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*Official student loan pay off thread*

Home Student Loan Management *Official student loan pay off thread*

  • Avatar DermRes 
    Participant
    Status: Physician
    Posts: 22
    Joined: 04/04/2016

    Thankfully to a generous medical school scholarship my starting point was only about $85,000.

    We set aside about 25-33% of our pre-tax income to go towards a combination of retirement/new car (prior vehicle was a ’97 Honda Accord with >230,000 miles on it, proudly parked that in the Derm physician lot in-between the Tesla’s and Porsche Macan’s for over the first year)/having a baby on a HDHP while maxing out and not touching the HSA funds themselves, and even then, didn’t feel like a lifestyle pinch at all.

     

    So, basically, in under two years, have about $200,000 in retirement accounts (401k, Roth’s, HSA, and taxable), no debt on the books (no CC’s/mortgage/student loans/car loan), new nice car (2018 Audi Q5). Will use the extra student loan money to bump up my taxable savings and continue to grow our down-payment fund and throw some money into baby’s 529.

     

    Can’t thank the WCI forum/page enough, thankfully found it intern year and has kept me from making any big mistakes thus far.

    Avatar emdoc86 
    Participant
    Status: Physician, Small Business Owner
    Posts: 6
    Joined: 05/01/2016

    Loan Peaked 2nd year of residency at 310k. Had it down to 285k by graduation. Made the last payment about 2 weeks ago. 210k in 9 months. Doesn’t feel much different but I am sure I will start to see it in the coming months. Now on to taxable account and starting to put some extra cash toward mortgage.

    Discipline and focus and luck helped me. Still able to buy a car, buy a house, have two kids, have my wife become a SAHM, maxed out 401k PSP, HSA, Roths, and CBP.

    Avatar okayplayer 
    Participant
    Status: Physician
    Posts: 124
    Joined: 05/25/2016

    My goodness, EM guys are making bank these days.

    #133462 Reply
    Avatar saildawg 
    Participant
    Status: Physician
    Posts: 334
    Joined: 01/24/2016

    Loan Peaked 2nd year of residency at 310k. Had it down to 285k by graduation. Made the last payment about 2 weeks ago. 210k in 9 months. Doesn’t feel much different but I am sure I will start to see it in the coming months. Now on to taxable account and starting to put some extra cash toward mortgage.

    Discipline and focus and luck helped me. Still able to buy a car, buy a house, have two kids, have my wife become a SAHM, maxed out 401k PSP, HSA, Roths, and CBP.

    Click to expand…

    Great to hear, you have done a fantastic job. If you don’t mind could you map out how you did this.  By my calculations you paid off 210k of loans, 54k to 401k/psp,  6750 to HSA, 11k to backdoor roth.

    Additionally a cash balance plan of unknown amount

    Mortgage payment (perhaps no down payment)

    Bought a car for ?

    What was you salary?

     

    #133658 Reply
    Avatar TotallyBroke 
    Participant
    Status: Physician
    Posts: 42
    Joined: 01/31/2017

    My goodness, EM guys are making bank these days.

    Click to expand…

    Not those of us that get screwed by senior doctors who promise “sweat equity” buy in to partnership then reneg due to greed…

    #133806 Reply
    Avatar dentoid 
    Participant
    Status: Dentist
    Posts: 86
    Joined: 02/08/2016

    Year spouse and I finished residencies: 2015.

    Total combined of dental school with $30,000 from undergraduate: $617,000 (no idea total if interest payments were included, be scared to find out)

    Time to pay off: 2 yr 9 months.

    Interest rates: 6.8%, refinanced half to 3.4%

    Maxed out retirement 401K + backdoor Roth + HSA in 2016 and 2017, still have some work to for 2018.

    Our loans caused anxiety for us, initially the $7000/month was not an easy pill to swallow.

     

     

    #135380 Reply
    CordMcNally CordMcNally 
    Participant
    Status: Physician
    Posts: 2817
    Joined: 01/03/2017

    Year spouse and I finished residencies: 2015.

    Total combined of dental school with $30,000 from undergraduate: $617,000 (no idea total if interest payments were included, be scared to find out)

    Time to pay off: 2 yr 9 months.

    Interest rates: 6.8%, refinanced half to 3.4%

    Maxed out retirement 401K + backdoor Roth + HSA in 2016 and 2017, still have some work to for 2018.

    Our loans caused anxiety for us, initially the $7000/month was not an easy pill to swallow.

     

     

    Click to expand…

    Very impressive…congrats!

