National Doctor’s Day: 3 Financial Planning Tips

National Doctor’s Day takes on new meaning after what we have endured the past two years. March 30^th is a special day that honors medical staff and their contributions to the community’s health. For doctors at any stage in their careers, financial planning geared to the unique life cycle of their careers is helpful for protecting their wealth.

Here are three important financial planning tips we put together in honor of our doctors:

1. Debt Management Strategies

Because of the amount of schooling required, many doctors enter the workforce at an older age and with significant student loans. The question becomes whether to pay off your debt or start saving for retirement. The team at Trost Financial Consulting can begin customizing your financial plan by evaluating your current financial health and make recommendations on the amount of debt to pay in relation to the rest of your retirement and tax planning.

2. Maximize Tax-Advantaged Options

The average doctor’s salary lands most physicians in higher tax brackets. Tax-efficient investments and tax saving options can vary based on a doctor’s tax situation. Medical practice owners can establish tax deferred retirement plans unique to their individual situation. Our team at Trost Financial can coordinate with accounting firms to determine the appropriate strategy for each situation including but not limited to the ideal tax structure (LLC, Corporation etc.). In our prior blog, “7 Tax Tips that Could Save you Money” we discuss ideas to help our clients maximize their tax strategies.

3. Adequate Insurance Coverage
Reviewing all aspects of a doctor’s insurance strategy is paramount to protecting his or her liabilities. Insurance options can be overwhelming but generally the most important areas of protection to review are life, disability, health, liability, and malpractice. Using a financial planner can help streamline the process and focus on the most economic plan to coordinate the protection planning.

We invite you to join the Trost Financial Consulting team in honoring doctors and thanking them for their contributions to the community.