1 / 13

The Doctor vs. The Plumber

The Doctor vs. The Plumber. Plumbers start out as apprentices and make around $12-15/ hr in Tucson They work under a licensed plumber for a few years Eventually you can take your journeyman plumber test

stefanc
Download Presentation

The Doctor vs. The Plumber

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. The Doctor vs. The Plumber

  2. Plumbers start out as apprentices and make around $12-15/hr in Tucson They work under a licensed plumber for a few years Eventually you can take your journeyman plumber test Then you can eventually, through tests and work experience you can obtain the certification of Master Plumber How do you become a plumber?

  3. Averages • Apprentices make $30,000 • Journeymen make $60,000 • Master plumbers make $100,000 • All pay is based on working as an employee of a company What does it pay to be a plumber?

  4. 4 years of undergraduate study 4 years of medical school 3 years minimum of residency, depending on specialty How do you become a doctor?

  5. 4 years of undergrad average cost is about $20,000 per year 4 years of med school average cost is about $50,000 per year Median debt for finishing medical school will be roughly $200,000 for people graduating high school in 2019 Costs to become a doctor

  6. Doctor Spends $20,000 a year on undergrad and $50,000 a year on med school The doctor doesn’t work during schooling Plumbers pay steadily increases as they accrue more experience Both put 50% of their pay to either investments or debt Doctor’s debt has a 4% interest rate Investment return assumption is 6% Assumptions

  7. Step 1 - School

  8. Step 2 – Residency and Fellowship

  9. Step 3 – Training is finished

  10. Step 4 – Doctor Pulls Ahead

  11. 50% savings is very high, family, kids, marriage, mortgage, car payments, etc. all make that number very hard to obtain Lifestyle expenses are not included, doctors will almost always be required to spend more on certain things (car, clothes, etc.) Tax burden is higher for the doctor than the plumber What is left out of this scenario?

  12. The doctor in the scenario is in a higher paying specialty The strategy to pay back the student loans is aggressive The plumber never started his own company Things to make the Doctor ‘win’

  13. With the knowledge and expertise gained as a master plumber, the plumber starts a business As a sole proprietorship, they can make upwards of around $250,000 with a plumbing business As they increase the size of their company and hire workers, each new driver can earn them as much as $100,000 per year If the plumber starts their business at age 30 and adds one new driver every 5 years, the doctor will never catch the plumber in net worth Plumber starts his business

More Related