Phase 3 Finances & Debt Management

Transcription

1 Phase 3 Finances & Debt Management Deedee Colussy Program Manager

2 Why do I Need to Know This?

3 Class of 2016 Indebtedness Public: $180,000 Private: $200,000 National Median: $190,000 CU Average: $203,000 75% of Class w/ Educational Debt Source: AAMC Graduate Questionnaire

4 Oh, That s Why!

5 Books & Supplies $300 $300 $100 $0 $0 $0 *USMLE 2: Exam fees and prep material *Academic Travel: $1000 in Summer 18 for Step 2 CS (Airfare, hotel, taxi, etc.) The Breakdown Financial Aid Year 2 Financial Aid Year 3 Fall 2016 Spring 2017 Summer 2017 Fall 2017 Spring 2018 Summer 2018 Tuition (of Annual Amt.) 1/2 1/2 1/3 1/3 1/3 1/3 Accountable Student Fee 1/2 1/2 NA 1/2 1/2 NA Health Insurance 1/2 1/2 NA 1/2 1/2 NA Living Expenses *Insurance charges are student specific. Months Sept.-Jan. Feb.-June July & Aug. Sept.-Jan. Feb.-June July & Aug. USMLE $1000 NA $2085* NA Academic Travel $150 $200 $350 $680 $680 $1340*

6 Current Living Expenses $2000/month (Through August 2017) Room & Board: rent, utilities, renters insurance, groceries & eating out Personal: recreation, hygiene & entertainment Personal transportation: personal fuel, basic maintenance, insurance & registration Summer refund: week of June 20th Rent/Utilities: 1340 Food: 370 Personal: 140 Transportation: 150 $2000

7 Future Living Expenses Fall refund: week of August 28 th Spring refund: week of January 8 th, 2018 $2100/month (September 2017 May 2018) Rent/Utilities: 1440 Food: 370 Personal: 140 Transportation: 150 $2100 Carefully review your expenses. You might find room to reallocate money to other areas or decrease your borrowing.

8 Managing Your Refund Direct deposit into savings account Review your student budget and estimated expenses Allocate funds for exams and travel Schedule monthly transfer Subtract irregular and safety net amount Example: Insurance: 300/6= $50/mo. Registration: 150/12=$12.50/mo. Maintenance: (40)=460/12 = $38/mo. Living allowance transfer: = $

9 Estimated Summer Aid Tuition & Fees: $12,248 Living & Travel: $5,227 Total: $17,745 Remaining Annual Stafford loan: $4445 Annual Maximum is $47,167 (Fall 16-Summer 17) Graduate PLUS: $13,300

10 Loan Interest Rates Loan Aid Year 2 Aid Year 3 Stafford * surcharge = 5.81% PLUS * surcharge= 6.81% 17/18 Interest rates will be calculated at the end of May based upon the 10 Year Treasury Bill for loans disbursed after 7/1/17 through 6/30/18. Review your borrowing for both academic years to determine best borrowing strategy, and notify me if you need to adjust your current package. 10,000 at 6.81% would cost an additional appx. $480 in interest to repay.

11 Reminders Summer Award Offer: Mid-May 2017 Year in UCD Access 17/18 FAFSA 2015 Tax information (again) Award Offer: June 2018 Year in UCD Access Continuing MD Student Scholarships Application Available Now June 5th Due Date

12 Reminders Part 2 Borrow wisely Only borrow what you need, not what you want Contact me to reduce your loans within 45 days of receiving a refund or discuss strategy Origination fees and interest is waived. Do not send money directly to your loan servicer! Credit History: Impacts your ability to receive PLUS loans Adverse-free history required

13 Money Management Tools Electronic Excel budget template Mint.com: website, app, text, s and goals Many other web-based products Non-electronic: Pen and paper Envelope system Should/can you automate bill payments to make things easier?

14 Thoughts to Consider How do you currently manage and track your spending? What are you doing that works well? What needs improvement? What financial changes and challenges are you anticipating for phase 3?

15 M3 Budget Considerations Rent & Utilities Food expense (!) Professional Attire & Dry-cleaning Car Personal transportation in living allowance: registration, maintenance and insurance Academic travel: increased mileage Health care: CU Student Insurance vs. Private Plan (waiving CU coverage) Including an amount for the unexpected, if possible

16 What if? Budget Increase Appeal: My car breaks down: Major repairs considered, not maintenance Itemized receipts from repair shop I have a large medical/dental bill(s) or expensive prescription? Contact Deedee for directions on how to submit appeal Computer/Technology Appeal: My laptop crashes, is stolen or falls in the sink? It depends, please contact me Appeals are processed as a reimbursement and loans are used to fund the increase.

17 Debt Management Information Picking a plan that fits your career, life & financial goals. ICC 2 Check-in, Debt Management Tools and Loan Programs ICC 3 Phase 4 Finances & Interview Expenses ICC 4 Mandatory Loan Repayment Session Optional Individual Counseling ICC5 Optional Interest Session

18 Debt Management Tools Medical Student Financial Aid Page: ucdenver.edu/anschutzfinaid/medstudents AAMC FIRST MedLoans Organizer and Calculator SALT

19 Questions? Deedee Colussy Direct Phone: Location: Student Life Building 500 ucdenver.edu/anschutzfinaid/medstudents