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Q: How Much Does It Cost To Commute?

First, there’s there the per-mile cost of gasoline. Commuting to work is a major portion of all driving in the United States. But a hidden cost of driving is depreciation, a car’s loss in value over time. It’s the largest annual cost of car ownership, according to AAA, accounting for more than a third of the average annual cost. Add increased maintenance and repair costs of cars as they age and are driven more frequently.

May

2023

7 Ways to Save Money on Commuting to Work

By Matthew Zeitlin | Budgeting & Goals, Building Your Career, Life & Career, money | Comments Off

Many people are back into the full-time commuting groove again and finding that it can be a major cost. And by cost, it can mean the impact it has on both money and mood.

Some people spend 30 minutes commuting each way; others two or three times that. Some get on an express train while others drive their own car and deal with traffic woes and gas prices.

One way to lessen the burden of commuting (beyond listening to terrific podcasts while en route) is to lower the cost. Here, learn smart ways to do just that.

How Much Does It Cost To Commute?

First, there’s the per-mile cost of gasoline. Commuting to work is a major portion of all driving in the United States. But a hidden cost of driving is depreciation, a car’s loss in value over time. It’s the largest annual cost of car ownership, according to AAA, accounting for more than a third of the average annual cost. Add increased maintenance and repair costs of cars as they age and are driven more frequently.

AAA pegged maintenance and repair costs at almost 9.68 cents per mile and fuel costs at 17.99 cents per mile, meaning that beyond fixed costs of car ownership, a 15-mile one-way commute would cost about $8.30 a day and, at around 250 days of work a year, $2,075.25 annually, before expenses like auto depreciation, tolls, and insurance.

The easiest way to reduce these costs is to minimize or eliminate a commute to work.

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1. Aiming for a ‘Remote First’ Culture

Working remotely part- or full-time is a surefire way to cut commuting time and costs. The easiest way to maximize working from home is to find a job at a company where it’s standard. This option has become popular since the pandemic.

If your work makes it possible to work from home sometimes, you may want to try to make it a regular occurrence. That way you can more easily optimize your time spent in the office and save tasks best for home for the day you regularly work from home.

If you work from home regularly, it also means you can get better at it, from setting up a home office that truly works to figuring out how working at home can make you more productive than working in the office, not merely save you the time and money of a long commute — although that’s important, too. There are also possible home office tax deductions.

Of course, the easiest way to save money commuting to work is not to do it at all. This not only spares the cost of gas, maintenance, subway tickets, or bus fare, but it also saves precious time.

The money that would have been spent on a commute to work can be put in a savings account to hit other savings goals.

Recommended: Making Working From Home Actually Work

2. Living Closer to the Job

One of the most obvious ways to reduce commute time is to make it so your car is less expensive.

There are roughly two ways to do this: Drive less or drive less expensively.

The easiest way to drive less is to live closer to work. While that may save money on gas and maintenance, it could end up being more expensive to live closer to work, especially in a large city.

One of the main amenities people seek when deciding where to live is distance from their job. If you work near where a lot of other people work, trying to live near that job is likely to be pricey as the cost of living may be higher.

So how to make driving less expensive if you can’t reduce the amount of driving necessary to get work? Get someone else to drive, at least some of the time, or drive cheaply.

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3. Giving Carpooling a Spin

Carpooling means a shared ride to and from work, typically with someone who works in the same area or nearby.

Carpooling doesn’t magically get rid of the costs of commuting to work, but it can distribute them among riders or reduce them. Gas costs can be split, and maintenance costs can be reduced as the car is operated less frequently.

Even if you’re the one driving, you can often get access to high-occupancy-vehicle lanes, which means less time on the road and less time stalled in traffic.

4. Getting a Cheaper Car

Let’s say you have no choice about how far you have to drive and how frequently you have to do it. That may be a bummer, but it doesn’t mean you’re out of options for saving money. Some cars are cheaper to operate than others, and there are wide variations between them. Basically, smaller is better.

For new cars, according to AAA, a small sedan is the cheapest to own, costing $54.56 per mile, even less than hybrids (64.61 cents) and electric (60.32 cents) vehicles.

More numbers to know: the costs for small SUVs (62.17 cents per mile) and medium sedans (69.01 cents).

There are, of course, other ways to get around besides a car.

