Comments on: Debt Reduction While Planning a Career Change – Beckey Answered http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/ Pay off debt. Save. Give. Live your mission. Wed, 08 Feb 2012 17:36:06 +0000 hourly 1 http://wordpress.org/?v=3.3.1 By: DVM http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-9628 DVM Wed, 26 May 2010 07:12:26 +0000 http://www.debtfreeadventure.com/?p=4995#comment-9628 If you are worried about debt, veterinary medicine is NOT the career to switch to. Our debt-to-income ratio is the worst of any profession in the country. Our debt is equal to that of medical students, but we end up with less than half the salary. Most veterinary students graduate with ~$150,000 in student loans, and they can easily be double that if you go to an out-of-state school. (Keep in mind, this does not cover undergraduate education to get the prerequisites you need to apply to vet school) Average starting salary is $50,000-$65,000, depending on where you practice. If you choose to do an internship after graduation, expect to make less than $20,000 for that year, and if you continue to a residency, expect $30,000-$40,000/year for the next 3-5 years. Also, most employers include a clause in your contract that does not allow you to work extra jobs. To pay off my debt in 10 years, it will cost $1500 monthly, and I likely will not be able to qualify for a mortgage during that time. (Note: I understand that renting is sometimes a wise financial decision, but being forced to rent for 10 years is a different story) So, if you are serious about entering the veterinary profession, please think LONG and HARD before you start. If you are worried about debt, veterinary medicine is NOT the career to switch to. Our debt-to-income ratio is the worst of any profession in the country. Our debt is equal to that of medical students, but we end up with less than half the salary. Most veterinary students graduate with ~$150,000 in student loans, and they can easily be double that if you go to an out-of-state school. (Keep in mind, this does not cover undergraduate education to get the prerequisites you need to apply to vet school) Average starting salary is $50,000-$65,000, depending on where you practice. If you choose to do an internship after graduation, expect to make less than $20,000 for that year, and if you continue to a residency, expect $30,000-$40,000/year for the next 3-5 years. Also, most employers include a clause in your contract that does not allow you to work extra jobs. To pay off my debt in 10 years, it will cost $1500 monthly, and I likely will not be able to qualify for a mortgage during that time. (Note: I understand that renting is sometimes a wise financial decision, but being forced to rent for 10 years is a different story) So, if you are serious about entering the veterinary profession, please think LONG and HARD before you start.

]]> By: Beckey & Jeff http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-9158 Beckey & Jeff Wed, 14 Apr 2010 13:56:39 +0000 http://www.debtfreeadventure.com/?p=4995#comment-9158 So, while I didn't get the Vet position, I did find another position in the IT field. My current job was really causing me to be negative and slightly depressed. I start next week at the new job and it is $5/hr more than current job. That will help us pay down our debt a bit faster. Thanks for all the posts and I will keep looking for vet hospital positions. So, while I didn’t get the Vet position, I did find another position in the IT field. My current job was really causing me to be negative and slightly depressed. I start next week at the new job and it is $5/hr more than current job. That will help us pay down our debt a bit faster. Thanks for all the posts and I will keep looking for vet hospital positions.

]]> By: Mareen (the photographer) http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-7921 Mareen (the photographer) Sun, 21 Feb 2010 20:52:42 +0000 http://www.debtfreeadventure.com/?p=4995#comment-7921 Please remove my image ASAP. It is being licensed solely by myself or Getty Images! Please read and respect copyright notes. Thank you. Please remove my image ASAP. It is being licensed solely by myself or Getty Images! Please read and respect copyright notes.
Thank you.

]]> By: Let it Snow! http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-7057 Let it Snow! Sun, 31 Jan 2010 18:17:48 +0000 http://www.debtfreeadventure.com/?p=4995#comment-7057 [...] Matt at Debt Free Adventure gives some great advice in Debt Reduction While Planning a Career Change – Beckey Answered [...] [...] Matt at Debt Free Adventure gives some great advice in Debt Reduction While Planning a Career Change – Beckey Answered [...]

