Michael Joyce was recently interviewed by Richard Payerchin of Medical Economics. In this video, Michael asserts that doctors should save early and aggressively – and create a retirement savings plan. Please see the video transcript below in italics:
Watch the interview video here.
Doctors Should Save Early and Aggressively
Medical Economics: Do you recommend a retirement timeline or a schedule for physicians? For example, if a doctor says, I’d really like to retire at age 65, do you have certain goals or take certain steps maybe 15 years out, 10 years out, five years out, one year out?
Michael Joyce: I think physicians have to start thinking about retirement as soon as they are in a practice and have whether it’s a 40-year plan, that then becomes a 25-year plan, or a 10-year plan, whatever – because they’re going to be at different time horizons, obviously. But their risk tolerance could change over time, their goals and objectives could change over time, so they do want to match up with those goals and objectives. And the tactics that you use will really depend on the timeline.
I do think it is very important to save aggressively, particularly through qualified plans, to achieve retirement goals. And it’s always good to have a well-made plan to show you what you need to do to get on track. And don’t get down if you might be a little off-track for a while. There can be time to catch up. You do want to continue with the plan, though, as much as you can. And the earlier you start, obviously, the better off you are. And it’s never too late to start.
Additional Resources on Retirement Savings for Doctors
Doctors Should Not Over-Complicate Investment Diversification
Presription for Financial Health: Financial Management for Doctors
AAMC’s Physician Education Debt and the Cost to Attend Medical School, 2020 Update