Recommended: Do You Have Sound Money Values?

5. Taking Public Transportation

About 5% of commuters are straphangers, bus riders, and other transit users, according to U.S. Census data. While a mass-transit commute to work is not costless, it can certainly save money on a per-trip basis.

Even if you own a car, using mass transit (or driving to a transit stop) won’t spare you from insurance, the cost of a new car, or depreciation, but the costs of car ownership associated with actual driving (gas, maintenance, etc.) will go down.

The only downside is that the ability to commute to work by public transit is often largely determined by locale. Someone who works in an area with a public transit system that serves the office can choose to live somewhere with efficient access to that system.

This will likely be in or near a large city, where the share of commuters who use public transit is far higher than the 5% national average.

If you work in a city like New York, Chicago, Washington, Boston, Philadelphia, San Francisco, Seattle, or Baltimore, public transit might be an efficient commuting option.

And although public transit may not entirely remove the need for a car, it could make it so a household with two adults only needs a single car, vastly reducing the cost of car ownership.

Finally, some companies offer commuter benefits, such as pretax income to be spent on costs related to the commute.

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6. Doing the Legwork

Often the most affordable way to get to work is without a car; that means by foot, bicycle, or some other non-internal-combustion vehicle. Biking may be impractical or stressful in many parts of the country.

Still, some commuters are up for the challenge. Cycling provides an aerobic workout and triggers the release of endorphins, builds muscle, and increases bone density.

Rolling road warriors may want to invest in a variety of gear (safety and comfort can be enhanced), whose price tags are mitigated by a lack of car-related bills.

Recommended: Reasons to Switch Bank Accounts

7. Tracking Expenses

To reduce costs, commuters have to first get a handle on their spending, whether for gas, maintenance, or mass transit — or even coffees, snacks, and lunches on the job. Creating a budget and accounting for where your money goes is an important step.

This can help you see where your money is spent and make adjustments to maximize your buying and saving power. For instance, you might decide it’s worthwhile to buy your gas from a lower-priced gas station or apply for a gas credit card.

The Takeaway

By better understanding the cost of commuting, you can make wise decisions about lowering your costs and saving money on this often-daily expense. From working from home when possible to carpooling and beyond, there are ways to keep your costs down.

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May

2023

How Do Employee Stock Options Work?

By Samuel Becker | Building Your Career, Growing Wealth, invest, Investing, Life & Career | Comments Off

Employee stock options (ESOs) are often included in an employee’s compensation package, and give those employees the opportunity to buy stock in their company at a certain price. Employee stock options have the potential to earn an employee some extra money, depending on the market.

Stock options can also give employees a sense of ownership (and, to a degree, actual ownership) in the company they work for. That can have benefits and drawbacks. But if you’re working in an industry in which employee stock options are common, it’s important to know how they work, the different types, and more.

What Are Employee Stock Options?

As mentioned, employee stock options give an employee the chance to purchase a set number of shares in the company at a set price — often called the exercise price — over a set amount of time. Typically, the exercise price is a way to lock in a lower price for the shares.

This gives an employee the chance to exercise their ESOs at a point when the exercise price is lower than the market price — with the potential to make a profit on the shares.

Sometimes, an employer may offer both ESOs and restricted stock units (RSUs). RSUs are different from ESOs in that they are basically a promise of stock at a later date.

Employee Stock Option Basics

When discussing stock options, there are some essential terms to know in order to understand how options — general options — work. (For investors who may dabble in options trading, some of these terms may be familiar but options trading doesn’t have any bearing on employee stock options.)

• Exercise price/grant price/strike price: This is the given set price at which employees can purchase the stock options.

• Market price: This is the current price of the stock on the market (which may be lower or higher than the exercise price). Typically an employee would only choose to exercise and purchase the options if the market price is higher than the grant price.

• Issue date: This is the date on which you’re given the options.

• Vesting date: This is the date after which you can exercise your options per the original terms or vesting schedule.

• Exercise date: This is the date you actually choose to exercise your options.

• Expiration date: This is the date on which your ability to exercise your options expires.

How Do Employee Stock Option Plans Work?

Again, when you’re given employee stock options, that means you have the option, or right, to buy stock in the company at the established grant price. You don’t have the obligation to exercise your options, but you have the ability to do so if it makes sense to you.

