Navigating the financial landscape during medical training presents a distinctive set of challenges for aspiring physicians. The prolonged period of low compensation coupled with the substantial costs associated with medical education often shapes lasting financial behaviors.

In part 1 of a series on the unique financial considerations for physicians in training, below is a Q/A with Tyler Olson, a financial advisor specializing in the financial well-being of medical professionals.

Can you share more about your background and how you got into the financial side of medicine?

My journey into the financial side of medicine started with discussions with my primary care provider, who had more experience and didn't grapple with substantial student debt. These conversations revealed the unique financial challenges physicians face, often overlooked in general finance discussions. I noticed a growing need for more practical advice beyond investment management. Recognizing the lack of accessible information for physicians, I founded my own firm, focusing on areas like insurance, debt management and budgeting. My goal is to make financial knowledge easily accessible by focusing on practical solutions to real-world problems such as debt management, budgeting and contract evaluation.

What distinctive financial challenges do doctors face compared to other professionals?

There's a significant tendency for financial behaviors to become deeply rooted due to the prolonged period of low compensation during medical training. This, along with the expenses of becoming a doctor, leads to two extremes: overspending post-training or harboring an intense fear of expenditures. These extremes highlight the contrasting financial impacts of the medical profession.

What is the most common mistake you see trainees make as they transition out of their training?

I often see trainees graduating without addressing the disability insurance. There are guaranteed standard issue policies that are available for trainees that do not require medical underwriting. This is particularly beneficial for anyone who has existing health concerns. There is the ability to go back and get disability insurance after graduation, but the time permitted post-graduation varies by the insurance program. Advocating for guaranteed standard issue policies before applying for individual insurance is crucial.

What is a common mistake you believe physicians are prone to, or what is something you wish more physicians were aware of but often goes unnoticed?

They should recognize that their above-average income doesn't necessarily indicate wealth in terms of both finances and time. Time is precious, and having a clear mindset is crucial for making informed financial decisions. Consider your financial choices in relation to your time; think about what you want to do with your time, your family and your passions. Instead of a one-size-fits-all solution, engage in critical thinking by identifying your priorities and what you want your life to revolve around. This approach will guide your financial decisions, allowing for a balance between saving for the future and enjoying a meaningful life as a new attending. It's essential to maintain this balance by writing down your priorities and understanding the impact of various savings and debt payoff plans.