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My significant other and I are both in the dental field (orthodontist and pediatric dentist) and practice in a very saturated area. One of us are in a corporate environment at make ~$300,000 annually and has a 401K (3% match) and HSA. The other a private practice $240,000 (which may vary based on production). Combined post tax income is around $25,000/month. If we buy into the private office the income would double as an owner, eventually. We have also tossed around the idea to do a start up and the income would shrink drastically for a few years. So the income would be decreased by 1/4-1/3. This is one of the reasons why we have no refinanced our student loans. Or is it time to do so, if so, fixed vs. variable?
Combined student and residency debt: $600,000 at 5.0-6.8% (majority at 6.8%)
Family debt $20,000 (can be paid back whenever)
Refinced student loan debt under family name $20,000 @3.5%
We have a total of $85,000 in savings. Eventually would like to buy an average 3 bed/2 ba house and most sell for around $750,000 in the area.. Our student loan payments are almost $8,000/month.
We live extremely frugally, rent is $1,200 in a questionable area.
What would your plan of attack be?
I was thinking we should max 401k at 18k/yr and max HSA. We rarely eat out, including gas, utilities, traveling (limited), and disability insurances our monthly spending less student loans is between $5-6500/month.
Save $4,000/month for a house.
Spend the extra $6,000 a month on student loans and be free in about 5 1/2 years?