Exercising your stock options means choosing to actually purchase the stock at the given grant price, after a predetermined waiting period. If you don’t purchase the stock, then the option will eventually expire.

ESO Vesting Periods

Typically, employee stock options come with a vesting period, which is basically a waiting period after which you can exercise them. This means you must stay at the company a certain amount of time before you can cash out.

The stock options you’re offered may be fully vested on a certain date or just partially vested over multiple years, meaning some of the options can be exercised at one date and some more at a later date.

ESO Example

For example, imagine you were issued employee stock options on Jan. 1 of this year with the option of buying 100 shares of the company at $10/share. You can exercise this option starting on Jan. 1, 2023 (the vesting date) for 10 years, until Jan. 1, 2033 (the expiration date).

If you choose not to exercise these options by Jan. 1, 2033, they would expire and you would no longer have the option to buy stock at $10/share.

Now, let’s say the market price of shares in the company goes up to $20 at some point after they’ve vested on Jan. 1, 2023, and you decide to exercise your options.

This means you decide to buy 100 shares at $10/share for $1,000 total — while the market value of those shares is actually $2,000.

Exercising Employee Stock Options

It bears repeating: You don’t need to exercise your options unless it makes sense for you. You’re under no obligation to do so. Whether you choose to do so or not will likely depend on your financial situation and financial goals, the forecasted value of the company, and what you expect to do with the shares after you purchase them.

If you plan to exercise your ESOs, there are a few different ways to do so. It’s worth noting that some companies have specifications about when the shares can be sold, because they don’t want you to just exercise your options and then sell off all your stock in the company immediately.

Buy and Hold

Once you own shares in the company, you can choose to hold onto them — effectively, a buy-and-hold strategy. To continue the example above, you could just buy the 100 shares with $1,000 cash and you would then own that amount of stock in the company — until you decide to sell your shares (if you do).

Cashless Exercise

Another way to exercise your ESOs is with a cashless exercise, which means you sell off enough of the shares at the market price to pay for the total purchase.

For example, you would sell off 50 of your purchased shares at $20/share to cover the $1,000 that exercising the options cost you. You would be left with 50 shares.) Most companies offering brokerage accounts will likely do this buying and selling simultaneously.

Stock Swap

A third way to exercise options works if you already own shares. A stock swap allows you to swap in existing shares of the company at the market price of those shares and trade for shares at the exercise price.

For example, you might trade in 50 shares that you already own, worth $1,000 at the market price, and then purchase 100 shares at $10/share.

When the market price is higher than the exercise price — often referred to as options being “in the money” — you may be able to gain value for those shares because they’re worth more than you pay for them.

Why Do Companies Offer Stock Options?

The idea is simple: If employees are financially invested in the success of the company, then they’re more likely to be emotionally invested in its success as well, and it can increase employee productivity.

From an employee’s point of view, stock options offer a way to share in the financial benefit of their own hard work. In theory, if the company is successful, then the market stock price will rise and your stock options will be worth more.

A stock is simply a fractional share of ownership in a company, which can be bought or sold or traded on a market.

The financial prospects of the company influence whether people want to buy or sell shares in that company, but there are a number of factors that can determine stock price, including investor behavior, company news, world events, and primary and secondary markets.

Tax Implications of Employee Stock Options

There are two main kinds of employee stock options: qualified and non-qualified, each of which has different tax implications. These are also known as incentive stock options (ISOs) and non-qualified stock options (NSOs or NQSOs).

Incentive Stock Options (ISO)

When you buy shares in a company below the market price, you could be taxed on the difference between what you pay and what the market price is. ISOs are “qualified” for preferential tax treatment, meaning no taxes are due at the time you exercise your options — unless you’re subject to an alternative minimum tax.

Instead, taxes are due at the time you sell the stock and make a profit. If you sell the stock more than one year after you exercise the option and two years after they were granted, then you will likely only be subject to capital gains tax.

If you sell the shares prior to meeting that holding period, you will likely pay additional taxes on the difference between the price you paid and the market price as if your company had just given you that amount outright. For this reason, it is often financially beneficial to hold onto ESO shares for at least one year after exercising, and two years after your exercise date.

