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“WE CANNOT GET RICH doing dentistry, but we can get rich investing what we make in dentistry.” A nationally recognized lecturer on dental-practice management shared that piece of advice with me some 40 years ago.
I’d been out of dental school for a year when Dr. Dick Klein spoke at our local dental society’s annual meeting. The meeting’s organizer was a friend. He asked if my wife and I would take Klein and his wife out to dinner after his presentation. The thought of actually having to talk to and socialize with this nationally renowned dentist scared the hell out of me. Just thinking about it caused stomach unrest for a week.
Klein’s speech offered a standing-room-only audience tips on running a dental office efficiently and increasing productivity. Little did I know the dinner that night would change my life.
To my great surprise, the very first hand shake with Klein put me at ease. He was a humble and genuinely nice guy. We found out that we shared an ex-athlete’s interest in sports, as well as strong Italian family backgrounds.
The dinner turned out to be relaxed, fun and enjoyable. It wasn’t until toward the end of the meal that the conversation turned to dentistry. In hindsight, after practicing dentistry for 40 years, I realize his words of wisdom were the reason for my success.
He started with a comment, “We can’t get rich doing dentistry, but we can get rich investing what we make in dentistry.” He then elaborated: “Only so much physical dentistry can be produced in a 32-hour week. Anyone can make a good income doing dentistry, but what one does with that income is what will make a difference.”
He offered this advice: “You’re used to a student’s lifestyle, so keep living like that for a few years.” When I mentioned that my wife was a teacher, he cited statistics that showed financially successful dentists were often married to teachers.
He stressed that the most important years would be the first 10. A practice grows slowly. Even though you’re making a moderate income now, it will go up steadily. Live on your wife’s salary, save for a large down payment on a house, open a Charles Schwab account and start adding to a good mutual fund. Live below your means and, as your salary increases, pay off the house and keep investing.
We didn’t, however, go to dental school to live like paupers, Klein added. We should enjoy life, have fun and spend money on things that will give us the most enjoyment, especially family, but always invest.
My wife and I followed his advice almost exactly as he laid it out that evening. We rented a small house for 10 years, as I built my practice. We then bought a beautiful home, making a large down payment and paying it off in four years. My wife’s job was a huge advantage, thanks to all the benefits the school district provided. Every year-end bonus from my dental practice went directly into our investments.
I’m now retired. I loved being a dentist and all the wonderful things dentistry allowed my family to do. I owe Klein a huge “thank you” for the wonderful advice he offered during a dinner with a young dentist and his wife so many years ago.
Dr. Gary Kelly graduated from the University of Washington’s dental school in 1981. He practiced general dentistry, with an emphasis on complex restorative implants, before selling his practice in 2013. He continues to consult on full arch implant cases.
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Even more important than the advice: you listened!
Corrupts comment Klein and Kelly…good Italian boys. I was wondering if someone would pick up on that. Grand fathers came from Italy and changed names. Mine was Chelli pronounced like Kelly so grand father said that works and that is what they put down when enter US. Gary Kelly aka Chelli.
Klein & Kelly… good Italian boys? LOL….
Very perceptive. I was wondering if someone would comment. Grand father when came to US they said what is your name he said Chelli they heard Kelly. He said that works and so we are 100% Italian with Irish name. Gary
I picked right up on that when I was reading. I even scrolled back up to your name. “Klein & Kelly? Maybe they’re Italian on mom’s side of the family.” Your story is better.
I have a Facebook friend who’s a young woman named Bridget Mulcahy, but she’s half Italian and talks about her nonna and nonna’s Sunday sauce.
more words to remember-stay the course, rebalance, turn off the noise, know what SORR is, compounding is the 8th wonder, read bogle
You forgot to mention, “don’t try to find the needle in the haystack (winning stock) buy the entire haystack (index funds)”
Excellent advice no matter how you make your living!
I’m a retired pharmacist, but followed a parallel path; married my high school sweetheart, a soon-to-be teacher; lived off of her income for our first three years; built the home of our (modest) dreams; she stopped work; started having children; and we invested early and often. Now 56 years later, still in the same house with the same wife. We have 4 married sons and 8 grandchildren and are living a comfortable retirement. Don’t know why I was so blessed.
You were blessed because you were smart!
Save/Invesrt/Compounding/=WEALTH
great advice as I followed as well as a dentist
I was financially ignorant as a dental graduate but my dad taught me to “SOCK IT AWAY” and I did
After reading Random Walk by Malkiel I knew how to invest with Index Funds
Investing is the simple part
My dad used to say “don’t tell me how much you made, tell me how much you saved”. That advice served me well, and although our income never came close to that of a dentist, we still ended up pretty darned comfortable.
What wonderful guidance you were given. And wonderful that you followed it!