How to Convert Your High Income into Wealth
Beginning your financial journey can seem awfully overwhelming, like a giant jigsaw puzzle with pieces scattered throughout the room. But The White Coat Investor is here to help and guide you every step of the way to give you the full picture of what financial literacy can look like. Instead of trying to solve the entire puzzle at once, let’s break it down into sections that are more easily digestible. In fact, WCI accomplishes this every day on the blog. Sometimes, we write about investment strategies. Sometimes, we write about life insurance. Sometimes, it’s all about student loans, and the next day, it’s all about retirement planning. It’s little pieces here and there, fitting them together slowly but surely, that create the completed jigsaw puzzle. The point is, there’s something for everyone at WCI, whether you know just about everything or absolutely nothing. These are the major topics we regularly cover. These are the topics you’ll eventually learn. And these are the topics that will turn those jigsaw puzzle pieces into the beautiful photo of financial literacy.
Spending Plan
As you begin your financial journey, you'll need to know where you're coming from, where you're going, and how to get there. Remember, failing to plan is planning to fail.
Disability Insurance
The greatest risk to you as a doctor is losing the ability to earn money at the high-paying job for which you've spent years training. That's why learning about disability insurance is so vital.
Life Insurance
If your family depends on your salary, purchasing life insurance is an absolute necessity. Some forms of life insurance make perfect sense for doctors, but know that others can be a waste of time and money.
Student Loans
The average doc owes more than $200K after medical school. Some owe more than $500K. Knowing the best way to pay off that debt is important for your current and future financial health.
Housing
When you become an attending physician, it might be tempting to buy that big, beautiful house to show that you've finally made it as a doc. But is that really the right financial decision?
Boosting Income
To reach financial independence quicker than their salaries allow, many docs look for other sources of income. That could mean becoming an entrepreneur or simply finding a lucrative side hustle.
Retirement Planning
Whether you're looking to retire in your 60s or you want to FIRE in your 40s, making a retirement plan is key. That way you can enjoy your post-work life while also knowing you can afford it.
Investing
Financial advisors can be useful in many scenarios. But if you learn how to invest your own money, it can drastically improve your bottom line. Yes, you can actually do this yourself.
Taxes
You need to understand how your income is taxed and how to make your portfolio as tax-efficient as possible. After all, you should want to pay your fair share of taxes but not a penny more.
Saving for College
Building generational wealth is difficult, and with college costs continuing to rise exponentially, financially planning ahead of time for your children's education is paramount.
Real Estate Investing
You can build a comfortable life with a normal allocation of stocks and bonds. But investing in real estate can really turbo-charge your portfolio and put you on the path to wealth even more rapidly.
Asset Protection
After years of wealth-building, you need a plan for how to protect your hard-earned assets. You might not ever be in a position to lose your wealth, but you still need to play defense just in case.
Other Insurance
To protect yourself, your possessions, and your family, you need to have a variety of insurance plans to make sure you and your loved ones are covered in case the worst happens.
Retirement Money Management
Hopefully, you're already planning for how to save for retirement. But you also must learn the skills needed to manage your money once you decide that you want to be done with work.
Estate Planning
While building wealth, keep in mind how you want to spread your assets to the next generation. The process of planning the future of your estate might not be a fun exercise. But it is necessary.
Giving
Earning a good living gives you the ability to help the world around you. Giving to charity should be the desire of a higher earner, and luckily, you get to be rewarded for your generosity.
Wellness and Burnout Prevention
The No. 1 threat to your financial plan is physician burnout. If you don't have career longevity, your future financial plans can collapse. It's essential that you learn how to keep yourself mentally healthy.
Additional Personal Finance Resources
Spending Plan
Get Out of Debt Fast
How to Get Rich Faster
Don’t Buy Stuff You Can’t Afford
How to Set Up a Budget, and Why It Can Be So Valuable
Dual Income Couples
Turn Your Financial Life Around
How and Why to FIRE (Financial Independence Retire Early)
Finding Financial Success with Your Spouse
Helping Natural Savers to Spend During Retirement
How Your Financial Psychology Drives Your Saving or Spending Habits
How Creating a Budget Helped Us Decide If We Could Afford $1,000 Plane Tickets
Disability Insurance
Disability Insurance Riders
How to Buy Disability Insurance
Understanding Policy Limitations and Exclusions
How to Compare Disability Insurance Policies
Should Medical Students Buy Disability Insurance?
Physician Disability Insurance Mistakes to Avoid
Graded vs. Level Premium Disability Insurance
When to Reduce or Cancel Disability Insurance
Be Wary of Northwestern Mutual's “Medical Own Occupation” Policy
Thoughts on Disability Insurance from a Disabled Doctor
Should I Purchase Life or Disability Insurance from Professional Societies?
