I know times have moved on but they were very wise words. I am a spender by nature, my motto is: “life is too short, live for the moment!” I adore musical theatre and it is my weakness.
Years ago this was a problem as I used money that was set aside for other things, to buy a ticket for a show – and then our boiler packed in! I had to scrape around to find the money to buy a new boiler, which at the time was an urgent purchase.
I made the decision (after this disaster with money) to open another account and make it my rainy day fund for emergency things and impulse buys – like tickets.
This has really worked for me over the years, as I put in the same amount of money every month and it starts to build up over time, this has meant that I can dip into it when I need to and I really love not worrying about using this rainy day fund.
For dental practices the same rule applies and I have recommended to so many clients that every one needs a business and personal rainy day fund. For the dental business it is important to have this set as a monthly expense for the business and to place this money in another account. I recommend that the amount is suitable so that if something in the practice happens that is unexpected or you wish to purchase something at a dental show, go on a course etc you can make an informed choice that doesn’t affect your cash flow and that the funds are available. This is a proactive way to work, so go on set yourself up an account and get saving for that rainy day!
If you would like more tips and help with the financial side of your business then attend our Creating The Fantastic Practice one day course in May 2017. We have a 30 minute jam packed section on the financial aspects of dental practice, it is full of top tips to enhance your business!