DOCTOR w/ $335,000 in SCHOOL LOAN DEBT

[@bygnahzdivad]

Hi Jenny, I don't know how the student loan interest rate work in the US, but the 6% interest rate is insane; it's more than the interest rate on a mortgage in Canada. But, then again, to get a mortgage here, you'd need to put a >5% down payment and prove that you have income to back up your mortgage (i.e. home mortgages are less risky than student loans, which might explain why the interest rate is so high on your student loans). So, maybe you can ask to get your loan re-structured (i.e. negotiate for a lower interest rate) in light of your recent employment status? I work in the finance sector, so there are few things I think you should also look into. For instance, when you say the government will pay 50% of the total accrued interest, is that a form of interest forgiveness? And how do they define the total accrued interest (i.e. is it total interest accrued over anytime period within the 3 years?)? In addition, given the way that you have described how the interest is defined, I have a feeling that your interests will also accrue interest year over year. In that instance, I strongly recommend you AVOID NOT paying interest at all and just pay everything in a lump sum, because I think there is definitely an optimal amount of interest that you can pay every year that would minimize the amount of money that you end up paying while also taking advantage of the interest forgiveness program that's implemented by the government. Hope that helps, :D.

[@drjennale]

The government pays for 50% of the remaining interest every year. I guess my logic is that I will never be able to pay the full interest of 20k of interest annually. If I pay say 10k the government will give me 5k. So is is better pay nothing to let the government pay 10k? Save the 10k and pay the lump sum at the end?

[@bygnahzdivad]

Hi Jenny, so I ran through the calculations and you were right, it is better to pay everything off as a lump sum at the end, because you can maximize the amount of government interest forgiveness for every year. I've pasted my excel calculation below if you're interested, Loan 335,000 Interest 6.00% No Annual Payments End of Year Payment Accrued Interest Government Forgiveness Interest Payment 0 - - - - 1 - 20,100 10,050 10,050 2 - 20,703 10,352 10,352 3 - 20,721 10,361 10,361 Total Amount Paid 30,762 Some Annual Payments End of Year Payment Accrued Interest Government Forgiveness Interest Payment 0 - - - - 1 1,000 19,100 9,550 9,550 2 2,000 18,673 9,337 9,337 3 3,000 17,660 8,830 8,830 Total Amount Paid 33,717 So, if you know how much you're going to be paying at the end of the 3 years in interest payments, have you thought about investing in financial instruments (so that they can grow into the amount liability that you want to payoff)? For example, if you need to pay $30 762 at the end of 3 years, if you invest a portion of your yearly salary in let's say a passive ETF with 4% annual return, then, ETF Return 4.00% End of Year Annual Investment 0 9,855 1 9,855 2 9,855 3 - Total Invested 29,564 Total Savings on Investment 1,198 ETFs are assets that tracks the value of an index (which is generally a diversified portfolio of assets, i.e. low risk). If you get a passive ETF, then, their risk is even lower compared to active ETFs, i.e. you can probably achieve the annual return based on historical data. ETFs are pretty much the same as mutual funds, but, they're not actively managed (which is a major cost in mutual funds), i.e. the overall cost of investment is quite low (~$100 for the 3 years, assuming you just put in money at the 'start' of each year (and doing it once/year)). But, if you don't want to go through the hassle of doing research on investments, that's fine too and you can just put your money in the bank and save it. Hope that helps, :D.

[@drjennale]

Thank you so much!! I’m nervous about investing even though I know I should.

[@bygnahzdivad]

I think it's totally normal to feel nervous about investing! I mean I'd feel nervous if you gave me a medical textbook and told me to start diagnosing a patient with it! And to be honest, given your schedule as a resident and a parent, I don't think you should stress too much about investments, mainly because it's very difficult to juggle so many major tasks at the same time. But, if you're interested in learning more about financial instruments and the financial markets, I'd strongly recommend the introductory financial videos that MIT has put on KZbin. I've pasted the link below for the first lecture by Dr. Lo; he's very good at explaining the concepts. kzbin.info/www/bejne/fpWrnZmfhKZ9r6c

[@bygnahzdivad]

That is incredibly disheartening to hear!! I guess now I feel even more fortunate that I'm Canadian and live in Ontario, because our post-secondary education system is heavily subsidized by the government (at the provincial and at the federal level). Even without the government subsidies, I think the tuition in major Canadian institutions is still comparably lower than that of the US counterparts. For instance, my tuition at U of T (University of Toronto) was 8.5k/year and for international students, the tuition was 25-30k/year. Furthermore, the cost of living in Toronto is high by Canadian standards, but, if you compare it to that of NYC and Boston, it's actually very manageable. So, I think that's why there's an increase in the number US students that are enrolling in Canadian educational institutions.

[@RangerRickTV]

Debt like this should be illegal.

[@kevinday1697]

So should getting people dependent on long-term pills that cause other health problems, but I guess someone's gotta do it.

[@PInk77W1]

Many things are illegal. People do them anyways

[@curiousgeorge6921]

@@kevinday1697 hahah on point 100%

[@RogueAizenYubel]

Explore with Rick I disagree it takes a lot money to run a college and professional school.

[@blacklyfe5543]

Explore with Rick no it shouldn't

[@Esteban_FlatHeirarchyInHeaven]

You're so calm when throwing out those figures... I wish schools would come down on the cost...that's a mortgage. This is an edit to the above. Well...now we have NYU...tuition free...let's see if others follow.

[@drjennale]

Schools are horrible!

[@mariae7455]

Especially if you compare the price to other countries

[@KIM-kp9tq]

In England med school is 9000 a year and they have to do 5 years before being fully qualified. And people are constantly protesting and lobbying to make it free again like it was just a few years ago in England

[@Esteban_FlatHeirarchyInHeaven]

That's a bargain compared to over here in the U.S.

[@Andreas4696]

Well, she's a doctor. A liberal arts major wouldn't be as calm when throwing out 6-digit loans figures.

[@luomanfei]

I know being a doctor and a new mom is very stressful, but you are always so calm. Jenny, can you make a video on how to maintain mental and physical health during stressful times?

[@Martianhunter09]

that was answered in the video. He does real estate

[@SBdunks3]

Where there’s a will there’s a way

[@drjennale]

This was Stan salary working from home.

[@rachael4408]

@Psyborg 0009 How people raise their kids is none of your business, so long as no child abuse or illegal activity is involved.

[@juanitaflorescabrera537]

Yes please 😢🙏, I'm loosing my mind I owe 20k 😰

[@Armyguywizerdo16]

I totally understand that you want to travel and live your life. But, you have to realize that once you become an attending, your salary will drastically increase. If you live like a college student you could pay off your student loans in less than 2 years. If you don't focus on paying them off as soon as possible and you start taking on more loans (house, car loans), your debt will take a long time to pay back. By then your little boy will be grown up and you will have to pay for his college. You have to live like a broke doctor for now, so you can live like a doctor later one. You can't keep living with the mentality that you will be hit by a bus tommorow.

[@TheCrusaders13]

Jainil Patel I don’t think hats what she means. I think she means is that she won’t be working nonstop and barely doing anything just to pay off the loans. She’s most likely giving herself extra time to pay them off. I’m the same way. Extra time is better than giving yourself a nonexistent goal.

[@Armyguywizerdo16]

Everything that I have said are not my words but Dave Ramsey's words. He is a financial guru and respected by a lot of people. He says that before you can start taking vacations and other debt like a house or a car you need to pay off your student loan debt. It's best for her to just down her head for 2 years and work (once she is earning an attending salary). If she takes this short route, then she has the rest of her life to spend her salary the way she wants. A lot of docs spend 10 years paying off their loans and are in constant strees for that amount of time, where she could have just lived minimaly for 1 - 2 years to pay off their loans.

[@ryanturner8577]

Extra time equals higher loan payments. Loans have interest. The longer the wait, the more money you literally set on fire. I came out with 25k and paid 5k in interest in 4 years before I paid them all off. Her interest rate is 6%. The Government pays half for 3 years so she is throwing away $9,700 for 3 years and then $19,400 a year extra on top of the 335k. Now ofcourse it will go down as she pays it down, but the longer the wait to pay, the more money you're pissing away. The faster the better. That is and always will be true.

