Dr. Bo Liu, physician, and creator of FutureProofMD.com joined me to talk about the basics of personal finance for young physicians. He is a 4th-year radiology resident and is blog is geared toward medical trainees including medical students, residents, and fellows. He tackles topics such as student loan management, retirement planning, investing and he even discusses how to invest without a lot of income and/or with a low net worth.
Together we talk about tools to track your net worth and why it is important to pay attention to your finances. We discuss the idea of paying yourself first which is a different way of thinking about managing your finances and is essentially a mind trick that is immensely helpful to building net worth.
Dr. Liu’s wants to inspire physicians to track their net worth to get to the future that they desire. His biggest piece of advice for young physicians is to pay attention to your finances!
What you will learn in this episode:
- How to track your net worth and why it’s important
- Concept of Pay Your Self First (PYSF)
- How he saves well over 60% of his resident’s income for retirement and lives off his side income
- What is a 457 plan and what are the risks of investing in it
- Few tricks to lower your income for Public Service Loan Forgiveness (PSLF)
- Why an HSA is called a stealth IRA
- The rules and guidelines around PSLF
- Why insurance
SHOULDN’T be considered an investment
Don’t forget to join the Financial Residency Community on FaceBook to download the show’s freebie.