Calling all personal finance gurus!

[Ruban]

Not sure if this is the best forum to post this on, but:

As a medical student, I haven't had any salary. My parents have managed my personal finances (quite well). However, as a resident, I will be moving away, and will finally have a real salary (yay!).

The question: I need recommendations on a good book to read that can help me manage my personal finances. Criteria?

-Should offer concrete suggestions on what to do and how to do it (investments, 401Ks, banking, etc).
-Should be good advice. No fads, etc. Just good, sound recommendations.
-Should be reasonably comprehensive, but still readable.

Any suggestions would be very helpful!! Thanks!

---

Members don't see this ad.

 

[DrMom]

moving to the finance forum...

 

[whopper]

I say take baby steps now. Just figure out your living expenses, and get your bills paid automatically with a billpay type system so you don't have to worry about them. That in and of itself will keep you occupied for some time. First few months of residency are tough, and you're in a completely new area.

Once you figure out how much money you can set aside per month for investment after the first few months, then tackle this.

 

[Bobblehead]

Here are some links from a post of mine that was deleted:

http://forums.studentdoctor.net/showthread.php?t=306203

 

[fourthyear]

Try some books from the popular advice givers seen on TV and radio - Suzie Ormonn, Dave Ramsey, David Bach - they all have a few books, and even some free info on their websites, and they are a good place to start for some basic practical financial advice about how to save and how to stay out of debt.

I'd say the biggest advice is not to overspend. A resident's salary isn't much, but unless you live an expensive city, you should be able to keep your budget small and save up some money early on. Don't buy a new car just b/c you can now - keep your old one or buy a used/older one that won't tie you into big monthly payments. Don't buy lots of stuff - you won't be home enough to enjoy it all anyway during residency. You'll probably find you spend less on entertainment than ever before simply b/c you'll have less time to go out than you used to.

Start a Roth IRA or 401K/403b...even if you only contribute $50 a month at first, that's a start - do it direct deposit so you never miss the money you didn't know you had (kinda like taxes, take the choice out of it, it's money gone from your paycheck). Then, each year when you typically get a small "raise" as you move up in pgy levels, put that much more each month in it. It's all about starting a base of funds early - then when you make the big bucks you'll already be in the habit and already have a start on things.

 

[Jocomama]

Simple
1) 15% to 401K or whatever Residency has
2) $100 per check to simple Vanguard 500, or Health Fund - don't look at it
3) Excel sheet - find out what you are spending on
a) Housing
B) Food
C) Car/Gas, etc
D) clothes
E) cleaning, toiletries,
F) Internet, phone, etc

See what is left - then either add to 5.5%+ money market, short CD.

DO this for a year, then e-mail me.

**Charge on 1 or 2 credit cards - ONLY need VISA/MC and AMEX
DO NOT get any other cards no matter what.

Make it so easy to follow end of year receipts for tax deductions, etc.
Builds credit - so you can buy a house with 20% down, and being an MD, if your credit score is >720, then you don't have to show your actual income.

Try some books from the popular advice givers seen on TV and radio - Suzie Ormonn, Dave Ramsey, David Bach - they all have a few books, and even some free info on their websites, and they are a good place to start for some basic practical financial advice about how to save and how to stay out of debt.

I'd say the biggest advice is not to overspend. A resident's salary isn't much, but unless you live an expensive city, you should be able to keep your budget small and save up some money early on. Don't buy a new car just b/c you can now - keep your old one or buy a used/older one that won't tie you into big monthly payments. Don't buy lots of stuff - you won't be home enough to enjoy it all anyway during residency. You'll probably find you spend less on entertainment than ever before simply b/c you'll have less time to go out than you used to.

Start a Roth IRA or 401K/403b...even if you only contribute $50 a month at first, that's a start - do it direct deposit so you never miss the money you didn't know you had (kinda like taxes, take the choice out of it, it's money gone from your paycheck). Then, each year when you typically get a small "raise" as you move up in pgy levels, put that much more each month in it. It's all about starting a base of funds early - then when you make the big bucks you'll already be in the habit and already have a start on things.

 

[Sigma Cronos]

I'm also in a similar situation as the original poster, and just wanted to say thanks to everyone who posted in this thread

 

[yawninglots]

"Builds credit - so you can buy a house with 20% down, and being an MD, if your credit score is >720, then you don't have to show your actual income."


Just wondering how you don't have to show your actual income? Where can you do this for a mortgage without a no-doc loan?

 

[Jocomama]

Because that,s what it is: A no-doc loan, yet the same as a full doc in terms of rate, terms, etc, based upon your credit.

"Builds credit - so you can buy a house with 20% down, and being an MD, if your credit score is >720, then you don't have to show your actual income."


Just wondering how you don't have to show your actual income? Where can you do this for a mortgage without a no-doc loan?