How to Plan for the Cost of Medical School: Advice from OUM’s CFO

The cost of medical school is bigger than a tuition bill, but it’s also more manageable than it looks once you can see the whole picture. At Oceania University of Medicine (OUM), that picture includes 182 tuition credits, hospital fees during 72 weeks of clinical rotations, and four to five years of everyday living expenses. Know those three pieces, plan for them early, and the road to your MD becomes a series of clear, achievable steps.

During a recent webinar for prospective medical students, OUM’s Chief Financial Officer and Bursar Suzi Robertson outlined how prospective students should assess and plan for the financial responsibility of their medical school journey. Here are the key insights and actionable advice shared during the webinar.

1. Are You Financially Ready for Medical School? Assess Before You Enroll.

Before enrolling, it is vital to ensure that your financial preparedness matches your academic dedication. Financial stress can directly impact academic performance, so prospective students are encouraged to conduct a thorough financial assessment beforehand.

“It’s very, very important to us that our students who come into the program are fully aware of what’s ahead and are able to make informed financial decisions as to whether this program is for them.”

– Suzi Robertson, OUM CFO

If your assessment shows that you currently lack the required resources, taking time to adjust your financial situation can set you up for future success. Delaying entry by a year to build a financial safety net is often the smartest strategy, says Robertson.

2. Medical School Tuition vs. Fees: What’s the Difference?

With students applying from Australia, Canada, New Zealand, Samoa, and the United States, OUM depends upon standardized terminology which ensures that everyone understands OUM’s system and their individual financial obligations:

• Student Information System (SIS): SIS is OUM’s internal portal where all student account data, application information, MD program progress, and billing details are stored.
• Tuition Credits: Tuition credits are the prepaid units (182 in total) required to complete OUM’s MD program. These credits bundle course delivery and universal fees into a single upfront cost, avoiding small, unexpected bills for individual services.
• Variable & Behavioural Fees: Variable and behavioural fees are additional costs that can largely be controlled or avoided through smart choices (e.g., opting for fee-free payment mechanisms rather than credit cards, or paying on time to avoid late fees).
• Clinical Rotation Hospital Fees: Clinical rotation hospital fees are the training fees paid to the hospitals that provide their hands-on patient care training. These variable fees come directly from the teaching hospitals where students complete their 72 weeks of required clinical placements.

“Our goal? That for every student, regardless of what jurisdiction you’re from, when we say the words ‘tuition,’ that you understand what it means — and when we say the word ‘fees,’ for you to understand what that means, too.”

– Suzi Robertson, OUM CFO

3. How to Build a Five-Year Medical School Budget.

OUM announces the next year’s tuition rates by September 1 each year. Rates are updated annually based on the Consumer Price Index (CPI), so you can plan ahead with confidence. Students further along in the program can also lock in current rates for future courses by purchasing credits before the annual CPI increase on 1 January each year.

However, your budget must cover more than just educational expenses.

“The most important thing for me right now is that you understand the need and the importance of a five-year budget, to be able to show yourself that you will be able to both cover the costs of this program . . . and keep yourself and your family in housing, food, clothing, electricity, etc. for the duration of the program.”

– Suzi Robertson, OUM CFO

4. Can You Work While in Medical School? What to Expect in Each Phase.

Can you work while in medical school? At OUM, only in limited phases. The MD program requires a full-time commitment of approximately 40-50 hours per week for classroom attendance and study, so working while studying requires strategic evaluation at each stage:

• General Principles Unit: It is strongly recommended that students refrain from paid employment during this initial 8-week period to adjust to the demanding study pace.
• Preclinical Phase: After completing General Principles, students can evaluate their personal bandwidth to see if part-time work is manageable.
• Clinical Phase: During the 72 weeks of clinical rotations, working in your pre-medical school profession is not feasible due to full-time hospital shifts and outside coursework.

“General Principles is like the sorting hat at Hogwarts . . . it is the time that will really tell you whether this program is for you. So, to give yourself the best chance of success, my recommendation to you is you plan not to continue employment during your General Principles Unit.”

– Suzi Robertson, OUM CFO

Key Takeaways: Managing the Cost of Medical School.

OUM advises its prospective and incoming students that managing the financial requirements of medical school relies on preparation, realistic budgeting, and open communication. By understanding all costs in advance of enrollment and taking advantage of personalized guidance from the Bursar’s office, you can set yourself up for a supported and successful medical school journey.