General Discussion

bluestate10

(10,942 posts)

78. Using some of the statistics from the links you posted.

Sat May 19, 2012, 09:23 PM

May 2012

The typical student has a $20,000 loan debt. The wage that I saw in one of your articles was $10 per hour, that amount works out to $19,200/yr gross if no overtime is worked. The tax rate of the low six figure worker should be in the region of 22-25%. The taxrate of the typical student should be in the region of 14-17%. Add in an 8% state taxrate for both people. The low six figure person's yearly take home pay would be $105,000, using your claim of a $150,000 per year salary. The average student'f take home pay would be $14,976. If the average student lived with his or her parents or had a roommate, that person, if living frugally should be able to pay off the $20,000 student loan in 4-5 years tops, that is without working overtime, OR taking a second job. My claim is that the so called impossible is within everyone's reach, if specific choices are made.

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Wiping Out $90,000 in Student Loans in 7 Months [View all] Johnny Rico May 2012 OP

Great advice... PCIntern May 2012 #1

hee! Liberal_in_LA May 2012 #6

"Get a six-figure job" = exactly. That's 1% territory, especially for recent college grads. HiPointDem May 2012 #11

I seriously doubt it's "1%" territory. 5 or 10, maybe. More likely 20. MH1 May 2012 #18

He paid back $90K in 7 months. Which means he is making at least $12.8K a month, even if he's HiPointDem May 2012 #21

He cashed in his retirement accounts, got a second job, sold a bunch of stuff on craigslist dkf May 2012 #28

Um, he's in his early 20s, how big of a "retirement account" do you think he has? HiPointDem May 2012 #32

He is 29, and a Harvard MBA, so he had professional experience before enrolling Godhumor May 2012 #85

The most employment he could have had was 4 years if he took the usual amount of time to HiPointDem May 2012 #89

I'm 11 years out of grad school and haven't even gotten close to HALF of six figures Blue_Tires May 2012 #26

Most of the population *never* does either. Which is why publishing an article like this as if it's HiPointDem May 2012 #27

Read his blog... dkf May 2012 #30

He paid back $13K A MONTH. I live on less than that A YEAR. He SAID he makes over $100K a YEAR. HiPointDem May 2012 #37

You have a boatload of student loans? dkf May 2012 #46

no, unlike this rich dick, i put myself through grad school with no debt and a 4.0 by working while HiPointDem May 2012 #52

Hey you were even smarter than him by not getting into debt period. dkf May 2012 #55

why is it always prep-school dicks and dickettes that are featured on the evening news telling HiPointDem May 2012 #62

Because its harder for a normal state university grad to incur that much debt? dkf May 2012 #104

Annual cost for 2012 at the University of Illinois, a public state school for undergrads is $30k nt riderinthestorm May 2012 #111

Not worth that, unless you study accounting or engineering. closeupready May 2012 #118

I put that out there for people who think going to an in-state, public university riderinthestorm May 2012 #120

How did you do it without being (or becoming) a 'rich dick'? I coalition_unwilling May 2012 #72

Median income for a male MA = $70K. For a female MA = $54K. Only a minority of MA holders HiPointDem May 2012 #74

The dick cited in the OP probably had an "MBA" and, with coalition_unwilling May 2012 #75

Maybe i'm a dickette for other reasons. How many of those nice wheels are financed, belong to HiPointDem May 2012 #79

I do. $120K to be almost exact... a la izquierda May 2012 #106

what kind of job do you have? CreekDog May 2012 #115

He liquidated his retirement fund. bluestate10 May 2012 #47

Since when do recent college grads have big retirement funds after 7 months of work? HiPointDem May 2012 #50

The guy is a 28 year old newly minted Master Degreed worker. bluestate10 May 2012 #65

If he has a MA, that means that if he was on a normal timeline then the *most* he could have worked HiPointDem May 2012 #76

unless he plans to hire me for a six-figure job, i have no use for him Blue_Tires May 2012 #43

You're wrong. A salary of low 6 figures puts the man in the bluestate10 May 2012 #40