Non-qualified Stock Options (NSOs or NQSOs)

NSOs do not qualify for preferential tax treatment. That means that exercising stock options subjects them to ordinary income tax on the difference between the exercise price and the market price at the time you purchase the stock. Unlike ISOs, NSOs will always be taxed as ordinary income.

Taxes may be specific to your individual circumstances and vary based on how the company has set up its employee stock option program, so it’s always a good idea to consult a financial advisor or tax professional for specifics.

Should You Exercise Employee Stock Options?

While it’s impossible to know if the market price of the shares will go up or down in the future, there are a number of things to consider when deciding if you should exercise options:

• the type of option — ISO or NSO — and related tax implications

• the financial prospects of the company

• your own investment portfolio, and how these company shares would fit into your overall investment strategy

You also might want to consider how many shares are being made available, to whom, and on what timeline — especially when weighing what stock options are worth to you as part of a job offer. For example, if you’re offered shares worth 1% of the company, but then the next year more shares are made available, you could find your ownership diluted and the stock would then be worth less.

The Takeaway

Employee stock options may be an enticing incentive that companies can offer their employees: they present the opportunity to invest in the company directly, and possibly profit from doing so. There are certain rules around ESOs, including timing of exercising the options, as well as different tax implications depending on the type of ESO a company offers its employees.

There can be a lot of things to consider, but it’s yet another opportunity to get your money in the market, where it’ll have the chance to grow.

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Apr

2023

What Is Ego Depletion and How Do You Overcome It?

By Austin Kilham | Building Your Career, Life & Career, relay | Comments Off

When it comes to maintaining a strong financial plan and healthy financial behaviors, our brains can sometimes work against us. Behavioral biases, mental traps, and neural wirings can all get in the way of setting and meeting financial goals.

Consider recency bias, which is the tendency for people to look to recent events to make decisions about the future. Just because a stock has skyrocketed recently, that doesn’t mean its upward trajectory will last forever. In fact, jumping into the market during a rally could mean you end up buying when prices are high, right before investors bail and prices fall.

Another mental tendency to consider: ego depletion. It’s the idea that people can only exert their willpower for a limited time, and after that, it’s harder to practice self-control. If you have an important financial decision to make, it may make sense to wait until you are no longer feeling depleted.

Here’s a closer look into the ego depletion theory, what it could mean for your finances, and how to overcome it.

What Is Ego Depletion?

The concept of ego depletion hinges on the idea that our willpower reserves are finite, and when we exert self-control for too long, we use up those reserves. Once those are depleted, it is harder to exert self-control, and we’re more likely to make poor decisions.

The term was coined by American social psychologist Roy Baumeister in the late 1990s, though the idea of ego depletion has become popular in recent years. This may be in part because it makes sense intuitively. For example, the experience of eating a healthy breakfast and lunch only to get home from work and eat a bag of chips for dinner is pretty easy to relate to.

However, not everyone agrees with the concept of ego depletion. Some scientists report a lack of consistent data to support the idea. Instead, they have found that motivation is not finite. Rather, it can be subjective, and there are ways to increase it. That can be a good thing as you begin to set long-term financial goals.

Causes of Ego Depletion

There are a variety of factors that may play a role in ego depletion.

• Low blood sugar. If you haven’t eaten and your blood sugar has dropped, it may be more difficult to exert willpower.

• Emotional distress. Temptations may be harder to resist if you’re experiencing a state of mental anguish.

• Unfamiliar tasks. If you are doing something for the first time, you may need to exert more mental energy, which can lead to ego depletion.

• Lack of choice. If you are forced to do a task not of your choosing, you may be more likely to become depleted.

• Illusory fatigue. If you think that a task will be mentally tiring, you may experience ego depletion faster. In other words, ego depletion happens more often when you expect it to. If you think a task won’t tax you too much, you may be able to exert more self-control.

• Cognitive dissonance. Situations in which you do or say something that contradicts your beliefs can tire you out and diminish your self-control.

• Variable heart rate. Those who experience variable heart rate have been found to have less self-control.

The Effect of Ego Depletion on Your Finances

If tasks that require self-control weaken your willpower, you may be less likely to make good decisions when you experience ego fatigue. When it comes to your finances, for instance, you may be more likely to spend money on things that you can’t afford.

Ego depletion could also mean you’re less equipped to make important decisions, such as how to invest your money. For example, if the market is experiencing a downturn, you may find yourself more prone to panicking and potentially pulling out your money. But in doing so, you’ll lock in losses and potentially miss out on a subsequent upswing.

