Do you dream of becoming a doctor? It’s a gratifying career, but let’s be real, medical school comes with a hefty cost. Medical school costs often require years of financial planning and student loans. But don’t worry, there are ways to make it more manageable—and help you realize your dream!
Let’s look at the numbers, explore funding options, and talk about how you can take control of your medical school finances.
Types of Medical Schools
Flickr user Alex Proimos
First, let’s look at the types of medical degrees available. There are two main types of medical schools in the U.S.: allopathic (MD) and osteopathic (DO) schools. While both types of schools train students to become licensed physicians, they have key differences in their approach to medicine and training.
MD Programs Compared to DO Programs
MD programs, which follow the traditional medical model, focus heavily on evidence-based treatments, pharmaceuticals, and surgical interventions. DO programs, on the other hand, take a more integrated approach, emphasizing the body’s ability to heal itself and incorporating osteopathic manipulative medicine (OMM), which involves hands-on techniques to diagnose and treat patients. Even though there are philosophical differences, MDs and DOs take the same licensing exams, complete similar residencies, and practice in the same medical fields.
Right now, MD programs are more common, with over 150 accredited MD schools in the U.S., compared to roughly 40 accredited DO programs. However, osteopathic medicine has been growing in popularity. DO schools have expanded enrollment faster in recent years than MD schools. According to the American Association of Colleges of Osteopathic Medicine (AACOM), more than 25% of medical students in the U.S. are now enrolled in DO programs.
The Cost of Medical School: Tuition and Expenses
Medical school tuition and fees vary widely depending on the institution. According to the Association of American Medical Colleges (AAMC), the median cost of medical school tuition for the 2024-2025 academic year was:
- Public Medical Schools (In-State Students): ~$37,000 per year
- Public Medical Schools (Out-of-State Students): ~$62,000 per year
- Private Medical Schools: ~$67,000 per year
That’s just tuition! You’ll also need to budget for additional expenses, including:
Student Fees: Covering technology, lab usage, and student services
Living Costs: Rent, utilities, food, transportation—basically, life expenses
Books & Supplies: Often exceeding $1,000 per year
Exams & Licensing Fees:
- Medical College Admission Test (MCAT) – $345
- American Medical College Application Service (AMCAS) Fees – $175 for the first school, plus $46 for each additional school
- United States Medical Licensing Examination (USMLE) Fees – Over $1,000 per step
By the time you graduate, you could be looking at $250,000 or more in total expenses—yep, that’s like buying a house before you even start earning!
Why is Medical School So Expensive?
One of the biggest reasons that medical school is costly: time. Medical school takes four years, followed by a residency program lasting 3–7 years. During residency, doctors earn significantly lower salaries. The lower income level makes it challenging to repay any student loans immediately after graduation.
Medical schools also invest heavily in certain areas, making them more valuable and expensive to attend.
- High-tech facilities – Simulation labs, research centers, and innovative technology all come at a price.
- Top-tier faculty – Many professors are practicing physicians or researchers whose expertise and salaries reflect that.
- Accreditation and licensing – Schools must meet strict standards, which requires constant investment in curriculum development, faculty training, and compliance.
Add in the multiple exams, application fees, and relocation costs for residency, and it’s easy to see why med school gets so expensive.
Ways to Fund Medical Schools
With the high cost of medical school, most students rely on a combination of scholarships, grants, and loans to finance their doctoral education.
1. Scholarships & Grants
A terrific way to reduce the cost of medical school is to secure scholarships and grants, which do not need to be repaid. Many medical schools offer merit-based scholarships for students with strong academic records. Private organizations also provide financial aid to students committed to specific fields of medicine or underserved communities.
Federal and state programs also offer grants to medical students who meet specific financial criteria. Since scholarships are highly competitive in this high-cost area, applying for them early and looking for several funding sources is a smart move on your part.
