How to Save Huge Taxes with a Cash Balance Plan for Physicians

Physician Family Financial Advisors Podcast

Too often physicians will overlook benefits that can boost their retirement. A cash balance plan offers huge tax savings and is a type of defined benefit plan. So what are defined benefit plans, and how can a cash balance plan offer these huge tax savings? A physician who skips over a defined benefit plan could miss out on a large sum of money. Tune in today to learn more about how a physician can use a defined benefit plan as a pension plan.

ASK A QUESTION

Send your questions about taxes, investing, extra money, retirement, college, and financial parenting to [e-mail] or call the Physician Family Answer Line at [phone].

IN THIS EPISODE

• [0:51] What are defined benefit plans?
• [4:05] How does the employer guarantee or decide how much money they put in?
• [9:28] Where does an employee/employer start with a cash balance plan?
• [11:45] What are the limits an employee can contribute to?
• [13:15] If a physician decides they want to get out, is it easy to back out of the plan?
• [17:20] Understanding a pension and seeing its worth is essential; they are really valuable benefits.

NOTICE

Physician Family Financial Advisors Inc., a registered investment advisor, has reasonable belief that the information and content as a whole does not include any false or materially misleading statements or omissions of facts regarding services, investments, or client experience. Information presented is for educational purposes only and does not intend to make an offer or solicitation for the sale or purchase of any specific securities, investments, or investment strategies. Investments involve risk and unless otherwise stated, are not guaranteed. Information expressed does not take into account the specific situation or objectives of individuals and is not intended as recommendations appropriate for all individuals. Listeners are encouraged to seek advice from a qualified tax, legal, or investment adviser to determine whether any information presented may be suitable for their specific situation. Past performance is not indicative of future performance.