Ego depletion could also mean you miss important deadlines, such as deadlines for funding your 401(k) or IRAs, or tax deadlines.

How to Overcome Ego Depletion

Luckily, there are ways to overcome ego depletion and improve your money mindset.

Get Enough Sleep

Lack of sleep makes self-control difficult. Sleep counteracts fatigue and helps reset your willpower reserves, so practice good sleep hygiene. Go to bed at a consistent time. Make sure your bedroom is quiet, relaxing, and dark. Avoid large meals, caffeine, and alcohol before bed.

Manage Stress

Managing stress can help you address the causes of ego depletion as well as its effects. Consider strategies such as deep breathing, mindfulness exercises, eating healthy, and consistent exercise.

Set Goals

Clear financial objectives and the steps you need to reach them can help overcome ego depletion. Consider using SMART goals, or goals that are specific, measurable, achievable, relevant, and time-bound. With these in place, you’ll know what you need to do to accomplish your objectives, and you’ll also be less likely to make moves that stray from your plan.

Plan for the Long Term

Long-term financial plans take your goals, risk tolerance and time horizon into consideration. They are built to account for the natural cycles of volatility. With a long-term plan to refer to, you may be less likely to make rash decisions in the short term, such as panic selling when markets are down or buying when market prices are peaking and may be nearing a fall.

Recommended: Guide to Money Affirmations

Tools to Help Your Reach Your Goals

There are a variety of tools out there that can help you set and meet your goals and make financial freedom a reality. It’s worth shopping around to find the ones that work best for you and you’re more likely to stick with.

One to consider: a spending app, which can help you set up a budget, categorize and track spending, make bill payments on time, and track your credit score.

The Takeaway

The idea of ego depletion centers around the idea that when we exert self-control for too long, we use up our willpower reserves and are more likely to make poor decisions. Learning the causes of ego depletion is a first step in helping you head off rash financial decisions that may work against you. If you recognize that your willpower is fading, take a breather. And when in doubt, refer back to your long-term financial goals and plan.

If you’re looking to build your long-term financial plan, a money tracker app can help. The SoFi Insights app connects all of your accounts in one convenient dashboard. From there, you can see all of your balances, spending breakdowns, and credit score monitoring. Plus, you can get other valuable financial insights.

Stay up to date on your finances by seeing exactly how your money comes and goes.

FAQ

What is the cause of ego depletion?

Ego depletion can be caused by a number of factors, such as emotional distress, fatigue, low blood sugar, or unfamiliar tasks.

What is an example of ego depletion?

An example of ego depletion might be spending the day hard at work and then coming home, sitting on the couch, and turning on the television instead of pursuing other healthier activities, such as going to the gym.

How do you deal with ego depletion?

There are a number of strategies to combat ego depletion, such as getting enough rest, managing stress, and setting and sticking to long-term goals.

Photo credit: iStock/Delmaine Donson

Apr

2023

How Much Do Doctors Make a Year in California?

By Austin Kilham | Building Your Career, Life & Career, relay | Comments Off

Understanding the average salary of a profession can help you make a variety of important decisions, from what field you want to enter to where you want to live and work. In California, the average physician makes more than $200,000 per year. Knowing that, medical students have a better idea of what they could make when they get out of school. Likewise, physicians looking to relocate to a new state have a better sense of how their salary can change based on where they decide to move.

Here’s a closer look at how much medical doctors make a year in California, regional differences in salary, and the top-paying medical specialities in the state.

What Is the Average Salary for a Medical Doctor in California?

The average salary of a physician in the state of California is $229,420 per year, according to data from the U.S. Bureau of Labor Statistics (BLS). This figure doesn’t account for a physician sign on bonus, which some doctors receive. Interestingly, California is squarely in the middle when it comes to average physicians’ salaries, along with Oregon, Texas, Maryland, and New York. The average salary in California lags more than half of states, including Arizona, Florida, Wyoming, Kentucky, and South Carolina.

Though many consider anything more than $100,000 a good salary, California’s relatively low pay may come as a surprise to some. However, there are some possible explanations. For one, California spends the most on Medicaid among U.S. states. Medicaid — and Medicare, for that matter — both reimburse physicians at rates lower than their usual fees. Doctors who are seeing a lot of elderly or low-income individuals may see their incomes reduced.

