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Emily

This PhD Developed His SciComm Career Through Side Hustling

July 29, 2019 by Emily

In this episode, Emily interviews Dr. Gaius Augustus, a PhD in cancer biology and habitual side hustler. Gaius combines his artistic talent and knowledge of science to communicate science visually and teaches others to do the same. Within Emily’s framework of side hustles, Gaius details the half-dozen side hustles he pursued during graduate school and how they have contributed to his personal and professional development. He has now turned one of his grad school side hustles into a full-fledged side business in his post-PhD life. In this discussion, Gaius shares his hard-win insights into time management, self-advocacy, and imposter syndrome. This episode is a must-listen for anyone looking to advance her career through side hustling, networking, or volunteering.

Links Mentioned in the Episode

  • Financially Navigating Your Upcoming PhD Career Transition
  • Gaius’s Website (gaiusjaugustus.com)
  • The Indigo Path
  • The Complete Guide to a Side Hustle for a PhD Student or Postdoc
  • Smart Passive Income

science communication side hustle

Teaser

00:00 Gaius: When I started doing this I just went to the office and said, look, I need extra money and this is the way that I’ve found to make extra money and I’m still going to get my work done and I expect you to hold me to that, but this is something I have to do.

Introduction

00:23 Emily: Welcome to the Personal Finance for PhDs podcast, a higher education in personal finance. I’m your host, Emily Roberts. This is season three, episode 10 and today my guest is Dr. Gaius Augustus, a PhD in cancer biology, artist and side hustler. During grad school, Gaius pursued half a dozen different side hustles, which contributed to his personal and professional development as well as financial bottom line. In what is now his side business, he combines his love of science and his artistic talent and training to communicate science visually through figures, graphical abstracts, infographics and more and teaches others to do the same. In this discussion, Gaius shares his hard-won insights into time management, self advocacy, and imposter syndrome. Without further ado, here’s my interview with Dr. Gaius Augustus.

Will You Please Introduce Yourself Further?

01:15 Emily: My guest on the podcast today is Dr. Gaius Augustus, and he’s going to be talking to us about his history with side hustling and how that’s actually turned into a side business, which is very exciting. Gaius, will you please introduce yourself a little bit further? Let us know more about who you are.

01:34 Gaius: Sure. Thank you so much for having me, Emily. I actually have a kind of interesting past. I have my PhD in cancer biology, but I actually started out as an artist and in high school. I went to a fine arts high school, I loved the arts, and I actually got really into comic making and video production. When I left high school, I actually went for film and television at a fine arts university. I ended up leaving that because the culture wasn’t quite right. I went into retail and worked retail for about five years. While I was working retail, I got some experience in the pharmacy. I was like, oh, this is pretty cool, I could make a living as a pharmacist. And I was really kind of missing the science part of my life.

02:25 Gaius: And so I decided to go back to school for pharmacy and joined a lab and just fell in love with the scientific process. I got my bachelor’s in 2014 in integrative studies, which is a kind of design your own degree program where you can mix from different disciplines. I mixed biology, chemistry and a little bit of psychology. Then I went straight into a PhD program at the Arizona Biological and Biomedical Sciences Program at University of Arizona, which is an umbrella program, again so that I could choose a program within that. Then I joined the cancer biology program in 2015. I literally, two weeks ago, April 2019, defended my PhD, and now I am trying to figure out what to do with the rest of my life.

03:26 Emily: Yeah! Fantastic. I love to hear that non-traditional route to the PhD. It’s definitely going to inform the rest of our conversation today.

Why Did You Side Hustle During Your PhD?

Emily: Throughout your progress through the PhD and maybe even before that you have been a side hustler, habitual side hustler. Why did you start side hustling during your PhD?

03:51 Gaius: I want to say that when I was an artist, I took science classes for fun in high school and everyone thought I was crazy. Again, I was at a fine arts high school. When I went back to school for science, I thought, okay, this is it, right? I’ve always missed the science. Here it is. But then as I got into science more, I realized I really missed the art. And I never really thought there was a way to balance that. I thought, okay, well these are just two separate things that I have to do. During my PhD I started thinking, okay, is there a way to mix this? So I started with just like making comics where I anthropomorphize science topics and wrote those comics and never really to share, just to have them.

04:39 Gaius: As I started going on and people started being interested in those types of things, I started thinking this is pretty cool that people are interested, but I never really thought about making money with it. So along the same time, my partner, who is not in grad school or a scientist and is an artist who has been making money in our new city as an artist, was thinking about how we can make a little bit of extra money besides just what I make for my grad school stipend and something that was a little different than them having to go get a traditional job.

05:18 Gaius: We actually started our first big side hustle, which was starting a kind of art, crafty sort of side our business, which I’ll talk about a little bit more later. Along with that, when I started talking to people about that, people were really interested in that, and they were very interested in the fact that I had been an artist. As I got interested in science communication about two years ago, the people that I was talking to about that were also like, hey, you can also do this cool artsy stuff. How can we fit that in? I started by just doing infographics, and I wanted to learn animation for fun. So I just was like, if I can figure out animation in time for whatever your deadline is, then let’s do that.

06:06 Gaius: I was actually hired by the University of Arizona Cancer Center to create infographics and animations when I could. Animations weren’t difficult because I had some experience in the past with it. It wasn’t as difficult as I thought it would be to get back into that. From there, people just start hearing about it. The more people heard about it, the more people were interested in it. So I was like, I guess I can make money doing this. That would be really awesome because I could do both art and science and learn about lots of cool science. That’s really what motivated me to start. Just knowing that there’s a possibility to make money was like the original thought, but then learning that I could do something I really loved and make money doing, it was a really big reason for me to push a little bit harder.

06:59 Emily: I really love that story. I’m so happy we’re going to go even more in depth with it in a moment. Because it seems so organic. You weren’t simply out to make extra money, although that’s a very welcome side benefit and maybe an important benefit. But it was just, what do you want to spend your time doing? Where are your interests leading you? Also you’re kind of responding to the market, right? Like you were, I’m putting some things out there, oh, and people are responding and it leads me over in this direction and then it leads me over here. I’m excited to hear even more about that.

07:38 Gaius: Something I find really interesting is I remember in my undergrad talking to one of my advisors. He always talked about how intentional his path was. I was always really jealous of how intentional everything he had done and all the types of things he had tried in order to reach where he was at that point. I still think about it all the time, that he was always saying making intentional choices to get to where you are. My life has been the complete opposite. It’s just been chaos. It’s more been like, what opportunities are available? Let’s take it, let’s move on to the next one. But still, if you allow yourself to not think of those things that you’ve done as mistakes and instead think of them as intentional choices that you made that have led you to this path, I think it’s really a good way to get yourself into new opportunities and use everything that you’ve done in your path to inform what you do with your life right now.

08:41 Emily: Yeah, you’re using the word intentional, which is like, everyone can get behind that. Like of course you want to make choices that are well considered, but I think what your professor was saying was more like a linear path, right? Like, like straightforward and efficient.

09:01 Gaius: And forward-thinking. I think he was thinking, okay, 20 years in the future, this is where I want to be, I think that was more what he thought he was saying. Whereas I think like you were about to say, you just want to make choices that you are intentional about in that moment. You mean to make the choice that you make with whatever hardships you have right now or whenever you’re dealing with right now, you make what choices you can and go forward with those.

09:29 Emily: Yeah, absolutely. Not that your professor’s path was a bad one if he’s happy with the outcome of course. But there are plenty of people who set out on a path and keep at it for decades and aren’t happy with the outcome even though they were very intentional and they were very efficient. That definitely depends more on your personality. It’s about knowing yourself really. I’m so happy to hear about your journey as a counterpoint to that.

Side Hustling Framework for PhDs

Emily: You already mentioned a couple different side hustles that you’ve had going on and also were starting to say how that’s led your current business. I have this framework that I like to use when I talk about side hustling, which is that side hustles, let’s say for a grad student, can fall into one of four categories or maybe even multiple of four categories.

