You’re living a comfortable life, happy, fulfilled, and prosperous. You have everything you need, a growing dental practice, family support, and professional satisfaction. Now isn’t it just blissful!
But have you ever wondered what will happen once you retire? Have you planned for your retirement? Will you be able to sustain your current lifestyle once you retire?
Retirement planning, rather financial planning in general, is a prerequisite to having a wonderful retirement. Yet, so many dentists put off financial planning until the last minute, which destroys their hard earned wealth and keeps them panicking about their retirement.
If you want to build generational wealth and retire comfortably, you need to start today. An experienced dental CPA firm like Sigma can put you on track and help you create the retirement life of your dreams.
What Do I Need To Retire Comfortably?
Stephen Covey, the author of the best-selling book The 7 Habits of Highly Effective People, says that you should always start with the end in mind. Simply put, if you need to retire at the age of 50, start planning for it from the day you join the American economy.
A dentist requires intensive planning right from the get go to ensure all the profits of the practice, along with other income and expenses, are accounted for and managed appropriately. Start by planning these things.
Why Do Real Estate Investors And Landlords Need A Real Estate CPA?
Your retirement may eliminate your travel, expensive work wardrobe, and other team building expenses, but they may also lead to higher medical costs as you age. When you retire, you may experience changes to your budget.
To account for these changes and to ensure you always have more than enough to cover your basic day-to-day expenses, you need to build a corpus of funds that are invested in safe asset classes which give out regular returns in tune with your post-retirement expenses.
So determine how much money you might need when you retire and work backward from there. If you’re not sure what formulas and calculations to use, kindly speak to one of our experienced dental CPAs in Maryland who will be more than happy to help you.
How Much Are You Saving Regularly? Is It Enough To Build The Corpus Required For Your Expenses?
A dental practice is a cash intensive business. If mismanaged, it can suck in a lot of money. Our team audits your books, understands your profits and losses, cash flow, etc., and aligns them to your long term goals to ensure your business is structured in a way that will enable you to save regularly throughout your business’s life cycle.
We then structure your finances and claim tax deductions in a way that outpaces inflation by the time you’re ready to use the money.
Do You Plan On Starting Something Once You Retire?
Many entrepreneurs can’t stay idle for a long duration. They prefer to have something that will keep them occupied. If you’re one of them, then you’ll need some seed capital for whatever new venture you would want to pursue.
In such a case, our team ensures that we start planning for it right away and start putting small sums into the “Future Startup” account that enables energetic entrepreneurs to start up whenever they feel ready again.
If traveling is something that you’d want to do once you’ve retired, then your finances can be planned in such a way that you’ll be able to afford as many international or domestic trips as you want.
Do You Have An Exit Strategy?
If you plan on eventually selling your practice before you retire, you must ensure there’s a property strategy put in place that will ensure that the burden of the tax liability doesn’t fall on your shoulders.
Many dentists don’t plan for their exit from the business and end up losing a lot of their hard-earned money towards taxes and other surprises. We’re here to ensure you aren’t caught off guard.
Dental accountants and financial coaches have a lot of similarities. Both of them enable and empower you to invest in the right assets, grow your earnings and retain more of what you rightfully make.
Speak to an experienced dental accounting firm in Maryland that has a track record of helping dentists create generational wealth today. Our Dental CPAs are happy to guide you through these dynamic business environments and take the burden of dental bookkeeping, dental accounting, financial planning, and tax management off your shoulders.
About Jigna M. Patel
Jigna possesses an extensive history of helping leaders in multiple different sectors and industries. She has made it her mission to help small businesses rapidly accelerate their growth by providing financial expertise and advice. Her experience, education, and expertise allow businesses to grow exponentially.
Book an appointment with an experienced Dental CPA in Maryland today.