Tag: debt

Money, Finances, and Retirement

These 3 items often give people an upset stomach when talking about the future and planning.

My parents were budgeters… not because they enjoyed it, but because they didn’t have the means to be extravagant. I grew up in a two parent working household and that was to make ends meet. I was extremely fortunate that my parents valued my future, and it was evidenced in how they spent and saved their money. Home cooked meals were the norm — until I started in activities that kept me at lessons or practice from the time school recessed until the late evening. I never questioned the sacrifices they made nor the financial understanding of what they were doing. I’ve learned a lot from how they spent their money, and it’s something I want to pass on to my kid(s).

When I look around at people and their spending habits, I’m appalled at what they purchase. Eating meals out every night…. buying tons of clothes/makeup/shoes…. these are just some of the things that just seem to be wasteful to me. Do I do it? Yes, but minimally. Do I think about it every time and wonder if it’s worth it? Absolutely. But, it’s never too late to start a plan or get on track to be financially savvy or responsible.

If you’ve just graduated high school…. here’s a great place to start: What I Wish I’d Known at 18 from Physician on Fire.

Helpful links to tackle:

x-books-about-money

Updated March 19, 2019

I’m always curious as to what others are doing for financial success.  Do people do side hustles?  Are you guys knowledgeable in stocks and options?  Are some really savvy at retirement accounts?  What are people doing these days to plan for a solid financial future?

A couple of years ago, I came across a website called White Coat Investor.   I got an Audible book of White Coat Investor and I wish I had it while in college and about to enter medical school.  I continue to be on their email list bc it’s one of the few websites I found that includes helpful financial tips in a newsletter.  The one I came across today was a subsidiary of WCI, called Physician on Fire.  They have a great post on The Cash Balance Plan, which our group started offering to us a couple of years ago.  It’s worth a read…as are most of the articles at POF.

About a week ago, I got an email and followup call from a consulting firm requesting various advice/expertise on medical devices.  This was the first time I had been contacted re: a consulting opportunity.

Another thing I could use is more diversification of my stock/investment portfolio.  Here’s a great article for considering adding new asset classes.

Side Hustles for Physicians

 

Backdoor Roth

What is a backdoor roth?

Is it worth it to setup?

How to setup a backdoor roth:

Ways to screw up a backdoor roth IRA

 

 

Financial Responsibility

I’m in the midst of wedding planning — which doesn’t exactly sound like financial responsibility.  However, we’re doing our best to budget for a beautiful wedding that is an investment in our love.

This article (A Story of a Fuck Off Fund) got me thinking and made me hugely disappointed in Americans and our spending habits.  It’s as if we have to “keep up with the Joneses” who may have wealth or may just be pretending.  The only positive thing out of this article was that the author pulled it together and has this fund.

How many people are struggling to pay their bills — rent/student loans/groceries/health/car/etc. — but are walking around going to parties, drinking Starbucks daily, ordering out lunch or dinner daily?  It makes me wonder if Americans are even serious about their own financial struggles.

I was lucky to have been raised in a less than middle income family — both of my parents worked to make ends meet.  From this experience, I learned a lot about saving money.  I have one friend who always likes to call me a “tight wad” bc I don’t pick up the check every time a group goes out to dinner (but he doesn’t have a problem if I’m kind enough to pickup his bill).  Granted, my income is higher than most of my friends, it shouldn’t be an assumption.  I didn’t win the lottery and have just buttloads of money bestowed upon me.  It was decades of schooling, decades of lost time, massive amounts of student debt (yes, that I chose to pay off early!).  Everyone makes choices in life, and I feel that if my non-American, English-as-a-second-language speaking parents could provide me with all the tools to succeed…. then other people could also succeed.

But that seems to be where it stops short.  Fun is way easier to experience than work.  I had friends who were out partying nightly in college — and now they say I’m “lucky”.  Luck isn’t synonymous with hard work.  It’s almost like they think it was handed to me.  The luck is that I believed in hard work.  I learned that hard work would lead to financial stability…I just had to put the hard work in first.

Now, my thinking seems to be in line with this article (No You Cannot Have A Few Minutes of My Time).  And going one step further… I evolved into what this article is all about (Why Most People Will Never Be Successful).  The article may sound elitist, but I don’t think it is.  I think it’s true in life that as you start to specialize and hon your craft, some things in life will have to give.  I used to love going out with friends or acquaintances to “hang out”.  But over the years, I found that nurturing the special relationships are way more important.

So here is where I am now (How I Learned to Love Investing , How to Choose Investments for Retirement , Why you need to start saving for retirement now!).  And some point along the way, this (What I Learned About Money After My Parents Died) happened to me but with only one parent.

I commend this couple who realized how important it is to take care of debt:  Interview with a person who paid off $48,000 in student loans in 4 years.   But sadly, some people continue to live like this girl (but I hope they’re learning and figure it out like she did): What I learned about money in my 20s.  And this guy… nailed it in What it Means to Save: A Year in the Life.