Saving for college

[pandus13]

Originally Posted By: Astro14
$500K is an insane amount to borrow, regardless of earning potential. Doctors don't start making real money until they're finished with residency. They won't be able to even make the payments on the loans they get done with residency.

The high-dollar specialties have residencies of several years. So, finish medical school at 25, residency at 32, and the interest will have been accruing at 6+% for a decade! Close to a million in debt?

Lunacy.

Worse is the example pandus13 gave: that's $500,000 in debt, but with NO JOB.

A default/bankruptcy in the making.


Astro14 and Mr. NICE,
well, while it put some strain on the family (1 run-away from home, 2 coleges (MD + Psych) and advanced degrees=about 15+ years of school+residencies) there is some 1/2 year of arctic sunshine at the end of the rainbow:
-with so much school, she is an AK resident now (=government Petrol yearly dividends)
-there is some Psych/depression therapy to be done by a lot of people in AK = i think she will have constant work for the rest of her life....

But i think i talk too much when the shorter topic would have been:
- make sure you educate your kid about life and utility + cost and they enter college with a purpose and as an adult, not children partying.... time just shuts up and passes.... = then you can thrust them with your hard earned money!

 

[pandus13]

Originally Posted By: NJ_Car_Owner
Originally my son wanted to get into commercial HVAC as that's where the money and job security is but being in Jersey vs maybe down south put him at a disadvantage job wise.

can your son move to a southern state? (AC needs)
in any construction boom zone? GA/NC?

 

[Mr Nice]

Yeah, I've had hospital administration tell us to look on eBay for parts to repair obsolete equipment.

The same administration rented a mechanical bull (true story).... placed it in the cafeteria for the hospital employees to ride because the hospital passed Joint Commission, they also brought in 10 food trucks for free employee meals. How about spending that money buying new equipment?

I no longer repair equipment, I'm responsible for overseeing contract billing for our region. Luckily we have a very good team and management running the biomed / DI accounts.

Your son will eventually find an entry level HVAC job, he just has to keep applying at various places.

 

[NJ_Car_Owner]

Originally Posted By: pandus13
Originally Posted By: NJ_Car_Owner
Originally my son wanted to get into commercial HVAC as that's where the money and job security is but being in Jersey vs maybe down south put him at a disadvantage job wise.

can your son move to a southern state? (AC needs)
in any construction boom zone? GA/NC?


The biggest drawback is not having family to help out. He's been out of the HVAC world now for about 2 1/2 years and he tells me he has forgotten a lot of stuff. He went on one interview recently and told the prospective employer that he wanted to get his foot in the door and was planning on going back for training at night to regain the book knowledge ... the employer told him that would be a waste and of course he didn't get the job. He quit his full time job making $12/hr here in Jersey and went back to college.

 

[NJ_Car_Owner]

Originally Posted By: Mr Nice
Yeah, I've had hospital administration tell us to look on eBay for parts to repair obsolete equipment.

The same administration rented a mechanical bull (true story).... placed it in the cafeteria for the hospital employees to ride because the hospital passed Joint Commission, they also brought in 10 food trucks for free employee meals. How about spending that money buying new equipment?

I no longer repair equipment, I'm responsible for overseeing contract billing for our region. Luckily we have a very good team and management running the biomed / DI accounts.

Your son will eventually find an entry level HVAC job, he just has to keep applying at various places.



Yeah, I had someone tell me that about an obsolete balloon pump ... I told him I refuse to put garbage into a life support piece of equipment ... had the hospital buy 2 brand new balloon pumps (both ones they had were obsolete).

He's on "Plan B" - get a college degree (hopefully) and try to get job just looking for a degree. We are trying to formulate a "plan C" just in case ...

 

[Alfred_B]

Originally Posted By: jay929
I have a 1 year old daughter, she's precious but I don't want to go broke paying for her college so is a 529 plan still the way to go? I don't want to choose her college and if she decides not to go I don't want to be taxed for not using it


Maybe in 15 years we will have universal education program and you won't need to worry about paying for college.

 

[Astro14]

Pandus - I stand corrected. I'm glad the effort and expense led to employment in your family example.

I still believe that the price was too high. That's ten times the average annual income for a family of four....simply an unsupportable amount for you to provide.

 

[pandus13]

Originally Posted By: Astro14
Pandus - I stand corrected. I'm glad the effort and expense led to employment in your family example.

I still believe that the price was too high. That's ten times the average annual income for a family of four....simply an unsupportable amount for you to provide.

