Your college grades were outstanding; your LSAT performance was remarkable; your professors graciously wrote you letters of recommendation with flying colors; and your application to law school is flawless – now the hard part comes – choosing which school best matches your interests and ambitions.

Assuming you do not qualify for a merit scholarship, attending law school likely requires taking out loans; but how much debt should be taken on?

1. You’ll have a hard time paying it off

Law school debt requires several important considerations when managing. First and foremost is how much of your monthly budget you can devote towards paying back each month, taking into account interest rate, loan balance and repayment term – you can use an online student loan calculator for an estimate.

Consider whether or not you qualify for any scholarships. Law schools frequently provide various grants that can reduce the amount you must borrow.

Once you graduate, it’s important to develop a plan for how you’ll repay your debt. This could involve working in public service for several years to reduce the ratio between debt-to-income or using income-driven repayment options and loan forgiveness programs, or setting aside all extra money towards paying it off quickly as quickly as possible. It is up to you, but remember the consequences of too much law school debt could be severe.

2. You’ll have a hard time finding a job

As law school tuition continues to soar, more new attorneys are questioning its worth. A recent survey discovered that more than 25% of lawyers regret attending law school; one possible reason could be the amount of debt graduates accumulate during their studies.

Understanding your post-graduation debt and its impact is critical. Furthermore, be informed about all options for loan repayment as well as tax implications.

One effective strategy for reducing debt is using any extra funds you receive such as bonuses or tax refunds to pay down principal balance. Doing this will save you thousands in interest over the life of your loans and could potentially accelerate repayment more quickly. Furthermore, loan forgiveness programs designed specifically to assist public service and nonprofit sector workers may offer help that allows faster debt reduction.

3. You’ll have a hard time paying your bills

One of the major hurdles facing law school graduates is meeting their financial obligations, whether that means saving for retirement and creating an emergency fund or meeting basic living costs.

Before embarking on law school studies, prospective lawyers should carefully consider how student loan debt will impact their ability to pay bills. Investigating repayment plans, loan forgiveness programs and other forms of assistance will allow them to make an informed decision regarding how much student debt they wish to incur.

Students deciding how much to borrow for law school should also factor in their expected earnings after graduation when making this decision. A good rule of thumb would be limiting borrowing to no more than 20% of your expected annual income, in order to avoid becoming indebted and still afford their desired standard of living after graduating. Many new attorneys struggle with paying back student loans and therefore have to delay important life milestones such as buying a house or having children due to repayment commitments.

4. You’ll have a hard time saving for retirement

Unintentional legal education debt could hinder your savings for retirement, so it is wise to be mindful when enrolling in law school.

An individual law graduate earning $50,000 annually would typically owe about $1,170 monthly in loan repayments (Stafford, Perkins and Grad Plus loans) over 10 years under the standard plan if their debt consolidation does not include other forms of consolidation.

Law school borrowing can be significantly decreased by attending a low-cost or public law school and applying for external scholarships and pipeline programs. You could also take a financial pause before committing to law school and consider other strategies such as refinancing, loan forgiveness or signing up for an income-driven repayment plan. Furthermore, numerous companies provide student loan consolidation and financial wellness products at low or no costs online.