[@Lxsgrl]

@@ryanturner8577 well said...

[@SK-mr6ov]

When you making the same amount as your student loans it’s pretty easy to pay it off with 3-5 years and live comfortably. Her lifestyle seems fine to me

[@ViolinMD]

Great video Jenny! It’s fun to see you on internal medicine ☺️ and thank you for being so open about loans and finances... it’s really not talked about very much, even though it’s on everyone’s mind as a resident! P.s Wyatt is growing so fast, what a cutie! 👶

[@drjennale]

I was just thinking about you when I was editing this video. Do you have medical school debt in Canada ?!

[@ViolinMD]

Jenny Le - yeah we do... it depends how much schooling someone did before Med school (masters or PhD debt on top of it), but that’s definitely more debt than we have finishing medical school. Sounds really stressful, but it seems like you are handling it really well!

[@chelliesaves425]

Love both of y'alls channels!! I too am in medicine and partake in loan forgiveness program. Thanks for your insight on loan debt. It's a scary topic and Dave Ramsay's "baby steps" can be an intense process. I think as long as you budget out your income/expenses you'll be fine and i totally agree with living your life even when you have this amount of debt. You do you! Thanks for sharing your journey publicly!

[@DoubleMxo]

Violin MD can you please do a video on Canadian med school debt. If osap or federal funding helps

[@user-lu6yg3vk9z]

Jenny Le it is not 331k. its more thsn that. u forgot to add the opperrtunity cost. the lost income u gave up to go to school full time. lets say instead of going to school right after high school u went to work instead. in that 8 years u worked full time making 40k/year. 8×40/year=320,000. 331k+320k=650k is the true lose to become a doctor.

[@sarafofara]

I feel like with student loans I didn't really understand what it would feel like living with them until I was out of school. I think we're asked to make a super huge financial commitment when a lot of us are waaay too young to be making that big of a decision. 20k of debt or 100k or 200k...when you're 18 and about to start college that all sounds like make believe and it sounds like something you could easily pay off. Then you graduate and start working and realize how little money you have left over towards the loan. And living with that loan is HELL. And the interest just keeps stacking up so fast. The reality of living with a loan is hard to conceptualize when you're in school for a lot of people until you're actually living it. If I could go back in time and give myself advice I'd say: go to community college first two years, STAY IN STATE, and try to graduate as soon as possible. May not work for everyone but just what I would do different for myself :)

[@drjennale]

I think if I went back to school, I would do the same. Go to a state school before med school. It doesn’t decrease your chances in the slightest.

[@Randomwwww]

Agree

[@user-lu6yg3vk9z]

Thats assuming u majored in something that makes money. Second things just becaue u majored in something doesnt mean u will a get a job in the field u studied. KZbin Peter Schiff College. For the most part college has become a huge scam.

[@kingvolt8694]

Im staying in state but going to a private university. Most of the state schools in Florida have extremely large classes and im not use to that at all.

[@mariav.3227]

oh man im 18 starting college next week ill be 100k in debt when i graduate i dont even have a car for a job do you have any other advice because i want to cry lol

[@jjjgh11]

Hey Jenny, first i'd like to say your "slice of life in medicine" style videos are awesome! Idk the specifics of your family's income situation, but I'd say IBR is probably the best choice while you're in residency. After that though, with you easily bringing in north of 150K, I would say that your best bet would be aggressively paying down that debt in a relatively short period of time instead of having set payments for decades to grapple with (especially with the uncertainty of government programs). I know real estate isn't always completely stable, but if Stan makes around what you said in the video normally I would think you guys could live completely off his income on a moderate budget. That would allow you to throw all your post-tax income towards the debt and be done in 3-4 years. Depends on what your what you're willing to live with/without for X amount of time. I agree that especially for physicians who will have a large salary for basically the rest of their lives and already live with a lot of daily stress, going full-on "Beans and rice" isn't necessary. But I do think it's important to live as moderately as you can while still being comfortable to get rid of that debt so you can move on with your life and fully enjoy the fruits of your labor.

[@ismaeljrp1]

Honestly you should pay as fast as possible. That 330k will balloon really fast, if you're not aggressively paying it off and only using the default payment plans. Ramsey does exaggerate a tad but his guidance is very sound. Your plan is actually really bad, the numbers don't make sense. Ramsey's point is, your life isn't 3-5 years... it's possibly 60 years longer. So aggressively paying off your debt and having a tight budget in the short term will allow you to live a lot better for the other 55 yrs of your life... lol I don't get when people say, "I wanna have fun with my life, not just pay bills", well that's the whole point of paying your debts off fast!, what if you or your husband have difficulties later in life and separate... what if you suffer from a tragic disability... or a child that requires very expensive medical care due to an illness?... That's the point of getting out of debt fast. You're gambling with your future at this point.

[@sharonbrown8204]

Very good advice Ismael. I hope she understands what you are saying. Life is unpredictable. Avoid a student loan if you can or take the least amount of loan possible and most importantly, repay it quickly.

[@rachael4408]

Dave Ramsey saying put your nose down and WORK is basically the best advice you can get because work is how you make MONEY and MONEY is what you need to pay off DEBT. There aren't shortcuts in life. Sigh. She needs to pay off NOW so she can have lots and lots of debt free fun in the future, 3 years ain't that long anyway!!!!

[@mat2941]

Ismael Rivera so true.. i have the same tactics when it comes to pay off debt.. the sooner the better

[@SK-mr6ov]

She will be making a lot more when she comes out of residency so it will be easy to pay that off while living a comfortable and somewhat lavish lifestyle

[@JazzymineA]

Ismael Rivera very well said

[@NeoTimbo]

I don’t think you’ve watched enough of Dave Ramsey to really understand his message. A doctor should be able to live on a third of their income comfortably. His point is that it’s stupid to have a reduced income for 10 years when you can easily get it done in 3 years, then once all of your debt is gone you can save for a house, buy a nicer car outright and invest. You will have so much more wealth and live a much happier life if you just rip the bandaid off instead of slowly ripping it off hair by hair. If you drive a $5000 car and rent a cheap house or apartment, stay out of consumer debt and don’t go to Starbucks every morning the debt will be gone so fast. I’m not hating, it just pains me to hear people speak so nonchalantly about $300000 of debt.

[@drjennale]

I have done a lot of research on this topic so I would disagree when you say I speak about the topic nonchalantly. Our cars are paid in full, our mortgage is cheaper than rent, and I drink free burnt coffee from the hospital. So Dave Ramsey isn’t telling or teaching me anything new or life changing. When I say there must be a smarter faster way of paying off these loans - something Dave Ramsey isn’t teaching is velocity banking.

[@Samantha-yn8tv]

A third of around $60,000 a year is comfortable?

[@citygurl0105]

Maybe pay it off in 7 years. Live a little but pay it off intensely. It doesn't have to be all or nothing. Yes, life is short but taking a calculated risk is feasible. too.

[@oomma5]

As a physician myself, 2 years out of residency, you'll be fine. Tons of loans... Live your life and you'll have enough to pay back

[@drjennale]

❤️ thank you.

[@wisdomandlove1661]

if after residency you can secure a job that pays $250k to $300,000 you can be debt free in 5 to 6 yrs. if you work that job and a per time gig on the side you can kill the debt in 3yrs.

[@drjennale]

You didn’t consider paying taxes. Just because a physician salary is 250k does not mean they are taking home 250k. In California, after taxes, you can be taking home closer to 50%. So if you consider the math 250/2 = 125 after taxes. Living off 60k a year gives you 65k to pay back to loans. 335/65 is still over 5 years without consider the interest the loan will be squaring .... and as I said in my video, paying off the loan in 5 years was my goal.

[@wisdomandlove1661]

50% in taxes is very high and sad.

[@drjennale]

Based on your first calculation 250k will be taxed zero.

[@trzippo1645]

As a french , I find that absolutely unbelievable how much it costs to study in the unites states ! How are you gonna pay back 320k in 5 years ? Thats impossible if you dont make more than that . I feel sorry for you because being a doctor is hard enough its crazy that you have to pay that much to become one

[@blancae1227]

Trzippo 16 so true! Is crazy! But yet you have football players, basketball players and baseball players making millions 🤦🏼‍♀️ this is crazy

[@dsar8262]

Are you stupid? Doctors make heaps of money, they can pay off the debt very easily, unless they waste the money completely.

