Career & Financial Strain Hat
Stress During OPT/STEM OPT
Loans from your home country create an increased burden of stress during the OPT/STEM OPT period. The dilemma becomes more complicated than just “Will I get an H-1B?,” there is now the possibility of “If I don’t, I’m stuck in a country without the means to pay off my loan, how do I pay off my debt while living there?” The uncertain nature of the visa outcomes makes long-term financial planning almost impossible.
How to deal:
Build a financial buffer during the OPT period so that the EMIs can be paid while backed by some cushion and exploration of an H-1B is done.
Speak to your employer about global transfers or remote work positions that would allow for the continued earning of USD-equivalent pay while residing outside of the U.S.
Some of your lenders may provide temporary relief during the repayment period while residing in your home country, or due to currency change. It's better to keep discussing the options during the repayment period.
During STEM OPT, one of my classmate Akshay managed to save enough to pay for 6 months of EMIs prior to the lottery results. When he did not get selected in the lottery, he was able to relocate to Canada on a work permit and continued to pay off his Indian loan without any hassles.
Feeling Like Staying Is Forced Just to Make More Money
In the United States, pay for specific fields like tech, finance, and consulting tends to be much higher than other countries. This creates situations where students may be reluctant to pursue other opportunities that may be more enriching in Europe, Canada, or in their home countries, even if the position and quality of life are more appealing.
How to manage:
Evaluate the net take-home income after taxes, cost of living, and even the exchange rate. In some cases, a smaller nominal salary in another country can mean more or better money in your pocket.
Instead of rushing to get the biggest signing bonus right away, think about the long term and how your job might progress in other areas. A job in a different area might make it easier to get into higher management positions or learn specific skills.
To avoid long-term stress, choose a job that will allow you to keep your visa.
Leena turned down the mid-level job offer in the U.S. because she was offered a senior post in Germany. The starting salary was less in USD, but the lower living costs, stable visas, room for job growth, and higher starting salary made it much more appealing than the short-term gain.
Limited Freedom to Take Risks
Loan obligations, visa restrictions, and other factors put students in a position where they have freedom to pursue exciting roles, forcing them to more mundane and traditional corporate roles instead of something exciting, like a startup or freelance work that often holds more personal and professional growth potential. A “safe” corporate role suddenly becomes essential because not paying EMIs can have very serious consequences for the student and any other co-signer.
Consider taking on side skill-building activities, such as learning coding, design, or analytics while in a steady job, so that you can smoothly navigate a professional pivot later on when you’re more financially secure.
Check out low-commitment startup possibilities. Part-time consulting is one example, as long as the person follows the visa rules.
Think about revisiting your career risk tolerance as soon as your loan amount reaches a certain threshold.