Note that early in your career as a doctor, while you’re in your residency or fellowship, you’ll likely make considerably less than you will later in your career. Explore ways to get by on a medical resident’s salary.

You may also want to consider using a spending app, which can help you set financial goals and a budget and track where your money goes.

Recommended: Budgeting as a New Doctor

How to Become a Doctor in California

Doctors are health care professionals who are charged with meeting with patients, diagnosing their conditions, and managing their care plans. They perform tests and prescribe medications. And they must coordinate with a range of other health care professionals, including other doctors, nurses, and emergency medical technicians.
That’s a lot of responsibility, and as a result, it takes a lot of training to become a doctor.

First, you’ll need to complete a bachelor’s degree in a field that relates to medicine, such as pre medicine, biology, or biochemistry.

Next, you’ll need to go to medical school, where you will receive classroom and practical training to advance your knowledge in the medical field. Medical school is typically a four-year program. While in school, you’ll complete the first and second parts of the U.S. Medical Licensing Examination (USMLE). The average cost of medical school can be high, running more than $50,000 a year at private institutions.

When you graduate from medical school, you’ll enter a residency program that helps you choose a medical specialty. These programs usually last three years, and under the supervision of an experienced physician, you’ll work full time as a resident doctor. You’ll complete your residency by passing the third and final part of the USMLE.

After your residency, you can choose to complete a fellowship that gives you further training in the specialty you’ve chosen. Though fellows tend to make more than residents, their salary isn’t as high as new doctors. The good news is, there are ways to budget on a medical fellowship salary.

Finally, you’ll need to obtain a California medical license from the Medical Board of California. You can renew your license every two years, which requires 50 hours of continuing medical education.

Reasons to Become a Doctor

Becoming a doctor can involve a lot of challenges, but it can also be immensely rewarding work. Here are a few reasons you might become a doctor:

• To help others: Doctors diagnose and treat medical conditions, helping to save and improve patients’ lives. They are often involved in ongoing treatment, ushering patients down the path to recovery. Being a physician is a people-centric profession that involves working closely with patients and their families to explain medical conditions and treatment options.

• To work in the sciences: If you’re interested in a variety of scientific fields, from biology to chemistry to anatomy to pharmacology, being a doctor is a way to explore these subjects while also helping others.

• To find purpose: The responsibility toward patients and coworkers and the ability to better people’s health and well-being often provide doctors with a sense of satisfaction and meaning in their work.

• To become a teacher: Becoming a doctor requires a lot of schooling and ongoing training. Doctors may pass on this knowledge by educating patients on how to lead healthier lives, educating medical students in teaching hospitals, and supervising residents.

• To have job security: The job outlook for physicians is relatively low, with the field expected to grow 3% through 2031. That said, there are still 23,800 openings for physicians projected each year, according to BLS data.

• To make a good salary: The annual average wage for all workers in the United States is $58,260, according to the BLS — quite a bit lower than the $229,420 average annual pay for physicians in California.

Best-Paying Medical Doctor Jobs in California

The medical speciality you pursue in California will have a big impact on your salary. According to BLS data, here are some of the highest-paid physicians in California:

Psychiatrist

Psychiatrists help diagnose and treat mental disorders. Unlike psychologists, they are allowed to prescribe drugs for medical treatment.

Average salary: $305,290

Obstetricians and Gynecologists

OBGYNs provide medical care related to childbirth and diagnose and treat diseases of the female reproductive organs. They also specialize in women’s health issues like hormone problems, infertility, and menopause.

Average salary: $309,610

Anesthesiologist

Before, during, or after surgery, anesthesiologists administer anesthetics (which reduce sensitivity to pain) and analgesics (which act as pain relievers).

Average salary: $318,030

Cardiologists

Cardiologists diagnose and treat conditions of the cardiovascular system.

Average salary: $343,370

Radiologists

Radiologists use medical imaging techniques, such as x-rays, MRIs, and ultrasounds to diagnose and treat diseases and injuries.

Average salary: $345,100

Pathologists

A pathologist helps diagnose diseases by running tests on organs, tissue, and bodily fluids, such as blood.

