How to actually ensure you get loan forgiveness!
by DebtFreeEmma | Sep 23, 2017
How to actually ensure you get public service student loan forgiveness!
PART 1 : WHY I APPLIED FOR THE 10 YEAR PUBLIC SERVICE STUDENT LOAN FORGIVENESS PROGRAM:
This website aims to provide knowledge and guidance on student loan issues as well as how to become financially independent. Although these two issues are separate entities, I firmly believe that that they need to be addressed together if you want to succeed in becoming a debt free PT!
After being a contract and traveling therapist for several years, I recently made the hard decision to sacrifice salary for student loan forgivess. Before making this huge transition, there were several key questions I had to ask myself.
Key Questions Before Finding A Public Service Student Loan Forgiveness Position
-
Are you willing to work in a non profit setting for 10 years? Many non profit settings are hospitals and not all therapists are willing to work in a hospital settting. There are other settings to research such as school based or academia/teaching positions but these are rare.
Also, are you willing and able to work for 10 years? Being a therapist is a tough job with increasing rates of burnout but in order for the 10 year loan forgivness to work, you must work 10 years!
-
Are you willing to sacrifice reduced pay for loan forgivness? When I switched from contract work to a non profit, my salary decreased by over ten thousand dollars! Its hard for me to look a my new salary, however, to make me feel better-I take my loans and divide my total by 10 years and then add that to my current salary as if the loan forgiveness is part of my new salary even though I will not actually see that money.
Why I Made The Transition to Public Service:
Everyone has their own reasons for taking the risk and trying the 10 year loan forgivness route. My reasons were such:
-
My loans are roughly $200,000 with a 7% interest rate. I have done the math based on my cost of living and my income and it would just be too difficult to pay off. If I did sacrifice all of my savings to pay this off, I would find myself a ball of stress and extremely unhappy. I did not work hard in this career to not be able to afford going out to dinner once a month or afford to take a small vacation once a year. I already regret my career on occasional, and I know that if I would stop my already frugal life to live even more frugally-that my unhappiness would be detrimental to my well being.
-
Contract work and traveling was great but with a long term boyfriend, my traveling abilities were too limited and we are looking to grow a family. This means desiring more consistency in work and benefits like matching 401k and pension programs.
I know that these decisions are controversial and do not want to offend anyone. I strongly agree that those with smaller loans should pay off their loans instead of taking the risk on the 10 year forginress program. Because that’s what this program is-a risk! You have to work 10 years, Full time, and in a non profit. I can tell you that these jobs are rare and often not glamourous. My best advise is to the do that math and then stick to whatever choice you make!
Looking for different careers as a physical therapist?
TRAVEL HEALTHCARE BASICS:
Looking to save or make more money as a physical therapist?
