When I became interested in the financial markets many years ago, I spent many hours and days trying to devise ways to make money in the stock market.
There are many ways that investors try to make money in the stock market, including:
Win at investing by not losing
Basketball dreams
I had one dream throughout childhood. (It certainly wasn’t to be a seven-figure failure!)
To play basketball. Now before you start to criticize me for my grandiosity, the goal was more simple. I had no plans of playing in the NBA, or even college for that matter. I had one simple goal-make my high school basketball team.
Easy you say, right? Well, the team was super competitive, and most of my …
This physician wasn’t afraid to fail
Doctors order a lot of tests.
Let’s be clear, most of these tests are quite good and help with diagnosis and management. They can help hone down a wide differential diagnosis to a single diagnosis. Once a diagnosis is made, additional tests can help guide physicians on the best treatment.
But there are some tests which are not necessary to order. In some scenarios, the next step in management (whether it be …
Doctors order a lot of tests. That applies to personal finance.
Kids watch our every move. Who hasn’t seen a young boy who imitates what his dad does. Even to the point of standing, just like dad, leaning up against a railing with his legs crossed, and a piece of straw hanging out of his mouth. They hear what we say at home and around the dinner table, especially when we are not talking to them. They watch how we spend …
What are you teaching your children about money?
Physicians-in-training make a pittance when one looks at the hourly rate, Especially when I was residency, in the early 2000’s. I often worked upwards of 100 hrs per week and made $30,000 per year. The first year, called internship, is replete with long hours and crushing responsibilities. Opportunities to make an extra buck are all but impossible. In the second and third years, however, there is much more elective time. During these …
Moonlighting is the side hustle for the not so lazy
Every day, we’re presented with choices. Some are larger than others, and though some make little difference in the grand scheme of things, some choices can be life-altering. In life and in business, when we have a big decision to make, it’s all too easy to err on the side of caution–sometimes to our personal or financial detriment. It’s human nature.
But what is it that keeps us from making tough …
Taking risks and the costs of inaction
The sister of one of my best friends went off the deep end in college. We will call her Trinity. She got caught up in the wrong crowd, made some bad decisions, and ended up dropping out of college. The direction that Trinity ended up going was really distressing to her parents. The crazy part? They blamed it on the college that she attended.
This was completely ironic, because she originally …
When life goals and financial goals clash
The savings rate in America is abysmal. As a result, many Americans rely on Social Security and pensions to fund their retirement.
However, physicians would not be able to maintain their lifestyle on Social Security payments alone. And few physicians receive pensions from their employers. Therefore, they have to fund the majority of their retirement through savings.
But how do you define savings rate? Let me count the ways. Do you use gross …
How physicians can calculate their savings rate
A frequent topic seen on this site and many other sites, blogs, and forums are the merits of using very low-interest financing for various things. The attraction is obvious. Not only do you not have to have the cash up front, but even if you do, surely you can do better investing than 0%, and if you borrow at 0% and earn at anything better than 0%, then you come …
Why physicians should beware of 0% financing deals
In February 2017, I saw my last patient and left clinical medicine. Most people would say I retired. I have chosen to say I have repurposed. I no longer see patients, but I still work. I am writing the Doctors Guide series of books, keeping up a blog and working with physicians who need help with a financial makeover, usually to eliminate their debt, set themselves up for retirement or …
6 things this physician learned after retiring
How do I start a side hustle?
I have heard this plea so often, It is no wonder there are many how to blog posts trying to answer this exact question. As helpful as they may be, most of the ideas espoused are both time and energy-consuming. For instance, starting a blog is great! But if you want to truly make money, be prepared to put in full-time hours. Or Read more…
How physicians can start lazy side hustles
Every physician, especially those who work in oncology, have read their fair share of clinical trials. In order to advance the field of medicine, you need to test new drugs against the current best treatment, or the standard of care.
Some trials succeed, and we make progress in our fight against cancer, or hypertension, or HIV. Some trials fail, and these new treatments are discarded.
When designing a clinical trial, you need to …
Physicians: What are your endpoints in personal finance?
I love movies. Not the artsy types that win awards; I most enjoy the big, expensive popcorn blockbusters that take you away to a different time and place. However, as our income and wealth has grown, we’ve maintained a few of our “cheapskate” habits from when we were poor. One of these is we see almost all of our movies at the “dollar theater,” a second-run theater where the entire …
11 physician finance lessons from The Greatest Showman
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Recently I had three important events happen during a three day period that reminded me of the brevity of our life and the need to live life to the fullest every day.
On July 4th, having planned celebratory events that day with friends and family, a CRNA in my home town awoke feeling poorly just before sun up. He was in great health the day before and lived a very active …
Do whatever it takes to have fun and spend time with your family before it is too late
There was once three brothers who set off on the journey of a lifetime by embarking on three separate roads. Each brother was uniquely different, and quickly these roads diverged.
It was believed that the eldest brother was most wise because his path was clear and straight.
The middle brother was a strong walker but easily distracted. It was hard to keep him concentrated on the task at hand.
And finally, the youngest …
Financial independence: the story of the 3 brothers
The fear of running out of money in retirement is very real. In fact, it’s the number one fear among older adults – even over declining health. According to the Transamerica Center for Retirement Studies, 43% of adults surveyed said their greatest fear about retirement was outliving their savings and investments.
This very fear is what keeps people working well past what might have been their retirement age. It also makes people take …
The “problem” of dying with too much money
On my site, I spend a lot of time talking finances. And I’ve yet to mention what is by far the best investment that I have ever taken part in. It has provided my best return on investment and biggest annual interest growth. It also requires the most work, but this investment is what keeps me in the market and sticking to the plan. In fact, it is “my why” …
Find your why. It makes all the difference.
Q. International stocks are doing really well, so I’m thinking about investing more money into them. What do you think?
A. I grew up playing ice hockey and continued to play in high school, college, and even now. Coaches often gave us the same advice that hockey legend Wayne Gretzky’s dad gave to him: “Skate to where the puck is going to be, not where it has been.”
Ice hockey is …
Don’t chase stock performance. Do this instead.
It’s amazing how frequently I cross paths with doctors who have never taken the time to actually assess where they stand financially. They tend to fall into a few categories; they never thought of it, they don’t want to know, or they feel they just don‘t have the time.
When I work one-on-one with doctors on a financial makeover to get them on track to accomplish their goals, get out of …
Physician debt: If you don’t measure it, you can’t manage it
I’m coming off a string of talks about physician finances and physician empowerment, and despite knowing that physicians are stereotypically financially naive, every once in a while I’ll hear a question that really makes me pause and drives home the need for a better financial education. The latest came up when I was discussing negotiation techniques, and somebody interrupted me to ask, “When you’re earning a six figure …
Financial freedom goes a long way towards addressing physician burnout
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