Tips for Filing a Long-Term Disability Claim
Life Insurance
Glossary of Life Insurance Terminology
How to Buy Life Insurance
Is the Life Insurance Benefit Taxable?
No Medical Exam Life Insurance
What You Should Know About Whole Life Insurance
Should You Cancel Your Whole Life Insurance Policy?
How to Cancel Your Whole Life Insurance Policy
Appropriate Uses of Whole Life Insurance
Term Life Insurance Strategies
Layering Life Insurance Policies
Problems with Variable Universal Life Insurance (VUL)
Is Universal Life Insurance Worth It?
Reasons Not to Buy Life Insurance for Your Children
Disabled Children Are Not a Reason to Buy Whole Life Insurance
Student Loans
Reasons You Should Pay Off Student Loans Quickly
Medical School Student Loans Debt Consolidation
The (Nearly) Perfect PSLF Situation for a Physician
Is Public Service Loan Forgiveness Worth It for Doctors?
Refinancing Medical Student Loans in Residency
What Happens to Student Loans When You Die or Become Disabled?
REPAYE vs. Refinancing Student Loans as a Resident
How Do Student Loans Impact Your Taxes?
Refinance Student Loans and Pay Off or Go for PSLF?
Refinance Student Loan with Fixed or Variable Rate?
Refinancing vs. Consolidating Student Loans
Housing
15 vs 30 Year Mortgage
Is Renting Better Than Buying?
How Much Homeowners Insurance Do I Need?
Errors to Avoid When Refinancing
Does Mortgage Acceleration Really Work?
Selling a Home by Owner
Principles to Consider When Doing Home Renovations
Buying a Foreclosed Home
Should You Buy a Home While on Active Duty?
Boosting Income
Make More Money as a Family Medicine Physician
Employment Contract Negotiation and Review
How to Get What You Deserve as a High-Earning Woman
10 Ways to Feel Rich
Ways to Boost Investment Returns Without Additional Risk
Ways to Increase Your Investing Return
A Side Hustle to Consider–Medicolegal or Insurance Consulting
How Did These Physicians Create Passive Income?
Retirement Planning
Investing
Taxes
Saving for College
Prioritize Retirement Savings Over College Savings
Am I Done Saving for College?
Most Doctors and Financial College Aid Planning
How to Superfund a 529 Plan
7 Reasons to Prioritize Retirement Savings Over College Savings
Paying for Your Child’s College Education with the Post-9/11 GI Bill
How Do I Know If I Am Done Saving for College in My 529 Plan?
How to Use Real Estate to Pay for College
Real Estate Investing
REITS 101
Real Estate Syndications 101
What to Look for in a Real Estate Fund
How to Screen a Tenant
The 1% Rule for Real Estate Investing
Real Estate Accredited Investor vs Qualified Client/Purchaser
Maximizing Real Estate Tax-Efficiency and Cash Flow
How to Get 80% of the Benefits of Real Estate Investing with 1% of the Time and Effort
12 Reasons Not to Use a Corporation for Real Estate Investing
How to Use Leverage and the Differences Between Good and Bad Debt
Capital Gains Tax: An Unavoidable Reality
Tips for the New Active Real Estate Investor
Ways to Invest in Real Estate Without Being a Landlord
Are Foreclosed Properties a Good Investment Strategy?
Which Real Estate Side Hustle Is Right for You?
Your Guide to Short-Term Rentals
How to Invest in Real Estate with a Retirement Account
Should You Use Doctor Loans to Finance Investment Properties?
Debunking the Idea of an Infinite Return Real Estate
Use Leverage to Purchase Properties
How Real Estate Investments Go Bad
Why It’s So Important to Diversify Your Real Estate Portfolio
Asset Protection
Other Insurance
Retirement Money Management
How to Spend Your Nest Egg
What Assets to Spend First in Retirement
How to Access Your Retirement Money When Retiring Early
Life After Financial Independence
How to Never Run Out of Money in Retirement
Tax Diversification in Retirement
Lump Sum vs Annuity: What to Choose When Retiring with A Pension
Helping Natural Savers to Spend During Retirement
Taxes in Early Retirement
Reasons NOT to Take Social Security Early
Estate Planning
Giving
Wellness and Burnout Prevention
Financial Planning: An Important Part of Beating Burnout
5 Morning Habits of Successful People
Doctors Feel Trapped in Medicine (and How to Escape)
Ask Yourself These Questions Before Your Leave Medicine
Should I Quit Medicine
Don’t Let Medical Debt Lead to Anxiety, Depression, and Burnout
My Spouse Is Quitting Medicine