    “But investing isn’t about beating others at their game. It’s about controlling yourself at your own game.”
    ― Benjamin Graham, The Intelligent Investor

    #135415 Reply
    Liked by dentoid
    Avatar hightower 
    Participant
    Status: Physician
    Posts: 1485
    Joined: 12/07/2016

    Year spouse and I finished residencies: 2015.

    Total combined of dental school with $30,000 from undergraduate: $617,000 (no idea total if interest payments were included, be scared to find out)

    Time to pay off: 2 yr 9 months.

    Interest rates: 6.8%, refinanced half to 3.4%

    Maxed out retirement 401K + backdoor Roth + HSA in 2016 and 2017, still have some work to for 2018.

    Our loans caused anxiety for us, initially the $7000/month was not an easy pill to swallow.

     

     

    Click to expand…

    Wow, very impressive.  Please share how you accomplished such an aggressive pay off of a large loan burden

    #135425 Reply
    Liked by dentoid
    Avatar dentoid 
    Participant
    Status: Dentist
    Posts: 86
    Joined: 02/08/2016

    Year spouse and I finished residencies: 2015.

    Total combined of dental school with $30,000 from undergraduate: $617,000 (no idea total if interest payments were included, be scared to find out)

    Time to pay off: 2 yr 9 months.

    Interest rates: 6.8%, refinanced half to 3.4%

    Maxed out retirement 401K + backdoor Roth + HSA in 2016 and 2017, still have some work to for 2018.

    Our loans caused anxiety for us, initially the $7000/month was not an easy pill to swallow.

     

     

    Click to expand…

    Wow, very impressive.  Please share how you accomplished such an aggressive pay off of a large loan burden

    Click to expand…

    Listened to a lot of Dave Ramsey, rice and beans life style. Only took a few modest trips over the time frame. Lived life like a resident for three years, didn’t buy anything extravagant. Also worked many 5 and 6 days weeks and took weekend call, which is rare in the dental field, with OR cases on the weekend (missed wife’s birthday…). We both saw a very high patient load, which had it’s own stresses (wife spent 5-8 hours a week treatment planning cases at home). Feel glad it’s over and hope other are able to conquer the similar task with such enthusiasm. We kept the eye on the prize (completion of student loans) and it helped that my better half was on board for the entire journey. We are excited for the next chapter and hope to aspire to be FI in the near future. I understand there might of been more efficient ways of investing versus paying off loans, but I can’t count how many times I woke up with night sweats  in the middle of the night knowing we owed $7,500/month.

    #135564 Reply
    Liked by LIFO, okayplayer, LizOB
    Avatar HandFellow 
    Participant
    Status: Physician
    Posts: 201
    Joined: 01/18/2016

    not to dwell, but 7500 for 33 months doesn’t get you close to 600k

    #135570 Reply
    Avatar orthodds 
    Participant
    Status: Dentist
    Posts: 147
    Joined: 11/07/2017

    Maybe the 7,000 (or 7,500) was the payment due each month under the original loan repayment terms. That would make sense if the 620k were amortized over 10 years at 6.8%. I think they paid much more than that during the 33 months to aggressively eliminate the loan balance.

    #135573 Reply
    Avatar PNWskindoc 
    Participant
    Status: Physician
    Posts: 99
    Joined: 01/10/2016

    Yeah…. I started with 370k in 2016 and will be finished early next year, but I’m currently paying $15k/month so above poster would have had to be paying way more than what he/she initially claimed.

    #135642 Reply
    Avatar dentoid 
    Participant
    Status: Dentist
    Posts: 86
    Joined: 02/08/2016
    Splash Refinancing Bonus

    Maybe the 7,000 (or 7,500) was the payment due each month under the original loan repayment terms. That would make sense if the 620k were amortized over 10 years at 6.8%. I think they paid much more than that during the 33 months to aggressively eliminate the loan balance.

    Click to expand…

    Sorry for the confusion.

     

    Spot on, we started with a combined minimum payment of $7,500 and dwindled it to $7,000 relatively quickly. We had over 20-30 individual loans ranging from $3,500 to $40,000. If one of us lost our positions, with the other’s base salary, we’d hardly make it/dive into the emergency fund. That’s what kept me up.

    We put 20-25k chunks most months, but were constantly on the look out for less volume positions. We’d work every extra shift, and see any and every patient…

     

     

     

    #135793 Reply
    Avatar HandFellow 
    Participant
    Status: Physician
    Posts: 201
    Joined: 01/18/2016

    mad props.  those are some huge numbers.

    #135797 Reply
    Liked by okayplayer
    Avatar Superfan56 
    Participant
    Status: Physician
    Posts: 10
    Joined: 07/12/2018

    What happened to this blog page? Did you take it down?

    Anyway to view it?

    #135988 Reply

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