Capital Split Dollar Plan

Project Description

When a 125 Doctor Independent Physicians Association (IPA) in California was looking for a way to assist their shareholder member physicians with retirement planning, they turned to Milestone. The IPA was interested in providing the doctor an additional deductible opportunity that would not interfere with the qualified plans that the doctors participate in their individual practices. Milestone’s solution was a specifically designed Capital Split Dollar plan (CSD) packaged and built specifically for the group IPA. CSD helps physicians save for retirement by allowing deductible contributions, tax-deferred growth, and tax free distributions without employee participation requirements.

Milestone ‘s CSD solution also included guaranteed issue lump sum excess disability coverage from Lloyds of London for the IPA members.