Financial Tips for Doctors (Part 1)

If you are a medical professional, it is essential to plan your finances to achieve your goals and to utilize the resources in the best possible manner. Medical professionals or doctors only start earning when they are almost 30 years of age, because of the intensive training period and the long duration of medical education. The initial earning phase is also characterized by major expenses including repayment of education loans, credit card bills, starting a family, or setting up a clinic for professional practice.

Then, there’s hardly enough time to plan the finances to ensure a comfortable retirement. Timely and proper financial planning is the only way to achieve long-term security and a comfortable lifestyle, both now and after retirement. Bajaj Markets brings the below mentioned financial planning tips to help a medical professional plan his/her finances:

1. Maintenance of the daily cash register: Usually, the cash flow in the medical profession is very high. So, it is crucial for doctors to maintain a regular record of the cash receipts. Doctors are required to show their banking history as income proof when applying for a professional loan for doctors on Bajaj Markets. They can deposit the daily cash received in a bank or can ask the patients to make payments by debit cards to create a corpus of funds, which will help them maintain a robust banking history and ensure a seamless loan approval.
2. Planning a monthly budget: The first step to saving money is keeping the track of incoming and outgoing funds each month. With Bajaj Markets personal finance management solution in the app (available on both Android & Apple store), you can keep track of your monthly spending across different categories. You need to break down your monthly expenses and note down all the payments made. Knowledge is power, and in this case, knowledge of your expenses can help you to create a budget for your necessities like food, transportation, student or education loans, entertainment expenses, or any other kind of debt repayments that you owe. Following a spending plan or monthly budget will help you to stay out of crippling debt and look for the best investment options in India.
3. Planning your insurance: When you embark on professional medical practice, you would need several kinds of insurance coverage for financial protection. Bajaj Markets, with its financial health check report, recommends the adequate insurance coverages along with pre-approved offers suited to you. Having a proper insurance plan is beneficial, which will take care of you and your family in case of unforeseen events. As a doctor, you are well aware of the variety of risks that you need to consider and indemnify against, like health, life, unemployment, disability, and liability. Insurance can protect your dependents from having to bear the brunt of your gigantic financial debts. For instance, if you are a dentist or surgeon and get a hand injury during the performance of your medical duties, it could prevent you from working, thereby affecting your financial inflow. In such a case, disability insurance can help you have an additional income while you recover.

As a medical practitioner, exercising just as much caution with your finances as you do with your patients could go a long way in ensuring steady financial health for you.