Practice Management

  • 1.  401k match and profit sharing eligibility

    Posted 07-19-2024 14:20

    Does your group/MSO offer immediate eligibility for 401k, 401k match and profit sharing? If not what terms? What is your vesting schedule? 



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    Lisa Woelfel
    CEO
    Bay Medical Management, LLC
    Walnut Creek CA
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    DeepHealth May25 Post


  • 2.  RE: 401k match and profit sharing eligibility

    Posted 07-19-2024 14:37

    Yes, eligible and 100% vested from day one.  That's largely because the majority of our participants are physician shareholders.

    Dave



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    David Smith FACMPE
    Executive Director
    United Imaging Consultants
    Mission KS
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    Original Message
    DeepHealth May25 Post


  • 3.  RE: 401k match and profit sharing eligibility

    Posted 07-20-2024 00:36
    Can participate immediately in the retirement plan by self contribution, but still require a vesting schedule for profit sharing/corporate contribution over 5 years. Healthy balance, not giving away the farm on day 1. Recruits aren’t put off by this.

    Best,

    Anthony Dispenziere

    Sent from my iPhone


    Original Message
    DeepHealth May25 Post


  • 4.  RE: 401k match and profit sharing eligibility

    Posted 07-20-2024 12:04

    No.   401k self-deferral after 90 days. 

    Profit sharing 100% vest after 2 years.



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    Beth Williams MHA, FACMPE, FRBMA
    Executive Director
    Vantage Radiology and Diagnostic Services
    Federal Way WA
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    Original Message
    DeepHealth May25 Post


  • 5.  RE: 401k match and profit sharing eligibility

    Posted 07-20-2024 18:43

    I've seen different retirement vesting schedule lengths at different groups, but I'd say the most common I've observed is a 5 year graduated vesting schedule. I don't see any significant downside to allowing employees to self-contribute on day 1. I suppose waiting 90 days would allow for folks to settle in to ensure that you don't experience any immediate U-turn departures, but I haven't experienced any trouble from day 1 participation. The company isn't putting up any $ immediately, and you could force anyone below a $7k retirement plan balance out of your plan, which no one will likely hit within 90 days anyway.



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    Anthony Dispenziere
    CEO
    Reno Radiological Associates
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    Original Message
    DeepHealth May25 Post


  • 6.  RE: 401k match and profit sharing eligibility

    Posted 07-22-2024 10:10

    Our Plan allows access for 401k after 90 days.  Safe Harbor employer contributions eligible after 90 days.  Profit sharing eligibility is 1 year with a Vesting schedule 0-1 years 0%, 2 years 20%, 3 years 40%, 4 years 60%, 5 years 80%, 6+ years 100%.

     

    Thank you,

     

    Kevin Ordway, Executive Director

     




    Original Message
    DeepHealth May25 Post


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