Being a medical professional can give you the opportunity to make one of the best salaries you could ask for. But with how daunting your monthly expenses can be, chances are you won’t see more than half of it once all is said and done. Not having enough money left over for savings can be very difficult for a medical professional. However, we understand the struggle, which is why we’ve created this in-depth guide on how you can start saving as much as possible. Here are a few ways you can save money as a medical professional.
Increase What You Earn
It’s entirely possible for you to work overtime, so you can make a little extra once pay period hits. But if you feel that working overtime is too much for you to handle, that’s perfectly fine. After all, the medical sector can be demanding at times. Instead, you can earn passive income, which is money that’s not earned from an employer or agency. There are quite a lot of lucrative methods in which you can earn passive income including the following:
- Investing into real estate
- Opening a high-yield savings account
- Marketing your own blog
- Becoming an affiliate marketer
- Filling out online surveys
Buying used lab equipment for sale from medical equipment suppliers can also help you save money as a medical professional because it allows you to acquire essential tools and instruments at a lower cost compared to purchasing new equipment. By opting for used equipment, you can allocate your resources more efficiently, potentially freeing up funds for other critical needs in your medical practice or facility.
How you go about this is ultimately up to you. If your practice or medical facility offers NGS solutions, you may seek next generation sequencing market consulting services to help promote your advanced medical testing solutions. But regarding the real estate investment, it’s not as complex as it may sound; it’s quite simple. In fact, many professional investors have stated that real estate is currently the safest and most profitable form of investment to date. However, it’s critical that you do your research before going into it.
Create a Strict Budget and Stick to It
Of all the things to learn about finances, living by a budget is tried and true. One of the most common reasons why people can’t save money is because they don’t stick to their budget. A budget is basically your entire financial plan, but going beyond what you make and what you can afford is a surefire way to struggle. Granted, medical professionals barely have enough time as is, so it’s important that you schedule a day to seriously analyze your current financial situation.
You want to keep things simple, which is why we suggest you go with the 50/30/20 method. This is an easy way to finance your bills, splurge on what you want, and build up your financial security. It works like this: 50 percent of your income is put towards your monthly expenses, like your rent, utilities, and groceries. Then, you would use the 30 percent to finance whatever catches your eye. Afterwards, you put the remaining 20 percent directly in your savings account. This can help you become financially stable in a short amount of time. Though, it’s worth mentioning that you need to get into the habit of it. It may be a little jarring at first, but once you get into the swing of dividing your income evenly, it’ll become second nature.
Take Advantage of Student Loans
Whether you’re already in your first entry-level position or you’re still planning to pursue an undergraduate’s medical degree, student loans are your best friend. Sure, you may be on the fence because of the interest rates, but medical degrees are one of the most expensive fields you could ever study in. On average, you’re looking at $65,000 to about $130,000 for a BA, though it does depend on the location of the institution and their rates. There’s a certain career in the medical sector known as an anesthesiologist, which can cost up to $400,000. If you want to be able to afford tuition expenses, then a student loan from a private lender is one of your best choices. Should you not want to deal with the potential debt, you can always apply for a scholarship instead.
Take Control of Your Debt
Speaking of debt, this can cause a lot of issues down the road if it’s not nipped in the bud. Student loan debt is a given, but maybe you’ve taken out a personal loan or an auto loan to pay for the car you use to commute to work. They have interest rates attached to them as well, and they can be unforgiving. Unfortunately, some loans can have 15 percent to 30 percent interest rates attached to the monthly payments. A great way to control your debt is to consolidate. If you don’t qualify, you’ll need to use the snowball method or the avalanche method to keep your debt from spiraling out of control.