[@PaulTranPharmacist]

Yeah my guess is she will pay it off in a year or less because of her physician salary and KZbin business and whatever else shes up to. She will be highly motivated to do so, because that will create a viral video making her even more $$

[@unicornhorse1632]

Trzippo 16 I feel bad for French people. Do they earn $300-500.000 per year? I believe maximum is like $60.000. So don’t feel bad for us

[@CaraMarie13]

As an American, i can tell you doctors here make a whole lot of money.

[@johnc8327]

9:30 has 300K worth of debt... spends $800 on dinner and goes on vacation... Why should someone else pay all your bills for however many years you were in med school for?

[@alpinesubx]

Because she's a doctor and on a whole other level then a blue collar worker like myself. Apparently living the extravagant lifestyle comes with the title of doctor. Even if someone else has to pay for it.I generally could care less about what people do with their money but when tax payer dollars are involved its a little more aggravating to hear shed rather go out and eat instead of saving that money to pay off school loans.

[@Deelifull]

At what point in the video, did Jenny say "someone else" is paying her bills? ____? She just said that A) between her and her husband they're bringing around $13K a month ($9K for him & $4K for her) and B) she wants to pay this ($335K) off within the next 6 years.

[@Abunchaponys]

Deelifull because she is pretty much crying about her debt. She wanted to get ahead in life by having a good job and making thousands a month. All these people who want free college don’t understand. Your going to get shitter doctors more unemployed doctors pay is going to go down. You go to college you picked your school. You knew how much it would cost and you knew roughly how much you would be making. You wanted to get ahead. It’s a short term pain for long term gain. It’s about taking a risk and then getting a nice outcome in the end.

[@blacklyfe5543]

John C exactly

[@greg9662]

Where do you think those student loan funds come from? Tax dollars from the American public, that's where. So rather than getting a job to pay for living expenses she used student loans. So, in essence, someone else was paying her bills and it was the American public.

[@WhiteCoatChronicles]

Thank you for the valuable info!

[@bubbles02010]

man.. i hope this youtube money is helping out at least a little bit

[@indiaxlovee]

wingedeyelinerisoverrated amen

[@dstarkspp]

sorry only naked woman KZbin make any money!

[@ballbeenlife5930]

wingedeyelinerisoverrated her job is helping out a lot. That’s why student loans are so much in these fields because there’s high risk with a higher reward.

[@leadmetopeacejeanie]

I think your statement "I'm investing in myself" nailed it, Jenny. Of course there's a price to pay with anything great! Look at your accomplishments. You cannot put a price on knowledge, or education. You are providing a wonderful future for yourself and husband, and your son. You have an amazing future! You'll pay it back, yes, but it's worth it. I wonder if there's a way to incorporate your loan, or part of it into you home, or a home in the future somehow...there has to be a way. My kids figured out ways to reduce their student loans after graduation....I could find out for you..and they did get reduced! Anyhow, you have an amazing future, a great family, and you WILL be fine!! Love you!! Hugs, Jeanie xxooo PS I'll be praying!!

[@savannahrobb986]

I’m actually putting off my RN till we have the cash saved to pay for the whole thing. It’s like 10k but I never want to get into debt again. I’m lucky because my husband has a great job and I can be a full time SAHM right now but my dream is to get my RN.

[@icefishing804]

Savannah Robb yeah but you are losing the salary money every year you wait, so you are losing money

[@morganjcase]

Ice Fishing I completely agree. When I finished my RN degree, my salary increased more than enough to pay off my student loans in 1 year. That being said, there are also SO MANY options besides loans to pay for college. Especially in healthcare fields. My senior year of high school I received a grant type thing that paid for me to get CNA training. I used that training to get a decent job at a hospital. I was able to work a minimum of 20 hours a week throughout nursing school, which helped a ton financially. That same hospital job also paid a certain amount each year towards my RN schooling. I saved soooooo much money in student loans, all while making a livable income, and gaining amazing experience through nursing school. 👍

[@icefishing804]

Yeah I worked as a cna and got 20k towards school the my employer

[@icefishing804]

From my

[@tedb2776]

Savannah Robb i'd suggest you get into trading stocks/forex and thank me later. I'm glad i dropped out of NYU. I make 12k a month. Couldn't be happier.

[@shalalala868]

I knocked out about $75K in 5.5 years. I still took vacations and lived my best life. I refuse to work SOLELY to pay bills and never invest in myself, experiences, etc. along the way. I did however, live in low key areas, had roommates, brought my lunch to work, etc. I think you need to squeeze in some exciting life experiences in there, just within reason and maybe once or twice a year. Perhaps you should figure out a way to make passive income...

[@kimberlyalvarez3039]

I only have 4k in undergrad so far and I graduate in 2 years....and 4k scares me...having your debt will give me anxiety attacks every day. But I wish you the best and I'm so happy your following your dreams!!

[@monote14]

kimberly Alvarez same here. Is it 4k a quarter ?

[@kimberlyalvarez3039]

christian stov its 4k in 2 years my freshman and sophmore year. This fall is my junior year.

[@monote14]

kimberly Alvarez not bad at all. Wish it was the same for me lol

[@kimberlyalvarez3039]

christian stov dont worry we will pay off the debt one day !!

[@monote14]

kimberly Alvarez hope so lol. Are you just getting your ba or yoru masters as well?.

[@luomanfei]

I am in the same boat regarding student loans. I am not going to be a doctor but I am in my last year of pharmacy school. I really want to live by Dave Ramsey’s advice but like you said, you never know if you will wake up tomorrow. Spending so much money and time on school and you feel like you should be able to live more comfortably than eating rice and beans. I think it is all about finding a balance between living frugal and still having fun.

[@DELLRS2012]

I think it is easy in our society to view a frugal diet as oppressive and overly restrictive. However, rice and beans are not that bad. People have been living frugally for generations and have found fulfillment and happiness. You learn tricks of the trade as you go along. I think it is important to remember that when having these types of discussions.

[@notsomuchhere1387]

I beleive this as well!

[@ct2623]

Hi Jennifer, I am in the process of possibly submitting a pre bill to my politicians about revision of student loan debt in high cost of living cities, NYC, LA, etc... will keep you posted.

[@jeanp.5929]

CLOUT lol. how you know?

[@Jake-tz6ye]

Prioritize paying off your debt in your first 5 years as an attending. Live as broke as possible in those 5 yrs

[@twdjt6245]

BROKE?! SHELL be making around 200k a year and her husb. makes 9k a month?! Unless they live in a large/expensive city or have some other variable I’m not aware of...they’re not even broke now! Not sure why she’s not paying off at least some.

[@icefishing804]

Her payments will be 3500 a month, so it will take 7k a month for 6 years or 14 k a month for 3 years

[@maoyama]

Dave Ramsey approach worked for me. I am an OD who paid off $205K loans in 38 months without eating rice and beans...With your salary, $335K is a piece of cake. Dave's info sounds obvious but most people can't/won't do it and that's what makes it hard... Everyone knows how to lose weight, eat less and work out but can everyone get skinny? That's the best example.

[@andieszabo3360]

Hey Jenny, I know it sounds crazy, but Dave Ramsey's baby steps system really does work. I know it seems insurmountable with the massive numbers that you have in student loan debt, but it's about giving up some things now to have financial freedom in the future. You don't actually have to eat beans and rice if that's not your thing. There are all kind of KZbin videos about inexpensive meal plans for families. It's about making sacrifices now for a bright future. Good luck.

[@rustypudder7072]

Andie Szabo maybe the baby can drink water and eat dirt too right.

[@mallorycandace]

I think I would just live on closer to an RN salary and use the extra to pay back the loan. (After you are done with residency) So let’s say nurses would make ~ 50k I’d live on that and use the rest of my salary on debt. You won’t make any headway unless you really put money on it.

