Johann wrote:Anonymous User wrote:Anonymous User wrote:So, I have a $45,000 per year scholarship to a t14 (edit: t13, f georgetown) that costs ~60,000 per year. I am a rising 2L. I take out no loans for living expenses as my fiancé is working and we saved money for living expenses before coming to law school. I paid the first semester 1L tuition differential, ~7,500, out of pocket and took out loans on the 7,500 from second semester.
I had a 1L SA in a secondary market, so in my bank account I currently have ~$22,000. My fiancé has ~20,000 in hers. I am now taking out loans at roughly ~15,000 for 2L and probably ~18,000 for 3L. Should I pay off the 7,500 from 1L now or save my money? I have secured a 3,500/wk biglaw SA for 2L. How much of that (I'm living in DC for the next summer) should I expect to actually pocket post expenses? Should I pay off my loans through summer associateships or just save the loans for post grad repayment? Thoughts appreciated.
personal decision. if youre looking at 33k of debt and biglaw money, theres no wrong answer really. invest in tax-advantage retirement accounts if you want. buy shit if you want to enjoy your last years of freedom. refi for low rates. pay all the debt down with your savings. doesnt matter. id just invest it/retirement accounts and keep taking the debt prolly.
considering both tax deductions and origination fees and interest, I would max tax advantage retirmenent accounts and avoid loans to the extent possible
but I also wouldn't sacrifice your last years of freedom in the name of interest savings so to the extent taking out more loans helps you optimize the time before you spend all your time in big law with littleto no debt, then take out those loans
as johann said, with that low of numbers there's no wrong choice. maybe look into betting on politics