]]> By: Ronnie http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-7045 Ronnie Sun, 31 Jan 2010 05:12:47 +0000 http://www.debtfreeadventure.com/?p=4995#comment-7045 We do have 6-figure incomes to go with our 6-figure debts, but we're fortunate. I'm an attorney doing okay, and much better than most with the same debt and no job anymore, but hubby won't hit 6 figures for a while since he's still in medical residency. We get that by going on vacations now instead of paying off debt we may be setting ourselves up, but after hubby's dad passed, and he and wife hadn't taken their first vacation after 36 years of marriage, we decided that we needed a balance that we didn't have just paying stuff off. So that is really a conscious choice, and we're okay with it. We do have 6-figure incomes to go with our 6-figure debts, but we’re fortunate. I’m an attorney doing okay, and much better than most with the same debt and no job anymore, but hubby won’t hit 6 figures for a while since he’s still in medical residency. We get that by going on vacations now instead of paying off debt we may be setting ourselves up, but after hubby’s dad passed, and he and wife hadn’t taken their first vacation after 36 years of marriage, we decided that we needed a balance that we didn’t have just paying stuff off. So that is really a conscious choice, and we’re okay with it.

]]> By: Weekly Roundup http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-7025 Weekly Roundup Sat, 30 Jan 2010 23:35:03 +0000 http://www.debtfreeadventure.com/?p=4995#comment-7025 [...] Matt at Debt Free Adventure gives some great advice in Debt Reduction While Planning a Career Change – Beckey Answered [...] [...] Matt at Debt Free Adventure gives some great advice in Debt Reduction While Planning a Career Change – Beckey Answered [...]

]]> By: Matt Jabs http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-6967 Matt Jabs Fri, 29 Jan 2010 14:33:20 +0000 http://www.debtfreeadventure.com/?p=4995#comment-6967 Awesome Beckey!! We're rooting you on... go for it. Here's my advice - don't go "apply" for the job... go "claim" the job! Do this by displaying your passion for the work... being as flexible with your schedule as possible... explaining your story and situation to them... and showing them how badly you want that job and how you are the perfect candidate for it! And be sure to come back here & update us with the results! I'll pray for you. :-) Awesome Beckey!! We’re rooting you on… go for it.

Here’s my advice – don’t go “apply” for the job… go “claim” the job! Do this by displaying your passion for the work… being as flexible with your schedule as possible… explaining your story and situation to them… and showing them how badly you want that job and how you are the perfect candidate for it!

And be sure to come back here & update us with the results! I’ll pray for you. :-)

]]> By: Beckey http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-6961 Beckey Fri, 29 Jan 2010 13:28:16 +0000 http://www.debtfreeadventure.com/?p=4995#comment-6961 Ironically, a local vet hospital just posted for a part time receptionist position. Might be a sign... :) Ironically, a local vet hospital just posted for a part time receptionist position. Might be a sign… :)

]]> By: Kate http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-6926 Kate Thu, 28 Jan 2010 17:59:55 +0000 http://www.debtfreeadventure.com/?p=4995#comment-6926 You can ignore my suggestion about working in a vet's office, I didn't see this comment before I posted! Good luck to you Beckey - and feel free to live with your boyfriend whether you are Christian or not - ignore Robert. You can ignore my suggestion about working in a vet’s office, I didn’t see this comment before I posted! Good luck to you Beckey – and feel free to live with your boyfriend whether you are Christian or not – ignore Robert.

]]> By: Kate http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-6925 Kate Thu, 28 Jan 2010 17:58:29 +0000 http://www.debtfreeadventure.com/?p=4995#comment-6925 Great article Matt! I am actually going to forward this to my friend as she was just talking about a career change and is having the same issues as Beckey. Speaking from experience, I know what it is like to be miserable in your job and to think the only way to remedy that is with a big change. Luckily, I found a job in marketing that I love and get compensated fairly comparable to the job I hated. Good luck Beckey, I hope you take Matt's advice and decide which you hate more - the job or the debt. Then also see how much more in debt going back to school would generate. I will say, my aunt who is in her 40's recently went back to undergrad to take all of the sciences that she needs to get into Vet school. She is loving it, but was working with horses many years before making the decision. Maybe try to find a job working at a local vet's office part-time or on the weekends to see what it is all about and make extra money to pay off your debts! Great article Matt! I am actually going to forward this to my friend as she was just talking about a career change and is having the same issues as Beckey. Speaking from experience, I know what it is like to be miserable in your job and to think the only way to remedy that is with a big change. Luckily, I found a job in marketing that I love and get compensated fairly comparable to the job I hated.