[@folumb]

I listen to Dave Ramsey too and I'm dismayed with his advice. You CAN'T make any serious money in medical school. The amount you'd have work would compromise your studying which defeats the whole purpose. MD/PhD programs are the only way I know of to go through med school for free (tough to know how many med students are on full tuition and more scholarships without being in physician scientist programs) or you can have rich parents. It's sad because you already have to work hard enough to be here. I could live at home, not own a car, have all my supplies donated and eat ramen noodle for 4 years, but I'd still need to borrow. And people wonder why our generation cares so much about work-life balance :(

[@nkyryry]

folumb , you clearly don’t understand Dave Ramsey’s advice. Yes you could live like that and you’d still need to borrow. The part you’re missing is you have to live like that AFTER YOU BORROW. That’s how you pay it back. I’m sorry but you’re not going to finance medical school and graduate and live like a doctor. You’re going to have to live like a hermit crab. But nobody wants to put in that much work and not live a life that flaunts it. It’s hard for doctors to get out of medical school and live like they work at McDonald’s. It hurts their ego, it’s embarrassing. They NEED the nice car and big house. They have to look like they make $200K a year. Public perception destroys the smartest people in the world.

[@darkmagician1710]

nkyryry I agree 100% but you also have to understand that many people that go into these fields do so to be able to say that they're doctors, lawyers, etc. so that they get a sense of pride from talking about what they do for a living. This is why these same types of people rush to get the house and cars but complain about their debt. Self awareness is key.

[@dogslife4493]

You clearly don't listen to his plan and what he follows then

[@johnnyli9297]

Don't sweat it or just pay off the interest until you're done with the residency. After you're done, live like a resident for a couple years and use the extra cash to start paying off the debt. I did it that way, and it was done in 2 years. It's much easier, faster, and phychologically rewarding to pay it off with an attending income than 60k base salary with maybe another 40 to 60 K depending on how much extra call you would take as an upper level resident. I tried to pay it off as a resident, and it was really painful. Basically throwing $2,000 into the principle which didnt seem to budge month after month sucked! As a resident, that $2,000 can really crimp your lifestyle. As an attending, you can easily throw 10K into it per month and live comfortably. You will see the numbers go down and psychologically, it's just way easier when you actually see the numbers start to fall. Best of luck to you.

[@toddaustin2198]

Wait a minute! Somebody $335,000+ in student loan debt bashing my man Dave Ramsey while spending $800/month on eating out at restaurants? Somebody definitely needs more discipline to go along with more ramen noodles, rice and beans. Best of luck getting out of this mess though, Dr. Jenny. And TY for sharing your story. I hope you have a great medical career!

[@drjennale]

In my opinion, my health and the sanity of my family is much more important than saving a couple hundred dollars to pay my school loans. The people who eat ramen noodles, rice and beans will probably end up having hypertension, diabetes, and heart disease. In the long run, your medical health might cause you more.

[@toddaustin2198]

Well, that's not how I feel. We took just 6 years to pay off my chiropractic college student loans while living below our means. We also paid off my wife's student loans for her theatre degree during those 6 years as well. We have no debt in our lives other than mortgage debt thanks to Dave Ramsey and his sane teachings.

[@fer-curium1650]

todd austin what does your wife do? Sine she got a theater degree?

[@toddaustin2198]

Great Q, Fer. She's a Licensed Massage Therapist. Back when she went to Massage Therapy School it was as simple as writing a $700 check to the school to pay tuition in full up front. No student loans necessary. Nowadays though, the LMT schooling requires student loans for most and costs ~ $20,000.

[@fer-curium1650]

todd austin that’s insane. It doesn’t make sense when I’m sure the most of teaching material hasn’t changed.

[@DiegoMejia86]

I enjoyed this video until I heard you talk about paying back the debt.......I think that's the point of Dave Ramsey, there is no secret formula. Most people aren't willing to make the sacrifices to get out of debt quickly, which is completely fine but just accept that paying off the loans isn't as important as eating out, going out for drinks, buying a new car or whatever else you decide to spend your money on. You also aren't paying back that loans yet so you might have a change of heart once you start receiving the monthly statements, Best of luck with whatever you choose to do and congrats on finsihing.

[@TanyaMarquard]

No point in stressing about student loans, one day when ur earning more ull manage to pay more and it will eventually be paid up. Thats how I view it and I also jst hang in there till I am in my real job

[@Tigerlilly490]

Considering debt consolidation is key. As well as finding loan forgiveness programs. Keep the faith you can do this!

[@fenchcheese222]

Jenny I love how transparent you are with everything! As a fourth yr med student it is great to get a glimpse of my future. Also just cutest family ever! Good luck with the end of intern yr!!!

[@drjennale]

Fourth year med school is the best year!! Congratulations of almost being done 💪🏼

[@aliciamcknight5946]

I feel the same way you do. I owe student loans and am struggling to pay them back - but at the same time I don’t want to scrape along just to pay them off a couple years sooner. To each their own, but I just don’t think it’s worth it to live “scorched earth”.

[@kaiserflame1673]

TLDR: She took out a loan to get an education, leading to a well paying job, promising that she'd pay the money back. However, after getting what she wanted out of the deal, she wants the debt to be forgiven, because she feels like it's a burden. So she'd rather shift the burden of the debt to the taxpayers, by having the debt forgiven by the government. Oh, and she bought a house while in debt $335,000. And she doesn't feel like taking a look at Dave Ramsey's content because she feels like she already knows all the financial advice he's suggesting. Clearly.

[@randomvidsrock21]

God bless you for this bro. looool

[@kaiserflame1673]

Geruuld Anytime ;)

[@jortega61924]

Kaiserflame 1 she wasn't living like a student. 300,000 some odd dollars was for living off of. Smh.

[@rachael4408]

Dave Ramsey saying put your nose down and WORK is basically the best advice you can get because work is how you make MONEY and MONEY is what you need to pay off DEBT. There aren't shortcuts in life. Sigh.

[@88shalulu88]

I was with her all the way up until this part too!! After taking FPU with my now husband, the only qualms I have with Dave Ramsey's plan is just $1000 for emergencies so we padded ours a little more. We started with $113k in debt in 2016 and will be debt free next year with 80k of it being student loans on 5.5% interest. She wants to pay her loans off in 5 years but wants to finance other stuff in the meantime. She basically said she is ok with living like a rich doctor now and taking the long way around. It's her life and her choice, but my heart broke trying to watch everything after that :--(

[@SameerUnt]

Making 13000$ monthly, ate fast food worth of 800$ and still broke ? Claps!!

[@andrewsins3707]

That's pathetic lol

[@mph5896]

Food budget, not all eating out. Family of 3. You could cut that down, but thats not a crazy number for 2 people working like crazy. $13k, she said that was a really high number due to her husband collecting a high commission for the month. Take out 35-40% for taxes on top of that.

[@xyzxyz4575]

eating mcdonalds big mac meal everyday!

[@SK-mr6ov]

Wouldn’t say broke when you have a huge salary coming in the future, lmao

[@lupeavalos9791]

Sameer Siddiqui to be honest you must be stupid to go to school in the states waste so much money on that. If you went to Mexico, Spain, Ukraine, egypt , or middle east country or italy you wasted for 10 or 7 years as a physician to 50,000 to 60,000 usd to became a doctor .

[@vietnamemperor123461]

I've seen many more doctor with close to 3 quarter of a million dollars. $335,000 is not that bad. I just hope everybody understand that everything has a price to pay. For all those who think physicians will pay off their loan after a couple of years after medical school is absolutely not true. I known some doctors that still struggling paying off their loans at retirement . What's going on with the higher education system in America? Everyone please do what you truly have a passion for and don't just do it for the money or family pressure otherwise you will be miserably regret a life you have waste. Again I'm not discouraging anyone to become a doctor but please do it if its a calling from god.

[@amymohanty1045]

vietnamemperor123461 so true...family pressure, status and to earn a lot of money (that is the impress) and universities to get students money and run a degree ...mature aged students who have done several degrees before in arts, business getting into medicine because healthcare is one of the few sectors that provides jobs...again not everyone getting the job they are looking for...

[@vietnamemperor123461]

Amy Mohanty The sad thing people doesn't realize is that college is a business. They're there not to educated or invest the future generation but to make profit. How can a person considered to be success if they're so deeply in debt? Its an embarrassment! We live in society where people worship materialism. A luxurious house, fancy cars, stunning new clothes and people will treat you like poop on the street if you don't have a lot of money. Therefore people have to get deep into debt and buy things they can't afford to impress strangers they don't know or even like just to keep up with the Jones. This American Dream BS is a disgusting lie! Yeah I agree with you about not everyone will get they job they look sometimes even worse. Statistic shows about 70% of American hate their job and that's a red flag. I see this country keep going down in the toilet but I do have hope to see a light at the tunnel with the next generation.

