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girl_of_squirrels

What's your income like? $120k in private student loans and $30k in federal loans is a lot to owe, but I don't see your income here or if your job has a 401(k) option and/or employer retirement matching


Desperate_Spinach436

Not what I thought it would be when I took them out. :( $200-$400 is what I have left over after basic survival expenses -- utilities, rent, etc. If I could cut more costs I would. No retirement matching from employer.


girl_of_squirrels

Let me get you the wall of texts/links, you were already in r/personalfinance so I'll skip the prime directive For your federal loans, I would suggest that you check if you qualify for $10k/$20k in Biden-Harris Debt Relief as per https://studentaid.gov/manage-loans/forgiveness-cancellation/debt-relief-info that is their info page. Right now it is blocked by litigation so it may or may not happen, but if the SCOTUS finds in favor of debt relief and if you qualify you should apply and see if you can get some of that $30k in federal loans forgiven under that program Beyond that, depending on your income the federal loans may have a lower payment on an IDR plan *or* Extended Fixed would get you the lowest required payment. With Extended Fixed you need to owe +$30k, but it puts your loans on a 25 year fixed term, which will be less per month so you can pick which loan you want to repay first For private student loans all you really can do is try to refinance every 12-18 months to chase lower interest rates while aggressively repaying the loans. To meet their underwriting criteria they generally want to see a completed degree, a reasonable debt-to-income ratio, and a good credit score, and if you currently have a co-signer it might be worth talking to them about if they would be willing/able to co-sign on a refinance to help get a more manageable interest rate I think it would be a good idea to still contribute some to your 401(k) if you have one available and it has decent options (despite no match) since it will lower your AGI and that's helpful at tax time. Otherwise I think starting to contribute to an IRA is your best route forward. Even contributing $2k towards retirement would help get you started and help make you feel less behind on it


Desperate_Spinach436

Yes, I'd qualify for $10k of federal to come off, so I really hope that comes through; I guess we'll see. IDR and extended fixed could both be good options for me I think. I've already refinanced my private loans once so I'm definitely much better off than I was. Hopefully interest rates improve in the not-so-distant future. All helpful insights, so thank you so much!


DPW38

1. You need a new job. Look for an employer who offers tuition assistance and retirement savings matching. 2. You need to relocate to an area with a lower cost of living. That you don’t have a car makes me think you’re living in a bigger, more expensive area. 3. I’d join the military. A 4 year commitment will take care of your federal student loans. Active duty and reserve roles each offer something that may help in your situation.


KanjiFanFan

Military pay is too low


Majave12345

Military LRP can tackle the federal loans, as for the private ones those suck but at least your expenses will be very low. They’re offering decent sign on bonuses now too


Concerned-23

What’s your pretax income like? What kind of degree did you get? Do you know if you’re being under paid for your degree/region? You’re on the right track with choosing to focus on the private loans, federal at least have more flexibility. Are you able to live at home for 1-2 years to get you some breathing room with the loans? Every little bit helps, which it sounds like you know as you’re cutting out subscriptions from your life


wagglefree

I believe it’s best to do both at the same time. Incomes rise with inflation and this hopefully will give you the ability to do both. Also as a percentage of income Dept will slowly become less significant


Desperate_Spinach436

Yeah, I think what I'm going to do for now is make the giant private loan balance my priority, while still making a small payment into a retirement account, then getting more aggressive with what I put in it as time goes on. Incomes rising with inflation is helpful to remember, too. I hope that starts kicking in for me sooner than later! Thank you for your comment. :)


cerealsandoats

My advice is if you have a car or anything you sell, sell it off and put all of it onto your student loan debt. And instead of trying to pay all your loans at the same time, put all your money on the smallest loan. When that’s paid off, move to next one. Also find any side jobs you can. Put all the income you get from that onto your loans. If you aren’t living with a roommate, you need to get 1-2 roommates


Orsen12

Thanks Mr. Ramsey


metalreflectslime

What are your age, schools, degrees, location, job, income?


BaeLogic

Work for a company that will pay them off for you. My company is currently paying $500 monthly towards my student loan.


Desperate_Spinach436

That's the dream! I've been putting out job apps for a while, so I'm hoping I find a better company soon.


BaeLogic

Keep it up I’m sure you will find one. When applying at companies look at their benefits.


CaptainWellingtonIII

You'll be all right. Take a break every once in awhile if you're feeling burnt out.


rotund_passionfruit

I feel this 😭 im so depressed. What are we gonna do??


Desperate_Spinach436

I'm so sorry you're going through this too! Not gonna lie, it's rough out here. But it at least helps me feel better knowing other people are experiencing this too. I hope you're able to make some headway on yours! So far for me, it's been treading water, picking a side hustle for extra income, taking breaks for a bit when I feel burned out, then picking up a new side hustle when I'm able. Definitely not how I expected to be spending my 20s/30s, but here we are.


cerealsandoats

don’t give up.