2. Student Loans
For most students, loans are the primary way to finance medical school. Federal loans, such as Direct Unsubsidized Loans and Grad PLUS Loans, offer fixed interest rates and flexible repayment options after graduation. You can also find medical student loans from many private lenders. Read through the interest rates and terms as they vary from institution to institution.
While loans are necessary for most students to finance their education, they often result in significant debt. Do your research beforehand to understand your repayment options and interest rates before borrowing.
3. Loan Forgiveness & Repayment Programs
Several programs exist to help doctors manage or reduce their debt. For example, the Public Service Loan Forgiveness (PSLF) program forgives remaining student loan balances after ten years of qualifying payments for doctors who work in nonprofit or government healthcare settings. Other programs, like state-specific loan repayment assistance programs, offer incentives for doctors who practice in underserved areas or specific specialties. If you’re interested in serving your community in this way, seek out these programs that can reduce the financial burden of medical school if you qualify.
4. Military & Service-Based Programs
The military and specific service-based organizations offer tuition assistance in exchange for a commitment to serve. Programs like the Health Professions Scholarship Program (HPSP) provide full tuition coverage and even a living stipend if you agree to serve as a military physician after graduation. Also, the National Health Service Corps (NHSC) offers scholarships and loan repayment if you commit to working in high-need areas. These programs can be an excellent and impactful way to finance medical education and your career path after graduation.
How to Reduce the Cost of Medical School
Worried about taking on six-figure debt? Here are some ways to lighten the financial load:
Look at Public Schools
Many public medical schools offer significantly lower tuition for in-state students. Choosing one could save you tens of thousands of dollars over four years! Public schools also provide financial aid and scholarships to help offset costs.
Consider Tuition-Free Programs
Some medical schools, like NYU Grossman School of Medicine, have introduced tuition-free programs. Yes, you read that right! While these are understandably competitive, they’re a fantastic way to eliminate tuition costs.
Scholarships and Grants
Applying for financial aid early increases your chances of getting more aid awarded to you, as many scholarships and grants have strict deadlines. The earlier you apply, the better your chances of securing the funding you need!
Live Modestly
Housing and daily expenses add up quickly. Choosing an affordable place to live, cooking at home, and cutting unnecessary spending can make a massive difference over the decade or so that you’re in school. Think of it this way: every coffee you make at home instead of buying from a café could save hundreds of dollars each year!
Thinking through these decisions and building healthy financial habits will ease the burden of medical school costs and set you up for a successful medical career.
Managing Medical School Debt
Since many students graduate with over $200,000 in debt, having a game plan is essential. Here are some ways to stay on top of your finances now and when you start paying off your loans:
Create a Budget – Keep track of your expenses and stick to essentials. Think of it this way: every dollar saved now is a dollar less to repay later!
Choose an Income-Driven Repayment Plan – These plans adjust your loan payments based on your salary, making them more manageable while you’re still in training.
Consider Loan Refinancing – If you land a good residency and can qualify for a lower interest rate, refinancing can help reduce your long-term loan burden.
Explore these debt management strategies and note them to reconsider in the future. You can take control of your finances and work toward long-term financial stability, even with the student loan debt from medical school.
Alternative Paths to a Medical Career
If you’re hesitant about the cost of medical school, attending a foreign medical school can be a more affordable alternative. Many international programs offer lower tuition rates while still providing high-quality education. However, carefully research accreditation and residency placement rates before committing to make sure you’re setting yourself up for success.
Another possibility is to pursue a career in a related healthcare field. Consider becoming a physician assistant (PA), nurse practitioner (NP), or medical researcher. These roles require less schooling, have lower tuition costs, and still offer strong job prospects, salaries, and career fulfillment.
Yes, medical school is a significant financial commitment. But it can be an excellent investment in your future with the right strategy and considerations taken into account. Before committing to an MD or DO program, consider the long-term investment, potential earnings, and available funding options to make the best decision for your future.
Want to explore even more careers in the healthcare field? Check out our Career Finder Tool to find your fit!
