Let’s really crank up those numbers for you—skip the regrets and get your ducks in a tight little row. Here’s what you absolutely should know about contracts, asset protection, estate docs, and all the “boring grown-up” stuff that actually keeps your wealth safe.

A special thank you to our friend, Kyle Claussen, CEO of Resolve, who joined us for this episode. Resolve — Use the code “PhysicianCents10” for 10% off! 

 

Why Reviewing Your Contract Is Absolutely Mandatory

Your first contract isn’t just a stack of paper; it’s your financial life jacket. Physician contracts often run into the $1 million range over just three years. That’s not Monopoly money. This contract will decide your pay, your hours, your sanity, your vacation days—basically everything that makes your work tolerable or miserable.

You wouldn’t sign away a million bucks on a handshake or because “it looked fine!” You want every “gotcha” clause, every trap, every single detail under the microscope. One overlooked line could mean less pay, a giant clawback, or a nasty restriction on your next move.

Bottom line: that contract shapes your paychecks, your options, and your freedom.

Why You Can’t Just Read Your Own Contract or Ask Your Cousin

Sure, you’re smart. Your friends are smart. Your cousin who argues parking tickets is, technically, an attorney. But physician contracts are a different beast. Here’s what most DIY reviews miss:

• Subtle clauses that aren’t “normal” for your field
• Non-compete traps specific to healthcare
• Sneaky compensation language that tanks your bonus
• Obligations for malpractice tail coverage nobody warned you about
• Scheduling tricks—“one weekend a month” turns into “see you every Saturday”

You’re just not going to spot these unless you review hundreds or thousands of these things.

What a Good Physician Contract Attorney Really Does

Hiring an expert in physician contracts is like running your contract past someone who has watched every episode of bad loopholes and ugly surprises on Netflix. These attorneys have seen more unique contracts than you have unread medical journals. They know what providers usually offer, which terms are flexible, and where the bodies are buried.

• They notice weird payout formulas
• They flag sneaky weekend expectations
• They point out non-competes that could tank your career

Honestly, the couple of grand you pay for the review is peanuts if it keeps you from losing out on $60,000 per year!

How Employers React When You Get Legal Help

Now, let’s talk about the big elephant: Does your boss get angry when you say, “I want an attorney to check this?” Sometimes, a few private practices or giant systems may huff and puff. That’s a red flag. If they’ve got nothing to hide, they’ll be encouraged to see you protect yourself.

Some systems even advise you to have your contract reviewed by a professional. Take that as a good sign—they don’t mind honest scrutiny because there’s nothing lurking in the shadows.

If anyone throws a fit? Trust radar blasting.

The “Standard” Physician Contract Is a Myth

Every employer talks about “standard contracts.” Every. Single. One. But here’s what really happens: almost every deal gets tweaked. Maybe it’s base pay, call schedules, perhaps a mileage bonus, or a softened non-compete.

1. Salary and bonus math
2. Call requirements
3. Termination and exit language
4. Non-compete boundaries

If all your asks get shot down with “it’s standard,” ask yourself—is this really the right fit, or are you just candidate number 27?

What a Contract Attorney Actually Costs (And Why It’s Worth It)

Scared of attorney fees? Let’s break it down. There are two ways attorneys charge:

• Hourly: $300 to $1,000+ per hour (yes, you read that right)
• Flat/project fee: Usually $1,000 to $2,000

Flat fee is easier for your budgeting brain and way less heartburn. Now, compared to the million-dollar contract on your desk, that’s not bad. Seriously—saving yourself from a $60,000 mistake or a non-compete that pins you down? That’s a bargain.

Why Your First Contract Is the Most Important One

Think of your first contract like the breakfast of champions—or the breakfast that sets you up for stomachaches all day. It sets your salary growth, helps determine your promotion track, and incorporates crucial details like academic rank and benefits. Miss the mark here, and you might sleepwalk through three years, losing out on tens of thousands each year.

Don’t skip negotiating your first contract. You never get a second shot at your “new doc” leverage.

The Three Big Contract Buckets: What to Watch

Let’s break it down into buckets. Think about these when reading any contract:

Job Scope & Scheduling

• Where do I work?
• How many weekends/calls do I take?
• Four days a week—or more?

Compensation

• Salary and bonus formulas
• How often do I get a raise?
• Are bonuses real or magically impossible?

Legal Terms

• Non-competes: How far, how long, and how many specialties?
• Exit clauses: What happens if either side wants out?
• Malpractice insurance and side gig clauses

Ready for some self-assessment? Here’s your checklist:

• Am I clear on where, when, and what I’ll be doing?
• Is the pay competitive for my specialty?
• Can I work elsewhere if this goes sour—without moving states?
• What happens if I’m let go or want to leave?

Non-Competes: The Sneaky Chains You Didn’t Expect

Ah, the non-compete. Sounds innocent—until you realize you can’t practice in your zip code for 24 months. State laws are wildly different here. Sometimes you can negotiate carve-outs (like research or academic gigs). Sometimes you can buy out. But don’t count on changes in the law (hello, FTC news cycle) to save you; lock in something that works for you now.

Academic Contracts and Actually Getting Research Time

Do you want to break new medical ground, or just churn out RVUs? Academic contracts sometimes promise research time (maybe 40% clinical, 10% admin, 50% research—you get the idea). If that’s in writing, you’ve got real leverage if you’re not getting it. Otherwise, you’re stuck. Spell out protected research time—or you’ll find yourself running clinics while your research dreams collect dust.

