Financial advice for newly qualified doctors
At Hanson Medical & Professional we fully understand just how demanding life as a newly qualified junior doctor can be and how busy your working life will be in your Foundation Training jobs – there is little time left for financial planning. As a newly qualified doctor your finances need not be complicated but you may find that a little guidance and advice at this stage may be very useful.
We have many years of experience working with junior doctors and understand the intricacies of your finances and are able to cast our expert eye over them, ensuring whatever your plans for the future, your money is working for you. Our experienced and professional planners can help you keep your finances on track. We are not salesmen who represent insurance companies promoting their products; we are specialist independent advisers who will source the whole of the market if you need a financial product.
You will most probably have finished University having accrued student loans and an overdraft and will perhaps be concerned about repaying these and how they would impact upon your finances and ability to borrow money maybe to buy your first home. We can help allay any fears that you may have and will help you plan your everyday finances as well as provide you with mortgage advice when you need it. Remember that you will not start to repay your student loans until the April following your appointment; be prepared for that!
Having an income
Suddenly after many years living as a student, you have a regular income! Great, go out and buy a few things but don’t go mad or commit to things you cannot afford. In our experience most newly qualified doctors do not even know what they are supposed to be earning or what the banding payments are for. We will take the time to explain the fundamentals of your NHS benefits including how you are taxed, how the NHS pension scheme works and what would happen if you were sick and unable to work. This is vitally important as you are at the most vulnerable stage of your career (see the section on income protection)
Financial Planning is not a "one off exercise", but a process that evolves over time.
Managing your finances properly is very important. There is no complicated formula, nor is it rocket science, it is simply the case of taking quality specialist Independent Financial Advice from an early age and planning your finances in a logical, methodical way. There are areas of financial planning that are relevant to us all, such as a decent current account, a good mortgage and tax efficient saving; then there are other areas that are particularly relevant to our chosen career, such as pension provision, sickness and other benefits offered by our employer. By addressing the basics first, we can build upon solid foundations.
Ensuring our income is adequately protected is imperative, because without income we cannot pay the bills and maintain our standard of living. To take away the financial worry that a serious illness would cause is vital, and to provide security for our dependents in the event of our death is important.
Once these basics have been addressed, we would then have peace of mind in knowing that whatever happens we are protected against financial loss and will receive some compensation in the form of either an income or a cash lump sum. Everything we then do with our money is about making good use of any surplus income that we have, allocating it to areas that will enable us to reach our goals, such as saving for the short term, early retirement, paying off a mortgage or other loans, saving for our children’s further education, or investing for the long term.
If you feel that you might benefit from a no obligation initial chat about your financial planning or would like a presentation to a group in the hospital please complete the contact details section.
We look forward to being of service to you throughout your career.