10:19 Emily: The first is what I call “career-advancing.” So a side hustle, and again, these all make money in some capacity or another, but it’s letting you explore a new career area or maybe it’s expanding your network or maybe it’s demonstrating skills or learning new skills. Something that we think is going to advance your career. That doesn’t have to be your scientific career. It could just be whatever else you want to do. So there’s that. The second one is an enjoyable hobby that you happen to be able to monetize. It’s something you enjoy doing, not even necessarily a hobby, but just an activity that you enjoy that you happen to be able to monetize. The third category is that you don’t enjoy this activity at all, but it does pay you.

11:04 Emily: So I’m thinking this is like, well, you mentioned working retail earlier. I don’t know if that’s your passion. It doesn’t sound like it ended up being the route you went, but that’s also something a lot of grad students do just for extra income and I doubt it’s very career-advancing or enjoyable. The last one is passive income, which may be a little bit unfamiliar to people who are not in the entrepreneurial space. Basically in those first three paradigms, I’m assuming that you’re trading your time for money more or less directly. With passive income, it’s more about investing a lot of time, money, energy, or creativity to create a product that then sells over time. The very classic example is of an author. You write a book, and then the book sells. Over time you get those royalties. This is complicated a little bit with advances and we won’t go into that, but that’s kind of the idea. You put a lot of time and energy into something and then you sell it over time. So thinking about that framework, which we’ll link from the show notes: Put the side hustles that you’ve had into those different buckets, if you would.

12:11 Gaius: Yeah, sounds good. I thought about this from, should I talk about each one individually or should I talk about the framework? I think that the framework is so well designed or so well thought out that I’m just going to talk about it from the framework side.

Career-Advancing

Gaius: When I think about career-advancing, I’m thinking about networking. Like you said, it doesn’t have to be scientific, but it can be about growing your network and people who can help you find jobs in the future. So, like I said, I worked for the University of Arizona Cancer Center. I made infographics and animations and did some writing for them as well. That was definitely career advancing. I met so many people through that. I actually did six months of work for them volunteer, so I wasn’t getting paid at all. And then I did six months where I was getting paid, but that was a great career-advancer as far as meeting everyone at the university and people who potentially I could work for in the future.

13:20 Emily: I actually have a follow up question on that one because that sounded fantastic from the first time you brought it up. I was so excited about it. How did you get into that position? It sounds like it started with volunteering, but how did you initiate that volunteer relationship?

13:36 Gaius: One of the hardest things I think all of us have to do as graduate students is promote ourselves. Right? You have to promote yourself when you learn to write grants, you have to promote yourself when you tell your PI about your cool new experiment that you want to try that costs a lot more money than your PI maybe thinks it’s worth. I actually was helping with website design. I used to do freelance web design on the side of working retail. Like you said, I’m a longtime side hustler. So I was helping my department with redesigning their website and in order to get a better idea of what they needed, they pulled in the PR person from the Cancer Center. We just were having conversations because I show up to meetings on time and he shows up to meetings on time and academics don’t.
14:28 Gaius: We were just having conversations before all of our meetings, and I mentioned that I was looking into science communication. Finally one day he was just like, you should come work with us. I’m not sure I have a budget, but I really like what you’re saying. So it was totally me just talking about things I liked and being willing to talk about myself and what I do and what I think I do well and someone being willing to say, okay, well I want to take a chance on you and give you more experience and get a volunteer to help me out to get that opportunity.

15:09 Emily: It’s very clear from that story that this was about networking. You volunteered your skills at the small circle of your initial network, which was your department, and that led you to a slightly wider network and more opportunities there. That sounds amazing. This is a bit more of a financial or technical question, but I’m just curious about how being hired by the cancer center, the PR wing, played with your stipend. Was that in addition to it? Was that all kosher at the university level? Were you hired as an independent contractor? What were all the details there?

15:46 Gaius: At the time I was on an NIH training grant. There were a lot of discussions between the department and the Cancer Center about how that was going to work. Apparently they looked into the fellowship and made sure that there was no language saying I couldn’t get paid. Then what they did was they just said, okay, well we can only pay you up to a certain number of hours because you’re a student worker. What this person did was just found the best offer he could as far as an hourly pay where I could kind of maximize my income under the guidelines that were currently there. He was a really big advocate for me and I really appreciate that. But there was definitely some arguments and conversations that had to happen between the university and the cancer center and my department.

16:44 Emily: Clearly. In addition to just the pay issue, which it sounds like that’s a very specific solution for the training grant you were on and so forth. How did your advisor feel about you…? Because a lot of people keep their side hustles quiet, right? They don’t let their advisor or other people know about it. But clearly your advisor must have known about this from the beginning or early on. How did that go over?

17:08 Gaius: This is going to go back to kind of self advocacy again. I worked in retail for five years, and in retail there is no self-advocacy. You do what you’re told, and if you don’t, anyone could have your job or at least that’s what they tell you even when it’s not true. I’d had some really, really horrible bosses and really horrible experiences in retail. When I started back in school, one of my goals was never to be treated like that again. When I got into grad school and started thinking about doing on the side… Sadly it was never a question of is my PI going to be okay with this. When I chose a PI, I was very straightforward and saying I’m kind of going to do what I want to do and I need your support and how do you feel about that?

18:05 Gaius: And he was like, you know, I want to do what’s best for you and your career, and I will work with you. Wo when I started doing this, I just went to the office and said, look, I need extra money and this is the way that I’ve found to make extra money and I’m still going to get my work done. I expect you to hold me to that, but this is something I have to do. He was very worried about me and very worried about whether I was going to be able to keep doing it, but he supported me and never questioned it. He just made a couple of like side glances, but then it was just like, do what you got to do.

18:46 Emily: Yeah. You finished in five years it sounds like. So this didn’t end up tacking on any extra time at minimum. This is a great tip for anyone who has not yet chosen an advisor: to find someone who is going to be supportive of your career broadly defined – however you want to define your career. That person should be supportive, or if they’re not, know that early on and don’t work with them unless you’re 100% on the tenure track. I’m really glad that you described like your relationship with that person and how that worked out. That was so much detail, but that was such an exciting side hustle.

Emily: What’s the next one on your list?

19:24 Gaius: One thing that I’ve been doing a lot over just the past like six months is a lot of freelance sci art. I’ve been doing infographics, graphical abstracts, animations for scientists, for departments. That’s been extremely fun, but it’s also been a great networking experience. A lot of the time, I work with someone and then someone who they know is like, oh, this person told me that you are great to work with, I would like to work with you too. As far as career-advancing steps, the sci art, freelance, and I’ve done a little bit of writing as well has really helped with getting that networking done and also giving me the confidence that I needed to say people do enjoy my work. Also, they’re not just hiring me because they like me because strangers are hiring me. Those have been my big career-advancing hustles.

20:21 Emily: Yeah, that sounds like so much fun as you just said. If people want to see your work, where’s the best place to go?

20:28 Gaius: All of my work is available on my website, which is gaiusjaugustus.com, which I hope you’ll put in the notes since it’s not always the easiest to spell. If you also search Gaius Divi Filius on Twitter, you can see me and get to my website. I’m on Instagram as Process of InQUEERy with inquiry spelled with “queer” in the middle. I am on Facebook with Process of Inqueery as well.

20:55 Emily: I wanted to put that in the middle of the episode instead of just at the end so that people can go and look at your stuff as they’re continuing to listen to this conversation. I would imagine that just by the nature of what you did with that particular side hustle of it being art, it sounds like it’s incredibly shareable. You chose something where networking is easy. If you do a great job, people are going to ask who’s behind that work.

21:17 Gaius: It’s interesting you say that because I’ve never thought about that before. I’m a very visual person. I struggled to learn science because it was reading the books and reading articles and I do so much better when I started reframing it as look at the results and then try and frame your scientific ideas around the results and then read the articles and see if they agree with you. Same with learning science, go and look at the pictures in the chapter, try and figure out what they mean and then read the text and make sure I’m getting on the right track. I’ve just always been that kind of visual person. I’m drawing, in class, ideas out since I was little. So it’s interesting. I hadn’t really thought about the fact that people just see it and it automatically gives a good networking side of things.

22:09 Emily: Yeah. You’re much more in touch with the sci comm community than I am. But when I think of science communication, I initially think about the written word. I don’t go to to video or to art or anything, but maybe it’s a bigger component of it that I realize. Anyway, I just think it’s a really wonderful way of communicating that may be undertapped at this point.

