Here's my situation.
I've been working for this company for about six months while completing my MS degree. (I'll graduate this December.) My current salary is lower than the average in the industry and it doesn't look like I will get a salary hike any time soon. I want to move to a different company because with student loans and the cost of living, I barely have any money left over at the end of month. I plan to stay at my current company for a year or two and move on to a job that pays me better.
My friend who is an employee at an established company tells me that most companies either hire new grads or people with 5 years of experience at least. Anywhere in between, I'm out of luck. He advises me to quit my current job so that it can fall under the student's work experience and apply for jobs as a new grad.
How sound is this advice? I thought that with some kind of experience, you're in a better position to negotiate for a higher salary than the ones just out of school.
PS: I'm working as a software developer right now.