Chiro MBS

Chiropractic Marketing, Business and Sales

  • Home
  • New? Start Here!
  • Free Stuff
    • Testimonial Templates
    • Closes for Chiropractic
    • Customer Avatar Worksheet
    • Facebook Images Template
  • Products
  • Required Reading
  • About

5 Reasons Not to Worry About Your Student Loans

May 11, 2016 By Alex Leave a Comment

FacebookTwitterBufferSubscribe
MailGoogleLinkedinReddit

Enter Your Name and Email Below for Regular Updates and More!

I see friends and people I know furiously paying down their loans. Really using every last cent to pay them down. They were probably trained from a young age to avoid debt. I completely agree that it’s smart to avoid debt.

However, when it comes to student loan debt, I’m not really worried.

Here are 5 reasons you shouldn’t be worried either:

Having Some Low Interest Debt Isn’t a Big Deal

A lot of companies keep cash on their books despite having debt. You know why? Because of opportunity cost. If you are spending all of your money on loans, you aren’t going to have any around for other stuff you may want or need.

It’s nice to have cash around. Maybe something will come up that you want to buy, or another investment will pop up that’s really attractive. Maybe you need to buy a refrigerator, who knows. The point is, it’s nice to keep cash around and it’s ok to have some debt.

Consider the following:

Student-Loans-smallSay I want to buy a car. The car costs 30 grand. I have 30k in my bank account.

Should I spend all my cash on my car? Or should I finance it?

While I think it’s great to pay cash, if this is going to wipe out the cash reserves you have, it doesn’t make sense. It makes even less sense when you can get a car loan for next to nothing. What if something comes up, like you need to buy a new washing machine or something? Are you going to put it on a credit card with a high interest rate?

Many smart people see student loans the same way, and they are right.

It’s an Investment

You took student loans so you could pay for a chiropractic education. You probably became a chiropractor because you had a good experience with chiropractic and it was something that interested you as a career.

Chances are you know some chiropractors that make decent money. That may have been part of your motivation to become a chiropractor.

So, you spent the loan money on an education that you expect will make you money. It will. As you begin to make more and more money, the amount you pay for your loans will seem insignificant, because it will be insignificant.

You probably have a low interest rate, so there’s no harm in taking the full term to pay back the loans, which takes me to my next point:

Student Loan Interest is Tax deductible

The interest you pay is tax deductible. That means you effectively have an even lower interest rate than you think you have.

Whatever you pay in interest is deducted from your taxable income. This means you pay less. Less is good.  For every $1,000 you spend in interest payments, you will get around $300 dollars back.

That means there is even less reason to throw all your money at your loans, because you aren’t really penalized that much for taking your time.

There are Plenty of Affordable Payment Plans Available

There are a lot of different plans available for you to pay off your loans. The different plans make it very affordable. If something happens and you can’t pay for whatever reason, you can call your lender and pause your payments. If things are going well you can pay more against the principal.

You can even do an income based repayment which means you only pay a small % of what you make towards your loans. When you factor in tax deductible interest payments, you are paying even less.

If You Think 150k is a Lot of Money, You’ll Never be Wealthy

Ultimately, 150k is not a ton of money. A lot of practices make that in a month. Once I expressed my concern about my debt to a successful friend Dan.

This guy was close to a half a million dollars in debt because of his businesses. I asked him if he was every concerned about that much debt and he said “if you think 450k is a lot of money, you’ll never be really wealthy.”

He now doesn’t have a debt problem. He doesn’t have money problems either.

Obviously this message stuck with me, because the same mentality applies to us. If we think 150k in student loans is a lot of money, we’ll never be truly wealthy. When you think that way, you’re framing the size of your loans as “a lot.” When you put something in those terms, “a lot,” it makes it a bigger number than it is, and maybe puts it a little out of your grasp.

Here’s a much better way to look at your loans: Your loans are a small investment that’s really no big deal because there are flexible ways to pay them off and they’re going to end up making you a lot of money over your career.

