July but I'm hoping to postpone a month to August (I'll be starting my "real job" in mid-July). I'm scared.

 

[stinyexoticvet]

Hi Cindy!!!

You live in Fair Oaks....I am wondering if you have done any work with patients or Veterinarians from Bradshaw Emergency Veterinary Clinic yet???

 

[chris03333]

You must have all federal loans then. Unfortunately for overseas grads like me, we couldn't get more than $18500 in Staffords each year. I consolidated my Staffords to about 3%, but I have the most debt in private loans which are running about 9.25% 🙁

Loan payments for those biggie loans start in July but I'm hoping to postpone a month to August (I'll be starting my "real job" in mid-July). I'm scared.

yes those are federal loans (thank goodness)😳
I have a 10K private loan at about the same 9%.
I think I have to start repaying the private loan right away (probably will even if I can defer because of the high percentage rate)
good luck in your "real job" Cindy. In about 3 years, I should start a "real job" also😀

 

[QTkitty]

I think what bothers me more than anything is the amount I'll end up paying on a 200K loan if I don't pay in 10 years. When I've looked at the charts (I don't have one with me right now), it shows that if I pay approx. 2000/ month at the standard interest rates, over 10 years, I'll end up paying ~250K total; however, if I pay less (approx. 1500/month) on a 15-20 year repayment I end up paying well over 300K. I'll try to find that paper with the exact figures, but I'm sure you've all looked at it if you've begun accepting your loans. I realize that paying over a longer period of time will make repayment easier but I think it's ridiculous to pay over 100K that was never borrowed! Hopefully loan consolidation will drop the monthly payments enough to be tolerable. If there's anything that's really made me despise vet school it's the price gouging...

 

[birdvet2006]

Hi Cindy!!!

You live in Fair Oaks....I am wondering if you have done any work with patients or Veterinarians from Bradshaw Emergency Veterinary Clinic yet???

I work for VCA, which owns 2 24-hour hospitals in the same area (well, one is soon to convert to a day practice, once our internship is over). I have heard of Bradshaw (which is owned by XLNT Veterinary Care, another corporation) and I think one of my internmates went to interview there. It's supposed to be a nice place.

Have you heard about VCA's new hospital? Merging VCA Sacramento Veterinary Surgical Services (which no longer exists) and the specialists from VCA Sacramento Animal Medical Group. Called VCA Sacramento Veterinary Referral Center. It's been open 1.5 weeks now and is about 24000 square feet of fun. 🙂 MRI and CT, and a water treadmill at some point. Anyways, from what I understand, VCA SVRC is nearby the Bradshaw hospital.

 

[frozen_canadian]

Pathognomonic, were you not planning on applying to medical school this year? (sorry to wander off topic a bit - I was just curious!)

 

[pathognomonic]

Pathognomonic, were you not planning on applying to medical school this year? (sorry to wander off topic a bit - I was just curious!)

Yes, I'll be starting school this fall. I will be fortunate enough to do the med school thing twice in one lifetime.🙄

<This time I have tuition covered by scholarship monies and a husband to pay the mortgage, so I won't get any further in debt.>

 

[TurboVet]

Hey everybody, my dad just told me to cheer up. He'll be dead in 20 years and then I'll have all the money I want to pay loans and send kids to school! This is from my father himself.👍

 

[Spartanvet4cows]

Well, My original plan was to use my entire salary toward loans while living off my husband's salary for the duration (we live off his PhD student salary and are doing fine). By my calculations I will have under 100k (thank goodness for in-state tuition) and so should be able to pay them off in 2-3 years, then have kids.

My new plan : join the army. I applied for the HPSP (could still get it this year and I'm definitely crossing my fingers). 61k a year starting may not seem like much, but the whole no debt thing is nice and I can do a path residency and still get paid army salary (leading to a promotion). If I stick with them 20 years, well that's extra retirement money in my pocket and I can go into practice until I'm old and grey. Seems like a nice tradeoff.

 

[horsybaby]

sort of along the same line.... are there any vet programs like nursing or medicine that if you commit to them for so many years- they will pay off your loans? ( Other than the army) Might be a "wishful thinking " kind of question...

 

[Spartanvet4cows]

Actually, my anatomy prof was telling me that there are programs like that. Certain areas are so strapped for vets (especially rural areas) that they will make a deal to pay off at least a certain amount of your loans. I don't have much info about it though. I can ask him again next time I see him.

The government put a program through a while back for production medicine (ie livestock) veterinarians in rural areas. It was meant to help subsidize the cost of education for those who planned to go where vets were needed most. Unfortunately, the bill came through....the funding didn't. It's just an empty hope for now.

 

[tapir]

My new plan : join the army. I applied for the HPSP (could still get it this year and I'm definitely crossing my fingers). 61k a year starting may not seem like much, but the whole no debt thing is nice and I can do a path residency and still get paid army salary (leading to a promotion). If I stick with them 20 years, well that's extra retirement money in my pocket and I can go into practice until I'm old and grey. Seems like a nice tradeoff.