22:35 Gaius: I agree completely. I think you hit the nail on the head about how most people feel about sci comm.

Commercial

22:43 Emily: This summer. I’m putting forth extra support for PhDs undergoing career transitions into grad school, a post doc or a real job. If you’re moving onto the next stage in your career or thinking about it, please visit pfforphds.com/next to check out my articles, webinars and coaching program. Allow me to come alongside you during this transition to ensure that you set yourself up for financial success.

Enjoyable Activity or Hobby

23:13 Emily: What’s the next side hustle? Any monetized hobbies?

23:18 Gaius: On the enjoyable category, one of the big ones is the side hustle that I started initially with my partner. We’re pagan and we love making stuff. As we were making things for us, we just decided to bring that to a broader audience. We actually make resin jewelry. We make pagan goods, things that maybe you would find in your house or things you might want to wear out to just kind of show off pagan pride as well as just things that everyone uses but instead of looking at it from just a regular angle, we say how would we look at this from a pagan angle? Recently my partner made plushes and instead of an animal or something, they made crystal balls.

24:12 Gaius: So stuff like that. We make a lot of the resin jewelry, but we’re also kind of pushing that a little bit further now into other things like plushes and shirts and things like that. That’s all through theindigopath.com, which if you go to is not anything yet. We took down our shop to do a bunch of conventions and things like that and we’re rebuilding it to put up our new branding and things like that. But that’s been something that’s just been pure enjoyment. It’s paying for itself, but that’s about it at this point.

24:47 Emily: Yeah. I love that you found something that you could do with your partner. Just something fun that’s a bonding experience or a fun project to work on together. I’m sure that it has relational benefits as well as the potential monetary benefits and just something enjoyable to do with your time. Although it does not sound like you are hard pressed for things to do with your time! Plenty going on already. What’s next in your list?

It Pays But It’s Not Enjoyable

25:10 Gaius: The next is the “it pays, but I don’t necessarily enjoy it.” The big one for me is web design. I do love web design, but I don’t necessarily like doing web design for other people. I love playing around with it for myself. I’ve been doing it for years and like I said I used to do it freelance. It pays the bills. When people want or need help with their website, I can get people up and running quickly. I can do trainings so that people can understand it. I was also a cheap sell for my department to be able to redo their website for very, very low pay. That’s probably my best example of something that pays, but it’s not necessarily the thing that I want to be doing with the rest of my life.

25:59 Emily: Yeah. Well it sounds like you should increase your rates on that. Do less of it, but get more out of what you do.

26:06 Gaius: Yes. You’re probably right.

Passive Income

26:07 Emily: Anything else in that category or should we move on to the passive one?

26:14 Gaius: Oh, let’s move on to the passive, which I’m really excited about, but also very skeptical about because I know that there is a lot of talk in my blogs about whether you should do passive income or whether you should wait until you have a following to do passive income. I’ll just tell you what I do. One thing that I do is I write blog articles for my website. I actually started doing that because I was part of the Grad Blogger Connect Group on Facebook led by Chris Coney, and I just decided to start this blog. It was the first thing I ever did to do any science communication, before I worked for the cancer center or anything. I just put ads in there, and I think I have like a $1.20 in my ads account. So it’s never really made me anything but it’s there. But because I’ve written the blog articles, those will continue to be there and when my site blows up in the near future and people are reading those articles a lot, those ads hopefully will make some income at some point.

27:21 Emily: Is this the same website that you mentioned earlier?

27:23 Gaius: Yes, it is the same website.

27:25 Emily: Okay, great. Glad to hear it’s all integrated together.

27:29 Gaius: Yeah, that was something I really wanted, but it’s very difficult to do the more side hustles you try. You have to figure out how to get all that branding to work together. The other thing actually, which is also on the same website, is I have a shop of just designs on T-shirts and pillows and things like that. I knew I wanted to do that because I love making up T-shirt designs. As part of The Indigo Path, we constantly are buying iron-on stuff to make designs. The shop doesn’t use my iron-ons, they are actually professionally printed. But I do like the idea of having a totally customized wardrobe. The shop has a lot of cool science-y themed designs. This is passive. I make the designs, I put them up in the shop. If somebody likes it, they buy it. It doesn’t matter if it’s a week from now or a year from now, I’ll still get hopefully about the same cut on that. I put in that up-front work. Whatever money I make down the road comes from the initial work that I put into making those designs.

28:44 Emily: Yeah. I don’t know if I told you this, but that shop was the reason that I invited you on the podcast. I saw that as a potentially passive income stream and I was like, alright, I need to talk to this guy.

29:01 Gaius: The shop feels to me like the dark secret of my website, because even though it’s up front, I don’t really advertise it that much. Bbut I just love making designs and putting them on stuff. Especially all over prints, which I don’t actually have that many of on the site, but I am obsessed with all over prints. So I make them, I put them up there and I don’t promote it but I think that it’s really cool and it’s probably one of the favorite things that I do.

29:34 Emily: Yeah. Like you said earlier, there’s talk about when to introduce potentially passive streams of income and so forth to your business, but it just sounds like the perfect medley of some of the other things we’ve talked about. It uses your unique skills and your unique subject area interests. It’s just something that you enjoy doing and you threw up the end result online. If people want to come and find it, cool. I think what’s interesting about passive income though, especially when we’re talking about web-based businesses, is that it’s not really ever truly passive. If no one came to your site, if you weren’t driving traffic to your site from other means, then no one would ever find it and no one would ever buy it. It’s really not truly passive because you have to still be active online and somehow trying to get traffic to your site, such as by doing podcast interviews! But anyway, your time is decoupled from what money you make from it. So that’s what makes it passive.

30:33 Gaius: Definitely. And I will say that if you put your work up on other websites, it can be more passive. Etsy is that if you get your hashtags right, so there’s some up front work as usual, but if you get your hashtags right, you really figure out the game on Etsy, you can do pretty passive income. As soon as you move into a realm where like you said, you have to drive traffic, then it becomes less passive. But it’s still way more passive than a lot of the work that I do. If you’re already creating things, in some ways there’s no drawback. If I’m already creating these designs to put on T-shirts for myself, at some point there’s no drawback to just putting it up for other people to have as well.

31:24 Gaius: That’s in my mind the great time to do passive income if you don’t have a lot of following, is to do things like you said, that you already enjoy and you’re already doing. I caution people when they’re like, I’m going to build this entire course and do all these things into it. It’s been a year developing it and I don’t even know whether people are going to sign up for it. No one knows who I am. That’s when it’s like, well if you really love designing courses and you’re really passionate about this, then that’s great. But as far as passive income is concerned, that year of work may take a lot longer to come back to you.

32:04 Emily: Yeah. If anyone in the audience is interested in passive income and you haven’t yet heard of Pat Flynn, please go check him out right now. His brand is Smart Passive Income. This story just reminded me of his origin story. He was an architect and studying for some kind of licensing exam. As he was studying, he created a study guide, and when he was done and he passed the exam, he put the study guide up online for sale. It sold like gangbusters, apparently surprising everyone, including him. That was the start of his passive income empire. As you were just saying, if you can put in 5 or 10% more work and make something that you’ve already created for yourself something that other people could use, why not go ahead and just see what happens. You haven’t invested any time that you wouldn’t have otherwise. There’s really no downside there.

Benefits and Detriments of Side Hustling During Grad School

Emily: I want to speed through the next set of questions, which is, what are the general benefits that you’ve experienced by side hustling during graduate school and the downsides or the detriments? Anything that we haven’t already covered?

33:10 Gaius: I think the biggest upside is just having that creative outlet. I also think for other people the greatest benefit is being able to try things out before you decide to switch careers, if that’s what you’re thinking. I’m thinking of leaving academia, and as soon as I started thinking about leaving academia, I was like, oh my God, if I don’t do academia, what do I do? Do I have to go back to retail? That was a big enough push to try out other things and see what happens and to see if building this kind of business model is possible. The downsides really are the commitment that you have less free time. I feel like I’m always working and have to schedule off time to say, okay, I’m really going to go do other things. It can slowly take over. It can become really fun and a good excuse to not do schoolwork. I know people already have problems with procrastination. So you do have to be very intentional about how you do it, and it does have the possibility of growing out of control. You really have to think hard about what you’re doing, when you’re doing it, and how much.