Average salary: $350,980

Surgeons

Surgeons are medical doctors that may have to perform surgery, a procedure that physically changes a patient’s body.

Average salary: $351,580

The Takeaway

Being a doctor can be fulfilling, as it allows you to help people through work in the medical sciences. It can also be monetarily rewarding, and understanding average salaries can help you make decisions about where you want to live and what you want to specialize in. Though income varies by speciality, the average salary for physicians in California is $229,420 per year.

As you build your practice and earn a salary, a money tracker app can help you get your financial house in order. The SoFi Insights app connects all of your accounts in one convenient dashboard. From there, you can see all of your balances, spending breakdowns, and credit score monitoring, plus you can get other valuable financial insights.

Stay up to date on your finances by seeing exactly how your money comes and goes.

FAQ

What is a doctor’s yearly salary in California?

In California, a doctor can expect to make $229,420 per year on average, according to data from the U.S. Bureau of Labor Statistics.

What is the highest-paying medical specialty?

Among the highest-paid doctors in California are pathologists, surgeons, and radiologists.

Who earns more: a dentist or a doctor?

In California, doctors tend to make more than dentists, who earn $165,950 per year on average.

Photo credit: iStock/Drazen Zigic

Apr

2023

The 10 Most Satisfying Jobs You Can Get in America Without a Degree

By Austin Kilham | Building Your Career, Life & Career, relay | Comments Off

If you don’t have a college degree, certain jobs may be out of your reach. But does that mean that you can’t feel professionally fulfilled? Absolutely not. There are many careers that don’t require post-secondary education and can provide workers with a sense of happiness and purpose.

Here’s a look at the characteristics that make a job rewarding, the industries that offer the greatest sense of well-being, and the most satisfying jobs you can get in those industries that don’t require a degree.

Characteristics of a Satisfying Job

It can be tough to pin down the characteristics of a satisfying job. That’s because satisfaction can be subjective. There are plenty of roles out there that you may prefer to avoid but others would be over the moon to try.

That said, the most rewarding jobs tend to share some qualities. According to the Urban Institute, good jobs typically offer:

• Liveable wages that allow employees to cover basic needs.

• Growth opportunity within the company to improve skills and advance.

• Workplace flexibility and control over one’s schedule.

• Benefits, such as paid leave, health care, and retirement contributions.

• Safe working conditions.

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Why Is It Difficult to Find a Satisfying Job Without a College Degree?

There are other characteristics you might find necessary to consider work satisfying. For example, you might want a job where you help people, like a doctor, or a job where you work with animals, like a veterinarian.

Unfortunately, without a post-secondary degree, your pool of available jobs will likely be limited. Depending on the job market in your area, that may mean you have to compromise on the job you choose or relocate so you can be closer to meaningful work you qualify for.

Recommended: Should I Go to Community College?

Tips for Finding a Satisfying Job Without a College Degree

It’s a good idea to start your job hunt with online search engines. Your search will likely lead you to large job sites that compile listings from industries across the country. If you’re looking for a particular type of role, you may want to try industry-specific job boards.

Networking and word of mouth are also good ways to find work. Reach out to people in your area who work in the industry you’re looking to join. Ask to meet with them to learn what you need to do to successfully apply for a job in that field, and put the word out that you are actively looking.

Just because a job doesn’t require a degree doesn’t mean you won’t be able to find one that pays well. Consider exploring high-paying trade jobs and high-paying vocational careers to find jobs that pay top dollar.

Once you begin to earn a salary, consider using a spending app to help you budget and track your money.

Recommended: 25 High-Paying Trade Jobs in Demand

Top 10 Most Satisfying Jobs You Can Get in America Without a Degree

Now for the tricky part: How to take a subjective measure like satisfaction and apply it to a list of jobs that don’t require a degree?

For this list, we looked at The Washington Post’s roundup of 10 industries that offer the greatest sense of well-being, which was based on data from the U.S. Bureau of Labor Statistics. Those fields include:

• Agriculture, logging, and forestry

• Real estate, rental, and leasing

• Construction

• Management, administrative, and waste

• Information

• Health and social assistance

• Arts and entertainment

• Transportation and warehousing

• Wholesale

• Retail

What are the most satisfying jobs in those industries? Read on for examples.

Forest and Conservation Workers

Forest and conservation workers typically help measure the state of forest and improve quality. They may work for state and local governments or for privately owned forest lands.

