| Topic Name: |
Law School Debt |
| Message Name: |
Cushy? |
| Date Posted: |
04/23/2002 |
| In Reply To: |
There are plenty of people who live a pretty cushy life on less than $50,000/year....AFTER taxes. $4300/month is about twice what I make now, and I've never been close to uncomfortable, even living in San Francisco. Sure, paying $1000+ a month in debt is rough, but you're not exactly going to be scraping by on $80,000 a year. Don't freak this guy out. |
| Message: |
Tell me more about this cushy lifestyle in San Francisco. What did you pay for your home? How much do you save every month? How many children do you have? What extra curricular activities do you do? All of these add cash to the equation. My guess is your single living in a studio or a small apartment with a roommate. Great college lifestyle but hardly cushy. Just remember, when you mortgage yourself to the tune of $160K, you may be living in that apartment a long time.
Let's face it. Most people live on less than $80K per year. Those same people don't carry $160K in debt. In fact, go to the bank and try to borrow $160,000 for a mortgage on $50,000 per year. You won't get the loan if you have anything but stellar credit and no credit debt.
You can live well in a small to medium sized community in most places around the country at $50K but not in the major metro areas. In those areas, the law salaries are lower.
If you have a choice between no debt and huge debt, its a no brainer. If the guy is in at a top 10 school, there is scholarship money everywhere at less "name brand" schools. If you excel in school, higher salaries will be available.
Paying 1/3 of your take home pay toward debt for school is silly. Home lenders won't give you money to buy. Car lenders and banks will charge you higher rates because you are a bigger credit risk and some banks wouldn't qualify you.
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