Isn’t that a nicer way to look at them?

Do you have some friends who are losing sleep over their loans? Share this post with them:

FacebookTwitterBufferSubscribe
MailGoogleLinkedinReddit

Enter Your Name and Email Below for Regular Updates and More!

Related posts:

  1. The Truth About Abundance Part 2 – Everybody Can Have Pie
  2. Your Financial Identity (Abundance Part 3)
  3. The TRUTH About “Abundance”

Filed Under: Economics, Mindset Tagged With: abundance, wealth

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

Hi I’m Dr. Alex, and ever since I started my own practice I've been obsessed with learning business and marketing.

I've done everything from bootstrapping my own practice to working in a million dollar practice. I've spent a ton of time, energy and money learning this stuff, and I made this website to give you the most powerful and relevant information on business, marketing, sales and mindset, without fluff or hype, so you can shortcut your path to success and not get ripped off in the process.

Like My Page for Fun and Useful Content!

Stuff I Like

Categories

  • 60 Second Studies (11)
  • Book Reviews (3)
  • Business (20)
  • Communication (2)
  • Economics (3)
  • Finance (1)
  • Marketing (16)
  • Mindset (29)
  • Persuasion (9)
  • Positioning (7)
  • Reality (3)
  • Reviews (1)
  • Sales (14)
  • Time Management (1)
  • Trust Building (3)
  • Videos (11)
  • Wealth (2)

Tags

60 Second Studies abundance adversity Book Reviews celebrity China closing coaching commoditization communication consulting customer avatar defining your audience economics ethics exercise fees finance health high fees Inspiration marketing mindset money Motivation negotiation NLP persuasion positioning Practice profit psychology reality reviews selling service social media Speaking subluxation time management Trump Trust videos wealth Youtube

The TRUTH About “Abundance”

The Truth About Abundance Part 2 – Everybody Can Have Pie

Sneaky Tricks That Win Arguments and How to Defend Against Them

Who Do You Want to Be? Walmart? or Waldorf?

How to Set up a Google Plus Page for Your Business

Recent Posts

Sugar Sweetened Beverages Cause Premature Cell Aging

The Vitamin that Helps Prevent Dementia

Get Out of the Office!

High Blood Sugar Causes Brain Damage

Reduce This Risk Factor to Prevent Dementia

Tags

60 Second Studies abundance adversity Book Reviews celebrity China closing coaching commoditization communication consulting customer avatar defining your audience economics ethics exercise fees finance health high fees Inspiration marketing mindset money Motivation negotiation NLP persuasion positioning Practice profit psychology reality reviews selling service social media Speaking subluxation time management Trump Trust videos wealth Youtube

Products

The Playbook for a Winning Chiropractic Practice

The Ultimate Lead Generating Business Card

The Ultimate Follow Up Formula

Affiliate Disclosure

Some of my links to products contain affiliate links. If you make a purchase after clicking a link, I may receive a small commission. This commission comes at no charge to you, and I only recommend stuff I love / use / read.
Follow @Alex_Wiant

Subscribe for Updates!

Copyright © 2022 · News Pro Theme On Genesis Framework · WordPress · Log in

Close
Do you want to read more similar stories?

if you like our Facebook fanpage, you can read everyday such amazing stories.


Do you already like us on Facebook?
Do not ask me again for Facebook

Continue to the article »
Logo Mobile Logo
FacebookTwitterBufferMail

Enter Your Name and Email Below for Regular Updates and More!

Start Getting Meaningful Testimonials TODAY!

Just enter your info below and click "Get It Now!" for my
Testimonial Generating Email Series and Template
That Generate Great Testimonials that Overcome Objections,
Define Specific Benefits and Outcomes, and Attract Your Target Patients!
x

Tired of Hearing "Let Me Think About It?"

Get My Free PDF
"Closes for Chiropractic" and
Start Overcoming Lame
Objections and Excuses
Like a Total Pro

Just Enter Your Name and Email Below and
Hit "Get It Now" For Rapid Delivery!

x