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My First $1 Million: Retired Surgery Professor, 51, North Carolina

Welcome to Kiplinger's My First $1 Million series, in which we hear from people who have made $1 million.

They're sharing how they did it and what they're doing with it.

This time, we hear from a single 51-year-old retired associate professor of surgery who lives in North Carolina. She reports that her salary started at $210,000 and was $530,000 when she was forced to retire because of health issues.

See our earlier profiles, including a writer in New England, a literacy interventionist in Colorado, a semiretired entrepreneur in Nashville and an events industry CEO in Northern New Jersey. (See all of the profiles here.)

Each profile features one person or couple, who will always be completely anonymous to readers, answering questions to help our readers learn from their experience.

These features are intended to provide a window into how different people build their savings — they're not intended to provide financial advice.

To learn what these millionaires have taught us, check out the articles 5 Key Insights We Learned From 50 Millionaires and 5 Things 50 Millionaires Wish They'd Known Before They Retired.

And to hear more about My First $1 Million, you can check out this podcast with bestselling author and tax attorney Toby Mathis:

The Basics

How did you make your first $1 million?

I grew up in a lower-middle-class family and had to pay for my own education, so I went to schools that would pay at least partially for me to attend. I had less debt because of that, but still had more than I was comfortable with by the time I finished medical school.

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Residency paid a pittance, but I found a cheap place to live, cooked my own meals and managed to fully fund my retirement account each year for the first two.

Then 9/11 happened and wiped out my accounts. I was so upset that I stopped contributing to them for the next two years. I didn't pull out what was there, so it all recovered, but I missed out on all those gains by not adding more.

I worked extra shifts at a nearby hospital to double my resident income for the last two years. Then I did a year of fellowship, also low pay and in a high-cost-of-living area, but I lived as frugally as I could and saved as much as I could.

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My first attending salary was well below average, but as a woman in surgery, I was supposed to take what they gave me, so I did. I put a quarter of my salary into retirement accounts, which I could because I was an independent contractor, and used the rest to buy a house and a new car.

I built up cash savings, but never thought to invest it, out of fear that I'd lose it too easily.

Then I changed jobs and got sick within a year of doing so. I spent the next year recovering from four surgeries, only able to work in a limited capacity, and had my salary reduced as a result.

I got better, but I knew that I had to change some things. I stopped buying so much stuff I didn't need, changed jobs again to boost my pay by $200,000 to market rate and made a point of saving more than half of my earnings.

Then, in January 2015, I finally took the plunge and started a brokerage account. I put my aggressive savings to work there and hit my first million, between all the retirement accounts and the brokerage, after a year and a half or so.

What are you doing with the money?

I did absolutely nothing, just left it to keep growing in investments. I was still worried about not having my career for much longer. And I was right to worry — I had to medically retire at age 44 because of more complications from three more surgeries.

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By then, my savings had grown to about $2 million, and I was terrified that it still wouldn't be enough for such a long (forced) retirement.

The Fun Stuff

Did you do anything to celebrate?

No. I think I was too busy still worrying about my health.

What is the best part of making $1 million?

The momentum it gives your next million. The first million feels the hardest, because it requires a lot of savings and discipline. After that, it just keeps going on its own, as long as it's invested reasonably.

Did your life change?

Yes, because it meant that even when I couldn't work, the money could keep on working. It gave me security, a safety net.

How much more would it take for you to change the way you live?

This is a question I ask myself regularly. I grew up on a routine regimen of delayed gratification, necessitated by family circumstances. If I wanted something, I had to "save up" for it, and I had to forgo something else. It was a deprivation mindset.

I see now that, while I was fine with it at the time, I missed out on a lot of amazing experiences and travel — things I can't make up for now because of my health.

I let myself spend more freely now than I used to, but only up to a limit.

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I still can't fly business class and feel OK with it, though it would make a huge difference to my comfort when flying, given my medical issues. I think it would take having $10 million to make that change.

$1 million is not all that much in this world, in the sense of it not being enough to radically change one's life, unless you had nothing before.

But $10 million throws off more than enough to live on without touching the principal, and I think that's what real wealth probably means. A 4% withdrawal would be $400,000, as opposed to $40,000 for $1 million. So, eight figures instead of seven. I could change for that kind of cushion.

Did you retire early?

I had to retire at 44 because of medical issues. I didn't want to; I loved my work, and if my body could take it, I would gladly have continued until at least 60.

