Wealth Management for Medical Professionals

The economic realities of the Medical Profession have changed in ways that are not very advantageous to physicians.  The physician clients of The Wealth Strategies Group gain tremendous confidence from our complete solution.

Client Background:

As a successful surgeon our prospective client had built up and impressive net worth.  The Wealth Strategies Group started working with the doctor and his wife by having The Future You Profile™ discussion.  Together we identified their future dangers, opportunities and strengths  The couple identified reduced future cash flow, out of date estate documents and uncertainty about their many “scattered” investments as potential dangers.  Together they thought there were opportunities outside of medicine and that a small business might work for them.  They felt their biggest strength was the confidence they had from the dollar amount of the assets they had built up over the years.

Solution:

First, a comprehensive financial plan was created.  It included a complete inventory of assets by investment category, how each was titled for estate transfer, the beneficiaries of retirement plans were noted, cash flow projections were provided and tax returns for the medical corporation and joint return were reviewed.  To understand The Wealth Strategies Group philosophy and methodology the couple also participated in The Seasons of the Economy Advantage™ class.

After The Wealth Strategies Group completed their comprehensive review The Solution Network™ (our virtual network of independent tax, legal and other professionals) noticed a disproportionate amount of the couple’s assets in growth vehicles, no formal plan to transfer their wealth to the couple’s beneficiaries and estate transfer techniques had not been implemented in the medical practice.

Using The Wealth Management Maximizer™ the couple’s danger of reduced cash flow from the practice was corrected by reallocating a portion of the growth assets to tax free income.  This also helped to reduce risk and volatility in their portfolio.  After discussions with their accountant, the “scattered” investment accounts were consolidated for ease of management, tracking and tax reporting. With the help of their estate-planning attorney each account was correctly titled for transfer purposes and to potentially reduce Federal Estate Tax (FET) using The Asset Protection and Estate Transfer Process™ (a proprietary process designed to protect assets from frivolous lawsuits and effectively transfer assets to the estate in the most efficient way). 

Beneficiary information was updated to account for new family members.  Power of Attorney and Medical Power of Attorney documents were put into place.  The doctor’s Malpractice Provider was changed for significant savings.  A Buy/Sell Agreement was placed in the medical practice to create liquidity in the event of the physician’s passing.  Umbrella insurance amounts were greatly increased to protect against loss of assets in the event of a settlement against them.  A Life Gifting Strategy was placed to take full advantage of the gift and estate tax laws.

The Seasons of the Economy Advantage™ class gave this couple renewed confidence in their investments and future outlook.  After The Wealth Strategies Group had consolidated and reallocated their assets they no longer felt a need to venture into a small business outside of medicine.  They especially liked that they could monitor the financial progress 24/7 through the use of our web based Account View program.

Result:

Because of the tools, techniques and systems designed through the use of The Wealth Planning Strategy™ our new clients felt a tremendous sense of direction, capability and confidence.