Factoring SA Income into Post-Grad Debt/Biglaw Commitment Forum

[MarshallE]

Hello all. Judging by how the cycle has gone so far (accepted at NYU, waitlisted at VBMD, waiting to hear back from HSCC & NCG) it appears unlikely that I will be receiving a significant scholarship from my current top choice, NYU. Obviously, the idea of going to school near/at sticker is worrisome, particularly considering NYC's COL. While reading the concerns of other posters in a similar situation, I have noticed that people do not overtly factor summer salaries into consideration. While 200k-300k of debt is daunting, the thought of being able to reduce that amount by 30-40k by the time of graduation does relieve some stress. I was curious if anyone had opinions on this. Obviously, a well-paying 1L SA is far from guaranteed, just as a post-graduation biglaw job is not a certainty. But has anyone been in the situation where they have been able to substantially reduce their debts due to summer work? Or is that sentiment completely wrong and people do take into consideration SA salaries in posts regarding debt/post-graduation biglaw commitments? Any thoughts would be welcome. I greatly appreciate the help, since I stumbled on TLS it has been a tremendous resource.

[BigZuck]

1L SAs are unicorns. Some people get them but you're better off assuming they don't exist IMO.

If you want to assume you'll make like 30K during a 2L SA I guess that's ok. I don't know if it makes a whole hell of a lot of difference when you're facing (near?) sticker debt though.

[rad lulz]

1L SAs are unicorns. Some people get them but you're better off assuming they don't exist IMO.

If you want to assume you'll make like 30K during a 2L SA I guess that's ok. I don't know if it makes a whole hell of a lot of difference when you're facing (near?) sticker debt though.

Especially in light of paying for summer housing and expenses (not covered by loans) and bar expenses

[cotiger]

1L SAs are unicorns. Some people get them but you're better off assuming they don't exist IMO.

If you want to assume you'll make like 30K during a 2L SA I guess that's ok. I don't know if it makes a whole hell of a lot of difference when you're facing (near?) sticker debt though.

Especially in light of paying for summer housing and expenses (not covered by loans) and bar expenses

And taxes!

I don't know from experience, but the HLS finaid office estimates $16k leftover from a $30k SA after taxes and living expenses are factored in.

[MarshallE]

Appreciate the help all, I was unaware that obtaining a 1L SA was so rare. While I'd consider 30k-40k a decent reduction in debt, 15k does not significantly decrease the amount of time in debt/big law commitment. Thanks.

[Swingline141]

Isn't tuition tax-deductible though? I.E. if you make $30k as an SA and pay $40k in tuition wouldn't your tax bill be very low after deducting tuition? I understand you would still be paying SS and medicare payroll taxes.

[brotherdarkness]

.

[jlamb555]

Considering the rate on federal loans 15k seems somewhat noticeable to me.

[lawschool22]

I definitely think it's worth including $15k-$18k (depending on location, taxes, COL, etc.) into your 3L year debt calculation.