MDNews - San Antonio

++++++++++++++++ + +++ + BANKING U +++ ++++++++++++++++ Keep an Accurate Pulse on Your Retirement Savings By Josh Collins AS P H YS I C I A N S K N OW, people are living longer than generations past, and therefore will need more money for retirement. Unfortunately, most Americans have not increased their retirement savings accordingly. A study completed by BlackRock, Inc. in 2012 estimated there is a $6.6 trillion dollar gap in the amount people should be saving for retirement and the amount they are actually saving. Now more than ever, it's essential for professionals of all ages to actively plan for retirement. Regardless of where you are in your medical career, you can take steps to get on the right track for retirement and help ensure your financial stability in the future. Set Definitive Goals You can't begin to save effectively for retirement until you know how much you will need. Consider the following questions to help you estimate how much to save and to establish your retirement goals: + How much are your monthly expenses? + At what age do you want to retire? + Do you plan to travel? + Are there other large purchases, like a second vacation home, you know you want to make? + Do you have an emergency savings fund? Don't Wait to Get Started Physicians begin their careers later than most professionals and are not able to start saving for retirement until their 30s. Don't let challenges like a smaller 10 | San Antonio MD NEWS I MDNEWS.COM salary, student loans and high monthly expenses further delay your retirement planning. Even if you can afford to put aside only a small percentage of your income at first, it could add up to significant savings in the future. Engage Your Financial Advisors Early With so many account choices available and tax implications and personal needs to consider, retirement planning can quickly become a complex process. Work with your bank and financial advisor to create a savings plan based on your age, income and retirement goals. These resources can educate you about various account options and recommend the right solutions to meet your needs. Participate in Your Employee Plan Participate in the retirement plan offered at your medical practice or hospital and maximize your contributions to that plan, if possible. This will provide income tax savings and help you build financial security. If you are a partner in a practice and do not currently offer an employee plan, consider doing so now. A retirement plan is a great recruitment tool for physicians and staff. Several retirement plans are available, and your bank or financial advisor can help determine which plan is the best strategy for your practice. Don't Rely on One Savings Vehicle Traditional retirement accounts have contribution limits, so many physicians choose to supplement their employee plans with additional savings strategies. There are a variety of routes to consider depending on your needs — from traditional savings accounts that are readily accessible to more complex investment options that can provide a favorable tax strategy. Stay Organized and Continue to Re-evaluate Maintain accurate records of your retirement plan documents and stay organized. Keep track of how your investment accounts are doing and don't hesitate to re-evaluate your approach every few years. Even if you already have a plan for retirement in place, your strategies and priorities will continue to evolve throughout the stages of your career. Remember, no matter how much you are able to save now, it's important to put a plan in place and stay focused on growing your funds over time. By keeping an accurate pulse on your savings, you can help ensure you will have what you need to enjoy your retirement years. Josh Collins is a Vice President, Senior Advisor in Private Client Investments for Amegy Bank of Texas in San Antonio. He partners with other professionals as the investments specialist on Amegy's Healthcare Banking team, collaborating to provide physicians with personalized solutions and comprehensive service. The health care team specializes in meeting and anticipating the needs of doctors, corporate executives, professionals, entrepreneurs, business owners, wealthy individuals and families who expect and deserve excellence and seek personalized relationship banking. For more information, please contact Collins at (210) 343-4555, email joshua.collins@amegybank.com or visit www.amegyhealthcare.com. I

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