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Author Topic: T14 and debt  (Read 2220 times)

betty

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T14 and debt
« on: May 10, 2006, 03:48:16 PM »
If you are coming out of a top 14 school and making $125,000 but only lived off $50,000 for the first few years, couldn't you pay off your debt pretty quickly?  People on this site have mentioned friends who will be burdened with law school debt for the rest of their lives. Do the starting salaries lie, are they not going into private practice... ???

raging_achilles

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Re: T14 and debt
« Reply #1 on: May 10, 2006, 03:54:19 PM »
You can certainly pay off your loans within a couple of years if you budget well. 

Towlie

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Re: T14 and debt
« Reply #2 on: May 10, 2006, 04:07:34 PM »
If you are coming out of a top 14 school and making $125,000 but only lived off $50,000 for the first few years, couldn't you pay off your debt pretty quickly?  People on this site have mentioned friends who will be burdened with law school debt for the rest of their lives. Do the starting salaries lie, are they not going into private practice... ???

This is a common practice, I hear. Also note that in many of the top legal markets the starting salary is now about $150,000 (not to mention bonuses!!). That'll make it even easier to pay off the debt!

bass

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Re: T14 and debt
« Reply #3 on: May 10, 2006, 04:10:03 PM »
Yea, I feel the same way, but put one year of clerking in (with interest compounding), and I get worried more.  Then, add to that the fact that the big money jobs are in high COL places, and I worry more. 

Then I take a drink.

Towlie

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Re: T14 and debt
« Reply #4 on: May 10, 2006, 04:13:11 PM »
Yea, I feel the same way, but put one year of clerking in (with interest compounding), and I get worried more.  Then, add to that the fact that the big money jobs are in high COL places, and I worry more. 

Then I take a drink.


Yeah, the debt is kind of making me sway away from clerking (plus it would be one added year of NOT making six figures). Plus, other than NYC and potentially San Fran, COL is not so high in any of the other legal markets that having a nice life for $50,000/year is impossible.

bass

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Re: T14 and debt
« Reply #5 on: May 10, 2006, 04:13:55 PM »
Yea, I feel the same way, but put one year of clerking in (with interest compounding), and I get worried more.  Then, add to that the fact that the big money jobs are in high COL places, and I worry more. 

Then I take a drink.


Yeah, the debt is kind of making me sway away from clerking (plus it would be one added year of NOT making six figures). Plus, other than NYC and potentially San Fran, COL is not so high in any of the other legal markets that having a nice life for $50,000/year is impossible.

Yea.  I'm definitely leaning away from NYC biglaw.

queencruella

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Re: T14 and debt
« Reply #6 on: May 10, 2006, 04:17:56 PM »
If you can manage to pay the interest on your private loans while in LS, it will save you quite a bit of money when you have to start making full payments. This can make a big difference if you want to do a clerkship when you graduate. If you're in a situation where you're really good at budgeting, it will probably be easy enough to manage on $50K in NYC. I know people who make much less pre-tax and are doing fine. You'll probably get a high-paying 2L summer associate position and possibly even a good 1L summer associate position, so you can use that money to lower your debt as well. If you plan wisely, you shouldn't be crippled with debt for the rest of your life.

Towlie

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Re: T14 and debt
« Reply #7 on: May 10, 2006, 04:18:26 PM »
Yea, I feel the same way, but put one year of clerking in (with interest compounding), and I get worried more.  Then, add to that the fact that the big money jobs are in high COL places, and I worry more. 

Then I take a drink.


Yeah, the debt is kind of making me sway away from clerking (plus it would be one added year of NOT making six figures). Plus, other than NYC and potentially San Fran, COL is not so high in any of the other legal markets that having a nice life for $50,000/year is impossible.

Yea.  I'm definitely leaning away from NYC biglaw.


Part of me wants to stay in Philadelphia when I'm done because of the ridiculously low COL for such a high paying legal market. But I really hate cold weather, the northeast, etc. so I have no idea what I am going to do. Maybe Miami's legal market will have an upswing!

bass

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Re: T14 and debt
« Reply #8 on: May 10, 2006, 04:21:36 PM »
Yea, I feel the same way, but put one year of clerking in (with interest compounding), and I get worried more.  Then, add to that the fact that the big money jobs are in high COL places, and I worry more. 

Then I take a drink.


Yeah, the debt is kind of making me sway away from clerking (plus it would be one added year of NOT making six figures). Plus, other than NYC and potentially San Fran, COL is not so high in any of the other legal markets that having a nice life for $50,000/year is impossible.

Yea.  I'm definitely leaning away from NYC biglaw.


Part of me wants to stay in Philadelphia when I'm done because of the ridiculously low COL for such a high paying legal market. But I really hate cold weather, the northeast, etc. so I have no idea what I am going to do. Maybe Miami's legal market will have an upswing!

I really like Philly.  Housing is super cheap for a city, too.

Towlie

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Re: T14 and debt
« Reply #9 on: May 10, 2006, 04:24:26 PM »
Yea, I feel the same way, but put one year of clerking in (with interest compounding), and I get worried more.  Then, add to that the fact that the big money jobs are in high COL places, and I worry more. 

Then I take a drink.


Yeah, the debt is kind of making me sway away from clerking (plus it would be one added year of NOT making six figures). Plus, other than NYC and potentially San Fran, COL is not so high in any of the other legal markets that having a nice life for $50,000/year is impossible.

Yea.  I'm definitely leaning away from NYC biglaw.


Part of me wants to stay in Philadelphia when I'm done because of the ridiculously low COL for such a high paying legal market. But I really hate cold weather, the northeast, etc. so I have no idea what I am going to do. Maybe Miami's legal market will have an upswing!

I really like Philly.  Housing is super cheap for a city, too.


I'm from 5 minutes outside of there (granted, in New Jersey), and I HATED it while I was there.. all 18 years of it. BUT I'm going into law school with an open mind.. especially since I have a killer apartment in one of the best neighborhoods Philly has to offer (Rittenhouse). If I do enjoy my time there this go around, I'll consider staying.