Financial Success in Medicine
Most Doctors seemingly experience above ordinary financial success in life. Some outstandingly so - they start their own foundations and provide funds for others such as grandchildren and those they sponsor to gain the best start in life.
Others, and it's not that uncommon, go bankrupt or just simply never get ahead.
What makes the difference? Why is some wealth healthier?
And, is the difference controllable or is it just luck?
The answer is that the differences ARE able to be controlled - and, by using the right monitoring tools, you can perfect control and free up even more time.
So what's the secret? Bearing in mind that being in medicine means you won't want to go and get another qualification, especially not in finance, what needs to be done in order to experience success in both fields?
The biggest single factor is how early, relative to when you start earning, you put in place a plan. A plan doesn't need to be sophisticated - in fact, its much much better if it's not.
Using some standard historically proven assumptions, someone that starts working a plan in their 30's rather than leaving it to their 40's (or 40's compared to 50's), at point of retirement will have DOUBLE. It’s the doctor with no patience that wins this one!
The next factor is how often you monitor, refine, and measure against the plan.
Sounds simple? It can be. Apart from the plan itself, monitoring, refining and measuring tools such as cashflow forecasting (lifeblood), benchmarking (enlightening!) and simply being able to read and understand your financials in minutes can be powerful influences on how you track through life.
There's other factors - nobody wants to underpay or overpay tax; the right amount of insurance to ensure that, like skin to a body, there's adequate protection; an investment adviser who's kept honest; and an accountant who looks after all of those things, as well as the planning discussed above, who can keep your structures simple and up to date, can advise on practice marketing, fees, provide breakeven plans and advice, and who also takes the time to present it all succinctly and ensure understanding will be your essential partner.