Most doctors and dentists start earning real money in their thirties, with loans behind them and a decade of saving to make up. Then the income arrives all at once, and so do the decisions: loans, taxes, a practice, a house, a family. Getting the order right is worth more than any single choice.
None of them is hard on its own. The cost comes from making them one at a time, with different people, in the wrong order.
If you work for a non-profit hospital or a government employer, Public Service Loan Forgiveness can clear the balance after 120 qualifying payments. If you don't, it's a straight comparison of rates, taxes and what that cash could do elsewhere. The answer is different for each path, and it's worth deciding on purpose.
A high income makes every deduction, contribution and timing decision worth more. A current-year tax projection, done by a CPA, is the base the rest of the plan stands on.
Owning a practice opens retirement plan designs that employees can't use, such as profit sharing or a cash balance plan on top of a 401(k). It also means a buy-in, a buy-out and, one day, a sale. Each of those is a planning window.
Your ability to practice is your largest asset for decades. Disability coverage, liability exposure and how your assets are titled all deserve a look early, while the choices are still cheap.
Our Director of Strategic Tax Planning is a CPA who sits at the same table as your advisor, so your loans, taxes, practice and investments are one plan. We are fee-only: we sell no insurance and no investment products, so nothing we recommend pays us more.
Educational only — not investment, tax, or legal advice. Every situation is different; the right answer depends on the numbers, and that's what the strategy session is for.
Sit down with a fiduciary — not a salesman — and leave with a complimentary strategy for your exact situation, whether or not you ever hire us.