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Revolutionizing Student Loan Repayment: Dentists’ Untapped Solutions to Student Loan Debt

The three-year student loan payment pause will come to an end in October, 2023.

Are you among the countless Americans who feel a chill down their spine at the mere mention of student loan debt? If so, you’re not alone. A staggering 83% of dentists find themselves burdened with student loans, with nearly 40% carrying a hefty load of over $300,000. Even in high-paying careers like dentistry, anxiety and uncertainty creep in, leaving many dentists pondering the most cost-effective approach to repayment. And now, with the impending end of the three-year student loan payment pause in October 2023, dentists across the nation are once again faced with addressing the elephant in their professional lives – STUDENT LOAN DEBT.

In our quest to unravel the student loan dilemma, we’ll embark on a journey through the eyes of Dr. Leonard, a fictional 28-year-old dentist. Having graduated during the COVID payment pause, Dr. Leonard finds himself with $293,000 in student loan debt at a 6% interest rate. Married and eagerly anticipating the arrival of a child, he operates a flourishing practice and can comfortably manage a monthly debt payment. However, as October approaches, he grapples with underlying anxiety, sensing that there must be a more efficient way to navigate the repayment process but unsure of where to turn.

Dr. Leonard serves as a representative figure for all dentists burdened with student loan debt. Whether they’re 30, 60, or even 80 years old, with $70,000 or $700,000 in debt, owners, or associates, the strategies Dr. Leonard discovers can be applied universally.

Through his exploration, Dr. Leonard uncovers a glaring issue within the realm of student loans—an overwhelming majority of the information available fails to consider the unique circumstances of successful dentists. Dentistry stands apart as a profession with an astonishingly high level of debt (the average dentist carries $293,000) coupled with higher earning potential ($180,000 for average associates and $335,000 for average practice owners).

This distinctive situation paves the way for more innovative and tailored solutions that others may not have considered.

In this article, we will dive into the five primary strategies for student loan repayment as Dr. Leonard evaluates each option. Together, let’s navigate the path to financial freedom and explore the best approach to conquer student loan debt.


Conventional Repayment

Dr. Leonard finds himself contemplating the conventional approach as the impending end of the three-year student loan payment pause approaches. The conventional method involves selecting a specific timeframe, such as 10 or 25 years, for loan repayment. Choosing a shorter duration leads to higher monthly payments, while a longer time frame results in smaller payments but higher overall costs. Dr. Leonard will select a monthly payment that fits his cash flow. Once the chosen timeframe is completed and regular monthly payments have been made, the debt is cleared.

Optimization Strategies Available:

  • None

Refinance Repayment:

Dr. Leonard considers the option of refinancing his government-issued student loans. By transitioning from a government loan to a private bank loan, he can potentially lower the interest rates and save money over the life of the loan. This strategy catches Dr. Leonard’s attention as he seeks a more efficient way to navigate the repayment process and reduce his overall interest costs.

Optimization Strategies Available:

  • Transition high-interest government loans to private loans

Super Pay Down Repayment:

As Dr. Leonard eagerly anticipates the arrival of a child and operates a flourishing practice, he considers the Super Pay Down strategy. This approach allows him to allocate extra funds towards his student loans, accelerating the repayment process and becoming debt-free sooner. Dr. Leonard contemplates whether he has the additional cash flow or is willing to make lifestyle adjustments to pursue this strategy.

Optimization Strategies Available:

  • Allocate more money to the debt and get out of debt faster
  • Refinance into a lower interest rate and then pay it down faster (be cautious of potential early payoff fees)

Public Service Loan Forgiveness:

Dr. Leonard discovers the Public Service Loan Forgiveness program, which offers debt forgiveness after 10 years of service in a qualifying public service job or business. He realizes that by incorporating a non-profit component into his dental practice, he may be able to unlock the benefits of loan forgiveness while still working in a private practice setting. Dr. Leonard evaluates whether dedicating a portion of his time to volunteering or establishing a non-profit dental clinic aligns with his long-term goals and financial aspirations.