[@amymohanty1045]

vietnamemperor123461 so true...i hope we can learn the way people like you think...sacrificing health, happiness, family and coming down to not eating properly and most drs doing a lot of patch diagnosis where they are not given enough time to do a correct diagnosis and interventions...telling this from live experiences...and this way of thinking spreading to other countries including australia...we need to step back from this huzzbuzz and think for ourselves...good on you ...

[@KiloByte69]

+vietnamemperor123461 You forgot to mention that 90% of the world's workers hate their job. 70% is actually a good number in comparison. But hey, if you don't like living in the world's number one superpower then feel free to fuck off back to your shithole home country. So many foreigners love to hate America yet they refuse to leave!

[@amymohanty1045]

KiloByte misunderstanding...dont get angry...read through what he has said and try to understand logically....rather starting to swear...

[@JazminRacquel]

I think Dave Ramsey's advice is more suited for people with large consumer debt, I didn't find it helpful in terms of how to manage student loan debt, I think in general our generation is pretty frugal because the economy has been bad for most of our adult lives, so his target audience is older people who have been living above their means for years

[@drjennale]

That makes more sense.

[@Djme2]

basically the boomers and upper gen x

[@RenaeFlowers]

Nope. A lot of his audience in the past 10 years, are millennial with crippling student loan debt and house payments. If you check out his youtube channel, you'll see videos from people who paid off everything including the house before they turned 30. He's abrasive and blunt, but he tells you exactly what getting out of debt is like. It's difficult, but it's possible.

[@addictcar69]

Naomi Flores: your absolutely right but this dr. Is just like the rest of the people that get them self in to debt and expect not to sacrifice for a couple of years in order to pay off the debt. Look she married that adds debt goes on vacation, have nice wedding ring and goes out to eat and drink. She's very entitled and wants loan forgiveness. Basically they want everything for free. She knows that medical school is very expensive. Ps have a child. Most people are going to be broke for the rest of there life's.

[@denisereyes1509]

Couldn't of said it better myself

[@salaann9262]

Thank you for taking the time out of your busy life to make videos and allowing us to see a glimpse of your life! It takes alot, and you're going through so much. I wanted to make sure you know that your viewers are so thankful for you, for being you! You inspire me to be a better person. So I say again with love and respect, THANK YOU!!!!

[@drjennale]

TYSM! 😍 You all bring me so much happiness.

[@will111466]

I believe that if you work in the PEACE CORP for 5 years that the debt is forgiven and I also believe that if you join the military for some time they will also pay off the debt. Another option is to join a medical advisory board of some sort and just be paid for your knowledge and experience and instead of being paid letting them agree to paying off your student loans. It will take some due diligence on your part however it's worth checking out! An even greater option is to take some of that money that you are saving and put 10 % of it down on a multifamily apartment building with a 90% LTV preferably in an opportunity zone which will yield you a 30% to 35% tax credit in an opportunity zone and since it will be debt it will not be taxed but will be cashflow. YOU could use the difference between what is paid on the loan and what is left to pay off your student loan.You will also get tax benefits from this as well. You can never save enough to pay it off so you have to leverage your credit in a good way to take on good debt using real estate to pay off the bad debt. It's the most practical way to get out of this type of debt and become wealthier in the process!😊

[@hipnhappenin]

I have $200,000 in debt....

[@everlastingprosperity5137]

hipnhappenin nobody told you to go into debt hipnhoe

[@SK-mr6ov]

EverlastingProsperity it’s really not more like an investment if you pick the right career

[@mohammadwasilliterate8037]

No it's a loan you requested to help you get a high paying job.

[@mohammedsadiq7264]

No its not, you signed up for it. YOu werent young college vulnerable kid. you go to meed school as a full fledged adult

[@Robertking1996]

Oh also if anyone is confused they also take into consideration your type of job in loan applications. Banks will favor a doctor since they have high job security.

[@SavingsMinusDebt]

Pay your student loan back. Do what ever it takes! It's only 5 years hard work for freedom for the rest of your life. If you do not you'll be a slave for the rest of your life. You don't want that.

[@sandy4160]

I'm in the same predicament, I have roughly $55k I need to pay back no where near that amount but still I love your way of thinking and your calmness! Money comes and goes.. and you putting in the hard work now and paying off these loans, slowly but indeed surely is a great step. I'm sure at least 5 years down the road you will thank yourself, my tip has to be whenever possible put money aside to make those extra repayments. I know sometimes you might think oh I have some extra cash or whatnot and go out buy something you don't need. Instead have a little moneybox or even a seperate account where you can transfer/add whatever extra money you have for the extra repayment. I'm currently in my final year studying to be a teacher in Australia, nearly there but our government has a study assist program that allows us to borrow money then repay it back once we make above the threshold. Thank God the interest rate is low!

[@Ivy-7788]

If you think you don't want to sacrifice two years of your life to pay off all your debt because you might die and not enjoy life, you might as well not have gone to medical school, gotten married, or had a baby because you might of died and not see your child grow up or died and not finished medical school" etc... Yet here you STILL are and you will continue with life after paying off your debts in two years. "Live like no one else, so you can live like no one else."

[@jenn7753]

Just discovered your channel and I’m hooked. I think it’s so valuable for people to see this personalized look into what it actually takes to be a doctor. Everyone complains about medical bills, not tying it to the actual value of your time and knowledge. My husband is a nurse and he won a scholarship where he was literally paid to go to school. They paid him a salary and his tuition costs. I feel like there should be similar programs for physicians and PA’s. Maybe there are but there should be more. When there was a nursing shortage they threw a lot of resources at helping overcome the costs and they should do the same for doctors and PA’s now or we will find ourselves in a huge crisis with medical care.

[@ronaldhonda2276]

Jenny Le, don't come here complaining about being in debt. You chose to be a doctor, live with everything that comes with it, woman-up. It's your bed, you sleep in it.

[@jenniferlarregui3315]

What Dave Ramsey is trying to say about paying back loans is how you spend your money while paying it back. It is mostly directed to doctors and lawyers who have over $100,000 in student loans. Once doctors and lawyers start making the big bucks, they start to live the good life and spending their money to buy expensive cars and homes right away. He would prefer that if you are making, for example, over $100,000 salary a year that you live on about $50,000 and use the other $50,000 to pay back loans. If doctors and lawyers lived this way then they can pay off their debt within 5 years (maybe less) and then they can spend their money however they want and not be in debt. I would do it if I made that kind of money. It makes sense.

[@Eli-kq7qt]

You said it exactly right... people listen to someone like David Ramsey because they think he’s some kind of financial guru, when in reality as you said he’s really just giving common sense advice that people either already know or should know and fail to practice but bc he speaks with a southern accent and adds his own brand of southern hillbilly charm “ no offense to anyone “ then people think he’s thee oracle or something. You really hit the nail on the head when you said who wants to eat rice and beans for five years when tomorrow is not promised as my mom always tells me no it’s not a good feeling to have debt but in this life your always going to owe someone if you buy a car your going to owe someone if you buy a home your going to owe someone and even when you pay off the house and car if you don’t pay the necessary taxes on them someone can still take them away at anytime so there’s just no real way to ever completely escape it. What Dave Ramsey teaches people is how to manage their debt and you seem like your smart enough to do that on your own. So just sit back relax and enjoy the fact that you’ve made it this far. In time you’ll begin making more and more income to help you pay off some of your life’s debt. In the meantime just do what you can and pay what you can knowing as my mother told me your always going to owe someone so you might as well get use to that fact.

[@darlenepaul2934]

kendell patel Yeah and Americans have so much common sense.Thats why they live beyond their means and have tons of debt.

[@KiloByte69]

+Darlene Paul Debt is a serious problem throughout the world, you moron. Thankfully Americans are starting to wise up and tune in to financial advisers like Dave Ramsey.

[@dorismassengill1414]

8:27 ..... its better to start paying now rather than wait for interest to continue to pile up for the next 3 years. Usually the loans are separated, start with the smallest and work your way up.