I linked the IRS page for 2009 which clearly shows that the top 10% starts at $112 and the HiPointDem May 2012 #44

He is 28. bluestate10 May 2012 #51

Fine, he's 28. If he graduated in usual time & got a job immediately after, he worked 6 years HiPointDem May 2012 #56

I think the point of it is Blue_Tires May 2012 #91

¥eah, I stopped reading after that part "six figure job". Starry Messenger May 2012 #12

That fact doesn't disqualify the guy if he earns the money through bluestate10 May 2012 #53

Disqualify him for what? Starry Messenger May 2012 #64

I paid off my student loans in around 8 months. bluestate10 May 2012 #68

And other people live that way too, and still can't get ahead. Starry Messenger May 2012 #70

$20K - FICA = $18,760. $18,760 - 7% = $17,447. Cheapest 1-B in very cheap area = $300/mo = HiPointDem May 2012 #80

Yeah, yahoo is painfully obvious in some of their finance stories Blue_Tires May 2012 #25

Yeah, these kinds of articles are infuriating stevenleser May 2012 #98

"It helps to have a low-six-figure salary" pretty much says it all and MindMover May 2012 #2

a high sex figure salary is even better! Liberal_in_LA May 2012 #7

Certainly. And yet few people with those salaries would do what he did. pnwmom May 2012 #8

Baloney. Plenty of people would do what he did if they made $13K a month. HiPointDem May 2012 #23

Many of the posters are so glued to the 1% claim made by some, bluestate10 May 2012 #57

The median income for men with a bachelor's degree = $51K, for women $40K. That's for ALL HiPointDem May 2012 #73

I never said the loans could be paid off in one year -- I said several years. pnwmom May 2012 #90

and i gave you the example of my cousin the recent *nursing* graduate, supposedly a safe field, HiPointDem May 2012 #100

I won't argue that there are many people in way over their heads. pnwmom May 2012 #122

Well, *I* landed a six-figure salary! KansDem May 2012 #10

What type of training do you have? bluestate10 May 2012 #60

These days, you may train for a field that does pay well, Habibi May 2012 #67

It is wiser to train for a field that one loves. bluestate10 May 2012 #69

I trained for a profession I would love doing KansDem May 2012 #108

My young cousin told me today that she hasn't been able to find a nursing job in our area HiPointDem May 2012 #95

"It helps to have a low-six-figure salary..." villager May 2012 #3

Very resourceful KansDem May 2012 #4

Nobody who is serious about reducing debt should *ever* eat fast food. Nye Bevan May 2012 #5

Right. People who eliminate one cup at Starbucks a day could save a thousand dollars a year. pnwmom May 2012 #9

They don't add up to $12.8K a MONTH. Which is what he paid back. HiPointDem May 2012 #24

Plus getting a second job, cashing in all retirement funds, and selling his belongings on Craigslist dkf May 2012 #31

I didn't realize 20-somethings typically had big retirement accounts and owned houses with extra HiPointDem May 2012 #48

I was a 20 something that had more in my retirement account bluestate10 May 2012 #71

Very few people make that kind of money out of college. EOTE May 2012 #77

I am not calling the guy virtuous. bluestate10 May 2012 #81

You very well are. EOTE May 2012 #84

You're saying your mom and dad made less than $7K in 3 years? Because that's what I thought you HiPointDem May 2012 #93

I never said it did. But a thousand dollars is a thousand dollars. pnwmom May 2012 #54

average student loan debt = $25-$28,700, per this: HiPointDem May 2012 #61

Using some of the statistics from the links you posted. bluestate10 May 2012 #78

I just linked an article which said average debt = $25-28K, so what do you mean by "typical"? HiPointDem May 2012 #86

I agree with you that that is doable under the circumstances you mention. pnwmom May 2012 #88

I don't think it's insulting to talk about saving a thousand a year by forgoing Starbucks. pnwmom May 2012 #87

Of course it's insulting, because the assumption behind it is that people other than yourself HiPointDem May 2012 #92

