The right advice makes all the difference when Planning Your Retirement.
Reaching retirement should be a time of celebration. Giving up the daily routine of long workdays can give you the freedom to pursue your dreams.
A successful, stress-free retirement is something achieved by having a financial plan and a detailed budget that is made early in your career and evolves throughout your life.
If you are getting close to retirement, or have just recently retired, there is a long list of business, personal and financial details that you need to address—it can be a bit daunting and maybe a bit stressful.
But there are resources available. One of the valuable benefits of membership in your dental association is that you have exclusive access to a professional team of advisors at CDSPI Advisory Services Inc. who understand dentists and are there to provide stress-free, expert advice especially when it comes to planning a comfortable retirement. They can answer your questions, give you advice and work with you to create a retirement income plan that targets your goals - so you can retire confidently and comfortably.
Growing and Preserving your Wealth through Uncertain Times
Especially in the face of an ever-changing environment it is natural to be worried about world events and how the markets will react. For clients nearing retirement, this is especially daunting as market corrections put added pressure on retirement savings. Add to this, these clients are likely at the pinnacle of their savings wealth and their time horizon is shorter. Market fluctuations are common but significant events like wars, pandemics, and social unrest can lead to a perfect storm for financial anxiety. And, as we know, heightened emotion is counter-productive to making sound investment decisions.
It is crucial, especially as one transitions from a growth-oriented portfolio to a retirement income generating portfolio, to obtain the guidance and neutrality of an experienced advisor as well as the support of a comprehensive financial plan to help navigate uncertainty and the confluence of moving parts that can make or break a successful retirement.
Remember that the market cycle is called a “cycle” because the market doesn’t go straight up. The natural order of markets is to move steadily higher over time with shorter term ebbs and flows along the way. And when they ebb, it is always accompanied by dramatic headlines. It’s also worth noting that the commentators and pundits that we hear from in the media are not incentivized to be right, but rather to be heard. They are all about emotion which is counter-productive to making sound investment decisions.
What About Government Benefits?
Speak to your CDSPI Investment Advisor about whether it’s better to take a reduced CPP/QPP as early as age 60 or deferring payments for a higher benefit later. You might also consider applying for CPP/QPP sharing with a lower income spouse to reduce your tax burden.
Surrendering Your License?
If you are getting close to retirement, or have just recently retired, there are many details that you need to address, including the decision to surrender your license.
Maybe, like many dentists you’re considering a more gradual process to ease into retirement and your plan is to work part time for a bit.
Whatever you choose the Advisors at CDSPI Advisory Services Inc. can help you understand your malpractice policy and explain how your coverage adapts to your plans. One of the most important things on your “to do list” is to contact CDSPI before you retire so your policy can be adjusted to ensure your malpractice coverage continues after you retire.
There are two scenarios to consider:
1) You retire and surrender your license.
When you officially surrender your license, you also need to notify CDSPI.
- With CDSPI Malpractice Insurance in force at the time of your retirement, you are eligible for non-practicing status coverage. You will continue to be covered against potential claims from incidents that occurred while you were practicing. The coverage even helps protect your estate should a claim be resolved after you die.*
- The CDSPI Excess Malpractice Insurance extended reporting period provides ongoing coverage for dentists against claims from incidents that occurred while you were practicing — at no additional premium. If you retire and you have surrendered your license, you are eligible for a premium-free, extended reporting period, which will be effective as of the date you are no longer licensed.*
In both cases, you will pay no premium for this coverage, and your coverage limits and deductible will be the same as prior to surrendering your license.*
2) You retire but maintain your license.
In this case, you still need to purchase malpractice insurance for as long as you hold your license, even if you are not practicing.
We're Here to Help
If you’re approaching retirement or already retired, your financial priorities are changing. Sound insurance and investment advice is critical. Whether you’re looking at succession planning, improving cash flow or retiring early, having the support and individualized services of an Advisor from CDSPI Advisory Services is invaluable. CDSPI is a not-for-profit financial services organization that is solely focused on supporting the dental community.
CDSPI Malpractice Insurance and CDSPI Excess Malpractice Insurance is underwritten by Zurich Insurance Company Ltd (Canadian Branch).
CDSPI Malpractice Insurance is offered in all provinces and territories except Alberta, Ontario and Quebec. CDSPI Excess Malpractice Insurance is offered to dentists licensed to practice in the provinces of Alberta or Ontario, who are a member of their provincial dental association and have their primary mandatory malpractice insurance directly from their provincial regulatory body.
*Disclaimer: The general information contained herein, including coverage information, is a summary and is offered as a matter of information only. A full description of coverage and eligibility, including exclusions, restrictions and limitations can be found in the Policy Terms and Conditions governing each plan. The general information provided does not amend, alter or supersede in any way the Policy Terms and Conditions governing each plan.