Good luck Beckey, I hope you take Matt’s advice and decide which you hate more – the job or the debt. Then also see how much more in debt going back to school would generate.

I will say, my aunt who is in her 40′s recently went back to undergrad to take all of the sciences that she needs to get into Vet school. She is loving it, but was working with horses many years before making the decision. Maybe try to find a job working at a local vet’s office part-time or on the weekends to see what it is all about and make extra money to pay off your debts!

]]> By: BG http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-6923 BG Thu, 28 Jan 2010 15:57:01 +0000 http://www.debtfreeadventure.com/?p=4995#comment-6923 I second Robert -- hopefully those student loans are affording you very well paying jobs. But the amount of debt doesn't matter much to me. Its more about the debt-to-income ratios. There is not much difference between someone earning $40k a year with $80k debt, and someone earning $200k a year with $400k in debt. As for me, I am attributing 50% of my take-home pay towards debt repayment (married w/ 2 kids). I think this is achievable for most people. If your lifestyle won't let you live on only 50% (or less) of your takehome, then reduce your lifestyle. I second Robert — hopefully those student loans are affording you very well paying jobs. But the amount of debt doesn’t matter much to me. Its more about the debt-to-income ratios. There is not much difference between someone earning $40k a year with $80k debt, and someone earning $200k a year with $400k in debt.

As for me, I am attributing 50% of my take-home pay towards debt repayment (married w/ 2 kids). I think this is achievable for most people. If your lifestyle won’t let you live on only 50% (or less) of your takehome, then reduce your lifestyle.

]]> By: Robert Espe http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-6922 Robert Espe Thu, 28 Jan 2010 15:15:16 +0000 http://www.debtfreeadventure.com/?p=4995#comment-6922 Beckey, Two things about your situation. One, just because you work in IT, does not mean you ARE an IT tech. You are Beckey, who is many things, and pays her bills by working in IT. Don't equate your value with your occupation. This may make it easier to delay a career change until it can be on your terms. Two, you say you have a debt re-payment plan with your boyfriend (who it seems you are living with). I don't know if you are a Christian or not, but setting aside that a Christian woman ought not to be living with a man who is not her husband, from a strictly pragmatic point of view, It is unwise to pay off the debts of someone who has not made a commitment to you in marriage. No matter how much you love each other, the absence of commitment means he can leave (after you've paid his debts) and you would bear the loss without legal recourse. If you want an effective, team effort to eliminate debt a provide a better life, it should include the promise that you will both continue together in marriage to enjoy the fruits of your hard work. Beckey,
Two things about your situation.

One, just because you work in IT, does not mean you ARE an IT tech. You are Beckey, who is many things, and pays her bills by working in IT. Don’t equate your value with your occupation. This may make it easier to delay a career change until it can be on your terms.

Two, you say you have a debt re-payment plan with your boyfriend (who it seems you are living with). I don’t know if you are a Christian or not, but setting aside that a Christian woman ought not to be living with a man who is not her husband, from a strictly pragmatic point of view, It is unwise to pay off the debts of someone who has not made a commitment to you in marriage. No matter how much you love each other, the absence of commitment means he can leave (after you’ve paid his debts) and you would bear the loss without legal recourse. If you want an effective, team effort to eliminate debt a provide a better life, it should include the promise that you will both continue together in marriage to enjoy the fruits of your hard work.