34:25 Emily: Yeah, that’s a great point. It’s actually something that I experienced during graduate school. I wouldn’t call the blog that I had at that time necessarily a side hustle, but it was certainly a time intensive hobby that brought in money a little bit. I was not very thoughtful at the time about why I was spending so much time on my blog instead of doing my work. It turns out finance is much more of a passion for me than my specific research area, no surprise now, but it was at the time. As you just said, be really thoughtful and be balanced, because financially having a side hustle can help you a lot with your cash flow during grad school. What’s not going to help you is delaying your graduation and delaying getting a full time job or launching a full time business or whatever the next thing is for you.

35:19 Gaius: I actually purposefully delayed writing my dissertation until the latest I could. I could’ve graduated probably nine months earlier, but I just kept pushing it because I knew that I would have that income and I was like, well at least I know I have income and so I’ll just keep pushing it until I can’t push it anymore. That was not smart.

35:43 Emily: I see what you’re saying because you were, as you just mentioned, thinking, do I have to go back to retail if I don’t have another job lined up? So certainly that’s a reasonable thing to be afraid of. I don’t want to graduate before I have something lined up. That’s a total thing that people might delay for that reason. But as you were exploring those other options, you are actively working on it, you weren’t just work like, oh no, I’m afraid to graduate and I’m not making any progress in actually getting to a point where I want to graduate, therefore I’m going to delay. It’s an understandable path.

Emily: Now, as I understand, you’ve just defended and you’re looking for a full time job, but you’re also now developing a side business, which is weaving together some of the different things that we’ve talked about so far. Can you talk about a little bit of the mindset shift from going from I’m a PhD student first and a side hustler second to now I’m starting a business.

36:44 Gaius: For me it was less of a change as far as I’m a PhD student to I’m a business owner and more of a shift in thinking about how other people saw me. So seeing people be like, oh Gaius draws cool stuff. This is really neat. Can you draw something for me? Going from that to wow, your work is really amazing. I would love to pay you to do it. That was a really huge jump for me. Like I said, I started out in art school, I took my first art classes like in eighth grade to start on my art career. I was always going through this thinking I’m never going to be good enough, and this is the first time that I ever thought, I am good enough to make art my living. I think having that kind of self confidence was really the big shift for me. The business side, because I’d been doing these other side hustles like The Indigo Path, it wasn’t really that hard for me, but just understanding that people appreciated me and that I was worth it and I was talented enough. That was a huge hurdle for me.

38:05 Emily: Yeah. Sounds like imposter syndrome, something we are so familiar with.

38:09 Gaius: I don’t know what you’re talking about!

38:11 Emily: It can definitely crop up in other areas besides your PhD work. That goes back to the self-advocacy theme from earlier. It’s just a different application of it. I’m really glad to hear that you’re progressing on that front and defeating your gremlins.

Last Advice for a Grad Student Side Hustler

Emily: In the last minute or so we have here, do you have any advice for another graduate student pursuing side hustling, interested in pursuing side hustling, that we haven’t already covered? We have covered so much. But did you have anything else you want to throw in there?

38:44 Gaius: No. The main thing I want to stress over and over again is that you have to balance your time. I highly suggest anyone who’s in grad school to have some kind of side passion. It doesn’t have to make you money, though it’s great if it does. Really think about how much time you’re spending, why are you doing it, why are you continuing in your PhD or grad program or whatever, and make sure that all of those things are happening in the right amount of time and the right doses as well as for the right reasons. Because the ultimate goal is for you to find a balance that makes you happy, not for any other reason. As long as you’re happy and reducing your stress overall and not just delaying your stress, I think you’re in the right place, but that balance is really important.

39:39 Emily: Oh yeah. Thank you so much for emphasizing that. Thank you so much for being my guest today.

39:44 Gaius: Thank you for having me.

Outtro

39:46 Emily: Listeners, I’m so glad you joined us for today’s episode pfforphds.com/podcast is the hub for the Personal Finance for PhDs podcast. There you can find links to all the episode show notes, a form to volunteer to be interviewed, a survey, and a way to join the mailing list. I’d love for you to check it out and get more involved. See you in the next episode! The music is stages of awakening by Paddington bear from the free music archive and is shared under CC by NC. Podcast editing and show notes creation by Jewel Lipps.

How the Promise of Public Service Loan Forgiveness Has Impacted This Prof’s Career and Family Decisions

June 17, 2019 by Emily

In this episode, Emily interviews Dr. Jill Hoffman, an assistant professor at a university in Portland, OR. Decisions around finances, family, and career are bound tightly together for Jill because of her family’s student loan debt. Jill and her husband Mike are aggressively paying down his student loans while counting on Public Service Loan Forgiveness for hers. Required minimum payments also factored into their decision for Mike to become a stay-at-home parent to their toddler after they moved for her tenure track position. Emily and Jill discuss the rationale behind these decisions and how Jill is documenting her life as an assistant professor and mother on her website, Toddler on the Tenure Track.

Links Mentioned in the Episode

  • Toddler on the Tenure Track
  • Financially Navigating Your Upcoming PhD Career Transition (/next)
  • Personal Finance for PhDs Podcast Home Page

PSLF Professor

Will You Please Introduce Yourself and Your Family’s Finances?

Jill is an assistant professor at a university in Portland, Oregon. She has a PhD and master’s in social work and a bachelor’s in psychology. She has a husband, Mike, and a daughter, Ellie, who is almost three years old. Mike is currently a stay-at-home dad, but his background is in counseling psychology (master’s). When they moved to Portland for her job, it made more financial sense for him to stay home with their daughter than to get a job due to the high cost of childcare and cost of living overall.

Jill and Mike both still have one loan each from their undergrad degrees (2.5%-ish interest). Jill’s loan balance is $8300, and M’s loan balance is $6800. The bulk of their student loan debt from their master’s degrees. Jill has $16,000 remaining on one loan and $38,000 on another loan, both at 7.0% interest. Mike has $5,900 remaining on one loan and $6,300 remaining on another loan, both at 6.5% interest. Their student loan balance totals just under $82,000 as of April 2019.

Their recent focus has been on paying Mike’s student loans. In December 2018 they re-evaluated their debt and had a balance of just over $100,000, and they used some savings and cash flow to pay down the debt to its current balance.

Why Are You Attacking Mike’s Debt and Paying the Minimums on Jill’s Debt?

They are paying the minimum payments on the 2.5% undergrad loans. They are low priority due to the low interest rate.

Jill is enrolled in Public Service Loan Forgiveness (PSLF). Theoretically, after 10 years in the program her master’s degree loans will be forgiven, so they are paying the minimum for now. They are crossing their fingers that it will work out. The minimum payment doesn’t cover even the accruing interest fully or pay down principal at all. (This is because Jill is enrolled in an income-driven repayment plan with a repayment period of greater than 25 years.)

They are paying the minimum on one of Mike’s loans and attacking the higher-interest loan with all extra money each month.

Jill’s undergrad loans do not qualify for PSLF because they were taken out before 2007 (if she recalls correctly). At least for her, just her master’s degree loans qualify for PSLF. She was in undergrad between 2002 and 2006.

How Does Public Service Loan Forgiveness Work?

PSLF is for people who are in certain career types: non-profit and/or government employer may qualify. As Jill works for a public university, she is a state employee and her institution qualifies. Her job post-master’s also qualified for PSLF.

The applicant will make 120 payments perfectly while enrolled in one of the income-driven repayment plans (20-25-year repayment period). At the end the remaining balance will be forgiven. The forgiven balance is not taxed for PSLF, though it is for the income-driven repayment plans.

This is sort of a game because you are supposed to stick to making only the minimum payments even if you could pay more. often, and the payments often don’t even cover the full interest so the loan balance may be growing throughout that time. You have to do everything letter-perfect and hope that your loan balance is forgiven

The first crop of people became eligible for forgiveness in 2017, but the reported rate of actual forgiveness is quite low (1%). Many people who thought they were doing everything right for PSLF have been denied forgiveness.

