Binge read all things wealth building, debt reduction, & lifestyle.

As a medical professional wrapping up the year, you’re probably wondering: “How do I get my taxes right this time? Should you try filing yourself? Rely on TurboTax? Or is it time to bring in a CPA? These aren’t just checkboxes; they’re choices that could save—or cost—you thousands. 

_{👉🏻 Looking for expert guidance? We’ve partnered with Bryan Martin, CPA at Taxstra, to provide tailored tax strategies for medical professionals.}

Let’s break down the situations where a CPA is truly worth the investment, and where they can help with more than just filing, especially for those navigating complex strategies like public service loan forgiveness, real estate, or self-employment.

When Should You Bring in a CPA?

1. Married and Pursuing Public Service Loan Forgiveness (PSLF)

For couples where one partner has substantial federal student loans, choosing the right tax filing status can have a huge impact on loan repayment costs. A CPA experienced with PSLF can help you decide betwe...

As a medical professional trying to navigate your finances, have you ever found yourself wondering, “Am I doing enough?”. Even if you’re on the right track, there can be a constant feeling that it’s never quite enough. You’re putting in the effort, but the results seem slow and distant.

Don’t worry, in this post, you will see what it looks like to build wealth over time and how to bring a bit more peace to your financial journey.

Let’s say you're a hardworking medical professional, earning around $130,000 to $140,000 annually—pretty close to the national average for PAs or NPs. In this scenario, you’re single, with a steady income, and committed to investing smartly. Your portfolio includes a 401(k), Roth IRA, HSA, and a taxable brokerage, covering tax-deferred, tax-free, and after-tax accounts. With this diversified tax strategy, you're investing around $2,200 a month, which is a solid 20% of your gross income. That’s the benchmark every medical professional aiming for financial sec...

If you’re in your twenties and navigating the early years of your medical career, this letter is for you. I'm sharing the pivotal financial decisions I made in my twenties that allowed me to become a millionaire at 31. What I learned in my twenties shaped my approach to money, debt, and investing, and I hope it can guide you too.

Early Career Decisions and Managing Debt

When I graduated, I was saddled with $161,000 in student debt, a common scenario for many in our field. Like many, I initially followed Dave Ramsey and his advice to pay off debt aggressively. By committing to an intense work schedule, I cleared this debt in just 16 months. This decision, while providing immediate relief, came with its own set of long-term financial implications.

The Real Cost of Early Debt Repayment

Yes, I was debt-free quickly, but let's talk numbers. Had I opted for a less aggressive repayment plan and invested the surplus income, the long-term gains could have dwarfed the benefits of early de...

As a new medical professional stepping into financial independence, buying a car might seem like one of your first major purchasing decisions. However, before you sign any papers, it's crucial to understand not just the sticker price of your new vehicle but also its long-term financial impact.
Allow me to help you explore the concept of opportunity cost and how choosing the right car can affect your wealth-building journey. 

Opportunity cost is what you forgo when you choose one option over another—in this case, the potential gains you miss out on when you invest your money in a vehicle instead of the stock market or other investments. For example, if you opt to buy a more expensive car, the extra money you spend (and its future potential value) could have been invested elsewhere, growing over time.

Case in Point

$45,000 vs. $30,000 Car Purchase

Let's compare two scenarios where you could buy a car for $45,000 or a less expensive model for $30,000. Each choice comes with diffe...

Achieving millionaire status by our early 30s wasn't just a product of hard work, but the result of being fully aligned in our financial goals and strategies. My husband and I discovered early on that harmonizing our financial actions as a couple was crucial not just for marital harmony but also for effective wealth building. Here, I share the key strategies that helped us navigate our finances together and build our wealth rapidly.

Creating a Shared Financial Vision

The foundation of our journey was a shared financial vision, crafted through in-depth conversations about what we truly wanted from life. We asked ourselves: "What does financial independence mean for us?" and "How do we want our retirement to look?" These questions helped clarify our aspirations, like extensive travel or working part-time by choice, guiding our overall financial strategy.

