Financial Literacy in Healthcare

Unfortunately, healthcare professionals are notoriously bad with money. Many jobs in healthcare are very well paid compared to an average American’s salary, and yet, many well compensated medical professionals live paycheck to paycheck. Financial stress is not unique to the healthcare sector. Maybe most American’s struggle with financial literacy, but the problem becomes more amplified in healthcare where income potential is high, but debt burden can also be stifling. If a newly minted attending takes a job making $250,000 a year, it is understandable that after years of living frugally there is a strong urge to drive a nice car and buy a big house. After all, the physician lot at the hospital is full of $100,000 luxury cars. The lavish lifestyle is tempting, but also becomes an expectation. Similarly, pharmacists, PAs, and NPs all face similar temptations to allow lifestyle creep to eliminate their financial independence. They become slaves to their monthly payments. In this episode of WCRT, John and Mike talk to a financial advisor regarding the specific issues that arise for medical professionals. Healthcare is a unique environment given the income to debt ratios that exist in most health professions. As the podcast grows and evolves, we will continue to feature different voices in the world of healthcare finance with the goal of improving financial knowledge and confidence. When you have a financial plan, you can take control of your finances and make your money a tool to build happiness instead of a source of stress.

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