He could also work for at least 30 hours a week at US federal, state, local, or tribal government offices, public education (including university), family service agencies, special government districts, and tax-exempt 501(c)(3) organizations. When the loan is forgiven, no taxes are due on the forgiven amount.

Optimization Strategies Available:

  • Collaborate with a student loan specialist to reduce your monthly payments over the ten-year repayment period.
  • Incorporate a non-profit component into your business to unlock the benefits of loan forgiveness.
  • Seize the opportunity to build wealth by utilizing the funds saved through optimized student loan repayment.

Income Driven Repayment:

Dr. Leonard explores the flexibility and benefits offered by Income-Driven Repayment (IDR) programs. These programs cater to both low and high-income earners, lowering monthly payments. Upon successfully completing all income driven repayment programs, borrowers become eligible for loan forgiveness. These income driven repayment programs typically span a duration of 20 to 25 years and are being enhanced by the government as we speak.

Dr. Leonard recognizes that enlisting the expertise of a student loan specialist could not only aid in reducing his monthly payments throughout the repayment period but also potentially enable him to build a significant nest egg alongside loan repayment, all without the need to make adjustments to his current cash flow.

Optimization Strategies Available:

  • Collaborate with a student loan specialist to reduce your monthly payments over the twenty-to-twenty-five-year repayment period
  • Seize the opportunity to build wealth by utilizing the funds saved through optimized student loan repayment

As Dr. Leonard delves into the details of each strategy, he weighs the advantages and considerations of different approaches. He seeks to find a solution that not only eliminates his student loan debt efficiently but also aligns with his personal and professional goals.

Yet, his thirst for knowledge remains unquenched. How can he break free from the clutches of debt the fastest? Which approach not only leads to debt free but also paves the path to wealth creation? And, which strategy grants him the flexibility to design his ideal future? Driven by these pressing questions, Dr. Leonard eagerly immerses himself in the mathematical data behind each strategy.

Before we embark on this analysis, it is crucial to establish a solid foundation by considering Dr. Leonard’s unique situation, taking into account various facts, circumstances, and assumptions. This comprehensive approach ensures the accuracy of our comparisons and provides us with a reliable framework for evaluating the different strategies.

Let’s set the stage with some ground rules. Any dollar invested in a nest egg will generate a net return of 4%. If Dr. Leonard manages to pay off his debt in less than 25 years, we will redirect his previous monthly payment into the nest egg, where it will also earn a 4% return. Moreover, in cases where there is a notable disparity between the conventional method and an alternative solution, we will allocate that difference to the nest egg, enabling it to grow with a 4% return.

By applying these parameters, we can meticulously analyze the potential outcomes and make informed comparisons between the strategies at hand.

Debt Free Fastest
FirstSuper Pay Down
Tied for secondConventional 10 years
Refinance 10 years
Public Service Loan Forgiveness
Tied for lastIncome Driven Repayment
Refinance 25 years
Conventional 25 years
Total Out of Pocket
FirstPublic Service Loan Forgiveness$167,040
SecondIncome Driven Repayment-with the assistance of a student loan specialist$290,880
ThirdSuper Pay Down 4-7 years$330,293-$359,546
FourthRefinance to 4.96% 10 years$372,239
FifthConventional 10 years$390,348
SixthRefinance to 4.96% for 25 years$511,808
SeventhConventional 25 years$566,341
Nest Egg Built10 year Horizon25 Year Horizon
FirstIncome Driven Repayment-with the assistance of a student loan specialist$593,203$1,856,780
SecondSuper Pay Down-7 years$165,920$1,363,116
ThirdConventional 10 year$0$812,881
FourthRefinance 10 year$0$775,170
FifthPublic Service Loan Forgiveness$67,133$592,454
TieRefinance 25 year$0$0
Conventional 25 year$0$0

Monthly Payment
FirstIncome Driven Repayment-with the assistance of a student loan specialist$300
SecondPublic Service Loan Forgiveness$1,214 to $1,584
ThirdRefinance 25 years$1,706.03
FourthConventional 25 years$1,887.80
FifthRefinance 10 years$3,101.99
SixthConventional 10 years$3,252.90
SeventhSuper Day Down 4-7 years$4,259.01-$6,881.11

As Dr. Leonard delves into the data, he uncovers some valuable insights…

First and foremost, if Dr. Leonard’s top priority is to eliminate his debt as quickly as possible, the super pay down strategy emerges as the winner. However, it’s important to note that this approach comes with a significant monthly payment ranging from $4,259 to $6,881. Such a commitment may exert substantial strain on Dr. Leonard’s cash flow and personal life. He may have to postpone purchasing a home, building wealth, or enjoying experiences like vacations.