What are the mechanics of that? How many years are you committing to upfront, and could you theoretically be sent to multiple places around the world? Seems like an enormous lifestyle change. Good luck, though!👍

 

[Spartanvet4cows]

With the HPSP, you get either a 3,2,or 1 year scholarship. Then you owe the army 3 years of active duty (as a Captain) plus 5 years inactive ready reserve. For whatever length scholarship you have, you get that many years of tuition, books, medical insurance, and other fees paid, plus a stipend each month for living expenses (I think it's about $1200 right now). At least one year of active duty must be spent overseas. Being married that makes things a little hard for me, but my husband may be able to come with me if I get assigned to Europe or Japan.
I have taken a lot of time thinking about it and now I'm quite excited to do it. One of my profs thinks that every vet student should do it because of the experience and of course the monetary benefit. It's pretty competitive your first year (plenty of activities and a high GPA and I still only got on the Order of Merit list which is like a waiting list). But it's a lot easier to get a two year scholarship, and as I'm on the Order of Merit list, I'm pretty much guaranteed for next year.
My dad was in the army before I was born, and a state trooper when I was little so I'm sort of used to the army lifestyle/attitude though I'm sure it will be quite a change.

 

[silverelf]

Actually, my anatomy prof was telling me that there are programs like that. Certain areas are so strapped for vets (especially rural areas) that they will make a deal to pay off at least a certain amount of your loans. I don't have much info about it though. I can ask him again next time I see him.

I know the state of maine was thinking about doing that (there are entire COUNTIES without large animal vets) but I never heard if it went through or not. Here's hoping it does in 4 years 👍

 

[TurboVet]

be sure to read the fine print for the army scholarships, you do still have to put in active time during the school year (like during the summer, etc), still go through boot camp, and still pass the entire army physical exam. i can't do it because of asthma, my father got kicked out for being allergic to cats...

 

[KittenKiller]

If there's anything that's really made me despise vet school it's the price gouging...

Hehe I hear ya QT...I was playing with a loan calculator on finaid.org and its almost comical. If I want to pay off my $150,000 loan in 10 years, its $1700 a month. It recommends I make at least $207,000 a year for this to be financially feasable. The 30 year plan gives me $1000 a month payments (and the calculator recommends I make about $120,000 a year to be able to afford this plan). Okay so suppose I want to pay it off in 50 years (the maximum the loan calculator will allow you to choose)...I still have to pay almost $900 a month! Oh and BTW it recommends I make at least $105,000 a year even on that plan. Hey at least I can leave the rest of my debt to my kids when I die!

Oh the other thing that makes me rabidly jealous is if the interest rates were 3% - what they were a few years ago - instead of the ghastly 6.8% they are now, my monthly payments on the 10 year plan be $300 less. Maybe I should have gone into the loan sharking business instead 😉

My boyfriend says I shouldnt read these forums because I get all morbid <g>

 

[tapir]

Oh the other thing that makes me rabidly jealous is if the interest rates were 3% - what they were a few years ago - instead of the ghastly 6.8% they are now, my monthly payments on the 10 year plan be $300 less. Maybe I should have gone into the loan sharking business instead 😉

It might make you feel a LITTLE bit better to remember that with consolidation incentives or other rate breaks, you'll probably end up with a rate of less than 5%. Also, be grateful that you won't have to borrow the 200k+ many people will. Finally, inflation will dramatically devalue the dollar by the end of your repayment term should you go with the 30 years, and even if you choose graduated repayment. After 20 years or so, your payment will feel like peanuts. Small wonders!

 

[QTkitty]

...should you go with the 30 years, and even if you choose graduated repayment. After 20 years or so, your payment will feel like peanuts. Small wonders!

The problem, for me anyway, with the 30 year plan is how much you end up paying back. So I can say it would be nice to pay less per month over 30 years but I end up paying back about double what I borrowed. I don't want to give those people any more money than I have to.

 

[tapir]

The problem, for me anyway, with the 30 year plan is how much you end up paying back. So I can say it would be nice to pay less per month over 30 years but I end up paying back about double what I borrowed. I don't want to give those people any more money than I have to.

Remember though that the value of money goes down over time, while your payments stay the same. The 'extra you pay' isn't nearly as much as it appears upfront, and can be basically nothing if you invest the difference in the monthly payments, or a portion of it. The finaid.org payment calculator for the graduated payment option allows you to play with net present values and discount rates, which will illustrate this (if you click on the 'net present value' link, it takes you to a convoluted explanation of which number to use - if you want to just consider inflation, use 3%, and if you want to consider being able to invest more money in the near term, use higher percentages):

http://www.finaid.org/calculators/gradrepay.phtml

 

[CookieBear]

Consider it "good debt." You are investing in yourself.

Repeat after me. It's good debt.

Good debt!

It's good!

 

[JumptheMoon]

Oh Cookie, that made me smile! for you!

 

[TurboVet]

didn't someone post on here once upon a thread ago that you should always pick the 25 year plan because whatever is left for you to pay after 25 years is written off by the government? i mean, i haven't done the math out, but that's sounds better than trying to hustle to pay everything back 3 years before it would have been written off the by the G and lose thousands of "free" dollars in the process? does anyone know the specifics?