[@drjennale]

My loans are consolidated and paying back now will not give me the full benefit of government subsidy (they’re paying 50% of all interest for the first 3 years).

[@hrj1016]

I just accepted my first year of med school finaid loan award last week for $75K. I'm staring down the barrel of the exact same amount as you. It's overwhelming, but I don't have any other options to make this work. My plan for after residency is to live on $70K/yr, save $30K/yr, and pay loans with every penny beyond that til it's just gone.

[@eugeneabreut5208]

Heather James u cant save if u have debt because what are u saving?? The money is not yours, you owe it to the government. Live off the 70k and put everything towards debt. U cant invest or save if u have debt. What are u saving money for if u have interest growing daily on your loans? Lol dont save, put everysingle penny towards debt. Dont worry about buying nice shit to impress people. AT THE END OF THE DAY U KNOW WHAT YOUR SALARY IS, YOU DONT HAVE TO INPRESS ANYONE. Good luck

[@hrj1016]

Eugene Abreut I'm not out to impress anyone. I'm 35 yrs old w/o a retirement acct, and I'm only just now starting med school. You can save if you have debt. The interest will not be greater than $30K/yr. Even if I only make $200K/yr, I can have all debt paid off in a max of 4 yrs by throwing everything beyond $100K/yr at it.

[@anmol3457]

Heather James you're missing the tax factor

[@hrj1016]

Not missing it.

[@DELLRS2012]

Why live off of 70K? Unless you are living in a major city 30K should be more than enough to live off of.

[@nj2mddude205]

Aren't there programs that offer loan forgiveness/repayment in exchange for agreeing to work in rural and underserved areas?

[@guillermozavala315]

You’re missing the point on the Dave Ramsey snowball effect it’s on the long term where his plan helps, why have a bill for 20 years when u can bring 5k instead towards the family

[@anthonymarquez6493]

States have programs for doctors and nurses where they will pay your student loan if you work for them. Physicians and nurses also can have there students loan paid back if they go into the military. I think the federal government also has similar programs

[@Muaythaifighter1000]

Sorry Jenny, you can't beat the grind. The grind is watching.... Rice and beans it is!

[@ryanturner8577]

The biggest issue is having a monthly take home of 13k and only saving 5600$ of that. I understand the simplicity and obviousness of Dave Ramsey, but there is a difference between knowing and actually doing. Most don't implement all of his "obvious" steps correctly, in which they typically fail. My thoughts: 1. You're ahead of the game because you understand the severity of the loans and are trying to attack the planning process already to pay them back. 2. I'd pay off all other debt besides the loans and the mortgage first. 3. Really dig in and attack the loans right away, and then hopefully you can increase your pay as time goes on. The main goal I believe is to get your household income to exceed the debt. Once that happens, you will have a much easier and more practical time finishing it off. 4. I think 4-5 years is pretty doable. Just set a budgeted yearly income to live off of that includes a buffer for things like car repairs, house issues, etc. Then the rest attack the debt. The quicker the better and the less you can live on the better. Otherwise if this takes longer than 4-5 years the interest is just money being pissed away and you will have a hard time coming to terms with not being able to use that money to save in your 401k, roth ira's, or other means, or to save money for your kids college, or start paying off the house. Basically It is just getting together with your husband and setting a defined yearly living salary and a monthly budget, sticking to it no matter what, and just attack. Sell your cars and buy cheaper ones, see if your husband can pick up a side gig or can push his income even a little higher, etc. I don't or have not yet seen any other way to practically pay off loans. Every other weary scheme is just that...a weary scheme. Good luck!

[@DrAdnan]

Thanks for always being so transparent! My med school debt is mind-boggling, and our school just has private loans, but I try not to think about it too much and just hope it’ll work out. :/ I agree with your thoughts on Dave Ramsey as well. A lot of his advice seems more geared towards people spending way out of their means or not working enough.

[@drjennale]

My cousin took out private loans for pharmacy school and so she doesn’t have an income based loan repayment program. I’m looking into velocity banking but don’t have enough information to teach others yet. Seems like a better option to pay back loans though!

[@DrAdnan]

Jenny Le I haven’t heard about velocity banking, I’ll have to look into it- thanks! Yeah, I wish we had loan forgiveness or other options.

[@user-lu6yg3vk9z]

Jenny Le what go into a public sector? or work in military they will pay your debt off for u.

[@drjennale]

I am currently working in public service. So these three years of residency count towards my 10 years of loan forgiveness .... but I can’t trust or depend on the government to influence such a huge part of my life. What if at the end of 10 years they’re like sorry! We’re not forgiving your loans ... then what? I’m stuck with over a million in debt because interest just continued to pile up while I made minimum payments

[@user-lu6yg3vk9z]

Jenny Le I undetstand.

[@jjlatinopedia]

I know this idea isnt for everyone, but those loans can be paid for by the military if you decided to join. Plus you'd start off as a Captain (O3).

[@wdeemarwdeemar8739]

You will pay it off in nothing flat don’t even sweat it. When you are earning over 200 k you will have an entire paycheck every month to pay your debt.

[@drjennale]

If you’re earning 200k, you’re actually only taking home 100k after taxes. But yes we plan to put everything towards the loan till it’s paid off 🤞🏼

[@wdeemarwdeemar8739]

Jenny Le I was a hospital director over four service areas (nurse not a physician) I earned 243k here in Cali which is super high taxes. I had 96 k debt for two masters degrees. I paid Sallie Mae off in three years and one month. To get my taxable income down I put over 20 percent of income into my tsa and an additional 18.5 k in my after tax account. This has earned roughly 13.7 percent interest since 2006 when I started doing this. I still was able to pay my mortgage and bills in one and pay the loan with the other. Of the nine hundred or so physicians I work with very few with any modicum of self discipline can’t swing the debt you have. And you Doc have got self discipline in spades. You will do this. If you can have a kid and do a residency you can do anything. So cute... hurts my eyes.

[@redsloane879]

Jenny Le You need to create a private business, then you only pay business tax; you can pay yourself either a salary or by dividends from the company. Maybe look into it! Big savings on taxes.

[@PaulTranPharmacist]

Your tax calculation is way off. You do not get taxed 50%. If you living in a state that does not have state income tax you should be taking home around $150k/year. Federal Income Tax, Social Security, Medicare Tax will be roughly $50k per year. Since you own a home, have a child, and if you itemize your taxes your take home should be higher than $150k per year on a 200k salary.

[@user-lu6yg3vk9z]

Paul Tran Pharmacist she lives in cali with the highest taxes. it is 50% for her income.

[@iwnunn7999]

Most Dr's I don't want to spend that much time with, but with you I'd talk about my health over a cup of coffee or tea.

[@eliasdavidreyes8611]

Hi this may sound like hate, but in my country there is nobody that gives you a loan, and if you want to study in a private school you have to take a year work, and get the money, there is no other way. but you guys can access to loans and they don't just pay you the school they give you money to live. So i think its fair that you pay them back, but sometimes the debt goes like crazy like your case. anyway you are really lucky to get that loan and you can pay it, and then make a lot of money and help people!!!

[@autobotdiva9268]

what country your from because we are the only country that has LOANS.But other countries can go to school and become a doctor as they are more respected there just like teachers. teachers are not respected much in america since 1980s

[@kurfffa]

USA is not the only country with loans.

[@autobotdiva9268]

stomakow Thats why i asked what other country has " federal student loans" & what country are they from?? 😒

[@Julie-yes]

Autobot Diva I’m from El Salvador we don’t have student loans, federal grants or any kind of help. Most countries in central and South America don’t give out loans. In El Salvador we have low cost public universities that are hard to get in and private are no more than $150 usd a month , minimum wage is $210 usd do your math 😂😂😂😂 Is hard to get a Job as a student here not like in the US, and we use US dollars as currency.

[@autobotdiva9268]

Ana Alvarenga Yup that was my statement/question. No other country has federal student loans but USA

[@TheArapata]

In Australia the we have "HECS HELP" (student loans) im pretty sure these are interest free loans. In america do you have to pay interest on your student loans?

[@drjennale]

In America, the majority of your loan ends up being interest

[@tqdinh2]

Good God Almighty😱

[@mars-vf3kx]

Many states will pay off doctors student loans in exchange for committing to work in a rural area for X years. Also check out the Indian Health Service which has a loan repayment program for 10 years.

