How Doctors Can Avoid Lifestyle Creep

By Michael Jerkins, MD, M. Ed., President and Co-founder of Panacea Financial

A bigger paycheck is one of the rewards of a demanding career, and you’ve earned it. But as income climbs, spending often climbs right alongside it, sometimes faster than you notice. That’s lifestyle creep, and it can catch physicians at any career stage.

Lifestyle creep is the slow rise in spending that follows a rise in income. The upgraded house, the nicer car, the “I’m too exhausted post-call to cook” takeout that quietly becomes every night. Each upgrade feels justified on its own. Together, they can outpace even a strong salary and stall the goals you’ve worked so hard toward.

Doctors are especially vulnerable. Income can jump quickly, but financial training rarely comes with medical training. Many physicians report feeling unprepared to manage their money. Add ongoing student loans, and the margin for drift is thinner than it looks.

None of this means you can’t enjoy your success. Treating yourself matters; the key is doing it intentionally, not by default:

• Budget with a plan. Try the 50/30/20 rule: Needs, savings and debt, then guilt-free spending.
• Watch your patterns. Review where your money actually goes each month.
• Tackle debt deliberately. Pick a payoff strategy and commit.
• Pay your future self first. Automate savings and investing so it happens without willpower.

Give your finances the same intention you give your patients, and the lifestyle you build will be one you can keep.
Panacea Financial can help AMS members save thousands of dollars with discounts on personal loans, practice loans, and student loan refinancing. Learn more at panaceafinancial.com/ams.

Panacea Financial is a division of Primis Bank. Member FDIC.

Michael is the President and Co-founder of Panacea Financial and is also a practicing physician in Little Rock, AR. After earning his BBA in Economics, he deferred his medical school acceptance to teach middle school science in the Phoenix, AZ area while also earning his Masters in Education from Arizona State University. He then completed medical school at the University of Tennessee Health Science Center before finishing his residency at University of Cincinnati Medical Center and Cincinnati Children’s Hospital. With a faculty position and board certifications in both Internal Medicine and Pediatrics, Michael is able to treat patients of all ages and teach medical trainees in both inpatient and outpatient settings.