By Jason M. O’Dell, David B. Mandell, Kim Renners
If you are like most Americans, you feel less secure about the U.S. economy.  Certainly, this is justified.  While we may be technically out of the recession, our dependence on foreign oil, behemoth deficits, and the weak dollar are all fundamental threats to our national fiscal health and our investment marketplace that are not going away anytime soon.  For this reason, it is crucial that savvy investors, including physicians, learn from the past two years and adjust their investment behavior accordingly.  This …

By Cameron Short

Today’s economic and political environment has left many physicians working increasing hours, left with little time to ensure their hard-earned money is working just as hard in a retirement plan. So when it comes to building your practice’s retirement plan with viable options for wealth building and deferring taxable income, what is the best solution for you?
There are many different available options for your practice in setting up retirement plans such as defined benefit and defined contribution plans.  A defined benefit plan, such as a pension, is …

By Amy J. Galloway, Esq. and Jeffrey M. Fauer, Esq.
Selling a medical practice has always been a very individualized experience, but a little planning and preparation can simplify the process and help you get the most out of your sale.  Experts suggest that a physician start planning the sale of his or her practice at least two years in advance.  During that time, some important factors to keep in mind are valuing the practice’s assets, placing a price tag on goodwill, finding the right buyer, and the fate of …

By Peter Rohr
Some physicians say the reason they entered the profession was to have the opportunity to give back and help others. Doctors can not only practice this tenet in their practice, but also with their investments.  Physicians looking to carve out philanthropic legacies that are designed to endure generations can do so by utilizing a number of specific financial vehicles that can also provide significant tax advantages.  This article will discuss your options for charitable giving and how it can enhance your current investment portfolio.
Benefits of Charitable Giving
Charitable giving …

By David Simbro, Vice President – Northwestern Mutual
Most physicians have been told since residency that purchasing “Own-Occupation” disability insurance is critical to protecting the time and money they’ve invested in their chosen profession. And most medical professionals have considered at length what would happen to them, their incomes, their families and their careers if they suddenly found themselves injured or ill. For many, the answer is complicated and the stakes are as high as the income at risk.
However, despite physicians’ best intentions and preparation, recent research conducted by Harris Interactive[1] …

By Lawrence B. Keller
As a physician, you have probably been told that you should make sure that you purchase a policy with a true “Own-Occupation” or “Own Specialty” definition of disability for the entire benefit period (to age 65 or longer).  Now, this “conventional wisdom” is being challenged by one well-known disability insurance provider – but should it be?
“Own-Occupation” Definition of Total Disability
Typically, “total disability” or “totally disabled” means that due to an accident or illness, you are not able to perform the “material and substantial” duties of your …

By William L. MacDonald
Tax-exempt organizations are subject to more stringent IRS rules than their for-profit counterparts in terms of how they can provide nonqualified deferred compensation plans for highly paid employees. Nonprofit organizations should analyze their deferred compensation arrangements to ensure that such arrangements comply with the restrictive tax requirements of Code Section 457.
Code Section 457(f) generally provides that in order to defer an employee’s compensation to a future calendar year, the payment of that compensation must be contingent on the employee performing substantial services through a date in a …

By Peter Rohr
Despite the economy’s ups and downs, it is essential that physicians who are business owners look beyond their near-future investment goals and consider their long-term retirement plan. Taking the time to establish a company-sponsored retirement plan may be one of the most important decisions physicians can make. Not only does finding the right plan help to attract and retain talented medical professionals, but a plan can also enable one to build personal wealth by reducing current tax obligations.
There is a simple approach practice owners can take when establishing …

By Lois Dister
Physician executive compensation rose by an average of 12% on data collected in 2007 and 2009, according to the 2009 Physician Executive Compensation Survey conducted by the American College of Physician Executives (ACPE) and Cejka Search, a nationwide healthcare executive and physician search firm.  The survey is the seventh of its kind to be conducted every two years by ACPE and Cejka Search, and this year’s survey is based on responses from 2,131 ACPE members.  Questions in the survey covered various categories, including compensation by organization type, group …

By Patricia A. Costante
Waiting out this Great Recession is not an option for physicians who want to maintain a financially viable practice. As economists predict that the hoped-for turnaround will not begin until the fall of 2010, there is an urgent need to proactively deal with the ongoing fallout right now.
The Physician as a Businessperson
Physicians have the right to make a living, and it isn’t mercenary to expect patients to pay for medical services, either through health insurance coverage or out-of-pocket payments. This expectation is the same financial model …