Further reading:

  • 99.5% of People Are Rejected for Student Loan Forgiveness Program
  • Don’t Give Up on Public Service Loan Forgiveness

Given the Low Rate of Actual Forgiveness Occurring, How Does Jill Feel About It?

It’s a daily struggle deciding which loan to prioritize because Jill’s loans are at a higher interest rate.

Mike has loans and is staying home right now. He might qualify for PSLF if he got a job, but it would still take 10 more years of repayment before he would qualify for forgiveness. That time frame was not appealing for them.

If Mike’s 6.5% interest loans are paid before Jill’s four remaining years in the PSLF program are up, they might consider repaying more of Jill’s loans. However, she doesn’t project that to happen within that timeframe. Since they will have to pay for more than 4 years, they’ll wait and see what happens with PSLF and hope for the best.

Emily likes that Jill and Mike are not resting on their laurels and going for the lowest possible minimum payment by both enrolling in income-driven repayment programs and only paying the minimums. Instead, they are attacking the debt in a strategic way. They are being proactive instead of just signing up for everything available to minimize payments.

What Else is Going on for You Financially Aside from Student Loan Repayment?

Jill’s employer contributes to her retirement funds. She is in a pension plan calculated based on years of service and highest gross salary upon retirement eligibility. In addition, they contribute 6% of her salary into a targeted retirement account (doesn’t come out of her paycheck). Jill doesn’t add anything to this for retirement for the time being. This does make her nervous.

Jill and Mike both have retirement funds from previous jobs, but they are not adding to them.

They recently started thinking about contributing to a Roth IRA given their lower current tax bracket vs. their likely higher future tax bracket. They are 34 years old and would like to be doing more on retirement, but they aren’t doing much for that right now.

Once they have the debt paid off, they will have much more cash flow to direct toward retirement or another goal.

How Did You Decide for Mike to Be a SAHD and Did Finances Play a Role?

When they moved to Portland for Jill’s job, Mike didn’t have a job lined up. Their plan was to move and find childcare, and then Mike would get a job. Infant care is really hard to come by and it’s very expensive. They were on a lot of waiting lists and had to pass the time until a spot became available. During that time, they were figuring out finances.

When a spot became available, it was $1,500/mo for full-time infant care at a childcare center. They enrolled and Mike started looking for a job. Jill set up her FSA to pay for the childcare. Ellie was enrolled for about a week when they really delved into their finances if Mike got a job. Their loan payments would go up to at least $1,000/mo, they would be paying $1,500/mo for childcare, plus they would have higher transit expenses and higher income taxes. Then they would be all the time spent at the job and commuting! To them, it didn’t make sense time-wise and financially for Mike to work given his employment prospects. In Ohio, he was making about $45,000/year, and the cost of living was much less. In Oregon, his salary wouldn’t be as much as Jill was making, and his salary would go largely toward loans and childcare. They thought, why not stay home? He was excited to stay home as well.

Emily thinks that what you want for your family doesn’t come into play as much as it should. There are financial arguments for one parent to stay home and financial arguments for both parents to work. But what about what the parents want individually and as a family? Personal finance is not just about numbers and money! In Jill and Mike’s case, there wasn’t a huge financial hit for Mike to become a stay-at-home dad.

Before Mike and Jill had Ellie, they joked about Jill working and Mike being a SAHD without thinking that was a real possibility. It’s kind of cool that it worked out.

What Financial Advice Would You Give Your Past Self?

Jill could have done a few things differently. She would have ended up with significant loans anyway, but could have reduced them by a lot. She went out of state for both her undergrad and master’s degrees, which adds a lot to the debt! Staying in state for the tuition reduction would have been a good idea. For her master’s degree, she could have worked in Pennsylvania first to establish residency and even asked her employer to pay for her master’s degree in part or in full. She didn’t need to go straight from undergrad to master’s. This would have reduced financial burden in the long run.

Out of state vs. in state designation doesn’t matter much to funded PhD students though it does to their departments at public universities. However, for a master’s degree being paid out of pocket, this matters a lot! Employers do fund master’s degrees, especially part-time. Doing the PhD was always Jill’s plan so doing the master’s slower would have been fine.

Mike’s master’s degree was helpful for him to get a better job in Ohio. However, he also chose to go to a private university for his master’s instead of an in-state university, so the costs were a lot higher. Now he thinks he should have gone to the state school he got into and reduce his debt. Once Ellie is in school, having the master’s will help him get another job.

Emily also went to private college and it was a huge price tag that her parents paid. Now, she wants to make public in-state university seem very attractive to her children!

What Is Toddler on the Tenure Track?

Jill started Toddler on the Tenure Track in December 2018 and is still figuring out what it’s about. She wanted to create a space to talk about how she’s doing her junior faculty job with young kids, such as how to be a whole person in a job that’s trying to consume 100% of your energy. It’s her way to document the process of being a whole person in academia and not be sucked into working 24/7 and to document her path through the tenure process. She writes about what’s worked for her and not worked in terms of planning and organization of being a faculty member. That’s a huge part of her job that’s not widely discussed. Some of the strategies she writes about might work for others.

Jill has written some logistical pieces, such as on the process of becoming a tenure-track faculty. She moved cross-country for the job! As a grad student, she would have wanted to know what being a faculty looks like on a daily basis. Educational debt is also a huge part of the lives of people who work in academia, she so also shares about her finances and loan repayment journey.

Go check out Toddler on the Tenure Track if you are a faculty member and parent or aspire to be!

What to Do to Improve Your Finances this Academic Year

June 13, 2019 by Emily

Title: What to Do to Improve Your Finances this Academic Year

Format: Live lecture with Q&A (in person or remote)

Intended Audience: Graduate students receiving stipends

Length: 60 minutes

Timing: Orientation or early in the fall term

Summary: This seminar is designed for entering graduate students as part of orientation or start-of-school-year programming, though it can greatly benefit current graduate students as well. It is highly actionable and divided into what a student can do to improve her finances this week, this month, and this year. Each financial strategy is presented in a set format detailing what the strategy is, how to accomplish it, why it will create financial success, and the time investment required. Students will come away with clear next steps to take to create and carry out a financial plan over the course of the first year of graduate school and beyond.

Outline:

  • Why care about finances in grad school?
  • How to improve your finances this week
    • Track your spending
    • Create a balance sheet
  • How to improve your finances this month
    • Prepare for tax season (for those receiving non-W-2 pay)
    • Set financial goals
    • Create a budget
    • Lay your financial foundation
      • Emergency fund
      • Fund for short-term irregular expenses
    • Practice frugality
  • How to improve your finances this year
    • Reassess your large, fixed expenses
    • Build wealth
      • Pay down debt
      • Save
      • Invest

 

Back to Speaking home page.

This Grad Student Defrayed His Housing Costs By Renting Rooms to His Peers

June 10, 2019 by Emily

On today’s episode, Emily interviews Dr. Matt Hotze, an administrative director at Rice University and co-host of the Helium podcast. When Matt moved to Durham, NC for his PhD, he immediately purchased a 3-bedroom house and rented the two extra rooms to his labmates. The rent Matt collected from his two housemates covered nearly all of his mortgage payments during his years in grad school, though he had some financial bumps in the road as well relating to house repairs and his dual relationship with his housemates. Ultimately, his decision to sell the property also hinged on his personal relationship with his tenants. Matt shares the overall effect this investment had on his finances and his three key pieces of advice for another early-career PhD considering this route.

Links Mentioned in the Show

  • CEREGE (European Center for Research and Education in Environmental Geosciences)
  • Helium Podcast
  • Rent vs. Buy Calculator
  • Financially Navigating Your Upcoming PhD Career Transition (/next)
  • Personal Finance for PhDs Podcast Home Page

PhD landlord

Would You Please Tell Us More About Yourself?

Matt has a PhD in environmental engineering. His advisor moved from Rice University to Duke University near the start of his PhD. He purchased a home in Durham when he moved there in 2005. After he finished his PhD in 2008, he did a postdoc in France and then another postdoc at Carnegie Mellon. Subsequently, he had a career in publishing with the American Chemical Society, serving as the managing editor for four journals, where he learned the business side of science. Currently, he works at an engineering research center at Rice with 80% of his time, and the other 20% of his time is dedicated to the Helium Podcast.

