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Welcome to this session of grand rounds, a collection of posts I have discovered in the blogosphere and have found of interest and hope you do too.
This offering of Grand Rounds looks at articles from around the web that deal with financial considerations physicians need to consider.
I remember the day I graduated medical school (May 22, 1997) and had the M.D. designation officially linked to my name, very well.
After going through a rigorous training program I thought I knew it all.
How wrong I was.
Becoming an intern, and later a resident, was my first full-time job and the first time I really made money.
I thought since I was going to make “the big bucks” later as an attending, I was free to do what I want with what little money I received (I believe my intern salary was $32k/year).
However I could really have jump-started my finances if I made some sound financial decisions early on.
Don’t make the same mistakes I did and follow The Frugal Physician‘s “8 Money Money Moves For A New Intern.”
Although a million dollars is not what it used to be, it still is something that is amazing to achieve.
Adding that second comma allows you to enter the playground of the wealthy.
It may seem impossible to achieve this on a resident’s salary but with careful planning you can set yourself up for a wonderful financial future.
Prudent Plastic Surgeon gives you a blueprint to do this in, “11 Financial Steps for a Resident That Will Make You Over $1 Million.”
When there is a medical emergency, time is of the essence and the ability for a physician to prioritize what is important and what is not can be the difference for a good or bad outcome.
Being in debt can be considered a financial emergency and likewise requires a similar approach to achieve a good outcome.
Physician on Fire helps you achieve this in, “Top 5 Financial Priorities for an Early Career Physician.”
Most of us go to work to make money.
But most of us do not think of the many costs a physician incurs so that he or she can don that white coat and practice medicine.
Little things here and there can certainly add up to a surprisingly high number.
Fear not, Physician In Numbers has done all the legwork and breaks it down in, “How Much Does It Cost Me To Work?”
Doctors make good money, there is no getting around that.
So why are so many doctors still living paycheck to paycheck and dealing with large amounts of debt?
Achieving wealth takes more than a large paycheck.
It takes discipline to make sure that the money coming into the household is greater than money leaving it.
Smart Money MD touches on the issue these physicians have in, “Why doctors have trouble controlling expenses.”
Hope you enjoyed the reading material.
Have a great rest of the week.
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Even a steadfast DIY’er can sometimes gain benefit from the occasional professional input.
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Sadly, many physicians just don’t get the very simple calculus: Don’t spend more than you make, and don’t spend what you should be saving. Don’t fall into the big-house-fancy-car-etc trap. Keep your first wife if at all possible. And so on.
But no, we’ve worked hard getting where we are and WE DESERVE IT! Until we can’t afford it.
Hit the nail on the head for sure. I will say I feel for the trap hook, line, and sinker, when I first finished residency/fellowship and went on a spending spree (i.e. bought a new Mercedes a month before my fellowship ended). Shaking my head now, but back then I remember feeling that after 8 yrs+ of denial, I “deserve” to get something nice. Definitely one of the financial mistakes I made (and documented in my first posts).
Have a great one.
Thank you for the feature, Xrayvsn. I had a fun time writing this post, trying to hunt down all the state-specific fees (as you can see, it was not always possible).
Of course. I thought it was full of useful info and details. Was trying to tag you in my Twitter post but could not find your Twitter handle. Have a great day
That was very kind of you. I haven’t ventured into Twitter yet, I can barely keep up with my in-box…