Example: One doc’s contract at the University of Miami broke down hours by type, so missing research time was a breach. That gives you bargaining power (or a clean escape) if things go sideways.

Tail Coverage: The Malpractice Safety Net You Can’t Skip

Let’s keep it easy: There are two big malpractice insurance types.

• Occurrence-based: You’re covered long-term, no worries.
• Claims-made: You lose coverage the day you leave unless you buy “tail coverage.” That thing can run from $10,000 to over $100,000, especially if you’re in higher-risk fields like OB.

Forget tail and get sued after switching jobs? Zero coverage and you could lose more than your license.

Tail Coverage Checklist:

• Do I have claims-made or occurrence-based coverage?
• Who pays for tail? (hint: push for your employer)
• How long does coverage last after I leave?

Top 4 Contract Tips for Physicians at Any Stage

1. Know what “normal” is for your specialty and region.
2. Never negotiate with just one offer—always keep options open.
3. Look for red flags—any employer hiding contract details isn’t your friend.
4. Negotiate in good faith, but walk if you need to.

Asset Protection Basics: Your Easy First Step

Don’t overthink it. If you’re starting out, keep things super straightforward with these steps:

• Pay down high-interest debt
• Max your employer retirement plans (creditor protected)
• Make sure your home has homestead protections (varies by state)
• Add umbrella insurance over your liability limits

That’s most of the heavy lifting for young docs—even if “asset protection” sounds like something for tech moguls.

Upping Your Asset Protection Game as You Grow

Start stacking up seven-figure investable assets or real estate? Now you might think about more advanced moves—LLCs, family limited partnerships, or even trusts. Just know: Every time you put up a wall to block creditors, you usually lose a bit of flexibility for yourself. And not everyone wants that, especially in the early days.

Some docs stick with simple, some get fancy—depends on how big a target you think you are.

State Laws and Why the Details Matter

What works in Florida probably won’t pass muster in Pennsylvania. Homestead exemptions, creditor protection in retirement accounts, even if that fancy life insurance policy does what you think—these all depend on where you live and how your accounts are titled.

Check state rules. Seriously—don’t trust that what your friend did in another state will work for you.

Estate Planning: Don’t Wait ‘Til You’re Ancient

Guess what? Estate documents aren’t just for retirees and billionaires. Here’s what you actually need to think about:

• Will: Decides who gets your stuff, who takes care of your kids
• Living Will: Your wishes if you can’t make decisions
• Power of Attorney: Who pays your bills or makes health choices if you can’t
• Revocable Trust: Optional, helps skip probate

Set these up before you buy a minivan. Parents, singles, couples—it doesn’t matter.

What Estate Planning Costs You (and Why It’s No Big Deal)

You’ve heard horror stories about lawyers charging $10k. In reality, most packages cost between $1,000 and $2,500 for all basics—will, living will, power of attorney, and possibly a simple trust if needed. That’s less than some folks pay for their phone every year. It’s not a reason to put it off.

Wills vs. Revocable Trusts—What’s the Real Difference?

Wills are straightforward—until someone has to drag your estate through probate. Some states, like Florida, have gnarlier, longer public court processes. Enter the revocable trust: This neat tool keeps your affairs private and makes asset transfer a lot cleaner, skipping probate entirely.

Wills:

• Easy to set up
• Goes through probate

Revocable Trusts:

• More up-front work (and cost)
• No probate, smoother transition for heirs

No, Your Revocable Trust Isn’t Asset Protection

It’s a feel-good myth—having a revocable trust makes you bulletproof, right? Wrong. You still control it, you still benefit. Creditors can pierce right through, just like with anything in your name. Real asset protection involves irrevocable trusts or complicated legal tools, not the garden-variety trust your lawyer set up for probate.

Remember: Revocable trusts are not a form of asset protection.

Planning for Future Kids in Estate Docs

Scared you’ll need to redo everything once your toddler army multiplies? Most good estate docs include “future children” as a class, so everyone’s covered—even the ones not here yet. If you have specific names, they can be listed, but you don’t have to redo papers for every new addition.

What Every New Physician Should Tackle in Year One

Here’s your new job checklist (and yes, even if your hair is still wet from graduation):

• Have your contract reviewed by a true physician expert (not your cousin!)
• Get easy asset protection in place: insurance, proper titling
• Lock in a basic estate plan: will, living will, power of attorney

Rinse and repeat every few years as your life gets busier (and your wealth grows).

Why You Want Legal and Financial Pros Working Together

Think of your financial team like your medical team—no weak links. Your attorney protects your assets, while an advisor helps them grow. Meanwhile, an accountant minimizes taxes owed to Uncle Sam. That whole puzzle keeps your stress low and your wealth high.

Wrapping Up: Make Boring Stuff Your Superpower

Listen, I know none of this sounds as fun as your first big paycheck or landing the dream job in sunny Florida. But this is the stuff that lets you keep the freedom, flexibility, and wealth you’ve worked so hard for.

Don’t wait until there’s a problem (or a lawsuit, or an angry HR call) to get your house in order. Every new physician can—and should—set up these protections out of the gate. Your future self will thank you.

Thank you again to our friend, Kyle Claussen, CEO of Resolve, who joined us for this episode. Resolve — Use the code “PhysicianCents10” for 10% off!

 

Let’s keep you winning!