How Were You Able to Purchase a Home During Grad School?

It is no mean feat to buy a home during grad school!

Further reading: Purchasing a Home as a Graduate Student with Fellowship Income

First, Matt was “blessed” to not have any debt from undergraduate degree.

Second, when he started grad school in Houston, lived with his parents for most of his first year and banked much of the stipend. Living with his parents in the suburbs was cheaper because the distance from home to campus impeded going out and spending on entertainment. His motivation to save money was due to his upbringing; since he was able to save, why not do so? He expected there to be some use for it eventually, though he didn’t have specific plans to buy a home when he started. Saving the money wasn’t a big sacrifice as living with his parents was comfortable.

Third, in 2005-2006 the houses in Durham were not that expensive. This was after the dot com bubble burst in early 2000s and the housing crisis hadn’t hit yet. Matt hadn’t necessarily planned to buy, but he saw that the nice, recently built apartments were rather expensive to rent.

Though Matt had enough money for a 20% down payment, he still needed his parents to co-sign his mortgage because his income alone wasn’t sufficient to support the mortgage payments. He bought a modest 3BR home and rented out the other two bedrooms for below market rate. The purchase price for the home was approximately $200,000.

Further listening: How to Qualify for a Mortgage as a Graduate Student or PhD, Even with Non-W-2 Fellowship Income

Matt bought the house even before he moved to Durham, so he never rented there. He felt he was on a time clock to own the home for long enough during his PhD to make the transaction costs worthwhile. He decided he would either buy right when he arrived in Durham or he wouldn’t do it at all.

Emily had a similar thought process a few years into grad school when it might have been possible to buy, but since she was already a couple years into grad school she decided against buying due to the time clock.

Matt’s first tenants in Durham were the other grad students in his lab also moving with his advisor, which also influenced his decision to purchase right away.

What Were the Pros of Renting Out Rooms to Peers?

1) Matt had almost zero housing expenses as the rents from the two bedrooms basically covered the mortgage each month.

2) Matt’s house became the gathering spot for his grad school friends, so instead of spending money going out they would drink beer and play board games at home. (Emily had a similarly inexpensive social experience in grad school.)

3) Didn’t have any issues with the great majority of his tenants.

What Were the Cons of Renting Out Rooms to Peers?

1) Once Matt moved on from his PhD, he didn’t know his tenants quite as well. One of his tenants asked to pay his rent late a couple times. It wasn’t possible to handle this completely professionally because of the social ties between him and his tenants. This did end up working out, but it was stressful to handle this, especially from afar. Matt was especially concerned about being fair to all his tenants but not establishing a precedent that it’s OK to pay the rent late. The rental agreement between Matt and his tenants was helpful in this case, not only the legal components but also to set expectations.

2) The home inspector didn’t catch some flashing around the chimney, so a water leak developed soon after the purchase. Matt used some additional cash he had on reserve (~$500) for this repair, so it was a good thing he hadn’t used all his cash on the purchase. Another time, the water heater exploded. Thankfully replacing it didn’t cause an issue because Matt already had cash built up for these kinds of repairs. Emily references the 1% rule: You can expect to pay 1% of the home’s value in maintenance/repairs each year – but that’s only an average! It can be much higher or lower in any given year.

Why Didn’t You Sell When You Left Durham?

When Matt left Durham for his postdoc in France, it was not a difficult decision to keep the property. He still had tenants in place who would take a couple more years to finish their PhDs, and with three rooms rented out the property was now earning money above expenses. One of Matt’s friend-tenants served as the property manager so he didn’t have to hire a professional company.

At the end of grad school, Matt had a good amount of savings built up, and after the postdoc he had even more saved. This really set him up to be financially successful in subsequent stages of life. He lived in Pittsburgh for his second postdoc. When Matt married his wife and combined their finances, he was able to significantly contribute to their nest egg. It was great to not have to worry about (non-mortgage) debt.

All of this financial success came from the germ of financial parental help during college and that first year of grad school. Good financial fortune and bad financial fortune early in life do not guarantee any particular financial outcome, but certainly put momentum behind your finances one way or another.

How Did You Decide When to Sell the House?

When his friends finished their PhDs at Duke, Matt no longer felt able to hold on to the property. He didn’t have the bandwidth at the time while working in an intense postdoc position and applying for faculty positions to figure out how to hire a property management company from afar. Deciding to sell was really a trust issue. If he didn’t trust his tenants through personal relationships, he didn’t want to be a landlord any longer. It’s not always about numbers, sometimes it’s more about your feelings!

Matt ended up selling in 2009, which was pretty bad timing with respect to the national economy. He sold the house for just about the same price that he bought it for. Even without the property appreciating, the financial benefits he experienced through those years made it a good financial decision. Even though he didn’t make any money on the house, he defrayed all his housing costs when he lived there and continued to make money afterwards.

What Advice Would You Give to a Grad Student or Postdoc Who Is Considering Buying a Home and Renting Out Rooms?

1) Use a calculator to figure out whether buying and renting out rooms in a home makes sense financially in terms of the costs you will incur and the rental prices.

2) Are you OK having uncomfortable conversations with your tenants? Someone will inevitably not pay rent or break something or something stupid in the house. This will happen whether you know the renters or not!

3) Are you comfortable making basic repairs on your own? It’s expensive to outsource it all the time! Are you able to talk with vendors and negotiate? This is a needed skill.

4) What’s your gut feeling on owning rather than renting? You’ll make a good decision!

What Is the Helium Podcast?

Christine and Matt co-host the Helium Pocast. They help early-career researchers – senior grad students to early faculty – navigate the transition from grad school into first faculty position, from landing the position to navigating the position to advancing within the position. They bring on interviewees to talk about career transitions. Check them out! New episodes come out every Tuesday.

This PhD Couple Combined a Cross-Country Move with a Vacation

May 27, 2019 by Emily

In this episode, Emily tells the story of her 2015 cross-country move from Durham, NC to Seattle, WA for her husband Kyle’s first post-PhD Real Job. Emily breaks down their decision-making around how to move and secure their housing in Seattle. Ultimately, they chose a pod-based moving company and a cross-country road trip/vacation, and Emily shares the exact amount of money they spent on each component of the move and how the logistics worked. Emily concludes with what she wishes she would have done differently. For more discussions on how to financially navigate a move and starting a new position, see pfforphds.com/next.

Further reading:

  • How to Plan and Prepare for a Frugal Long-Distance Move
  • Moving to a High Cost-of-Living City on a Postdoc Salary
  • A Step-by-Step Guide to Moving Across the Country with a Baby + 2 Cats (8-Part Series)

Links Mentioned in the Episode

  • Financially Navigating Your Upcoming PhD Career Transition (pfforphds.com/next)
  • Personal Finance for PhDs Podcast

cross-country move vacation

Background

In the summer of 2015, Emily and her husband Kyle were one year out from their PhD defenses. Kyle had been postdocing in his PhD advisor’s lab, and Emily had been doing various jobs (Personal Finance for PhDs, freelance editing, and a science policy fellowship).

In May 2015, Kyle applied for several positions, and ultimately was offered a postdoc and an industry job. He accepted the industry position in Seattle, Washington, at the end of May, and set his start date for the beginning of August.

Finding Housing in Seattle

Emily and Kyle’s first step was to research the rental market in Seattle. They were accustomed to the durham housing market, in which you arranged housing several weeks or a couple months in advance of your desired move-in date. However, in Seattle, rentals are typically “available immediately” or only a few days out. Therefore, searching for housing in June for an end-of-July move-in was not the proper timing. However, they used this research to familiarize themselves with the market.

They decided to limit their housing search to 1.5 miles from Kyle’s new work. This was not in downtown Seattle, so the rents were not as exorbitant as it is in other parts of the city. At that time, the rental market in Seattle was very hot, so there was a lot of competition for rentals.

They knew in June that they couldn’t conduct their final housing search right then, but rather got an idea of the range of prices they could expect to pay. Their official housing search would have to wait until after they had moved to Seattle and were ready to take possession of a rental a few days in advance of Kyle’s job’s start date.

Planning the Cross-Country Move

Emily and Kyle’s second step was to start planning their cross-country move: how to get themselves, their car, and their stuff from Durham to Seattle.