Median annual wage: $30,550

Job outlook: Employment in this industry is expected to decline 3% through 2031. However, there are still 2,300 openings for forest and conservation workers projected each year.

Real Estate Brokers and Sales Agents

Real estate brokers and sales agents help people who are looking to rent, buy, or sell properties. They tend to be self-employed and are usually able to set their own hours.

Median annual wage for real estate brokers: $62,010

Median annual wage for real estate sales agents: $48,340

Job outlook: Employment is expected to grow 5% through 2031, which is about as fast as average. There are a projected 54,800 job openings each year.

Construction and Building Inspectors

Construction and building inspectors work alongside or as part of a team to make sure that new buildings meet codes, ordinances, zoning restrictions, and match up with specifications made in building contracts.

Median annual wage: $61,640

Job outlook: Employment for this job is expected to decline 4% through 2031. However, there are a projected 14,800 new jobs annually.

Refuse and Recyclable Material Collector

As part of waste management infrastructure, refuse and recyclable material collectors collect and dump waste materials. Their job may include driving waste collection vehicles.

Median annual wage: $38,500

Job outlook: N/A

Library Assistant

Library assistants work in public, private, or university libraries helping to shelve and organize materials, assist patrons, and perform clerical tasks. The job typically requires a high school diploma, and may require a post-secondary certificate.

Median annual pay: $34,050

Job outlook: Library assistant jobs are expected to decline 4% through 2031, with a projected 24,000 openings each year.

Home Health Aide

Home health aides are among the fastest growing jobs. They help people with chronic disabilities or illness perform acts of daily living, like getting dressed and eating. They may work in a client’s home, a group home, or a day service facility.

Median annual wage: $29,430

Job outlook: Jobs for home health aides are expected to grow 25% through 2031, with about 711,700 openings projected each year.

Musician

Musicians sing or play musical instruments in recording studios or in front of live audiences in concert halls, clubs, and churches. Many singers work part-time.

Median hourly wage: $30.49

Job outlook: Employment for singers is expected to grow through 2031 by 4%, with 20,800 projected job openings.

Truck Driver

Truck drivers are charged with transporting goods from one place to another. It’s typically a pretty solitary line of work, but if being on the open road brings you happiness, it might be worth considering.

Median annual salary: $48,310

Job outlook: Employment is expected to grow 4% through 2031, which is nearly average for all occupations.

Material Recording Clerk

Material recording clerks help track product information and keep supply chains running and businesses on schedule.

Median annual wage: $37,870

Job outlook: Employment is expected to decline 3% through 2031, with 131,900 projected job openings each year.

Retail Sales Worker

Retail sales workers help customers in stores find the products they need and then ring them up at the cash register. They may also restock shelves

Median hourly wage: $14

Job outlook: Employment is expected to stay the same through 2031, with a projected 594,00 openings each year

The Takeaway

Not having a college degree doesn’t mean you can’t find fulfilling work. Satisfying jobs that don’t require a degree can be found in any industry, though certain roles may provide a great sense of well-being. Examples include a construction inspector, a real estate broker or sales agent, a retail sales associate, a musician, a truck driver, and a library assistant. As you hunt for a job, look for roles that match up with what you want in terms of the type of work, workplace, amount of social interaction, and wage requirements.

Once you find a satisfying job and start earning a paycheck, a money tracker app can help you manage your finances. The SoFi Insights app connects all of your accounts in one convenient dashboard. From there, you can see all of your balances, spending breakdowns, and credit score monitoring, plus you can get other valuable financial insights.

Stay up to date on your finances by seeing exactly how your money comes and goes.

FAQ

What are the most satisfying jobs?

According to a Washington Post analysis of Bureau of Labor Statistics data, the most satisfying jobs can be found in the agriculture, logging, and forestry industry.

What jobs pay over $100,000 without a degree?

It is possible to find jobs that pay over $100,000 a year and don’t require a college degree. One example is a construction site manager or a senior real estate manager.

How can I make $100,000 a year without a degree

If you want to make more than $100,000 a year without a college degree, begin by researching jobs that offer high wages and only require a high school diploma. You may then consider taking an entry-level position that allows you to gain the skills and experience needed so you can advance to higher wages.

Photo credit: iStock/Pekic

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