When you earn enough money to comfortably cover your bills and expenses, it can be easy to simply cash your paychecks, pay your bills, and live life, but you need to think about the future and make plans for unexpected situations. That’s why financial planning is essential. Wondering why? Here are the top three reasons.
Family Security
You love your family. As the doctor in the family, you likely oversee their health concerns and pay the bills. But what if something happens to you?
You need to make sure your spouse can continue to pay the mortgage, send the kids to college, and retire comfortably. Life insurance and the right investments are critical in these situations.
Retirement
Long-term security for yourself is also important. Being a doctor is incredibly rewarding, but it’s also extremely stressful and time consuming.
Ideally, you want the right blend of investments and assets so that someday, you can hang up your stethoscope and enjoy time with your family.
When you work with a financial advisor, you can talk about your long-term goals for your retirement. Whether you want to pare down and live in an RV, keep your home, spend time traveling, or explore other pursuits, you need to ensure you have ample reserves to make that possible, while also having resources to cover long-term care if and when needed.
Cash Flow
Quality financial planning shouldn’t just focus on the future. You also need to think about right now.
Do you have ample amounts of cash to support the lifestyle you want right now? Should you make changes to your budget? Those are just some of the questions you should consider.
If you own your own clinic, you may also want help with business finances and tax planning.