There were two main constraints on moving process:

  • As they didn’t yet have housing secured, they had no address to which to deliver their stuff. They had to consider how fast their stuff would move cross-country.
  • They had a relocation budget of $5,000 from Kyle’s new job, which Kyle had ‘accidentally’ negotiated for.

Further reading: The Reluctant Negotiator

Emily and Kyle decided to keep the direct moving expenses within that $5,000 budget so they wouldn’t have to dip into their own money.

Upon starting to research their cross-country move, they found three broad categories of moving styles:

  • Full-service moving: Professional movers load your boxed stuff into a truck, drive the truck to your new home, and unload the stuff. You can additionally pay for packing/unpacking services.
  • DIY moving: You do the entire move yourself. You box and load your things into a rented truck, drive it to your destination, unload it all, and return the truck.
  • Pod-based moving: A pod (portable storage unit) is delivered to your old residence. You pack it up, the company moves it to your destination, and you unpack it. Additional storage time at the destination is easily available. This is at an intermediate price point between full-service and DIY moving.

Emily and Kyle ruled out full-service moving because it cost more than their entire budget and they didn’t have an address to which the boxes would be delivered. DIY moving is the least expensive way to move a lot of stuff but it wasn’t attractive to Emily and Kyle for this particular move. They didn’t want to drive an unfamiliar rented truck and be responsible for their stuff during their entire cross-country drive and throughout their housing search. It seemed a bit too stressful.

Pod-based moving seemed to be a happy medium for Emily and Kyle. The option to store their stuff in Seattle until they concluded their housing search was very attractive. They paired the pod-based moving with driving their own car cross-country. Instead of taking only a few days to drive cross-country, they decided to make the trip into a vacation as well. This slower pace worked well with pod-based moving.

Further reading: Moving Cross-Country with a Pod

Emily and Kyle secured seven quotes for various companies that did pod-based moving. PODS, the most well-known brand, was the most expensive. The lowest quote was from Door-to-Door, and the second-lowest quote was from UPack. They looked most carefully at Door-to-Door and UPack.

The size of the pod became important. The PODS pods were about the size of a parking space, whereas the Door-to-Door and UPack pods were about the size of half a parking space. For Emily and Kyle’s two-bedroom townhouse, PODS recommended using one pod, whereas Door-to-Door and UPack recommended using one pod. Using smaller pods was attractive because Emily and Kyle suspected they might be able to squeeze all their stuff into one pod only. As UPack allowed them to pack their own pod (Door-to-Door did not), they ultimately chose to move with UPack. UPack’s quote for moving two pods cross-country was $3,708.

Emily and Kyle sold and gave away some of their stuff. They sourced moving boxes mostly for free, but had to buy some packing materials as well. Emily’s parents came to town to help them pack, which they did in about a day and loaded their boxes into the two pods. But after getting everything out of the house, they decided to repack everything into one pod, with the remainder going into their car. Dropping down to using only one pod reduced the price to $2,472.

Some other direct moving costs were $155 for one month of storage of the pod in Seattle, $232 for a street permit for the pod to be delivered to the public street.

The total direct moving-related expenses that they asked to be reimbursed from Kyle’s employer was $3,052.39.

Cross-Country Vacation

Emily and Kyle decided to turn their cross-country road trip into a vacation, which was a strategy they had used many times for obligation travel during grad school. It was a much-needed break for rest and relaxation as they had not taken a vacation with just the two of them since their honeymoon five years earlier. They were also hopeful that they would have a baby in the near future, so this trip felt like a last chance at a vacation without other people for a long time.

They decided to arrive in Seattle about a week before Kyle’s job’s start date to give them time to conduct the housing search.

While Emily and Kyle typically planned their travel thoroughly, in this case they prioritized planning their move over planning their cross-country trip, so they basically winged it across the country. All they knew when they left Durham was where they were staying that night, some other friends to visit along the way, that the whole trip should take about 1.5 weeks, and some national parks they would like to see.

The general pattern for the trip was that each morning they would arrange for lodging for that night in the city they expected to drive to that day. They tried to alternate long days of driving with days of staying in one place and doing an activity. This fly-by-the-seat-of-your-pants trip was rather uncomfortable for Emily and Kyle!

One unexpected challenge to the trip was that Kyle’s phone died on the first day. They relied only on Emily’s phone for the entire trip. Emily’s phone was and is with Republic Wireless. Once they got a little ways west of the Mississippi River, they didn’t have much phone service outside of major cities. They didn’t even have a paper map with them! So every morning when they booked their lodging, they also wrote out their driving directions for the day because they couldn’t rely on having cell service. Emily does not recommend any of this, but they got through it and it was still fun!

Emily and Kyle’s cross-country road trip included:

  • Visiting and staying 1 night with extended family
  • Visiting and staying 1 night with friends from grad school
  • Dinner with a friend
  • A day at Six Flags with Fast Passes
  • An outdoor festival and fish fry
  • Badlands National Park
  • Mount Rushmore
  • Yellowstone National Park (two full days parts of two days)
  • Grand Teton National Park

Further reading:

  • Cross-Country Vacation Part 1
  • Cross-Country Vacation Part 2

Another snafu that caused some overspending had to do with the last-minute travel booking and lack of cell service. They booked a night at the Bear Lodge Motel through Priceline and wrote out their directions to that address. While searching for the address, they saw a sign for Bear Lodge and went there. They didn’t have the booking, so they had to rebook. They realized upon getting into the cabin, they realized they were at the wrong location. They were at the Bear Lodge Mountain Resort, which was about one mile away from the Bear Lodge Motel on the same road. They ended up paying for both hotels that night, which was about $100 wasted. Make sure you go to the right address!

The total cost of the cross-country trip was $2,317.97. Emily and Kyle asked for $1,339.71 to be reimbursed by Kyle’s employer because it was direct moving expenses. The remaining vacation-related expenses were $978.26.

Finding Housing in Seattle

Emily and Kyle arranged to stay with two sets of friends in Seattle to give them about a week to conduct their housing search.

They were ideally searching for a 2BR 1BA apartment in an older building with no amenities as it is fairly expensive to live in Seattle and they were determined to keep their housing cost down.

Further reading: Apartment Search in Seattle

They only viewed three places before they found what they were looking for. The apartment they chose was only 0.2 miles from Kyle’s work. Within just a few minutes of entering this apartment they decided to apply for it, and they had to race another couple to submit their applications and $500 to skip to the front of the application line (which would ultimately go toward the security deposit).

Another challenge to obtaining housing in Seattle was that Emily and Kyle needed to provide their up-front rent and security deposit as a cashier’s check or money order. Because they bank with Ally, they had to find places to provide the needed money orders, which took a couple days.

Emily and Kyle’s total costs to get into their apartment were:

  • $302.48 in one-time fees for applications, processing, and money orders
  • $48 for July 31 rent and water/sewer/garbage
  • $1,495 for August rent and water/sewer/garbage
  • $1,375 for security deposit
  • total: $3,220.48

In addition, Emily and Kyle had already paid a full month’s rent in Durham, and they had not yet received their expected reimbursement for their unused rent.

Another unexpected cost to moving is eating out due to your limited time and lack of access to a full kitchen. Additionally, you can expect to spend more on groceries in your first month following your move as you stock your fridge and pantry.

What Would Emily Do Differently?

Emily hopes you learned from this story and its implicit advice.

If she had a do-over, Emily would have done a few things differently:

  • Spend more time planning the cross-country trip itself to keep costs lower.
  • Get rid of more stuff! They didn’t even unpack some boxes for a year and didn’t even notice that we were missing their contents.
  • Consider their longer-term needs for our housing in Seattle. Their apartment does not have a dishwasher or washing machine and dryer! This was fine before they had kids, but is now a strain with two children.

Emily is focusing a lot of her material on moving and starting a new job this summer, which you can find at pfforphds.com/next. She is offering webinars and coaching on this topic. A move and job transition is the perfect time to set yourself up for financial success!

