The Physician’s Portfolio

The Physician’s Portfolio

By Affluens360BusinessInvestingManagement
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The Physician’s Portfolio episodes

  • Debt Recycling for Doctors: Worth the Risk?

    Most doctors have years of equity sitting in their home loan and never restructure it. Debt recycling turns that non deductible mortgage into tax deductible investment debt, but it isn't for everyone. Property adviser Felix Taing and Affluens360 Managing Director Abraham Aguilan unpack how it works, what falling markets, rising rates and a fellowship year can do to it, the cash flow of a $500,000 worked example, and the three mistakes that undo it. A lending and wealth strategy conversation that answers one question: is it right for you?

    Key Takeaways
    • Debt Recycling Is a Swap, Not a Windfall: You borrow to buy income producing assets, so the interest becomes deductible while your home loan interest never was. Investing cash straight from your offset account doesn't do this, and it quietly raises the interest on your home loan.
    • Start With What the Money Is For: Before the tax benefit, decide what you need this income to do for your family and your future. A strategy that suits a colleague may not suit your cash flow, your commitments or your comfort with uncertainty.
    • Your Career Shapes the Risk: The real danger is a perfect storm: markets fall, rates rise and income dips for a fellowship or parental leave at the same time. Being forced to sell then can leave you owing more than you started with.
    • Expect the Early Years to Cost You: In Abe's $500,000 example, at 6.2% interest and a 47% marginal rate with steady returns assumed, year one finishes about $2,000 out of pocket after tax and turns positive around year five. A falling market only becomes a real loss when you sell, so your time horizon is the strategy.
    • The Same Logic Works for Property: Recycled equity can fund a deposit on a residential or commercial investment property. Felix is seeing commercial assets suit some clients, where a strong net yield can cover the loan.
    • Set It Up Right From Day One: Split the loans, keep investment and personal accounts separate, don't redraw until the money is going into an income producing asset, and keep documentation your accountant can follow. Get your accountant, planner and broker in the same room before you start.
      • Notable Quotes
      1. "So just because you hear it doesn't mean it's right for you." — Abe Aguilan
      2. "Selling at the wrong time is the worst thing you can do because you're probably going to end up with bigger debt than what you had actually started with." — Abe Aguilan
      3. "Again, it just comes back to, is it the right decision for you? And not just doing it for the sake of tax." — Abe Aguilan
      4. "If there is no loan there is no debt to recycle." — Abe Aguilan
      5. "And I think that's the importance of the right documentation, but also having the right structure from day one where the loans are completely split." — Felix Taing
      6. "How much time do you have and have we got the time to ride the waves of the market and longevity of our investments?" — Abe Aguilan
        7. 21 min
      7. Family Trust Tax: What Doctors Must Check

        The May Budget's 30% minimum tax on discretionary trusts starts on 1 July 2028, and for doctors running a family trust with a bucket company, the maths is about to change. Felix Taing sits down with Mohan Sathyanarayana, Head of Tax and Business Advisory at Affluens360, to unpack why these structures worked so well, who loses under the new rules, and why bucket companies take the biggest hit. It's a tax conversation built around preparation, not panic, and it lands on one question: what does your trust deed actually allow?

         

        Key Takeaways

        • Prepare Now, Don't Panic: The rules are still being finalised, so there's breathing room, but the clock is running. Use the time to get your structure reviewed instead of rushing to your accountant at the deadline.
        • Trustee Discretion Was the Whole Point: A family trust let the trustee decide at 30 June who received the income, so earnings could go to family members on lower rates and the surplus to a bucket company taxed at 25 to 30%. That flexibility is exactly what the new tax targets.
        • Bucket Companies Take the Biggest Hit: From 1 July 2028 the trust pays 30% before it distributes. Individuals get a credit for that tax, although anyone on a rate below 30% can't recover the difference. A bucket company gets no credit at all.
        • Read Your Trust Deed First: Most deeds sit in a safe and never get read. Before you restructure, or ask AI how to, have your accountant confirm what your deed allows, who it names as beneficiaries and who controls the trust.
        • Build Every Entity With an Exit in Mind: Structures exist for asset protection and income flow as much as tax. Know which entity holds what, and whether you could close one business without unwinding the rest and handing over capital gains you didn't need to pay.
        • Confusion Is Your Trigger: If you can't explain your own structure, or your adviser's explanation doesn't make sense, it's time for a review. Know what each entity is worth, and have the conversation with your accountant when the rules land.

