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You Are at Financial Risk If…

…On the Newest Diet

The newest and hottest diet right now is the paleo diet. I see it advertised everywhere. Many have purchased their keto sticks and pissing on it regularly. Some have paleo recipe books or buy paleo pre-prepped foods.

Weight gain and loss is a very simple concept. Spending money to lose weight is illogical. Losing weight means taking in fewer calories and being more active – both of these are money-saving endeavors and don’t require spending money.

…You Have the Newest Car

Airbags, anti-lock brakes, and raised seat backs are pretty much the only things that have made cars safer. Everything else is fluff. This includes electric cars and hybrids and mirrors which notify you of nearby cars.

Technology promises a lot and delivers very little. Safer driving techniques and relying on your automobile a lot less is the best thing you can do for your health.

…Bought a Home in a Seller’s Market

We can rent homes as readily as we can buy them. So to buy a house in an inflated market, a seller’s market, isn’t a good financial decision. It’s often an emotional decision.

If you have bought your house at the peak of the market or when everyone else has been buying a home, you might be easily swayed by how others behave.

…Relying on your Doctor for Your Health

If you believe that regular blood tests and regular visits to your doctor will maintain your health then you are at risk of complications from too much western medicine.

If you have high blood pressure or high cholesterol and have resorted to medications before attempting a true lifestyle change then you are at risk for losing control over your health. This often has expensive financial consequences.

…You Don’t Invest Your Money

Your money loses value when held in cash. Not investing your money decreases the value of your money even if it shields you from the risk of the investing markets.

The problem is that you are earning money as a medical professional in a rigged economic system. Those who invest wisely can make their money grow, while the rest have to put up with inflation.

If you don’t invest your money, you don’t learn how to invest. The best time to learn investing is when the economy is doing well, as it is doing now in 2018.

…Have a Single Source of Income

Physicians make easy targets for lawyers and scoundrels in any field who want to rip you off because they know you have more money than time.

A single income source means that if you lose the ability of earning an income from your job then you will have to drain your savings account. Find other ways of earning your income in medicine such as doing some telemedicine on the side.

And if you think that relying on your partner is enough then you might get wiped out in a divorce. Having multiple sources of income protects you and those around you.

…You Don’t Protect Your Assets

Your biggest asset is your ability to earn an income. If you don’t have a good disability policy then you are at a high financial risk. Many of my medical colleagues rely solely on their shitty group disability policy.

Divorce is another common way to lose your assets. Without a premarital or postmarital agreement, you risk a huge financial disaster in case of an ugly divorce.

…You Don’t Believe in Burnout

I definitely didn’t believe that a physician could burn out. Burnt out doctors just seemed like bitter, jaded fucks. I would wonder how a grown adult could complain so much about such a great profession.

Complaining isn’t a good way of dealing with any situation. But when you’re burnt out, sometimes that’s all you can do out of desperation.

If you don’t believe in burnout then you won’t recognize it when it happens to you. You’ll cover it up with alcohol or self-destructive behavior. Or you’ll blame everyone around you but yourself until you are left completely alone.

…You Think a $300k Salary is a Lot of Money

The median income in the US is $60k. In most of the cities where doctors live, the median income is $150k.

When the median income is half of what you make, you are at a huge, huge disadvantage. If you don’t recognize your financial disadvantage when living in a high cost of living area, then you are likely to inflate your spending to keep up and will sacrifice your retirement for your future.

…Believe Your Home is an Investment

Most of the data show that the average house keeps up with inflation. Few people will ever profit from the sale of their home. Everyone knows someone who profited nicely from selling their home but nobody themselves profited.

Once you account for all the property taxes, HOA’s, inflation, mortgage, closing costs, remodels, moving expenses, repairs, maintenance, insurance, and furnishing of your primary residence, there will be very little profit left after selling your home.

…You Don’t Pay for Expertise

A lawyer, a business consultant, a marketing specialist, a financial advisor, and a tax strategist are a few experts which you can’t do without if you want to maximize your chances at success.

Few physicians will have enough free time to do the research on these topics. Even with a spouse who isn’t working, they are likely busy running after the kids and so these topics aren’t handled adequately.

Doctors start their jobs too late in life, with way too much debt, and with way too little time to ignore such expert topics. Leaving them up to chance or a superficial Google search could hurt you financially.

…Working too Much

The ability to work overtime can be a blessing and a curse. As an urgent care doctor I can pick up as many overtime shifts as I like. This can nearly double my income but also fastrack me towards burnout.

It’s better to put your extra energy into generating some income outside of medicine so that you aren’t overexposed in your particular specialty.

Earn some money doing clinical consulting or learning investing skills in the securities markets or real estate.

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