I don't drink Starbucks, a la izquierda May 2012 #107

That is a huge amount of debt you've taken on. pnwmom May 2012 #121

13 years of school. a la izquierda May 2012 #129

I have a friend who does this on a regular basis... Phentex May 2012 #20

He just cost the student loan industry a pile of money. The combat drones are on their way. Zalatix May 2012 #13

If only people realized the best way to get at "the man" is to pay off debts ASAP. dkf May 2012 #33

If you physically can come up with the money to do so, then you're right. Zalatix May 2012 #35

Oh, for Pete's sake. Habibi May 2012 #14

It's all about rugged individualism! If he can do it, everyone can! Zalatix May 2012 #36

Winner, winner, chicken dinner! Ikonoklast May 2012 #45

"Winner, winner, chicken dinner!" LOL!! Zalatix May 2012 #58

I also like the part about liquidating his IRA riderinthestorm May 2012 #15

Have a high paying job. Break the law. Don't spend a lot. Clear out your IRA. If you have one. Or a uppityperson May 2012 #16

Good for him! bhikkhu May 2012 #17

Jesus H. Christ, a six-figure salary??? What a maroon, liquidating an IRA (tax-sheltered) to coalition_unwilling May 2012 #19

Student loan interest is NOT DEDUCTIBLE if you make 75k+ filing single. nt kelly1mm May 2012 #22

Goes to show my income bracket, I guess (<$75 K). But I would coalition_unwilling May 2012 #59

A 25% tax rate and a 10% penalty applies to early bluestate10 May 2012 #82

I thought part of it would be taxed as long-term capital gains. HiPointDem May 2012 #94

I noticed that, too. Marr May 2012 #66

He is not so dumb. bluestate10 May 2012 #83

He had to pay a 10% penalty to liquidate it before age 59 1/2. And coalition_unwilling May 2012 #99

I can attest to restaurant dining (even McDonalds). It adds up quick. joshcryer May 2012 #29

It also sounds as though he has a 3 bedroom house. Did anyone else catch that part? riderinthestorm May 2012 #34

Yes, and paying a note on a three-bedroom, even if it's in a neighborhood less classy than his HiPointDem May 2012 #96

Downpayment, taxes, repairs.... riderinthestorm May 2012 #112

What a clueless, entlited, elitist dick. Odin2005 May 2012 #38

"It helps to have a low-six-figure salary" fishwax May 2012 #39

What a joke. Ikonoklast May 2012 #41

+100,000. closeupready May 2012 #119

Fuck. The Midway Rebel May 2012 #42

DUH, if I had a 6 figure salary DiverDave May 2012 #49

Uh, a lot of people do all that stuff because they HAVE to. Marr May 2012 #63

Insanely stupid to follow his footsteps taught_me_patience May 2012 #97

Next from the Wall St Journal: How to buy a million dollar house without going into debt high density May 2012 #101

The people saying how great this guy is are the same people who'll tell you how "hard" it is for HiPointDem May 2012 #102

I'm looking for a word.... progressoid May 2012 #103

If this is not an Onion article, it should be. Bonobo May 2012 #105

Single guy with a six-figure salary, probably no other debt or obligations-- TwilightGardener May 2012 #109

Excellent, renminds me of Steve Martin's advice. dems_rightnow May 2012 #110

Jealousy rears it's angry head on this thread... the guy went to the University of Michigan then NotThisTime May 2012 #113

Yes, obviously we're all just sooo jealous of him Saokymo May 2012 #114

Spare us the "Class Warfare!!1!!" crap. HughBeaumont May 2012 #117

Wooosh. The article is total bullshit. Ikonoklast May 2012 #123

More libertarian bullshit. white_wolf May 2012 #124

Yahoo Finance . . . the "STFU, Get off Yer Pity Pots & Pull Yourselves Up by Yer Bootstraps!" site. HughBeaumont May 2012 #116

Note: The OP did not make a comment in the OP or reply to a single post in this thread. ellisonz May 2012 #125

There are a number of RW trolls running around posting memes like this. stevenleser May 2012 #127

Heinlein lover. Ikonoklast May 2012 #128

"It helps to have a low-six-figure salary, as Mihalic does working for Dell Inc." ellisonz May 2012 #126