Dr. Peter Idagu
It is a widespread assumption that the average medical practitioner is very comfortable and paid very handsomely compared to the general population. This assertion–perhaps, allegation–is not far from the truth. The medical/dental practitioner does not start at the same entry point in the government payment structure for all health workers, nor are they paid like other health workers in the private health sector. The reasons are very obvious–majorly, the long duration of training and the pivotal role of leading the medical service team.
This exalted position seems to be to the observance of people outside the profession. The realities of the average medical/dental practitioner seem to be different. Many doctors and dentists may be likened to whitewashed sepulchers looking financially beautiful on the outside but very bankrupt within. For many, it takes a short storm of life’s tragedies and emergencies to make the shame very obvious to all. Storms such as a few months delay in salaries and/or irregularities in payment of the same. What could be the reason for this perception? Reality mismatch? Why is the Doctor paid so much relatively yet so broke?
The principal underlying problem is business-investment discordance. Business is any commercial enterprise, occupation, work, trade or value exchange. Whatever one does to bring profit is business. Medical and Dental practice brings profit as salaries, wages, commissions, etc. Usually, when the practitioner cannot offer the service, the profit will be withdrawn. This kind of profit is service-dependent. It is not sustainable and cannot stand the waves of some of life’s unexpected raging storms. Every strong business is stabilized by strong investments. An investment, in simplified financial terms, is anything your money does to multiply itself. Business should be a precursor for investment, and smart investments are more reliable sources of financial stability.
Sadly, countless health practitioners are reckless with consumptive expenditure of their monthly largesse because of expectations of the next profit, but, when salary is stopped, the realities of bankruptcy begin. Some are hopeful on gratuity and pensions when retired; unfortunately, life expectancy, inflation rate and corruption has left present pensioners hapless and hopeless. Several others are reliant on saving the extra after expenditure and a few invest the “extra” after expenditure; however, “extras” are usually too small to generate appreciable returns.
Financial intelligence is a skill that must be learnt deliberately. This skill must be practiced consciously till it becomes a habit. The habit must be nurtured faithfully till it becomes a healthy addiction. Every talent must be multiplied. The following nuggets are good nutrients for a healthy investment lifestyle:
Resolution
Make investment a compulsory feature of your financial life.
Set a rule: Determine what percentage of your profit goes to investment or re-investment. This percentage MUST NEVER go below 30% of your earnings. Don’t invest the “extra” after expenditure; spend the “extra” after investment.
Kill emotional expenditure: Negotiate with your problems, not your investment capital. The rich are never emotional about their investments, only the poor are. Is that expenditure necessary for now? Can it wait? Should it wait?
Understand the natural history of problems: human wants are endless. No matter how you spend, you can’t finish solving your problems. Poor people feed problems, wealthy people feed investment opportunities. If you die today, someone else will solve that next problem. Any problem that cannot wait for your investment to mature is not meant for you to solve.
Seek financial intelligence: knowledge is inversely proportional to labour. The more you know about financial management, the less you’ll labour in decision-making. Wealth does not come by laying on of hands- ask the ants.
See the big picture: investment is a temporary discomfort for permanent security.
In conclusion, consider the wise words of the writer of the book of Proverbs, saying “Go to the ant, thou sluggard, consider her ways and be wise, which having no guide, overseer, or ruler, provideth her meat in the summer, and gathereth her food in the harvest” (Proverbs 6:6 KJV). Shalom.
Dr. Peter Idagu
MD/CEO, Daggs Health Consults
#Career #Finance #2018
