For an audio version of this post, please click on the speaker icon (top left).
Welcome to this episode of The Doctor’s Bill (Can You Afford It?).
Wonder if you should buy that big ticket item or not?
Well here’s your chance to have a wealth management expert, Johanna Fox Turner, of Fox & Company Wealth Management analyze your overall finances and make a final verdict on whether or not you can indeed swing for the fences and splurge on yourself or whether you should just walk away.
Disclaimer: This is not meant to be a substitute for paid professional advice but only meant to serve as a suggestion/guideline.
The following are the details from our submission form:
Item/Experience Desired:
Buy a home.
Approximate Cost:
$250k
How do you plan on paying for this item/experience?
Mortgage
On A Happiness Scale of 1-10 (10 Being Happiest), rate what this item/experience will do for you A) Short Term and B) Long Term:
A) 8 B) 8
Age:
30
Gender:
Male
Occupation:
Pediatrician (Finishing up residency)
Marital Status:
Married
Any Children (If so please provide ages)?
4 year old, 5 month old, and 3rd one on the way.
How Many Years Till Planned Retirement?
25
What is your total household income?
$180k
What is your % Annual Savings Rate? (savings/gross income)
25-30%
Estimated Annual Living Expenses (Current):
$45k
Estimated/Desired Annual Living Expenses (In Retirement):
$45k
Market Value of Primary Home [For Renter =$ 0]
$0
Additional Real Estate Holdings Equity (Market Value-Debt):
$0
Current Liquid Asset Value (Savings, Checking, Etc.):
$10k
Retirement Assets (401k/IRA/HSA):
$4k
Brokerage Account (Taxable):
$0
Miscellaneous Asset Value (Please elaborate):
$0
Mortgage Balance:
$0
Student Loan Balance:
$0
Additional Liabilities:
$0
Unfunded Future College Costs & Years Left Till Needed:
Not sure. Plan to fund for children but for in state colleges only.
Other Unfunded Goals and Years Remaining (Today’s Dollars):
$0
Any other pertinent information not addressed?
I am still a resident and will be starting first job in 6 months requiring me to move out of state to Pennsylvania (with no local family there).
I will be a salaried (W-2) employee with no possibility of partnership and no significant increase in salary expected.
Retirement benefits are that the employer will match 25% on the first 8% of compensation elected as 401(k) contribution and an additional 3% of annual compensation as a safe harbor contribution.
After reviewing the above financials what are your thoughts?
Does a new crib for this pediatrician become a place of sanctuary or will he instead find himself trapped financially inside those walls?
Click on the Doctor’s Bill Image and find out the verdict:
Click on the Bill (image) and find out if can afford it or not
After you see the verdict please come back to this page and comment whether you agree or not with the decision (and no cheating by looking at comments first!)
If you would like to submit your own Doctor’s Bill request please fill out the submission form.
Note:
If you are in search of financial help, please consider enlisting the service of any of the sponsors of this blog who I feel are part of the “good guys and gals of finance.”
Even a steadfast DIY’er can sometimes gain benefit from the occasional professional input.
NOTE: The website XRAYVSN contains affiliate links and thus receives compensation whenever a purchase through these links is made (at no further cost to you). As an Amazon Associate I earn from qualifying purchases. Although these proceeds help keep this site going they do not have any bearing on the reviews of any products I endorse which are from my own honest experiences. Thank you- XRAYVSN