How do you define being wealthy?

When I was working, I used to tell myself that I'd know I was "wealthy" when I felt no hesitation paying to fly business or first class.

That day has never come, but maybe it would have if I were still making the kind of money I used to. I don't feel I have that kind of leeway now.

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But I am also no longer as scared of running out of money, despite my prolonged retirement, so that is wealthiness of a kind.

Maybe "wealthy" is when I can live off the interest and dividends of my money, without touching the principal. I'm not there yet.

Looking Back

Anything you would do differently?

I'd have started investing earlier, instead of just saving. And I'd have negotiated my salary from the start, instead of only doing that after I was afraid of a shortened career. Negotiating got me a boost that took me to that first million faster.

I'd also have spent a lot less in the early years, if I had known then what I do now, and wouldn't have bought a bigger home than I needed.

I'd have more discipline from the start about spending.

What advice would you give to your younger self?

It seems far away when you're a student for so long, in debt while your friends are already working in good careers, making real money, while you are nowhere close. But you'll get there, if you just stay frugal a bit longer.

Did you work with a financial adviser?

When I first started my brokerage account, I put the money into a managed portfolio run by (a firm that) had a guarantee of your fee back after a year if you weren't happy. They didn't even beat the S&P 500 in my first year, so I left and got my fee refunded.

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I did much better on my own, with leaving things in index funds and just continuing to contribute steadily.

I haven't been willing to seek out an adviser after that.

Did anyone help you early on?

My dad, in a way. Mostly, he was an example of what not to do. He lived in fear for years, didn't invest because he was afraid to lose.

He was the one who believed in saving every penny in a bank for the meager interest. It took him even longer than it took me to risk investing on his own, but he has embraced it and done well for himself, starting from a low salary and never even cracking six figures, despite having a PhD. He started investing seriously 25 years ago.

But he never taught us to do any of that — my sister and I had to figure it all out for ourselves and pushed ourselves to do it far earlier than he did.

Looking Ahead

Plans for your next $1 million?

I've passed the next already. Again, the money is doing it on its own. I need it for my long-term future, because my retirement is so much longer than expected.

Any advice for others trying to make their first $1 million?

For some, it's slow and steady. For others, like me, it had to happen quickly because I was running out of time in which to earn.

Either way, the secret to getting there is discipline. Steady, regular contributions, whatever you can afford.

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Pay yourself first. Instead of saving "what's left over" at the end of a paycheck, count a definite amount from the start of each check and directly deposit it into savings or a brokerage account. Invest that money right away — automate it.

It is better if you're not looking at it, or the numbers, too closely for a while. When you do after several months, it will be a nice surprise how much closer you are to the goal.

Do you have an estate plan?

Yes. A revocable trust and will, plus DNR, etc.

Revocable trust because I'm single, and I want to make it easy for my family to inherit my home and be able to pay for it from my accounts.

Will, because after two separate near-death experiences, I needed to make sure someone had custody of my dog in the event of my death. I wanted that person to have money for her care, but also for themselves.

And I wanted to divide up my valuable smaller possessions, ensuring they'd go to friends and family who would appreciate them.

What do you wish you'd known …

When you first started saving? That banks are not places to earn money. There are so many better uses of your money than a savings account. It took me way too long to be brave enough to go elsewhere with my funds.

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When you first started investing? That it's scary, but it's also kind of simple. Don't try to be an expert stock picker. Just let the rising tide lift your boat (index funds, ETFs).

I do wish I had paid more attention to the tax consequences of different types of investments early on so I would have bought them in the correct accounts.

And I wish I had known more about investing my early retirement accounts myself. I only started doing all that after I converted the workplace accounts to IRAs upon retirement.

Also, I wish I had understood account fees more clearly before choosing certain investment products.

When you first started working with a financial professional? Men think they know how to invest. Women think they don't. The truth is, no one is all that great at it! Luck matters as much as research.

When you first retired? That I really would be OK. I was absolutely terrified of ending up destitute or having to depend on my parents, who didn't have much themselves.

If you have made $1 million or more and would like to be anonymously featured in a future My First $1 Million profile, please fill out and submit this Google Form or send an email to MyFirstMillion@futurenet.com to receive the questions. We welcome all stories that add up to $1 million or more in your accounts, although we will use discretion in which stories we choose to publish, to ensure we share a diversity of experiences. We also might want to verify that you really do have $1 million. Your answers may be edited for clarity.