          •  

          Notable Quotes

          1. "I think we need to be a rocket scientist, especially the changes that the budget has come in." — Mohan Sathyanarayana
          2. "The discretion was up to the trustee to make that discretion call at the 30th of June. So that's the reason it was very, very famous with the accounting community." — Mohan Sathyanarayana
          3. "What I've seen with a lot of clients, we give them a trust deed with 40 pages or 60 pages. They just lock it in a safe place and never look at it, right?" — Mohan Sathyanarayana
          4. "Having the right advice and not just setting up a company just because someone said, okay, you should do that for tax benefits." — Felix Taing
          5. "What I see is structuring is not tax minimization." — Mohan Sathyanarayana
          6. "If you don't understand it or the advisor who is explaining it to you doesn't make any sense, it's time to change." — Mohan Sathyanarayana
            7. 22 min
          7. Late Career Doctors - Asset Rich, Cash Poor (The Doctor's Trap)

            You're earning well, the practice is busy and the assets are stacking up. So why can't you answer the one question that matters: what would you keep if you stopped working tomorrow?

            Felix Taing and Abraham Aguilan work through the late career reality for practice owners. Succession that starts a decade early, partnership agreements that survive a partner leaving, and the liquidity trap that leaves doctors asset rich and cash poor.

            Plus the line Abraham uses with every client: you can't sell the oven to pay for tomorrow's breakfast.


            Key Takeaways:

            • Ask The Question A Decade Early: What would you keep if you stopped working tomorrow? Most practice owners meet that question in their sixties, by which point the answer is largely already decided. Asked at peak earning, it is still a question you can change the answer to.
            • Succession Is A Today Task: Winding back cannot begin when you are ready to leave. Culture, knowledge and the right partners take years to hand over, so the work starts while you are still building.
            • Settle How Partners Get Paid On Day One: Governance is the piece most partnerships defer, and the piece that decides how badly things go if a partner leaves, stops working, or dies. Planning for that event early is what stops it forcing a sale.
            • Asset Rich And Cash Poor Is The Default, Not A Mistake: Three investment properties, a family home paid off and a growing super balance can still leave almost nothing you could actually spend next month. It is the predictable result of two decades of sensible decisions made one at a time, with nobody asking what the portfolio is meant to produce when you stop.
            • Count Every Income Source, Not Just Property: The business and what it is worth, super and an SMSF, a family trust, a bucket company, commercial property, and the practice premises itself. Each one needs its own liquidity, and a property portfolio on its own is not an income plan.
            • Your Experts Have To Talk To Each Other: A broker approving what a planner never modelled is how a family ends up selling an asset at the wrong time. Specialisation matters, and alignment across the team matters more.

              • Notable Quotes:

              1. "You can't sell the oven to pay for tomorrow's breakfast." — Abraham Aguilan
              2. "How much would you like to retire on? I have no clue. No clue." — Abraham Aguilan
              3. "So feeling great, but that's all you've got. There's no liquid assets, no shares, maybe a little bit of savings in the offset account." — Abraham Aguilan
              4. "We've seen business divorces and we've seen them where they go well and when they don't." — Abraham Aguilan
              5. "I do find in a physician's career line they don't start planning early enough." — Felix Taing
              6. "And if it's at that stage where it's still heavily negative geared, hey, we need to rethink that strategy." — Felix Taing

                7.  

                17 min
              7. Mid Career Doctors: Wealth Structures That Hold

                The self managed super fund borrowing rules changed on 10 August 2026, and for established consultants building an asset base, that's only half the story. Felix Taing and Abraham Aguilan work through what mid career actually demands: the entity structures that protect what you've built, the income protection fine print that quietly excludes your specialty, and the property play that turns one title into two. Wealth management for doctors who are earning well and assuming that's enough. The question they close on is the one worth sitting with.

