🏥 Medical Industry

Retirement Plan Mandate for
Doctors, Dentists & Medical Practices

State mandates hit medical offices like any other employer. From solo physicians to multi-provider group practices — here's what you need to know.

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State Retirement Mandates for Medical Practices

State retirement mandates apply to medical offices, dental practices, veterinary clinics, physical therapy offices, and other healthcare employers based on employee count:

Solo physicians with zero W-2 employees are typically exempt. Practices with even one administrative employee must evaluate their compliance obligations.

Solo 401(k): The Best Option for Self-Employed Physicians

If you're a self-employed doctor or dentist with no full-time employees, a Solo 401(k) is the most powerful retirement vehicle available:

Group Practice (5-50 Employees): 401(k) or SIMPLE IRA?

For medical groups with multiple employees, the choice comes down to administrative complexity vs. contribution limits:

SIMPLE IRA: Lower admin burden, mandatory employer match, good for practices with 5-15 employees.

401(k): Higher limits, more flexibility, profit-sharing options — best for practices with 10+ employees where physician-owners want to maximize personal retirement savings.

Both plans qualify for SECURE 2.0 credits — up to $5,000/year × 3 years in startup costs + $1,000/employee/year contribution credits.

Defined Benefit Plans for High-Income Physicians

If your medical practice is highly profitable, a defined benefit pension plan can allow contributions of $200,000-$300,000+ per year for physician-owners. Combined with SECURE 2.0 credits and tax deductions, this is the most powerful tax-reduction strategy available to high-income medical professionals.

All defined benefit plans qualify as exemptions from state retirement mandates.

Free 15-Minute Compliance Audit

Find out exactly what your state mandate means for your business — and whether a private plan saves you more money.

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