]]> By: Robert Espe http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-6921 Robert Espe Thu, 28 Jan 2010 15:04:02 +0000 http://www.debtfreeadventure.com/?p=4995#comment-6921 Ronnie, Remember that debt steals from your future standard of living. Going on vacation and buying a home are luxuries, and you will have better ones later if you pay off your debt now, even though it is hard at this end. Children however, are a natural part of life and I let God control when mine will come, so I wouldn't say you have to delay them. Just don't use children as an excuse to add to debt. Regarding the size of your loans, I hope for your sake, that you both have 6 figure incomes to go with the 6 figure loans? Whether you do or do not, the key to paying them off is the same: you must spend far less than you make. You must live as close to the poverty line as you can manage. This often is harder the more a person makes, because it is not easy living below your friend's standard of living. I got married with no debt, but my wife came with $18k worth. Our combined income for our first two years of marriage was just under and then over $20k. But we paid off that debt in 2 years. It took sacrifices. A $300 honeymoon. No fun purchases, only $20/month for us to eat out together twice. Looking back now, it was so worth it. I make about $60k/year now. We still live on less than $30k. Having no debt means we are saving more than $25k/year towards our first home purchase. If one assumes that being debt-free before buying the things they want is impossible, for them it will be. You can't maintain your colleagues' standard of living and have less debt. "Live like no one else WILL now, so later you will live like no one else CAN." Ronnie,
Remember that debt steals from your future standard of living. Going on vacation and buying a home are luxuries, and you will have better ones later if you pay off your debt now, even though it is hard at this end. Children however, are a natural part of life and I let God control when mine will come, so I wouldn’t say you have to delay them. Just don’t use children as an excuse to add to debt.

Regarding the size of your loans, I hope for your sake, that you both have 6 figure incomes to go with the 6 figure loans? Whether you do or do not, the key to paying them off is the same: you must spend far less than you make. You must live as close to the poverty line as you can manage. This often is harder the more a person makes, because it is not easy living below your friend’s standard of living.

I got married with no debt, but my wife came with $18k worth. Our combined income for our first two years of marriage was just under and then over $20k. But we paid off that debt in 2 years. It took sacrifices. A $300 honeymoon. No fun purchases, only $20/month for us to eat out together twice. Looking back now, it was so worth it. I make about $60k/year now. We still live on less than $30k. Having no debt means we are saving more than $25k/year towards our first home purchase.

If one assumes that being debt-free before buying the things they want is impossible, for them it will be. You can’t maintain your colleagues’ standard of living and have less debt. “Live like no one else WILL now, so later you will live like no one else CAN.”

]]> By: Beckey http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-6900 Beckey Wed, 27 Jan 2010 20:52:53 +0000 http://www.debtfreeadventure.com/?p=4995#comment-6900 I have volunteered at a rescue league for a while and I loved it. I've also nursed many pets that I have rescued back to good health and then found homes for them. I've also had the sad part of the job in having to have an animal put down due to health reasons. I don't plan on taking on any more debt, and am looking into any scholarships that I can get. I also plan on staying at my current job and paying debt down with my boyfriend. We have already sold off many items around the house and turned that money into debt repayments. I do think I will be looking around the area for any part-time work at any Vet clinics, that was a great suggestion! I definitely do not want any additional debt, so I will search for alternatives and wait if necessary, before going through with this plan. I have volunteered at a rescue league for a while and I loved it. I’ve also nursed many pets that I have rescued back to good health and then found homes for them. I’ve also had the sad part of the job in having to have an animal put down due to health reasons. I don’t plan on taking on any more debt, and am looking into any scholarships that I can get. I also plan on staying at my current job and paying debt down with my boyfriend. We have already sold off many items around the house and turned that money into debt repayments. I do think I will be looking around the area for any part-time work at any Vet clinics, that was a great suggestion! I definitely do not want any additional debt, so I will search for alternatives and wait if necessary, before going through with this plan.

]]> By: Ann http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-6899 Ann Wed, 27 Jan 2010 20:06:09 +0000 http://www.debtfreeadventure.com/?p=4995#comment-6899 Karyn, you took the words right out of my mouth...helping at a shelter would be a good way for her to get into the field and to make connections. She would also get a taste of what it would be like working around animals and decide if it is really for her. Karyn, you took the words right out of my mouth…helping at a shelter would be a good way for her to get into the field and to make connections. She would also get a taste of what it would be like working around animals and decide if it is really for her.

