Americans Aren't Prepared for Retirement - MSDC Can Help Your Practice May 1, 2023

A new report by financial company Fidelity and reported by Axios shows the majority of Americans are unprepared for retirement.

This is an especially important issue to physicians and physician practices, as physicians tend to be "high net worth" individuals. This means physicians tend to make more, but have more financial needs in retirement.But MSDC has a solution.

According to the Fidelity:

• 401k accounts in the U.S. lost 23% of their value on average in 2022
• 55% of those between the ages of 18 and 25 have put retirement planning on hold
• Almost half the workforce works for a company not offering a retirement program

What about physicians? According to the AMA, one in five physicians say they will leave their current practice within two years (as of 2022), with more seeking to reduce their hours. For many, this can only be a reality with solid retirement savings and a plan.

At the April Board meeting, the Board of Directors approved working with Asset Strategy Consultants to create a pooled employer plan, or PEP. This plan, coupled with individual financial information, will allow physicians and their practices in DC to participate in a robust retirement planning option that may not be available to them otherwise. This is especially the case for small or mid-sized practices.

The PEP will be available this fall, but keep an eye out for more information in the coming weeks on how it can assist your financial planning.