There’s always something new to learn in our lives and work. But for doctors, devoting time and resources to additional education is often a major decision that affects your career trajectory, family, income, and life.
If you’re thinking about pursuing a medical fellowship to develop a subspecialty, consider these three questions and discuss your answers with family, professional mentors, and your financial advisor.
1. What are my goals for this fellowship?
According to a report by Physicians Thrive, specialists earned around $100,000 more than primary care physicians in 2022. Increasing your earning potential is certainly a worthwhile goal, but ask yourself: Is changing from a high-earning doctor into a higher-earning orthopedic surgeon going to make you enjoy work more?
Focusing too much on paycheck goals can often lead to boredom and early burnout, especially in a profession that can be so demanding and stressful. Consider a fellowship that will allow you to develop your skills and knowledge in an area of medicine that truly fulfills you, or a niche of patients you are uniquely suited to serve. If you’re interested in the business of medicine, maybe your specialty could begin a path towards opening your own practice and transitioning into a CEO role at a later stage of your career. A specialization also might give you the freedom and flexibility to achieve better work-life balance. In the long run, being able to spend more time with family or take weekly volunteer shifts at a free clinic might be more rewarding to you than how much you’re earning.
2. What is the cost-benefit analysis?
When contemplating a fellowship, it can be tempting to fast-forward to the end and imagine the house you’ll buy once you’re earning a specialist’s salary. But between now and then, you might face some significant financial challenges. A primary care physician who’s been practicing for some time and following a financial plan probably won’t have to go back to living like a resident. But your salary will take a hit as you pursue a fellowship. If that fellowship lasts more than one year, you’re also going to be missing out on potential income from promotions or taking a job at a higher-paying hospital.
However, with proper planning and financial discipline, a fellowship can also serve as a meaningful investment in your personal and professional growth even before any eventual salary increment. If you’re able to sustain your current lifestyle with existing savings or support, there are benefits to having a lower taxable income for a few years—such as qualifying for certain BR1M-style assistance or contributing to a Private Retirement Scheme (PRS), where your savings can grow tax-deferred until retirement, while also potentially receiving annual tax reliefs.
3. Am I willing to invest my time?
While planning for the income you’ll lose during a fellowship is important, there’s another valuable resource you’ll be investing in a specialization: your time.
Primary care physicians who enjoy the daily rhythms of practicing medicine might struggle to transition back to learning mode as they train with a specialist. Some doctors might feel uncomfortable if they are older than other trainees, or the specialist training them. And while a fellowship could improve your opportunities for career advancement in the long term, in the short term you could fall behind peers who will be gaining more real-world experience in other areas of medicine while you focus on your specialty.
The good news for doctors contemplating a major change is that the value of your skills and your high earning potential give you a variety of options for improving your life. Once you’ve settled on the best decisions for your career and your family, give us a call so we can help you make the best choices for your financial planning as well.