[@GeminiPeach81]

I agree with you about Dave Ramsey. Why struggle to repay a loan that you may never repay. I think that after x amount of payments and years, they should forgive all student loans, federal and private.

[@user-lu6yg3vk9z]

Lula Belle when u forgive people debt it doesnt disappear. it only transfers to the tax payer.

[@drjennale]

Tax payers are also paying for the millions of people who don’t have health insurance that are going to the emergency department.

[@user-lu6yg3vk9z]

Jenny Le yeah true.

[@hummingbird1016]

Filmon Tewolde I think you should spend more time trying to terminate the life time retirement by those worthless do nothing congressional members. Six figure retirement per year for sitting on their arse doing nothing. I the tax payer do not mind absorbing the costs for students who are going into the medical, engineering and technical fields because that’s where we need the people.

[@user-lu6yg3vk9z]

humming bird huh...majority of U.S. citizens dont want to pay other peoples debt that includes medical school grads. that is the reality, but i do agree get rid of the worthless politicians.

[@anajerez4454]

I agree that’s a large student loan to pay off, and will take a good chunk of your time paying it off, but the first step in tackling any kind of debt is changing your mentality towards it. If you continue living as you are, below your means, the first two years once you’re done with residency then you would be able to cut down tremendously on the student loans and enjoy life with peace of mind. You are awesome! I know dave ramsey’s stuff can seem like common sense, but listening to his podcast frequently is a great reminder and motivator to continue tackling debt, there are many people who have your kind of debt or more, and have changed their mentality towards debt to go ham on getting rid of it. If there’s an easy road towards debt then it might not be the right road to take! Love your videos, you’re awesome!

[@EvaSlash]

If you think medical school is expensive, dental school is even more expensive!

[@NoDebtButLove]

Thank you for your transparency. My take on student loans is tomorrow isn't promised so I'm doing my best to pay off my debts to not leave it for my children. My wish is to leave my kids an inheritance. If my kids wish to become a medical doctor, they will be able to do so without debt. My wife decided to become a PA to avoid debt, we paid the majority of her schooling. She still thinks about what if she became a doctor, but we realized it was the best sacrifice for us. Everyone has dreams, thanks for pursuing your dreams and not settling. Best wishes on your medical journey, you seem to be a caring person.

[@ace1gl]

My wife ended up with about $330K when she was done. On her first contract we were able to negotiate 30k a year for 3 years repayment from the hospital she joined. That helped a lot. Luckily she was able to consolidate it when she was done with less than 3% interest rate. At that rate with inflation I consider it almost free money so we are not in a hurry to pay it back. It has been about 8 years now and we still owe about 170k on it. We live very middle class. I would guess our income is double everyone else's in our addition. We drive newer cars but they are nothing fancy and every other year we take a very nice vacation. We can pretty much do whatever we want when we want. So if you were to do that you could payoff debt a little faster or live a little higher lifestyle. I also know some doctors that pick up an extra shift at an urgent care or as a small hospital and use that money to payoff their loans quicker. Everything in balance would be my advice.

[@jg2964]

just curious, which company is giving you less than 3% interest rate, fixed or variable?

[@ace1gl]

It is at 2.33% we got it from American education services. I think congress changed student consolidation loans so you can't get that low of rates anymore. Glad we got hers done before those changes went into effect.

[@Hunter1Lane]

What is your entry salary, I get all the patient care and time mgmt but everyone from your rehab to your NPs do the same same on possibly a fraction of what a MD makes with similar student loan debt, so what do you net at the end of the mo?

[@WOG18]

This has nothing to do with this video..... but PLEASE tell me where you got that necklace! I would love to find one! Due to working and going to school in the hospital we are not allowed to wear our diamond rings or anything with studs in them. SO I would like something that would let someone know that I am married :D

[@drjennale]

It’s from Tiffany’s!

[@zoeteresa3098]

A nice middle road that's available to us physicians makes itself available once you're out of training. When you get your first attending contract, take it and shop around to the various loan refinance companies. Your upcoming high income will let you lock in a low interest rate on a fixed-rate loan refinance with a fairly short term. Then it becomes a (very expensive) bill that you pay once a month, and as long as you make your monthly payments you will finish the loan out earlier and cheaper than under the original terms. This also gives you flexibility to choose how much you want to sacrifice. If you want to work really hard at it, you could set up a five year term. Choose a ten year term if you want to make fewer short-term sacrifices. And above all, keep your budget and your spending fairly close to your resident levels when you graduate. Then income goes up but spending stays level, and the difference painlessly goes to your student loans.

[@alfonso_tt]

pray to Father God in Jesus Christ name in the Son to erase your financial debt. God bless you

[@socialbutterfly4918]

You know it ain't gon happen 😂😂😂

[@alexanderk7422]

- Deferment = Terrible... loans still accumulate interest and principle grows... you are not required to make payments - Forebearance = Terrible and still accumulating interest... you are not required to make payments - Income based payment = terrible... interest still accumlated... you make minimum payments and principle debt grows... you remain in good standing My opinion for Student loans policy reform: 1) Overall amount of Debt should grow based on unpaid interest. 2) However, Interest should not be added to the principle and compounded (i.e. The principle never changes but your payments will reflect some principle + some interest base on an income schedule or 20-25 year payoff plan)... Right now, student loans are treated like any other loans for the providers but not for the student 3) If, at any point, a student in good standing (i.e. having made payments for 12-24 months) can payoff the entire initial principle in one lumpsum then the remaining interest should be forgiven. 4) Interest rates should be capped at 8% max based on income. 5) 0% interest will on active orders in the military... 6% cap for Reservists 6) 6% interest cap for teachers and Medical doctors... 3% cap will in school. 7) Ultimately, education in the US could easily be 100% goverment subsidized but the US government was people to remain ignorant, uneducated and/or in debt forever. Fact.

[@darlenepaul2934]

You're saying now I don't want to eat rice and beans.You should've thought about that when you were racking up so much debt.Now you have to eat rice and beans to pay your debt.Plus what were you thinking of buying a home when you have $350000 in debt? Seriously!

[@drjennale]

That’s very narrow minded. Let me educate you real quick. No I do not have to eat rice and beans because the health affects of staying on that diet for an extended amount of time includes but not limited to obesity, diabetes, heart disease, etc. For you to pay off your loans a few years earlier, you have destroyed your one body and health that you have to live with for the rest of your life. Ultimately your years of health issues will cost you more than the loan itself. Second. There is such a thing as smart investments. Renting for a family of 3 was 2200 minimum. While mortgage is 1600. Over the past year the value of my home increase by 10% and so hence, I made money. You should really do your own research before you’re so quick to judge.

[@anmol3457]

Jenny Le "what were you thinking while buying a home" seriously I'm surprised you managed to keep your cool and answer such a moron .

[@anmol3457]

Darlene Paul you're clearly stupid and ignorant.

[@TheCrusaders13]

Jim Yang she was being sarcastic. Duh. I also don’t think she said anything about moving.

[@__________________________7455]

Jim Yang in her situation, the house was a wise purchase. As mentioned her house note is cheaper than rent and her equity has grown. In addition, she could rent a room out in her home , to make money to pay off those student debts sooner. Also, don't forget the tax benefits you have buying vs. renting a home.

[@reneejones2627]

Try adding digit app. when u spend it saves for u. Whatever is saved you can put it on your debt.

[@mityskill6232]

Hi Jenny, If I wanted to take out loans to go to school outside the US how would I go about that?

[@ElissaPancoe]

Regarding the student loan debt thoughts: I'm not going to be a dr, but I've got a year left with my bachelor's degree and have student loan debt and money's been tight. I've been on Dave Ramsey's baby steps since last February, and I can't do the 'gazelle intense' thing for more than a month. It's a fundamental in exercise at least that intensity comes at the expense of duration and vice versa. I find personally that my health (especially stress) suffers if I keep that up. It's led for me to worry way more than I should. I think it's best to just plan things out, stick to the plan, and don't give it extra thought. And the plan needs to be sustainable for years, which intensity is not. If someone was going to eat fast food and junk at restaurants all the time, the 'rice and beans' lifestyle might be an improvement for them, but not a person who is used to fresh produce . I've seen financial vloggers say they cut down on fresh produce to pay off debt faster. I'm not willing to cut corners like that with my health, you only get one body and money isn't everything. So don't feel bad about not being on the same kool-aid he preaches and being more concerned with the big picture. Some of his followers might end up as your patients if they run themselves into the ground too much...

