Which retirement plan is best for doctors?

11th Oct 2023

Hello,

During turbulent times, doctors remain good prospects for a tax-advantaged plan.

Defined Benefit and Cash Balance retirement plans allow high income self-employed doctors and owners of small medical practices to make the largest tax-deductible contributions each year, often $150,000 or more. Dedicated DB’s personalized service and easy setup process simplifies opening a new plan. Now is a great time to contact doctors or their accountants, who are thinking about tax planning at year end.

What are the advantages of Defined Benefit plans for physicians?

Provides the largest contributions each year, often $150,000 or more
All contributions for these plans are tax deductible in the year they are paid
Starting as late as age 52, a physician earning $305,000 can accumulate $2.67 million in 10 years

How can you identify doctors who fit the profile?

Physicians in certain specialties are more likely to be self-employed, have few employees, earn high income or side income like receiving 1099(s), and need tax solutions. They may include: