Last night, Dr. Ronald Yee, D.D.S, presented his “Retire Before Age 55 – Yes it Can Be Done” seminar for us at the Zinfandel Grille in Sacramento. About 15 dentists and their spouses attended.
Dr. Yee showed how dentists on average make twice the average annual income of American couples and yet only 5% can retire early. He believes this is because of a lack of financial education, goal setting and discipline. This seminar was designed to inspire dentists to take control of their financial lives and build their wealth.
Below are the important topics that really spoke to me:
- The power of the dollar cost averaging method of investing
- How to make wise financial college choices for your kids
- With great systems, it is possible to get your dental practice overhead down to 50 to 55% of revenue when other healthy practices function with overhead of about 65% of revenue
- How he invests inexpensively in broad market indexes that have met or exceeded the performance of stock pickers and financial planners, at lower cost
- How retirement is a mindset: Plan your vacations and leisure first. Plan your work life around that.
- How to set wealth accumulation targets and work backwards to see how much you have to invest to achieve them.
- The importance of cash flow.
- The importance of working with a financial planner to determine your risk tolerance, your appropriate asset allocation, and to develop a financial plan and goals.
- How the power of compound interest is helping him put two kids through expensive colleges while his net worth is staying constant or growing.