[@drjennale]

I agree! I’d probably give myself diabetes if I ate rice and beans for 5 years.

[@ElissaPancoe]

Lol, I hope nobody takes it as literal diet advice.

[@bhanumavani500]

Would u recommend eating grasshopper powder as protein source to cut on my food expenses to pay back my loan

[@cheaserceaser]

I completed 6 year residency/fellowship program. I would highly recommend you to follow David Ramsey for life's financial advice. From a student loan perspective, the best you can do is paying interest (about 20K a year) if that. I paid about 110K on 173K debt, with about half going to interest payments, still have about 97K left. Don't use IBR (REPAYE) after residency, you will be getting fleeced every year. The recommendation I get from most residents in my field, is to do immediate loan refinance (6.8% to 3.0%) after residency. Then, spend all your income on attacking the debt (about 2-3 years for you) with doctor salary on a resident lifestyle. Don't buy ANY insurance (life, disability, umbrella) outside auto and malpractice, because in the former, the insurance will pay out the student loans first. Don't save up for IRA, savings, emergency (if you need emergency funds, you can instantly take out a personal loan).

[@ribzsays]

does it mess up your credit if you pay it all at once? ive heard of that... so im wondering

[@أبوسهير-ن2ت]

When you find the answer let me know! Thanks.

[@AbubakarUsmanZrx]

You are really strong to combine all these roles(mum, wife, doctor), carry along all these burdens and still explain it in a calm way like it's nothing. How I wish i have half of your resilience. I can only wish you the very best.

[@Momus123]

You got this. Average FM doctor make 220k/yr in 2018 and it will be more when you finish your residency. So after tax is about $140k/yr. After just 5 years, you'll make 700k net, carve 1/2 to student loan, the rest to saving and living expenses. Pretty simple. If you work more shifts and shit, you'll pay it off in 4 years.

[@jessicacae1909]

Speaking of loans and finances . I was doing some calculations the other day and hear me out on this . Say you come out of residency making $180,000 and taxes are about 33% leaving you with $120,600 and then you take out 10% for retirement leaving you $102,600 .... and then you subtract your loans and we will say you owe about $350,000 in debt and you decide to pay it back in 25 years which when divided is about $14,000 a year and about $1,200 a month for payments .... This leaves u with atleast $7,300 a month ...is this not a good monthly salary even with the debt payments and taxes before you pay your car payments and mortgage ? Or am i missing any other huge finances

[@jessicacae1909]

This would also allow you to live comfortably to do what you would like and still pay off ur loans and with REPAYE & PAYE u do it based off of your income which correct me if I’m wrong is capped at 10% ? And is forgiven after 25 years or payments

[@drjennale]

That’s not actually how it works because on top of the loan is amortized interest. If I pay 1200 a month, it’d take me over 30 years plus over 700,000 in interest.

[@jessicacae1909]

Jenny Le oooooh ! So that’s the part that I’m missing ! But with that would u consider doing the REPAYE plan and have it be forgiven after the 25 years ?

[@drjennale]

I am part of both REPAYE and PSLF. PSLF will forgive your loans in 10 years but I can’t depend on the government to guarantee that

[@CaliforniaArchitect]

Correct me if I'm wrong. Your student loan program has half of the interest paid by the government and the other half is added onto your principal (compounding) until you start paying that. Unless there is some provision in your student loan that prohibits you from paying down your debt now, why would you save money that earns no more than about 2% interest when your debt is being charged at a rate of 3% (half of 6%)? You're better off paying down that debt as soon as possible.

[@powerlinkers]

Hi Jenny: I have a huge sum of student loan debt as well. I am in first year residency. I have bought a house 18 months ago at a cheap price. I will be refinancing the house and pay down my student debt. You could do that as well after your 3rd year residency in view your house loan fixed interest rate should be lower than student loan. It would be a secured loan based on property. If that amount is not enough: you could start working for a few years prior continuing fellowship. It would be tiring to do extra chores(research) during residency.

[@nkyryry]

Dave Ramsey is a genius. It’s no different than you telling a patient to eat better & stop smoking. Ya no shit. But coming from an expert in the field, common sense sounds like good advice.

[@TheClaudiaHorizon]

Hi Jenny! Are your loans federal (ex. from FAFSA) or private? Which do you prefer?

[@drjennale]

All are federal. I was advise against private loans because you wouldn’t be able to do income based loan repayment nor have the possibility for loan forgiveness.

[@Amanda.Cooper]

Does this include loans/debts accumulated during undergrad? Is undergrad loans "forgiven" or lumped in?

[@drjennale]

You can consolidate all your loans when you get to residency to apply for the income based loan repayment programs and forgiveness programs

[@XSimonY]

-$360,000. Done with residency. I agree with investing in myself and be able to find a career I love. Would do it again but would choose a cheaper med school if the option is available. Schools use the PSLF as a smoke screen for tuition increases.

[@jordanlist1757]

Absolutely insane that if you choose a career to serve the public you are in that much debt. You are so positive and inspiring.

[@jondavidlethal1936]

Just paid off my student loans a few weeks ago...Roughly 25% of monthly income to loans for 4 years. I took Dave Ramsey’s Financial Peace University course. Which you said you listened to a few of the tapes. What really the whole objective Of the course was this..eliminate liabilities in such a order, that when paid off, put more money in your pocket at the end of the year. You need to think of any debt, especially interest charging debt, as an actual thing that is draining money out of your pocket. Compound interest he says, should be, the 8th wonder of the world. You in a sense have 3 years of 3% interest...after that you will jump up to 6%. Literally every month you don’t pay your debt. Is putting YEARS, YEARS of minimum payments. Have your significant other, fiancé, whoever it is pay your loans. Do it kicking and screaming...it is worth it. It might be hard now, but your doing yourself a huge favor in the first 3 years.... Best of luck to ya

[@marieskawaiimommyvlog8816]

The amount of debt you've had to take on is insane!! My philosophy on student loans is that If I die today, I'll die happy knowing that I lived my life fully - eating well and buying what I like (in moderation... not luxury goods but little indulgences here and there) and part of that is not having paid off a big chunk of my student loans. But maybe this isn't the right philosophy because when I look at my student balance I just want to cry 😢

[@dancingwiththedocs134]

One question my husband asked today about medical school tuition is, "Does medical school tuition include housing?" So, if my husband was the breadwinner then would the cost of the tuition be lower if we were paying for our own housing? I wasn't exactly sure about that.

[@drjennale]

Yes. You take out enough loans to support your means of living. If your husband is able to pay for housing then you can take out less!

[@dancingwiththedocs134]

Jenny Le Okay, great. 😊

[@proofy8375]

how did you get the loans for medical school in the first place?

[@hughrobert6189]

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[@laturista1000]

If a US doctor worked abroad or for a certain institution, can they not just forgive the debt? Or, if the doctor works in a critical demand region or location of the USA or world, sometimes the employer will pay off your debt for you, no?

[@msniapie]

The baby is the best part of this video. He’s adorable.

[@chillmegachill]

Mathematically, the aggregated student loan debt has not created enough value to pay it off. As such, there will inevitably be some sort of new legislation to deal with this issue. So here's my question: How do you cope with the idea that you will end up paying back your full dues, while other less 'responsible' people will get off easier than you?

[@drjennale]

I only focus on the things I can control. Why stress over people I don’t even know

[@michellemarie1197]

And I have another question, i am considering to double major after community college, but if im not able to do that then I want to go into teaching or tutoring on the side and becoming an engineer, but I've thought about becoming a PA or becoming an MD, but for those careers, would i be able to use the prerequisites from my undergrad and not specifically have to take pre med, and be able to have a good career that I can work and save enough money before med school? Also if someone becomes a PA, can they be able to go into an M.D. program?

[@light80211]

Their are programs that u can join to decrease school loans. U can volunteer abroad or go to the military. Their always a way out, don't let this system corner you.