TRIAGE: Cornerstones of Financial Wellbeing You Might Have Missed
Jun 13, 2024
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Learn about essential financial advice for medical professionals, budgeting, debt management, and wealth building strategies. Discover the importance of NHS pension and managing it effectively, government support, student loan challenges, investing, and clinical documentation burden. Explore graduate tax, student loan repayment terms, and resources like the Medics Money Financial Wellbeing Course.
Keep important financial documents safe for tasks like mortgage applications and check payslips regularly for errors.
Prioritize repayment of bad debt like high-interest credit card debt and utilize 'pay yourself first' approach for effective debt management.
Deep dives
Financial Wellbeing Tips for New Doctors
Newly qualified doctors are advised to keep important financial documents like payslips, P60, and P45 safe as these are necessary for various financial tasks like applying for a mortgage. Keeping receipts for professional expenses allows claiming tax back. It's crucial to check payslips regularly for errors, especially as job roles change.
Understanding Good and Bad Debt
Distinguishing between good and bad debt is vital for financial management. Bad debt, like high-interest credit card debt, should be prioritized for repayment to avoid wealth depletion. On the other hand, good debt, such as low-interest mortgages, contributes to asset appreciation. Creating a budget and utilizing the 'pay yourself first' approach can help manage and repay debts effectively.
Navigating Student Loans and Financial Health
For medical professionals facing substantial student loan debt, understanding the student loan repayment system is crucial. Differentiating between plan 1 and plan 2 loans helps in comprehending repayment thresholds and implications. Student loans often operate as a 'graduate tax,' offering advantages like income-based repayments and eventual debt forgiveness after a set period. Repayment decisions should consider the loan's unique features to optimize financial health.