Medical coverage, survivor benefits, disability insurance, profit-sharing schemes, burial allowances and pension plans are some of the benefits that retired veterinarians enjoy. However, there are no standard retirement packages for veterinary professionals. Instead, benefits tend to vary with the type of practice and the nature of the contract. Self-employed veterinarians must plan for their own future.Know More
Generally, those who work for large organizations such as research institutions and major corporations enjoy more extensive retirement benefits than their counterparts in private practice. Veterinarians should consider a variety of factors when planning for their retirements. These include income, life expectancy, expected cost of the retirement lifestyle, inflation and the number of dependents the retiree may have to support. Veterinarians should also factor in the cost of debt obligations such as loans and credit card debt.
Most vets fund their retirement using Individual Retirement Accounts and 401(k) accounts, according to a 2006 Veterinary Economics Industry Issues Study. Others sell their practices and live off the cash, an approach that is financially risky. This is because the value of a practice may be reduced in line with the productivity of its owner. To guard against this risk, vets can diversify their portfolios by investing in stocks, money market funds, bonds and other instruments. Salaried veterinarians should discuss the establishment of retirement funds with their employers. These funds are often tax-sheltered and can benefit both employee and employer.Learn more about Financial Planning
A Fidelity 401K rollover to an IRA allows individuals to maintain the tax-deferred status of their retirement plans while consolidating their retirement assets into one easy-to-manage account. Traditional IRA rollover management centers around stocks, bonds, FDIC-insured CDs, ETFs and mutual fund investments. The U.S. federal government prohibits IRAs from holding collectibles, real estate, currencies and life insurance.Full Answer >
There are three popular retirement plans for self-employed people: the SEP-IRA, SIMPLE IRA and solo 401(k) plans. These plans differ according to the rules governing them, and the right plan depends on how much an individual wants to contribute and whether the concerned individual has, or plans to have, employees.Full Answer >
Deferred compensation, or the deferring of taxes on income until it’s withdrawn, can refer to pensions, stock options and retirement plans. Qualifying plans that allow for deferral of taxes must comply with the Employee Retirement Income Security Act of 1974. Other types of deferred compensation are typically taxed when earned.Full Answer >
The average compensation for a pastor in a Southern Baptist church is about $57,000, including housing allowances but not benefits such as insurance or retirement payments. This is the mean, and salaries vary by the location, size and wealth of the church among many other factors.Full Answer >