For physicians and dentists
A late start, a high income, and not much time to get the structure right.
A hospital-employed physician can defer $24,500 into a 403(b) and another $24,500 into a 457(b) in 2026, because the two limits are separate. Training delays the saving years and compresses the earning years. We build the structure that lets a high income do its work.
The situation
Training ended late. The saving started later.
Many physicians begin saving in earnest in their mid-thirties, a decade after peers in other fields. The income that follows is high, but the years to compound it are fewer, and student loans, a practice, or a young family often arrive in the same stretch.
The benefits are unusually layered: a 403(b), a 457(b), perhaps a practice 401(k), a disability policy bought during residency, and loans with their own forgiveness rules. Each has a separate limit and its own fine print, and the time to study them competes with clinic.
We map the pieces once, set the order, and keep it current so you do not have to.
Why it’s complex
Five places the structure matters most
The compressed timeline
Starting at 35 instead of 25 raises the savings rate the plan requires. A first-pass target multiplies the spending the portfolio must cover by 25.
Read the guideTwo plans, two limits
The 457(b) limit sits apart from the 403(b) limit, so both can be funded in the same year. Catch-ups rise to $11,250 at ages 60 through 63.
Read the guideThe backdoor and its clocks
Roth dollars above the income limits arrive by conversion, and every conversion starts its own five-year clock. An old residency rollover IRA triggers the pro-rata rule.
Read the guideLeaving an employer early
Separating in or after the year you turn 55 lets that plan’s withdrawals skip the 10% penalty, and governmental 457(b) money has a broader exception. A rollover can forfeit both.
Read the guideThe practice sale
Rollover equity, earn-outs, and how the price is split between goodwill and equipment all change what you keep. We model it years before a buyer calls.
Read the guideSources: IRS, 2026 retirement plan limits (IR-2025-111); IRS Notice 2025-67; IRS, 2026 inflation-adjusted HSA limits.
Our approach
Built around the clinic calendar
We start with the plan documents, the practice structure, the loans, and the coverage. Then we set a contribution order and a protection review that run without adding to your week.
Set the contribution order
The 403(b) to the match, the 457(b) where the employer is financially strong, then the backdoor Roth once any rollover IRA has moved into the employer plan. A non-governmental 457(b) stays exposed to the employer’s creditors until paid (IRC §457(b)(6)), so we weigh that first.
Test a cash balance plan
A defined benefit layer on top of the 401(k) can shelter far more in the peak years. It needs an actuary, steady funding, and contributions for eligible staff, so we test the census and cash flow with a third-party administrator and your CPA.
Review protection, not products
Own-occupation disability definitions, umbrella liability, and account titling are reviewed together. Employer plans carry federal creditor protection under ERISA; IRA protection varies by state. We sell no insurance.
Structure the exit
Goodwill allocation, rollover equity, and earn-outs are modeled early, so the practice is shaped for the buyer you want and the income plan for afterward is already drawn.
The work
What you’ll work through with us
- A contribution order across 403(b), 457(b), 401(k), HSA, and practice plans
- Backdoor Roth setup, including moving a residency rollover IRA
- A cash balance plan feasibility review with a third-party administrator
- Own-occupation disability and liability coverage review, with no product sales
- Student loan strategy: forgiveness paths, refinancing, and repayment plans
- An HSA invested as a long-horizon retirement account
- Practice sale modeling: goodwill, rollover equity, and earn-outs
- Coordination with your CPA, attorney, and plan administrators
Planning for physicians at the firm is led by Theo Halbardier, CFP®, CIMA®, CAIA®, the firm’s founder. We are fee-only: no commissions, no product sales. About Theo
Questions
Common questions from physicians and dentists
Do you sell disability or life insurance?
No. We receive no commissions on any product. We review the coverage you have, identify gaps in own-occupation disability protection and liability structure, and coordinate with an independent insurance professional and your attorney. The recommendation and the sale are separate on purpose.
Should I pay off student loans or invest?
It depends on the rate, the forgiveness path, and the employer. A physician at a qualifying nonprofit or public employer pursuing Public Service Loan Forgiveness has a different answer than one in private practice with a low fixed rate. We model both before recommending either.
Should I fund a 457(b) at all?
Often, but not automatically. A governmental 457(b) is held in trust for participants. A non-governmental plan remains the employer’s property until paid, so the decision depends on the employer’s financial strength and on the plan’s distribution options at separation.
Is a cash balance plan worth the cost for a small practice?
Often, for owners in their fifties with steady profits and few employees. The plan carries actuarial and administration costs and a funding obligation, so the decision depends on cash flow stability and the employee census. We coordinate the analysis with your CPA and a third-party administrator.
What is different about selling a practice?
The buyer, the structure, and the transition. Larger groups and private-equity-backed buyers often use rollover equity and earn-outs, and the tax treatment of goodwill versus equipment matters. We model the after-tax proceeds and the income plan that follows alongside your transaction counsel.
How are you paid?
We are fee-only. We receive nothing from insurance carriers, lenders, refinancing companies, or any buyer of a practice.
Reviewed by Theo Halbardier, CFP® · Updated September 2026 · Figures current for 2026
Tell us where you are in your career.
The first conversation is 30 minutes, scheduled around clinic. No preparation needed.
Meet with us