Financial Residency

Everyone has suffered from lifestyle creep to some extent. Somewhere along the way, you go from eating ramen noodles to the finer things in life. You become used to spending your entire salary.

In this episode of the Finance For Physicians Podcast, Daniel Wrenne talks to Jeff Wenger, a Certified Financial Planner (CFP®), about how to avoid lifestyle creep. What is it? How does it happen? How do you prevent it?

Topics Discussed: Tricky Transitions: Going from little income to being paid the big bucks

• Keep up with the Joneses: When you make more money, you tend to splurge

• Lifestyle Creep: Taking on obligations and a million tiny spending decisions

• Hedonic Adaptation: Making progress and adding little pleasures leads to pain

• 'Drug' of Choice: Easier to add comfortable things, than to take them away

• Why is lifestyle creep so dangerous? Lack of awareness creates conflict

• Symptoms: What you want, not what you need; how disposable income is spent

• Risk Factors: Are you a spender? Listen to others and seek expert guidance

• 'B' Word: Be intentional and aware of budget by checking your cash balances

• Team Effort: Resist temptation, finger pointing; be accountable about spending

• Lifestyle Creep Challenges:

◦ Acknowledge underlying financial issues

◦ Be intentional before spending

◦ Identify highest priorities to align finances

• Alternatives: Time, dedication, and intentionality to find free options

LINKS:

www.WrenneFinancial.com

Just as the right advice helps you thrive financially. The right support team allows you to Excel professionally. Whether be healthcare's Locums experts will match you with the best jobs, prepare you for success and provide 24 7 support.

https://weatherbyhealthcare.com/

A question that we get asked a lot is when should physicians look for jobs when. What's common, right? What's normal? What's the standard?

LINKS:

www.ContractDiagnostics.com

Just as the right advice helps you thrive financially. The right support team allows you to Excel professionally. Whether be healthcare's Locums experts will match you with the best jobs, prepare you for success and provide 24 7 support.

https://weatherbyhealthcare.com/

If you avoid talking about money with your children, then who pays for it later in life? Whether you know it or not, you're teaching your children about money every day. Teach them what works and what doesn't when it comes to finances.

In this episode of the Finance for Physicians Podcast, Daniel Wrenne talks to Dr. David Weisenhorn about money and parenting. David is a Senior Extension Specialist for Parenting and Child Adolescence Education at the University of Kentucky.

Topics Discussed:

• What is a family scientist? Mixes psychology and sociology focused on families

• Taboo Topic: Money isn't up for conversation; vulnerabilities around values

• Lack of Education: Discussing finances in not covered in traditional curriculum

• Effects: Educate children to avoid risk of not using and handling money properly

• Mistakes: Avoiding subject of money doesn't mean kids won't use/experience it

• Proactive Parenting: Daily practice of teaching children how to deal with money

• Financial Literacy: Learn jargon and teach simple concepts via currency games

• Money Personalities: Habits and attitudes toward spending and saving

• Sink or Swim? Worth it to learn value of dollar early on to gain knowledge

• Allowances/Chores: Required versus going above and beyond to earn money

• Intrinsic/Extrinsic Motivators: Monetary incentives and sustainability of actions

• Zone of Proximal Development: Allow children to make and learn from mistakes

• Goals and Expectations: Smart small, don't overpay, earn money from hard work

LINKS:

www.WrenneFinancial.com

Just as the right advice helps you thrive financially. The right support team allows you to Excel professionally. Whether be healthcare's Locums experts will match you with the best jobs, prepare you for success and provide 24 7 support.

https://weatherbyhealthcare.com/

Today I want to speak on understanding yourself and knowing how you talk and how you negotiate.

Just as the right advice helps you thrive financially. The right support team allows you to Excel professionally. Whether be healthcare's Locums experts will match you with the best jobs, prepare you for success and provide 24 7 support.

https://weatherbyhealthcare.com/

LINKS:

www.ContractDiagnostics.com

Today I wanna talk to you just briefly about the new fed meeting coming up.

Just as the right advice helps you thrive financially. The right support team allows you to Excel professionally. Whether be healthcare's Locums experts will match you with the best jobs, prepare you for success and provide 24 7 support.

https://weatherbyhealthcare.com/

Every week we get lots of questions about disability insurance, and I am so happy to welcome back Michael Relvas of MR Insurance Consultants to the show! Join us today as I have on a guest that I know and trust to help physicians with disability insurance questions.

Just as the right advice helps you thrive financially. The right support team allows you to Excel professionally. Whether be healthcare's Locums experts will match you with the best jobs, prepare you for success and provide 24 7 support.

https://weatherbyhealthcare.com/

One of the things that I thought we could talk about today is the schedule portion of the contract. Oftentimes it's called the duty section, it might be called the services section or sometimes it's called the expectation section sometimes. It's a job description. How detailed should these things be?

LINKS:

www.ContractDiagnostics.com

Life Insurance: How does it work and do you really need it? Are you worth more or less alive or dead? What you need to know to protect yourself and your loved ones.

In this episode of the Finance For Physicians Podcast, Daniel Wrenne talks about what type of life insurance you should own. When you are young and healthy, cover your life or earning potential because the risk of untimely death happening is extremely low, but the costs of income loss are extremely high.

Topics Discussed:

• Life Insurance Recommendations: Understand conflicts, know what to look for

• Why get it? Tomorrow isn't guaranteed, avoid leaving family in a financial pinch

• When to get it? Before you urgently need it, when everything is good

• How much does it cost? Depends on health and age

• How much will you need? Enough, but always told to buy more

• How long will you need it? Longer the lock-in period, the more expensive

• Insurance Industry: Agents receive a high percentage of premiums for policies

• Advisor vs. Agent: What are the differences? Incentives? Disincentives?

• Coverage Calculations: Identify the correct amount of death benefits based on goals

• Types of Life Insurance Coverage:

◦ Human Life Value: Wrongful death determines lost earnings

◦ Financial Need Analysis: Maintain specific lifestyle, goals, assets, liabilities

◦ Term Life: Temporary death benefits for a set time period

◦ Permanent: Combines cost of term plus investment component

◦ Conditional: Secure coverage immediately before underwriting

LINKS:

www.WrenneFinancial.com

What we're going to talk about today is something that I think every physician eventually will deal with and it's multiple offers. Whether it's your first job and you're interviewing at a lot of places or whether you're shopping around after your first position out of residency or fellowship

LINKS:

www.ContractDiagnostics.com

Does permanent life insurance make sense or not? Is it the right or wrong short-term investment?

In this episode of the Finance For Physicians Podcast, Daniel Wrenne talks about what you should look for and avoid to navigate the purchase of permanent life insurance.

Topics Discussed:

• Permanent Life Insurance Components: Cash value and death benefit

• How does buying permanent life insurance compare to term life insurance?

• Agents: People who push, play with permanent life insurance costs/commission

• Worst Case Scenario: Buying permanent life insurance for one year

• Best Case Scenario: Worst year for investment alternative to break even

• Buy term, invest the difference for credit card debt and emergency reserves

• Buy permanent life insurance when long-term tax savings outweigh cost and time

• Key Takeaway: Get a second opinion to understand complexity, conflict of interest

LINKS:

www.WrenneFinancial.com