[Lonesome in Massachussets]

He earns “five figures”, a minimum of $100,000 bucks. Student loan interest is typically 5%. The monthly payment on $100,000 of student debt at 5% and 20 years is $660/month or 7920 per year. Less than 8% of his income.

He will never be able to pay that back, if he doesn’t try.

[TangoLimaSierra]

He earns “five figures”, a minimum of $100,000 bucks.

That's 6 figures.

[Fido969]

“Five figures” is less than $100,000.

[BikerJoe]

He earns “five figures”, a minimum of $100,000 bucks.

Uh, no! SIX figures is a minimum of #100,000 bucks.

The student loan fiasco was never set up correctly. Should've been like a mortgage. Your intended degree better have a chance of paying off.

Article doesn't say what undergraduate degree ole' Jarrett has. An MBA by itself isn't worth much to me (IMHO). It's the combination of the undergrad + MBA that's worthwhile.

[dinodino]

Five figures is $10,000-$99,999. Six figures would start at $100,000.

[Bubba_Leroy]

He earns “five figures”, a minimum of $100,000 bucks. Student loan interest is typically 5%. The monthly payment on $100,000 of student debt at 5% and 20 years is $660/month or 7920 per year. Less than 8% of his income.

Yep. He could pay off his loans in only 15 years at $791 per month, less than 9.5% of his current income. If he wanted to pay off his loans in only 10 years, it would cost him $1,061 per month, less than 13% of his current income.

These all assume that his income would never increase over the next 10 to 20 years. The payments would be fixed, so as his income increases over the years, they would take up a smaller and smaller percentage of his income.

The magic of compound interest. Pay as much as you can as early as you can or you will end up paying a whole lot more over the life of the loan.

[ladyjane]

He earns “five figures”, a minimum of $100,000 bucks.

Five figures is less than $100,000.

[stanne]

A kid with a 100k loan needs to be able to manage a $200 a month payment

His parents have to advise him on that. What profession and lifestyle will allow such a situation. That is the discussion that needs to be had among the family. They are so leftist they trust the institutions

The parents are more to blame for this crap

[NEMDF]

I thought “five figures” would mean up to $99,999 but not six figures. ?

[JimRed]

Five figures? That’s 10,000 to 99,999.

[Getready]

From what I have read....6 figures is 100,000 up to much higher. So if this guy is 5 figures...it is 10,000 to 99,999...He probably makes 40,000/year as a cashier at a gas station(he is in the energy business)

[Night Hides Not]

Your math is deficient: six figures starts at 100,000, five figures ends at 99,999.

[muir_redwoods]

“ He earns “five figures”, a minimum of $100,000 bucks.”
Five figures could be as little as $10,000.

He has an MBA. He could be earning $125,000 in a few years. Paying it back is completely possible

[oldtech]

Excuse me, but I thought 5 figures meant $99000 or less. I made 5 figures most of my working life, but it was closer to $30000 or less;generally less. I’m now doing better on S.S.