HamDel wrote:I want to get rid of my debt ASAP and will live in a shitty apartment and buy nothing for two years to handle a huge chunk of it. You don't know when the biglaw train is going to boot you off, and you don't want to be stuck with a pile of loans when that happens.
Nobody's telling you to spend or dispose of the money you would be putting toward debt reduction. They're encouraging you to save it. If you have that money in the bank, then you're stuck with a pile of loans and the money you were going to use to pay them off
. Then you have flexibility, and you can choose: Do I put it all toward loans, or do I use some to buy food and pay rent?
If you pay off your loans and then get "the boot", you're stuck with no income and no savings
. In that situation you don't have a choice. You can't re-take those loans and use the money to buy rent and food. That money's gone, and you're just flat broke until you find your next job, whenever that is.
Not only that, but if your next job pays substantially less, the gov't will start paying a chunk of those loans for you. In that case, it was doubly foolish to pay them all off right away. You had no savings to survive your period of unemployment, and you took all the money from your sole high-income period and blew it all paying off something that someone else would've ended up paying off for you.