Tuition rates/student loans

llg, PhD, RN · Jun 12, 2013

The "standard answer" given by many financial planners is that the total amount of your students loans should not be more than the salary you will earn in the first year after you graduate. If your loans are totaling more than that, you might be wise to delay school for a little while ... live cheaply ... and pay down your existing debt before taking on any more.

I delayed my entry into graduate school twice (once for my MSN and once for my PhD) until I had enough money saved up to pay for a significant portion of the costs. Once enrolled, I was able to secure additional financial aid and graduate with only a small amount of debt that I was able to pay off easily once I got back to working full time. It requires patience to wait, but I am so thankful I did that as I was not burdened by my student loans.

Simply Complicated · Jun 13, 2013

The "standard answer" given by many financial planners is that the total amount of your students loans should not be more than the salary you will earn in the first year after you graduate. If your loans are totaling more than that, you might be wise to delay school for a little while ... live cheaply ... and pay down your existing debt before taking on any more.
I delayed my entry into graduate school twice (once for my MSN and once for my PhD) until I had enough money saved up to pay for a significant portion of the costs. Once enrolled, I was able to secure additional financial aid and graduate with only a small amount of debt that I was able to pay off easily once I got back to working full time. It requires patience to wait, but I am so thankful I did that as I was not burdened by my student loans.

I thought that I had heard that before about the first year income. While I owe a decent size amount still, I don't think grad school will put me over that. I'm already going to be 36, so I don't want to wait much longer. I've waited due to having kids (I have a 4 year old and a 10 month old). Plus my husband is waiting on me to open his own mechanics garage for me to finish school. Getting my degree where I live will be a decent boost to my income. I'll have a year or so before I start, so hopefully can work on paying some of that down while I work full time. I've been part time for 5 years. Thanks!! This makes me feel a little less freaked out, haha.

Looking at rates, it can be easy to want to go with a cheaper school, but I don't want to jeapordize my education to save a few bucks, if it's not that much of a difference.

Jory, MSN, APRN, CNM · Jun 13, 2013

The "standard answer" given by many financial planners is that the total amount of your students loans should not be more than the salary you will earn in the first year after you graduate. If your loans are totaling more than that, you might be wise to delay school for a little while ... live cheaply ... and pay down your existing debt before taking on any more.
I delayed my entry into graduate school twice (once for my MSN and once for my PhD) until I had enough money saved up to pay for a significant portion of the costs. Once enrolled, I was able to secure additional financial aid and graduate with only a small amount of debt that I was able to pay off easily once I got back to working full time. It requires patience to wait, but I am so thankful I did that as I was not burdened by my student loans.

I completely agree with this statement. You can negotiate a portion of your student loans being paid off in a job offer negotiation, but I wouldn't count on it being more than 50% of what it took to get your MSN degree.

Too many young people boosting on here of $70K plus debt before they even start graduate school...unless they have a spouse making a ton of money or are able to live with their parents for awhile rent free, the REALISTIC chance of them every paying that off? Is slim.

To answer your question...I wouldn't take out loans for an MSN program where the TOTAL cost of the program exceeding $40K...that would be my maximum.

Simply Complicated · Jun 14, 2013

I completely agree with this statement. You can negotiate a portion of your student loans being paid off in a job offer negotiation, but I wouldn't count on it being more than 50% of what it took to get your MSN degree.
Too many young people boosting on here of $70K plus debt before they even start graduate school...unless they have a spouse making a ton of money or are able to live with their parents for awhile rent free, the REALISTIC chance of them every paying that off? Is slim.
To answer your question...I wouldn't take out loans for an MSN program where the TOTAL cost of the program exceeding $40K...that would be my maximum.

Thank you, that was the other part I was wondering!! Gives me something to go on when looking at tuition rates. I was able to pay for my BSN out of pocket luckily.

Jory, MSN, APRN, CNM · Jun 14, 2013

Thank you, that was the other part I was wondering!! Gives me something to go on when looking at tuition rates. I was able to pay for my BSN out of pocket luckily.

You are lucky...and when you think about it...even if you didn't get any of your loans paid (you will...just think hypothetically)...treat it like an expensive car loan.

That is what I'm doing. I bought a brand new car three years ago and I have 2 years left on payments. When I am done with car payments, I'm putting that amount toward my student loans plus extra...I'll have about $40 when I'm done and if I stick to my plan, I can have all of it paid off in about 3 to 4 years.

LandD_RN_chica · Jun 14, 2013

My answer...you are ALWAYS going to be in debt. No matter what you do. Make ur minimum payments and live life the way you want to. If ur student loans outlive you than so be it. Just be on time with ur payments each month and u will be fine. Good luck.

babyNP., APRN · Jun 14, 2013

My answer...you are ALWAYS going to be in debt. No matter what you do. Make ur minimum payments and live life the way you want to. If ur student loans outlive you than so be it. Just be on time with ur payments each month and u will be fine. Good luck.

I don't think this is a smart attitude. The amount of money you could earn by investing a car payment for 30 years is ridiculously large. Do you like the car so much that you keep paying interest for the rest of your life?

I drive a 4 year old nice car that is paid for and I have that extra money in my pocket.

LandD_RN_chica · Jun 15, 2013

A car payment is different. I'm talking about student loans/mortgages, etc. why not be happy in life and pursue your dream job/house? Debt will always be there. Make your minimum payment or what you can afford. They will never go away. It will always be there. Be happy, get your dream job and make your payments on time. That's all.

LandD_RN_chica · Jun 15, 2013

Oh I'm sorry didn't completely read. Just saw car.of course you can invest money and why fix something if its not broke. My bottom line is follow your dreams. Loans will always be there. Debt will always be there. Live ur dream and go back to school.

runlikeagirl · Aug 17, 2013

I have a significant amount of debt prior to starting my MSN program due to another undergrad degree prior to nursing school as well as a brief stint in grad school for a different major. I'm planning on applying to the NHSC to help with my repayment. I want to work in a rural area and they can pay up to $60,000 for two years of service (40 hours/week). If I can't find anything in a rural area, they have some need in the urban area where I live with the same repayment. Fingers crossed that I'm accepted in two years.