MtoM #161: Nurse Becomes a Millionaire and Finance 101: How to Get Started
Mar 11, 2024
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A nurse becomes a millionaire with financial education, reaching goals early. Advice on using financial advisors for doctors and starting your financial journey. Discussion on balancing debt and lifestyle, starting financial planning from scratch, and empowering wealth building strategies.
Disciplined financial habits and shared goal setting led a nurse to millionaire status through strategic investments.
Starting early, tracking finances yearly, and prioritizing savings can lead to long-term financial success and wealth building.
Deep dives
Nurse Becomes a Millionaire Through Financial Discipline and Long-Term Planning
Tim, a nurse turned CRNA, achieved millionaire status through disciplined financial habits and shared goal setting with his spouse. Despite starting with under $10,000 in net worth after marriage, Tim earned between $100,000 to $290,000 annually, accumulating wealth through strategic investments and a focus on index funds. His net worth of $1.25 million comprised home equity, retirement accounts, stock options, and manageable liabilities. Tim's journey exemplifies the possibility of financial success through consistency and informed decision-making.
Empowering Financial Habits for Moderate Income Professionals
Tim emphasizes the importance of starting early and prioritizing savings, especially for moderate income professionals. He encourages tracking income, expenses, and net worth annually to gauge financial progress and make necessary adjustments. Tim's advice includes committing at least 20% of gross income to retirement, investing in low-cost index funds, and gradually increasing financial literacy to sustain long-term wealth building.
Key Takeaways on Financial Independence and Future Goals
Tim's achievement as a millionaire before 40 underscores the potential for financial independence through diligent planning and adherence to a budget. He highlights the transitional process of realizing financial milestones and the need for continuous goal-setting post-attaining wealth. Tim stresses the significance of giving back and maintaining a growth mindset even after achieving initial financial goals, fostering a culture of learning, generosity, and sustained financial well-being.
Today we talk with a nurse who is currently in school to become a CRNA and is officially a millionaire. Roughly 10 years ago he and his wife took control of their finances. He said there was some tough conversations as they educated themselves about how to become financially literate and what their goals should be and how to reach them. But once they were on the same page they were able to start crushing their goals. Their big goal was to be millionaires by 40 and they got there a few years early. He is now passionate about giving back both financially and educating coworkers about how to get started with taking control of their financial life. After the interview Dr. Dahle gives his thoughts on how to get started for finance 101.
We estimate that 80% of doctors need, want, and should use a financial advisor and/or an investment manager. Some investment gurus such as Dr. William Bernstein think my estimate is way too low. At any rate, if you want to use an advisor temporarily or for your entire life, there is no reason to feel guilty about it—just make sure you are getting good advice at a fair price. If you need help updating your financial plan or just getting one in place, check out our list of recommended financial advisors at https://whitecoatinvestor.com/financial-advisors.
The White Coat Investor has been helping doctors with their money since 2011. Our free financial planning resource covers a variety of topics from doctor mortgage loans and refinancing medical school loans to physician disability insurance and malpractice insurance. Learn about loan refinancing or consolidation, explore new investment strategies, and discover loan programs specifically aimed at helping doctors. If you're a high-income professional and ready to get a "fair shake" on Wall Street, The White Coat Investor channel is for you!