ACP Physicians’ Financial Preparedness
Positioned for a Secure Retirement.
95% of Retired Internists Confident in Nest Egg.
Preparing for retirement can be a daunting task. But when tackled early and done right, it can really pay off.
But don’t just take our word for it. More than 400 retired internists between their 60s and 90s shared their experiences, opinions, and retirement financial details in an anonymous, in-depth national survey fielded by the American College of Physicians (ACP) in March 2021.*
According to a recent report, retired internal medicine physicians are enjoying a rewarding retirement after a career in medicine.
Ninety-five percent say they’re confident their savings will last through retirement.
When evaluating retired internists’ preparedness for retirement, the study also found that:
- Fifty-six percent have more than $3 million in their retirement portfolio.
- Ninety percent feel knowledgeable about personal finance matters.
- Most own their own home; one-third own a second home.
- More than 90% have an updated will and other directives in place.
Among other findings, 73% work with a personal financial advisor to help with retirement financial decisions, and most say they are satisfied with their current advisor. About 15% of retired internists prefer to handle their personal finances themselves, often relying on their attorney and accountant, as well as online educational resources.
Retired physicians also tended to work later in life, with many practicing well past age 70 and even into their early 80s. Those years saving for a retirement nest egg pay off.
Twenty-eight percent of retired physicians have more than $5 million in their current retirement portfolio.
Unlike younger physicians today who start saving for retirement during residency, retired physicians didn’t start saving for retirement until post-training, when qualified plans such as 401(k) and 403(b) were introduced in the workplace to help Americans save for retirement.
It’s never too early to start planning for retirement. 2020 has demonstrated that it’s critical for physicians to have a plan in place to protect their financial future, especially in times of uncertainty.
To help physicians prepare for retirement and forge the path to financial freedom, the ACP Member Insurance Program has published the full 2021 ACP Physicians’ Financial Preparedness Report for ACP members. The study is part of an ongoing effort to provide members with personal financial education, expert advice, and relevant benchmarks to assist in their quest for a secure retirement.
*Survey respondents were 86% male and 16% female, which is representative of the gender split in medical school and among practicing physicians whose careers began in the 1970s and 1980s.
Source: ACP Internal Medicine Physicians’ Financial Preparedness Survey conducted March to May 2021. N=431; 95% confidence; +/- 6% margin of error.