Astro, a gentleman as always....

she started the education decades with a run from home at 15..... so a lot of white hair for mom and dad

but the idea was, with 529 or other college/education options do you have the protection of your hard earned money if the kid decides otherwise? (since they will be more then 21 at the times....)

 

[Mr Nice]

What about a 10 year military commitment and have Uncle Sam pay for your education ?

That's what my dermatologist did, then opened up his practice after fulfilling his obligations.

 

[doitmyself]

Originally Posted By: pandus13

Astro, a gentleman as always....

....... so a lot of white hair for mom and dad.....


Its not too hard to pick out the class act people at BITOG. They are not all full of themselves and are confident enough to admit to the challenges of life with a bit of humbleness.

Have a good weekend everyone.

 

[pandus13]

Originally Posted By: doitmyself
Have a good weekend everyone.

HapPy Everyday Day to all of us, you gear head BITOGers!

 

[Astro14]

Originally Posted By: Mr Nice
What about a 10 year military commitment and have Uncle Sam pay for your education ?

That's what my dermatologist did, then opened up his practice after fulfilling his obligations.



I had a long talk with my daughter about this option when she was a senior in College. It's a great option. I've got good friends who did this.

She had run the numbers, page six of a multi page spreadsheet on which she was comparing medical school options.

Simply, she thought the time commitment was untenable. She wanted to be done with a surgery residency by 32. An age to which she was committed - though her reasons were personal.

She compared all the offers when the acceptances rolled in: Brown, UVA, Northwestern, Dartmouth, UVM. she was fortunate - her academic first choice, Washington University in STL, also had the most generous aid offer, making the decision a slam-dunk.

Incidentally- this was true for college as well. Her first choice came through with the best aid. $22B in endowment makes that possible...and we ensured that she graduated with ZERO debt from college.

But she is now finishing her second year in med school and is at $70K. A lot of money, but not insurmountable for a doctor.

 

[Mr Nice]

Its great that shes undertaking such a grueling major.

I've met lots of nurses that say they should of became a doctor.... unfortunately about 95% of them lack the ambition and discipline to complete medical school.

 

[pandus13]

Astro,
is she the little lady that slept 4 hour a night while volunteering as a firefighter and many others?

 

[Astro14]

Originally Posted By: pandus13
Astro,
is she the little lady that slept 4 hour a night while volunteering as a firefighter and many others?


I'm impressed by your recall, pandus!

That's my daughter.

Laser-focused. Very determined. Drinks lots of coffee...

 

[eljefino]

Originally Posted By: Mr Nice

I've met lots of nurses that say they should of became a doctor.... unfortunately about 95% of them lack the ambition and discipline to complete medical school.



Do you tell them that to their faces?

 

[Mr Nice]

LOL. After 30 years in healthcare I'd like to say it but I'm not the type to cause trouble. Just like the couch potato that says if they were in the NFL they would have more Super Bowl wins than Brady.

Lots of nurses I've asked over the years if they could go back 25 years, would they go into nursing... about 95% say they would choose a different career. These are the same people that think being a doctor is much less stressful and very easy job.

Back on topic:
The earning potential of a doctor over a 30 year career outweighs the student loan they have to repay. Its not like doctors are starving and can't find good paying jobs.

 

[pandus13]

Originally Posted By: Mr Nice
Back on topic:
The earning potential of a doctor over a 30 year career outweighs the student loan they have to repay. Its not like doctors are starving and can't find good paying jobs.

MR NICE, from your experience, what specialties would you recommend?
Also, did you heard about any doctors who got their studies paid for with other programs then joining the military?

Much appreciated and nice add-on to the topic

 

[PandaBear]

Here is my take on the subject, just personal opinion:

Instead of investing in the college cost, why not invest in the earlier education, say, in private school of higher education standard, or after school academic program. This way their chances of getting better grades and scholarship in the future is higher.

 

[Mr Nice]

Originally Posted By: pandus13
Originally Posted By: Mr Nice
Back on topic:
The earning potential of a doctor over a 30 year career outweighs the student loan they have to repay. Its not like doctors are starving and can't find good paying jobs.

MR NICE, from your experience, what specialties would you recommend?
Also, did you heard about any doctors who got their studies paid for with other programs then joining the military?

Much appreciated and nice add-on to the topic


You can Google top paying specialities... cardiac and orthopaedics will be at the top. Lets be realistic, few doctors are on the Dave Ramsey rice and beans, beans and rice diet 10 years after they've been in medicine.