MD is there with us on the journey and they do help us each step of the way.
Dr. Judy Chow, Family Physician
Dr. David Burt, Family Physician
MD is there with us on the journey and they do help us each step of the way.
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MD Advisor

Why is tax complicated for physicians?

What types of strategies do we recommend?

We can help you decide whether to incorporate or not. And if you are incorporated, we can help you make critical decisions—such as how much salary to draw from your corporation, at an average top marginal tax rate of 45%, versus how much to leave in the corporation, where the tax rate is typically about 15%.

Another strategy is income splitting. If you have family members with a lower income than yours, you may be able to share some of your income with them and put your whole family in a lower tax bracket.

How can physicians implement these strategies?

We help our clients work with an accountant and a lawyer when needed to set up the right tax strategies. We then back up these strategies with world-class investment advice. Our clients have entrusted us with more than $38 billion in total assets under administration.

What’s our advice for physicians?

Take some time to speak with an MD Advisor. An hour spent talking to us about your tax and financial planning could help set you up for a lifetime of greater prosperity.

Four times more physicians trust MD.1

1 Fifty-three per cent of Canadian Medical Association members trusted MD Financial Management as their primary financial services firm, four times more than the next closest individual competitor at twelve percent. Survey respondents (MD clients and non-MD clients) were also asked to identify their primary financial institution (MD or Other), and rate their level of trust associated with that institution. MD received the highest trust rating compared with all other firms rated. Source: MD Financial Management Loyalty Survey. June 2014.

Tax rates shown are based on an average across all provinces.

Incorporation guidance is limited to asset allocation and integrating corporate entities into financial plans and wealth strategies. MD Financial Management does not intend to provide taxation, accounting, legal or similar professional advice to clients or potential clients. The information contained in this document is not intended to offer such advice, nor is it intended to replace the advice of independent tax, accounting or legal professionals.

The information and strategies presented here may not be suitable for U.S. persons (citizens, residents or green card holders) or situations involving U.S. persons. Any tax-related information is based on benefits under the Income Tax Act (Canada) for Canadian residents. MD Financial Management does not provide U.S.-licensed taxation, accounting or legal advice or similar professional advice. The information provided is not intended to offer such advice, nor is it intended to replace the advice of independent tax, accounting or legal professionals. Employees of MD Financial Management are not authorized to make any determination of a client’s U.S. status or filing obligations.