Navigating the First 90 Days as an Attending Physician

Dear New Attending Physicians,

Congratulations on reaching a monumental milestone in your medical career—transitioning from resident to attending physician. This period marks significant professional advancement and financial change. As you receive your first paycheck and adjust to higher earnings, it's crucial to adopt smart financial strategies that will set the foundation for a secure and prosperous future. This newsletter offers guidance on managing your newfound financial responsibilities during these first critical 90 days.

🎉 Celebrating Your First Paycheck 

Your first attending paycheck is a landmark event. Often 3-5 times larger than what you earned as a resident, this paycheck represents not just financial gain but the culmination of years of hard work and dedication. Take a moment to appreciate this achievement. However, be prepared for the reality of taxes, which can claim 30-40% of your earnings due to your new, higher tax bracket. Understanding your tax obligations is crucial as you plan your finances moving forward.

🔍 Addressing Debt: Prioritizing High-Interest Obligations 

With your increased income, it's essential to develop a strategy for tackling any existing debts. Start with the most burdensome ones—typically credit card debt due to high interest rates. Clearing these debts should be your priority, followed by lower-interest obligations like car loans. Concurrently, maintain at least the minimum payments on your student loans to avoid penalties.

💸 Indulge Wisely: Rewarding Yourself Without Overspending 

After years of frugality during residency, it’s entirely appropriate to treat yourself. However, aim for purchases that bring lasting satisfaction and improve your quality of life. Whether it’s upgrading your professional wardrobe, investing in a reliable vehicle, or buying technology that enhances your productivity, ensure that your splurges are thoughtful and add value to your daily routine.

🌱 Planting Seeds for the Future: Saving and Investing 

Now is the time to solidify your financial future. Begin by establishing a robust emergency fund that covers at least 3-6 months of living expenses. This fund will serve as a safety net for unexpected situations. Additionally, explore investment options to grow your wealth. Consider diversifying across stocks, bonds, real estate, or retirement accounts like a 401(k) or IRA. If possible, seek advice from a financial advisor to tailor your investment strategy to your personal goals and financial situation.

In Conclusion: The first 90 days as an attending physician are crucial for setting a positive trajectory for your financial future. By managing debts wisely, making thoughtful purchases, and investing early in your career, you can build a foundation for lasting wealth and security. Remember, the financial habits you establish now will influence your ability to enjoy not only a rewarding career but also a fulfilling life outside of medicine.

To a prosperous start in your new role, 

A.K, MD