“This research presents a call to action for physicians,” asserts Dr. Henry Kaplan, Chairman of the Department of Ophthalmology and Visual Sciences and Evans Professor of Ophthalmology, University of Louisville
New York, NY (PRWEB) January 17, 2013
January 17, 2013 will be the first time co-founders of The Abernathy Group II Family Office, Steven Abernathy and Brian Luster, address The Louisville Academy of Ophthalmology to present their multi-year study commissioned as a service to the medical profession.
In it they discovered patterns and approaching trends in the healthcare system that will greatly affect how physicians manage both their futures and their practices.
“This research presents a call to action for physicians,” asserts Dr. Henry Kaplan, Chairman of the Department of Ophthalmology and Visual Sciences and Evans Professor of Ophthalmology, University of Louisville.
The study revealed several fascinating trends:
- 50% of physicians nearing retirement age have postponed it. Why? Medical practices are worth substantially less; a retiring physician cannot transfer his or her managed care contracts and this depresses the sale price. Competitors have little financial incentive to purchase the practice of a retiring physician in their community as they will naturally inherit the customers. And hospitals are choosing to pay through performance incentives rather than an upfront premium.
- Doctors are working longer hours and have increased risk of making mistakes. Physicians see more patients and perform more procedures in order to generate the same amount of income. The greater the number of patients seen, and more procedures performed, the greater the chances of making mistakes. This means medical risks are up and insurance costs more.
- Despite a high monthly income, doctors seldom create and preserve generational wealth. If a physician earning $350,000 saves just 25% of his or her annual income, by 60 years of age, there should be over $7 million saved for retirement. However, this is rarely the case!
“Family Offices may be the greatest wealth management system you’ve have never heard of,” says Steven Abernathy, Chairman and co-founder of the Abernathy Group II Family Office,
“People who are familiar with the term “family office” often misunderstand what it is, or, believe it’s only available to the ultra-rich. Today, that’s simply not the case. We’ve made it our mission to provide unbiased guidance—this research clearly underscored the needs of our physician clients.”
“Sadly, our study underscored what we’ve seen among our members and colleagues,” asserts Brian Luster, co-founder of The Abernathy Group II Family Office, physicians’ advocate, and author. “Without planning, or, leaving asset management to people who are not working together, a doctor’s wealth could diminish dramatically—simply because not everyone is on the same page.”
If physicians take no action around how they are managing their wealth at present, it is highly likely that the value of their wealth and practice will either vastly diminish or not survive. Evolution is inevitable; how physicians practice medicine, serve their patients, and run their practices must evolve to accommodate the new medical “marketplace.”
About the Company:
Steven Abernathy and Brian Luster co-founded the country's first Physician Family Office (PFO). The Abernathy Group II Family Office sells no products, receives no commissions, and is independent, employee-owned, and governed by its Advisory Board comprised entirely of thought-leading professionals. They are regular contributors to several publications and blogs including The Huffington Post.