There are many physicians who feel that they deserve to life a lifestyle that matches with how hard they’ve worked; however, in reality, having a successful budget isn’t determined by someone’s salary, but by the income in the overall context of the goals that they’ve established for themselves.
Another common misconception that doctors tend to hold is that when they complete their training, the money they earn will enable them to pay back any debt they owe. Unfortunately, this is something that doesn’t account for any compound interest.
Generally, physicians should always begin their financial planning as early as possible. There is always a belief that unless someone begins this process early, they’ll never actually catch up. However, there isn’t much of anything that you can do to change the compound interest issue. It can take a lot of time for all sorts of investments to grow, but you then need to make yourself open to other methods of building up wealth.
Education is something that’s extremely important, and various types of resources to help you learn about financial planning are now available. This is something that many older physicians weren’t able to take advantage of, but something that newer physicians can now utilize.
Despite this, it’s equally as important to be careful about who they choose to trust, as they should watch out for “bad financial advice from those who may have a vested interest in having them invest their money instead of paying down debt.”
No matter what the cause may be, physicians who struggle to make ends meet will always run the risk of having to deal with issues such as burnout and other related consequences, including financial strain. All in all, it’s up to the physician themselves to learn about money because of the fact that no one is responsible for their money except themselves.
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