Financial advisers delight in repeating
the old canard that physicians are the most financially
inept professionals around. Considering 35% of readers
reported in last year's NRM Survey of Medical
Practice that their net worth is over $1 million, inept
is working quite nicely for you.
But MDs could do better. In fact,
you must. In the current volatile market, the timid
could easily be devoured. At press time, a sense of
growing panic hangs over the Toronto Stock Exchange
after a 500-point plummet in a single hour. The Bank
of Canada's "credit crunch" bailout announcement the
week before was meant to calm everyone down, but only
made people more nervous. With money markets feeling
the freeze and banks likely to get very stingy about
lending, there's no better time for you to get smarter
with the money you've got.
In this issue we bring you a six-page
Personal Finance special section to help you do just
that (see pages 12 to 17). Articles explore investing
in Canada, the perils of RESPs and the tax benefits
of incorporating. We also look at how to hire the right
accountant and offer tips for young MDs to keep the
debt collectors at bay. Lastly, we address physicians'
biggest financial concern: saving for retirement, in
a straightforward article with advice you can use today.
Today's doctor faces a dizzying
array of pay arrangements -- capitation, blended models,
incentives and even the looming possibility of working
in both the public and private health sector. The opportunity
to incorporate has brought tax advantages, but it's
also made your return more complicated. With fully a
quarter of you planning to take down your shingle before
you hit 65, keeping a firm hand on your pocketbook now
will ensure you beat the crunch.
|
