Disagree with Dave Ramsey???

[poky]

This isn't from a direct Dave Ramsey source, but it is pretty identical to what he said on the radio when we were listening, so I'm guessing it is accurate:

http://nashville.about.com/library/b...avesays26a.htm

To me, it shows he knows nothing about the true costs/benefits of med school.

Eh. He's a little heavy-handed on the "I don't go into debt for ANYTHING" angle, but what he said isn't TOTALLY out in left field. He's not saying don't do it, he's saying look into other ways to pay for it first. The guy who wrote in isn't accepted to med school, he's planning to pay down his debt, then do a post-bac to get ready to apply to med school (I'm assuming from the "6 years before residency" quote). There are LOT of variables at play, and as we know, not all medical careers and locations enable you to pay off your med school debt comfortably (though most do), and since the guy is older, it IS a little more of a concern. I definitely would not advocate going into the military just to not have to pay for med school, but there ARE lots of "work in an underserved area for x years and we'll pay off your debt" programs out there. And someone mentioned MD/PhD, though unless he's got a research background and is willing to wait even LONGER to be done with school, that's craziness, too. No tuition and a little stipend can work out to no debt if your spouse works and you're not in a crazy-expensive area.

[poky]

Disclaimer: I don't know much about Dave Ramsey. I haven't listened to his show or read any of his publications. I have several friends who follow his strategy religiously, and all I know comes from what I've heard from them.

I agree with SoonerTexan. The way my friends live "debt free" seems like it would result in a world without doctors. We listen politely while they talk about living within their means, saving up rather than taking loans, and having an emergency fund so they don't rely on credit cards for surprise expenses. I would love that and hope to someday be there, but for now we're just trying to accumulate as little debt as possible, defer our loans, and hope the health care industry doesn't collapse... Talking to them about money makes me crabby!

And how did those friends pay for their college educations? Their parents? scholarships? Did they have all their tution and an emergency fund saved up before they went? Or did they *gasp* use loans that they've since paid off? If it's the first or the last, roll your eyes and ignore them, knowing that you WILL get there, eventually.

We're proof it IS possible to do the doctor thing debt-free, but we're also MUCH older than most med students, had a lot of savngs built up, and also got very very lucky (for which we're very very grateful). I agree that if nobody was willing to go into debt at all for anything, very very few people would go into med school. Probably mostly those whose parents could pay for it for them.

[ides]

I agree that if nobody was willing to go into debt at all for anything, very very few people would go into med school. Probably mostly those whose parents could pay for it for them.

Yes. This is how it was pre student loans. Only the wealthy went into medicine. It's just not normally possible without deep pockets or loans.

On another tangent I don't think D. Ramsey gets how much of a money suck medicine is even beyond the medical education. All the licenses, registrations, exams, etc. are HUGE money drains. They don't stop either.

I do want to live debt free - I think most people do- but its not always possible. I do find D. Ramsey interesting with some good ideas. Just ignore the hype/zellits.

[houseelf]

I do want to live debt free - I think most people do- but its not always possible. I do find D. Ramsey interesting with some good ideas. Just ignore the hype/zellits.

I agree that D.R.'s message in its entirety is fairly incongruent with the realities of medicine. However, don't throw the baby out with the bathwater. His underlying message of aggressive debt reduction and power saving is one that we should all take to heart and try to live by a bit better. (Yours truly included).

[reciprocity]

I also know that a lot of lawyers try very hard to pay down the debt early in their careers because things get fairly volatile after a while. Like if you do get a big lawfirm job, the odds that in 10 years you will make parter are relatively low, so it might be more wise to use the biglaw associate salary to get your debt more manageable in the meantime.

I doubt that was DR's rationale behind his advice, since he tends to be a bit more dogmatic than that.

[MrsK]

I also know that a lot of lawyers try very hard to pay down the debt early in their careers because things get fairly volatile after a while. Like if you do get a big lawfirm job, the odds that in 10 years you will make parter are relatively low, so it might be more wise to use the biglaw associate salary to get your debt more manageable in the meantime.

I doubt that was DR's rationale behind his advice, since he tends to be a bit more dogmatic than that.

And the odds are that if you make partner at BigLaw, you may have to borrow more to make a capital contribution.

[ladymoreta]

So true, Poky. They have already paid back their education loans. I know they didn't prepay.

[v-girl]

So, ummm...how exactly does this dude recommend people save when they make just about what they need to live on? Just curious. We'll be getting by on prayer for another year + 2 months.

[ides]

He expects people to make sacrifices. Examine their spending closely & stick to a strict budget. A lot of people don't keep super tight control of their spending & I think he assumes their is fat to trim.

[weeniegeniewife]

I love DR's iPhone app.

[SoonerTexan]

He expects people to make sacrifices. Examine their spending closely & stick to a strict budget. A lot of people don't keep super tight control of their spending & I think he assumes their is fat to trim.

That is us. Maybe I need to pick up a book (from the library)