It’s crucial for Dr. Leonard to strike a balance between debt repayment and quality of life, as scarcity is also a slippery slope and it may lead to getting in the habit of never experiencing life and always growing a nest egg hoping for a someday. Finding a sustainable middle ground that allows for debt reduction while still enjoying the present moment is key.

On the other hand, if minimizing the overall out-of-pocket cost is Dr. Leonard’s primary concern, the Public Service Loan Forgiveness option holds great appeal. However, it’s worth mentioning that this route may not be available to all dentists, including Dr. Leonard. It requires working in a non-profit, government practice, or starting a non-profit practice while dedicating at least 30 hours per week. This decision could potentially limit Dr. Leonard’s business opportunities, income potential, or even lead to engaging in work he dislikes for a decade solely for the purpose of debt elimination.

Lastly, income-driven repayment supplemented by the expertise of a student loan specialist. This approach offers the dual advantage of the lowest monthly payment and the opportunity to build a substantial nest egg simultaneously. It provides unparalleled flexibility and remarkable potential for financial growth. If Dr. Leonard is willing to accept a 25-year repayment period, the results are truly astonishing. By the end, Dr. Leonard would have amassed a nest egg exceeding $1,000,000 while keeping the overall out-of-pocket expenses lower than all options except the public service loan forgiveness program.

Ultimately, Dr. Leonard must determine what he values most: rapid debt repayment or optimal utilization of available funds. The choice hinges on whether he prioritizes becoming debt-free quickly or achieving the most efficient and effective use of his financial resources.

student loan financial freedom


As we’ve journeyed alongside Dr. Leonard, we’ve witnessed first hand the immense stress and burden that student loan debt imposes on dentists. Regardless of their high income, this financial weight engenders anxiety and hampers their ability to thrive.

We’ve explored various student loan repayment strategies, delving into their intricacies and benefits. Lastly, we’ve delved into the future financial impact of each strategy by analyzing the data.

In this exploration, we’ve discovered that if your utmost priority is to attain debt freedom with utmost haste, the super pay down method emerges as the clear winner. However, it comes with the trade-off of potentially straining your cash flow and putting certain aspirations on hold.

For those who yearn for flexibility and the ability to build wealth concurrently, income-driven repayment, bolstered by the guidance of a student loan specialist, proves to be an exceptional solution. This approach not only offers the lowest monthly payments but also provides the opportunity to cultivate a substantial liquid nest egg over time. It offers the chance to free yourself from debt while simultaneously forging a path towards financial prosperity.

Alternatively, if minimizing your total out-of-pocket expenses is your primary objective, the public service loan forgiveness program shines as a viable option. However, it’s crucial to note that this avenue may not be accessible to all dentists, as it necessitates meeting specific criteria and potentially sacrificing business opportunities or personal preferences.

Remember, there is no definitive right or wrong answer in this realm. The key lies in aligning your chosen strategy with what you value most—whether it’s rapid debt elimination, financial flexibility, and wealth creation, or minimizing overall costs.

Now armed with the knowledge and insights we’ve gained, it’s time to take action. Take charge of your student loan debt and embark on a path that leads to financial freedom. Explore the options, seek guidance from professionals, and make an informed decision that empowers you to overcome this burden and pave the way for a prosperous future.

It’s time to reclaim control and build a life where student loan debt no longer holds you back. The power is in your hands—seize it and thrive!

If you’re ready to speak with our dedicated specialists and discover the solution that aligns with your unique circumstances, take the first step by scheduling a free consultation. Let us guide you towards a prosperous future where your financial well-being and dreams go hand in hand.

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