How to Plan and Prepare for a Frugal Long-Distance Move

May 22, 2019 by Emily

“Don’t do your PhD at the same university you went to for your bachelor’s, and don’t postdoc at the same university you got your PhD from. You need to demonstrate success in multiple environments.” I heard this advice many times during my PhD training, and this is the path I followed: I did my undergrad in California, my postbac in Maryland, my PhD in North Carolina, a fellowship in DC, and now I live in Washington (for my husband’s first post-PhD Real Job). While there are certainly some PhDs who choose to stay in one certain city or region, the norm is to move a couple times or many times, even internationally. All this moving takes significant time and money to execute, especially once you start collecting possessions you actually want to retain. This article outlines how you can plan and prepare for a frugal long-distance move so that you minimize the cost to you in money, time, and stress.

frugal long-distance move

Further reading:

  • A Step-by-Step Guide to Moving Across the Country with a Baby + 2 Cats (8-Part Series)
  • Our 15 Frugal Moving Tips
  • The Cheapest Way to Move – DIY Moving Tips and More

How Much Will Your Move Cost?

The price of a move runs the gamut from quite inexpensive at a few hundred dollars to quite expensive at several thousand or even on the order of $10,000 once all costs are accounted for. The main factors are:

  • the distance,
  • how many people and how much stuff you’re moving,
  • how much labor you choose to outsource, and
  • the wind-down and start-up costs in each city.

On one end of the scale, if you’re a single person and your possessions amount to a suitcase and a box, moving will be fairly inexpensive, perhaps a few hundred dollars for the transportation and whatever your start-up costs are in your new city (e.g., up-front rent and deposits).

On the other end of the scale, if you’re moving your family and all your stuff from a full house, your transportation costs will be quite high, your wind-down and start-up costs may be high, and you may choose to outsource some of the labor associated with moving to keep it time-efficient.

Buying and selling homes also add layers of expenses that I will not cover in this article.

Components of a Long-Distance Move

Long-distance moves can be expensive both in their direct costs and lost income.

The expense components of your move include:

  • Transporting yourself/your family, including housing and feeding in transit
  • Transporting your possessions, including storage in the new city if necessary
  • Transporting your car(s)
  • Packing materials and labor
  • Wind-down expenses for your old residence
  • Start-up expenses for your new residence, including scouting trips if necessary
  • Unpacking labor
  • Childcare

It’s also vital to plan for the income side of the equation. How much time will you take off between the end of your current position and the start of your next position and what does that translate to in missing dollars from your typical income? How much will maintaining your health insurance cost during that period up until you are covered by your new position?

There is often a trade-off between time and money when it comes to moving. Fast transportation costs more than slow transportation for long-distance moves, but slower transportation may necessitate more time away from work. It costs more to outsource labor such as packing, but if it allows you to take fewer days away from work it may be worthwhile.

When and How to Plan a Frugal Long-Distance Move

Moving long-distance is a major project with many moving pieces, so you should start your planning as soon as you know where you’re headed (if not before!).

Where Will You and Your Stuff Go?

Determine where your new home will be or at least when you will decide where to live.

This requires researching the housing market local to your new position.

If you plan to rent, figure out approximately when you need to sign a lease relative to your start date. The answer may be “not until you arrive in the city” or “several months in advance.” Know that you will have to conduct your housing search in earnest in the month or weeks leading up to that time, which may involve an additional trip to the new city.

If you plan to buy prior to your arrival, it’s never too early to start familiarizing yourself with the housing market and choosing a realtor.

Of course, finding appropriate housing is enormously important to your life and finances, but determining when you will take possession of your new residence will likely impact the method(s) you choose for transporting yourself and your stuff. Namely, when you and your stuff arrive in your new city, where will you/it go? Do you need to arrange for storage for your stuff and lodging for yourself for a period of time before you take possession of your new home?

How Will You and Your Stuff Get There?

Tackle the transportation question. You, your possessions, and your car(s) might travel together or separately, so there are a lot of combinations of methods available. Consider the cost, time, and stress involved in each method.

Ways to transport yourself/your family:

  • Plane
  • Train
  • Bus
  • Car (yours or a rental)
  • Cab of a moving truck

Ways to move your possessions:

  • In a car (yours or a rental)
  • Moving truck/trailer driven by professionals
  • Moving truck or trailer driven by you
  • Pod
  • Shipping (mail, bus, plane)
  • Luggage with you while traveling

Ways to move your car(s):

  • Drive it yourself
  • Trail it behind a moving truck
  • Ship it
  • Hire a driver

Some of the simplest combinations of methods for long-distance moves are:

  • Fast and expensive, lots of stuff: Fly yourself with luggage and hire professionals to move your possessions and your car
  • Fast and inexpensive, little stuff: Drive yourself and your possessions in your car or a rental car
  • Fast and inexpensive, lots of stuff: Drive yourself and your possessions in a rented moving truck trailing your car
  • Slow an inexpensive, little stuff: Fly yourself with luggage and ship your possessions
  • Slow and inexpensive, lots of stuff: Drive your own car with possessions, ship remaining possessions in a pod or boxes

There are many transportation configurations possible, so settle on the one that best conforms with your desired amount of time off, how much money you have available for the move, and the degree you want to be involved with the transportation of your possessions. Be sure to get quotes from several providers of each service you are considering.

Settle on the Dates and Book Everything

Negotiate and finalize your end date for your current position and the start date for your new position. If you are using a professional moving service at any stage, book them as soon as you know the dates. Some services book out weeks and months in advance, and the summer is the busy season.

Prepare for the Move Logistically and Financially

Use the months and weeks leading up to your departure date to prepare for the move to make the final days as smooth as possible.

1) Designate a moving fund

In an ideal situation, you will pay for your move with cash, even if it will later be reimbursed by your employer. Set aside the total amount of money you expect to spend on the move, start-up expenses, etc. plus an extra 10% or more for unexpected expenses.

The more time you have leading up to the move, the more opportunity you have to redirect some of your ongoing savings rate or to earn additional money through side hustling.

If paying for your move with cash is not possible, carefully consider the least damaging type of debt available to you, e.g., a personal bank loan or a 0% interest credit card, and make a plan to pay it off as soon as possible with your new paycheck.

2) Start collecting moving materials for free

You’ll likely need at least some moving materials, e.g., boxes, packing material, tape. Boxes can be readily sources for free in your community. Ask nearby grocery and liquor stores when the best day is to pick up their excess boxes. You can also check craigslist, Freecycle, and Buy Nothing for free boxes. Collect boxes from these sources regularly over the weeks leading up to your move so that you can cover most or all of your needs. Don’t expect to find all the free boxes you need the day before you start packing!

If you end up buying new boxes, consider reselling them once you’ve finished with them to recoup some of your costs.

Packing material is more difficult to reuse so you can check some of the same sources for free material but you may need to buy some of your own.

3) Pare down your possessions

Generally speaking, the less stuff you have to move, the less expensive your move will be. Of course, if you sell vital possessions, there will be a cost to acquire them again in your new city. But think of your move as an opportunity to declutter and make sure you only retain what is most useful and/or important to you.

The possessions that you use frequently will have to be packed up or disposed of last, but in the time leading up to your move, you can go through your less frequently used possessions and either pack them or get rid of them. Selling your possessions is a great way to pad your moving fund, and the more time you give yourself in this process, the more likely you are to be able to sell your stuff. You can also give away your possessions that still have life in them through Buy Nothing or Freecycle or donate them to nonprofit organizations like Goodwill, Habitat for Humanity, the Salvation Army, etc. Your possessions without remaining value can be recycled or, as a last resort, put in the garbage.

Execute the Move

All your planning and preparation will pay off once you start your move! In the final days leading up to your departure, you will pack everything up and clean your old residence. It will take a lot of work so don’t try to cram it into too little time. If your movers show up and you aren’t fully packed, they will pack for you and charge you an arm and a leg!

A couple final tips:

  • Make sure to pack the things you will need during your move or upon getting into your new place separately and/or with clear labels. You don’t want to have to open all your boxes to find a saucepan or your work clothes!
  • Be prepared to spend above your normal levels on food as you pack and unpack your kitchen and as you devote your free time to packing instead of cooking.
  • Enlist your friends and family to help with packing and even childcare while you pack. (But return the favor when you have the opportunity!)

To hear my personal story of how my husband and I moved cross-country for his first post-PhD Real Job (not very frugally!), listen to my podcast episode dropping 5/27/2019!

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