The Oxymoron of Financial Illiteracy in a Highly Educated Population: Are We Appropriately Equipping Trainees?

Abstract

Background: Medical professionals often incur a significant financial burden in pursuit of a medical education. Despite rigorous medical education, financial education appears to be lacking during training. This study intended to explore the financial preparedness and education of 2 cohorts of medical professionals—alumni graduates of a single institution and current plastic surgery residency trainees. Methods: An electronic survey of the residency alumni at a single institution across all specialties over a 50-year period was conducted. This was conducted concurrent with a survey to current plastic surgery residency trainees across the country. The survey explored several core financially relevant areas, including financial education at various levels of training, fiscal goals, debt profile, spending and saving habits, investment management, financial and family obligations, estate planning, and retirement preparedness. Results: A total of 521 alumni and 84 residents completed the survey from the residency alumni cohort and plastic surgery training programs cohort, respectively. Results from both groups demonstrated that although the large majority considered financial education a priority, this was not prioritized in medical or residency training. Most were introduced to financial education either by a family member or by self-directed learning. Data on investments, savings, finances, and retirement planning are also presented. Conclusions: As a very literate group, there is an unacceptably high level of “illiteracy” concerning financial education at an early stage. Practicing physicians and current trainees believe that a more directed approach to financial education should be adopted, rather than the current laissez-faire climate during medical education and residency training.

Improving Financial Literacy Using the Medical Mini-MBA at a Canadian Medical School

“…From undergraduate education to becoming an attending physician and beyond, a structured method of learning and mastering financial literacy is lacking. Students and trainees recognize this issue along with administrators involved in the medical education and training process [ 8 , 10 , 11 , 15 - 16 ].…”

Medically Smart, Fiscally Illiterate: Lack of Financial Education Leads to Poor Retirement Savings Strategies in Surgical Trainees

“…16 Another survey reported that 53% (276/ 521) of practicing plastic surgeons considered financial literacy a priority in practice and suggested that early career surgeons had an unacceptably high level of financial illiteracy. 17 However, despite these data establishing that there is indeed a problem, reports on sustainable solutions have been rare. Dhaliwal and Chou reported on a 90-minute personal finance seminar offered to internal medicine interns that led to significantly more tax-deferred retirement savings.…”

“…16 Another survey reported that 53% (276/521) of practicing plastic surgeons considered financial literacy a priority in practice and suggested that early career surgeons had an unacceptably high level of financial illiteracy. 17…”

Financial literacy and its correlates among healthcare professionals of India

“…Financial principles and personal finance management are barely part of medical or nursing curriculum of any country, although several prior studies advocated for their inclusion. [ 12 13 14 15 16 17 ] Prevailing literature suggests that only about 25% to 60% of the Healthcare professionals (HCPs) are financially literate which is quite bothering. [ 13 18 19 ] Financial literacy was reported to be even lower in allied HCPs.…”