I'm in my first year of practice out of residency. Unfortunately, I have a massive student loan burden of $488,000 thanks to the ridiculous cost of medical school tuition these days and the high rates of student loan interest. I have refinanced my loans with SoFi and thankfully consolidated to a much lower interest rate. I'm currently paying almost $6,000 monthly to SoFi in a 7 year repayment plan.
I have heard colleagues mention a strategy for paying off student loans that may save me a ton of money in taxes. This involves securing a loan for your business (I have an LLC that I get paid from my job in the form of 1099 income). If this occurs, then the interest on the business loan is tax deductible (to a greater extent than the $2,500 limit from student loan interest).
Has anyone heard of this strategy? Is anyone knowledgeable enough in taxes (and tax law!) to know if this is accurate and could potentially help me?
Thanks
I have heard colleagues mention a strategy for paying off student loans that may save me a ton of money in taxes. This involves securing a loan for your business (I have an LLC that I get paid from my job in the form of 1099 income). If this occurs, then the interest on the business loan is tax deductible (to a greater extent than the $2,500 limit from student loan interest).
Has anyone heard of this strategy? Is anyone knowledgeable enough in taxes (and tax law!) to know if this is accurate and could potentially help me?
Thanks
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