MrSensitivity 59 Posts Apr 14, 2013 That's true BlueEyedGuy. Good point. The tax rate and the "effective" tax rate are two different things. Someone making $100k might end up in the 35% bracket, but the effective rate will be around 15-18%.I'd agree myelin, $30k is very cheap. The price of a new car nowadays, lol. So, if you have to pay $30k more to graduate a year sooner, it's money well spent in my opinion. Particularly in light of taking a $90k job as a new grad. You more than make up for it. Even if there was a 35% effective rate on that amount, and even if you could only make $60k, and even if interest on the loan was 8%, and even if there was a state income tax where you live. The math still works.