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Werewolfdad t1_j6l0gso wrote

Start here: https://www.reddit.com/r/personalfinance/wiki/commontopics

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EmuRemarkable1099 t1_j6l0svb wrote

Thanks. I have read through the prime directive and I know saving for retirement comes before paying off debts. However, I won’t have an employer sponsored retirement program until I start working. When I do, I will definitely contribute to that enough to get the full match.

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EmuRemarkable1099 t1_j6l1pos wrote

I guess the best decision to save it and put it towards the loans. I just feel anxious about having basically nothing for retirement

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attachedtothreads t1_j6l4wi7 wrote

  1. Can you get the loans with higher interest refinanced to a lower interest rate one you're ready to start paying off your loans? With perhaps a co-signer on the loan of need be? Just to let you know, a co-signer will be responsible for the debt if you don't pay it. Think about how that will impact your relationship with them.

  2. How old are you? I didn't start putting money in my fund until I was 25 and it was 2% to get my employer's 2% match. If you're in your late 20s, you still have time.

  3. My personal opinion: start paying off those student loans to make life a little more easier in repaying them. If you really want to contribute to your Roth IRA, put some aside. Ex., you have $500/month to contribute to your student loans and/or IRA. You can pay $400/month to loans and %100/month to the IRA.

  4. Once you finish your degree, would that open any side jobs to use those funds to pay off more of the loans?

$165,000÷120 months (10 years)= about $1,375/month, excluding interest.

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EmuRemarkable1099 t1_j6l6jys wrote

Thanks for your comment. I’m 26 so I know I still have some time. I’m anxious thinking about saving for retirement and other things and knowing I have all this debt.

I don’t think refinancing is an option with federal loans, but I will look into it.

I’m currently putting my income from that job into a HYSA and plan to make a payment on the highest interest loan before the interest starts accruing. Maybe I will make a small contribution each month to my IRA to make myself feel better.

I won’t finish my degree until August. I have to stop working in May because I’ll be doing an unpaid internship and studying for the board exam from May 8- July 26. But once I start working I’m already planning on getting a full time job and a PRN gig on the weekend.

I ran the numbers through the federal student aid repayment calculator and they estimate monthly payments of $1710 on the standard repayment plan. I’ll be living with my fiancé so my expenses will be fairly low.

I’m also scared of the tax bill if I get my loans forgiven, which is one reason I don’t want to go that route.

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attachedtothreads t1_j6l757e wrote

It can be scary and confusing doing all this financial adult stuff that you're supposed to know, but no one really prepares you for it and you don't know to prepare because you don't know it's out there. Bit of a Catch-22.

That's shitty to have your forgiven loans counted as income. Plenty of businesses and rich people have gotten loans forgiven, but above below them can't? That's such BS.

Good luck!

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