Choosing Our 'Investing Rate'

Once our vision was clear, we focused on how to achieve it through strategic financial planning. ...

Are you a medical professional struggling with student loan debt? You're not alone. In fact, many medical professionals are making costly mistakes that can significantly impact their financial future.
Let's look closely into the top three mistakes medical professionals are making with their student loan debt:
  

1. Accidentally Choosing Taxable Loan Forgiveness

One of the most common mistakes is choosing taxable loan forgiveness without realizing that you’re doing it. When you're on an income-driven repayment plan and your loans aren't paid off after 20-25 years, the remaining balance is typically forgiven. However, this forgiveness is taxable, meaning you'll have to pay taxes on the forgiven amount as though it was ordinary earned income. 

Medical professionals often opt for income-driven repayment plans without realizing that the remaining loan balance after 20-25 years is forgiven but taxed as income. This mistake can lead to a substantial tax bill, and may end up being the hig...

Part of being a savvy investor means not losing all of your potential returns to fees. Investing fees come in various forms, and today we're going to cover the top two fees that medical professionals often face and the implications for long-term portfolio growth if you incur these fees.

Expense Ratio: The Hidden Cost in Your Funds

The first fee to watch out for is the expense ratio. Every single fund you invest in has an associated expense ratio. It's basically the cost of owning the fund, expressed as a percentage of your returns. For example, if a fund has an expense ratio of 0.3%, you'll pay $30 for every $10,000 you have invested in that fund each year. This might not seem like a lot of money, but these fees can make a huge difference in your portfolio over time.

Imagine you have a $10,000 initial investment, add $10,000 each year, and get an 8% return compounded annually. With a high expense ratio, your after-fee returns will be significantly reduced over the years. My pe...

As a medical professional, you work tirelessly to care for your patients. Your income is hard-earned, and the last thing you want is to see it vanish into thin air due to stock market ups and downs. It's completely understandable to feel hesitant about investing, but let's break down the fear and explore how you can build wealth while navigating market volatility.

I've been in your shoes. As the founder of Strive Coaching, I've helped countless medical professionals turn their six-figure incomes into seven-figure net worths. I’ve also personally experienced the gut-wrenching feeling of losing over $25,000 in a single day in the stock market. Trust me, I understand the fear.
  

Zooming Out for the Big Picture

Right now, the market might be feeling a bit rocky. You might be wondering if it's even worth starting to invest or if you should pull out your money altogether. Let's take a step back.

While short-term market fluctuations can be scary, history tells a different story. Over...

If you're a healthcare professional, especially one who worked through the pandemic, the traditional idea of working until you're in your late 60s  might not be appealing. Constantly seeing patients can take a toll, and the thought of being work-optional—where you don’t have to work for a paycheck unless you want to—can be very enticing.

But achieving this freedom isn’t about age; it's about reaching a specific financial milestone known as your financial independence number or financial freedom number. If you aren't sure what your financial freedom number is, click here to get it in <60 seconds. This means having enough assets to live comfortably without needing to earn another paycheck- something to look forward to, right?

I’m a critical care PA who worked through every wave of the pandemic in an ICU. Even before the pandemic, but especially by the end of it, I knew I didn't want to work until I was 65. So, I dove into figuring out how to become work-optional much sooner. My init...

When you're planning for your financial future, one big decision is choosing between a Roth and a Traditional 401(k). It's a common question - don’t worry - especially for medical professionals who are looking to maximize their retirement savings.

Let's break it down in a way that’s easy to understand and apply to your own situation.

The Basics

1. Traditional 401(k): Contributions are made with pre-tax dollars, which means you get a tax deduction now. However, you will pay taxes on the withdrawals during retirement at your ordinary income tax rate.
2. Roth 401(k): Contributions are made with after-tax dollars, so there is no immediate tax benefit. But, the withdrawals during retirement are tax-free.

It's All About Taxes

Remember, choosing between Roth and Traditional doesn’t change the actual investments you make. It only affects how your contributions and withdrawals are taxed.

A Simple Guideline

Here's a quick rule of thumb:

• Choose Roth if your current tax rate is ...