]]> By: Ronnie http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-6898 Ronnie Wed, 27 Jan 2010 19:07:49 +0000 http://www.debtfreeadventure.com/?p=4995#comment-6898 Things are much better, thank you! Last year was a little rough. What is your opinion on student loans though? I ask because I have close to (gulp) $200k in student loans. Hubby has $150k in medical school loans. Even putting every ounce of combined income possible towards them, we'd still be talking years before being able to pay them off. Our other debt (all mine, prior to marriage) will be paid off by next April, but the concept of waiting to pay those off before living the rest of my life (e.g. go on vacation, start a family, buy a house) rings somewhat hollow. Your thoughts? Things are much better, thank you! Last year was a little rough. What is your opinion on student loans though? I ask because I have close to (gulp) $200k in student loans. Hubby has $150k in medical school loans. Even putting every ounce of combined income possible towards them, we’d still be talking years before being able to pay them off. Our other debt (all mine, prior to marriage) will be paid off by next April, but the concept of waiting to pay those off before living the rest of my life (e.g. go on vacation, start a family, buy a house) rings somewhat hollow. Your thoughts?

]]> By: BG http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-6897 BG Wed, 27 Jan 2010 18:55:05 +0000 http://www.debtfreeadventure.com/?p=4995#comment-6897 Ronnie) You should plan on taking 18-24 months (max) -- whether you make it depends on what life throws at you (like in your case). But if you plan to take 3-5 years to get out of consumer (non-mortgage debt), then you should really look at selling stuff that you have the debt against and/or a second job for additional income to get down to 18-24 months (max). Hope thing are going well for you now! Ronnie) You should plan on taking 18-24 months (max) — whether you make it depends on what life throws at you (like in your case). But if you plan to take 3-5 years to get out of consumer (non-mortgage debt), then you should really look at selling stuff that you have the debt against and/or a second job for additional income to get down to 18-24 months (max).

Hope thing are going well for you now!

]]> By: Wednesday Trends in Credit Cards & Debt | Credit Karma Blog http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-6895 Wednesday Trends in Credit Cards & Debt | Credit Karma Blog Wed, 27 Jan 2010 18:25:05 +0000 http://www.debtfreeadventure.com/?p=4995#comment-6895 [...] Can you reduce your debt while planning a career change? Debt Free Adventure answers this predicament. [...] [...] Can you reduce your debt while planning a career change? Debt Free Adventure answers this predicament. [...]

]]> By: karyn http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-6894 karyn Wed, 27 Jan 2010 16:44:29 +0000 http://www.debtfreeadventure.com/?p=4995#comment-6894 Maybe she could take on a part time vet job to help pay down her debt more quickly (or to save up for vet school). In this way, she'll still have her IT job to pay for the large debt but she be further improving her finances while also checking out her potential future career. If she can't find a vet assistant job, even helping at a local shelter will help her get into the field and make professional connections. I would just be wary of the grass is greener syndrome, as you suggested. Maybe she could take on a part time vet job to help pay down her debt more quickly (or to save up for vet school). In this way, she’ll still have her IT job to pay for the large debt but she be further improving her finances while also checking out her potential future career. If she can’t find a vet assistant job, even helping at a local shelter will help her get into the field and make professional connections. I would just be wary of the grass is greener syndrome, as you suggested.

]]> By: FinancialBondage http://www.debtfreeadventure.com/debt-reduction-while-planning-career-change/#comment-6890 FinancialBondage Wed, 27 Jan 2010 16:26:28 +0000 http://www.debtfreeadventure.com/?p=4995#comment-6890 With lots of debt and little cash saved, it can be tough leaving a job. Not impossible, but tough. I have been working on my debt reduction for 5 years... made great progress working extra jobs but I'm not debt free yet. life happened during that time.... pay was reduced, transmission went up, electric bills got much higher... add to that the fact that I don't make much $ to begin with... it makes snowballing the debt much harder. And a slower process. If I made more $ my debt would have been done two years ago. Wish I was done with it in 18 months. Didn't happen With lots of debt and little cash saved, it can be tough leaving a job. Not impossible, but tough.

I have been working on my debt reduction for 5 years… made great progress working extra jobs but I’m not debt free yet. life happened during that time…. pay was reduced, transmission went up, electric bills got much higher… add to that the fact that I don’t make much $ to begin with… it makes snowballing the debt much harder. And a slower process. If I made more $ my debt would have been done two years ago. Wish I was done with it in 18 months. Didn’t happen

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