Many therapists struggle with the complexities of managing their private practice, especially when it comes to financial planning, but understanding these elements is essential.

Enter Ryan DeRousseau, a CERTIFIED FINANCIAL PLANNER™ specializing in the unique needs of therapists and small business owners. 

In this Office Hours episode, host Michael Fulwiler jumps into key topics with Ryan, from the benefits of solo 401(k)s and SEP IRAs to the importance of building a support team of professionals. 

They also discuss common financial pitfalls therapists face and practical strategies for mitigating them. Plus, Ryan covers investment frameworks, types of retirement accounts, and how to incorporate retirement savings as a fixed expense within your budget.

In the conversation, they discuss:

• The benefits and differences between various retirement accounts such as solo 401(k)s, SEP IRAs, and Roth IRAs, and how they can reduce your overall tax bill
• The importance of having a professional team, including accountants and certified financial planners, to support the financial health of therapists and small business owners
• The significance of starting retirement savings early to avoid common pitfalls such as unpredictable income and the risk of working in retirement due to lack of funds

Resources:

• The Everything Guide to Investing in Crypto Currency: https://www.amazon.com/Everything-Guide-Investing-Cryptocurrency-Everything%C2%AE-ebook/dp/B07GNTLHZN/
• Learn how to turn income into wealth: https://thinkingcapfinancial.com/selfemploymentincometowealth/
• How to save for retirement as a therapist: https://www.joinheard.com/articles/how-to-save-for-retirement-as-a-therapist
• The complete guide to financial planning for therapists: https://www.joinheard.com/articles/the-complete-guide-to-financial-planning-for-therapists
• Webinar: Financial planning for therapists: https://www.joinheard.com/events/financial-planning-for-therapists-with-ryan-derousseau

Connect with the guest:

• Ryan on Linkedin: https://www.linkedin.com/in/ryanderousseau/
• Ryan’s website: https://www.ryanderousseau.com/
• Thinking Cap Financial: https://thinkingcapfinancial.com/ryan-derousseau/

Connect with Michael and Heard:

• Michael’s LinkedIn: https://www.linkedin.com/in/michaelfulwiler/
• Newsletter: https://www.joinheard.com/newsletter 
• Book a free consult: https://www.joinheard.com/welcome-form 

Jump into the conversation:

[00:00] Introduction to Heard Business School with guest, Ryan Derousseau

[01:54] What a CFP is and their role

[03:50] The importance of a CPA or CFP when it comes to owning a business

[05:19] Ryan’s business model and how he works with clients

[06:57] Common financial challenges Ryan see’s when working with therapists

[09:09] Why therapists need to save for retirement

[13:37] The skull, the brain, and the neurons when it comes to investing

[15:54] How a 401K works

[20:03] What a Roth 401K is and how the Roth is different

[22:38] What the SEP IRA is

[26:29] The range of risk when it comes to investing in retirement

[30:30] The issue of taking money out of retirement early

[34:01] The difference between a Simple IRA and Traditional IRA

[37:15] All about Capital Gains

[37:52] The most powerful tool in retirement tax savings

[40:52] Common mistakes Ryan see’s therapists make

[42:48] The impact of compound interest

[44:26] Other common forms of investing Ryan teaches therapists

[46:06] How Ryan how helps clients navigate this process of investing into their business

[48:23] The difference between income and wealth

[51:27] Ryan’s free ebook about turning income into wealth

[52:26] Closing

This episode is to be used for informational purposes only and does not constitute legal, business, or tax advice. Each person should consult their own attorney, business advisor, or tax advisor with respect to matters referenced in this episode.