                Key Takeaways:
                • Effective asset protection strategies are paramount for mid-career professionals, emphasising the need for comprehensive insurance coverage.
                • A proactive approach to managing superannuation contributions, especially in light of regulatory changes affecting residential borrowing within self-managed super funds, can make a significant difference.
                • Diversifying assets through strategic property investments requires a thoughtful consideration of current market regulations and personal financial goals.
                • Building and maintaining a lucrative practice involves assessing readiness to bring in partners and associates to ensure continuity and growth.
                • As medical professionals approach peak earning stages, the focus shifts to sustaining income through passive revenue channels and strategic business expansions.
                  • Notable Quotes:
                  1. "At this stage of your career, you've actually got a bit more to play with and can be more creative with your investments." - Felix Taing
                  2. "Having the right structures is critical, setting the foundational work in terms of tax and asset protection." - Abe Aguilan
                  3. "It's about manufacturing wealth with what you already have." - Felix Taing
                  4. "If I'm at my peak earning years, can I take a step back and just let my business generate income?" - Abe Aguilan
                  5. "We should never look at a property asset in isolation; it's always viewed more holistically." - Felix Taing
                    6. 23 min
                  6. Doctor Home Loans: No LMI. Your $20k Headstart

                    Most doctors get their first surplus in their early thirties and spend it on a holiday or a car. Felix Taing and Abraham Aguilan make the case for treating it as deposit capital instead, starting with the lending advantage almost no other profession holds: LMI waived by most major lenders at up to 95% LVR, worth ten to twenty thousand dollars on day one. They cover what to buy, where, and in whose name. Then the question that reorders everything. Are you building an asset, or chasing a deduction?

                     

                    Key Takeaways:
                    • Medical professionals can benefit from waived Lenders Mortgage Insurance (LMI), saving them significant sums on property investments.
                    • Early-career doctors should focus on investment properties over personal residence to avoid overcapitalizing and ensure better growth.
                    • As one's career progresses, utilizing strategic asset structuring can optimize tax benefits and boost financial growth.
                    • Diversification of investments, including real estate and superannuation, is crucial in a long-term financial plan for medical professionals.
                    • Each financial decision should be tailored according to individual circumstances, avoiding a one-size-fits-all approach.
                      • Notable Quotes:
                      1. "Doctors can get LMI waived by most major lenders… sometimes even up to 95%. No LMI, and I think that's maybe one of, if not the biggest lever that a medical professional has up their sleeve." – Abe Aguilan
                      2. "Are we buying assets to grow wealth, or are we trying to get a tax deduction?" – Felix Taing
                      3. "In my view, there's no better time to buy than today." – B
                      4. "We're very in tune with, hey, we want to build assets through property, tax is a consequence of actually investing in property." – Felix Taing
                      5. "Every individual's different… there's a diversity of the world that we live in… your team of advisers around you should understand that." – Felix Taing
                        6. 21 min
                      6. Your Accountant Looks Back. Your Adviser Looks Forward.

                        Earning well is one thing. Keeping what you earn is another. Felix Taing and Abraham Aguilan explore why most medical professionals have their finances spread across specialists who never speak to each other, and what changes when they finally share a room. They trace the gap from first principles through real cases, including a radiologist earning $700,000 who could not get a home loan, and land on a clear prescription: who you need on your advisory team, and when you need them, from second year registrar to established specialist.

                        Key Takeaways:
                        • Having both an accountant and a financial planner collaborate can bridge the gap between past financial management and future wealth planning.
                        • The synergy between different financial advisors can optimize investment strategies, tax minimization, and wealth protection.
                        • Specific case studies illustrate the importance of specialized advice in effectively managing large income streams and navigating complex tax structures.
                        • Education bonds can serve as a tax-efficient investment for long-term education funding, minimizing the impact of future educational expenses on one's financial portfolio.
                        • For medical professionals, building a robust support team akin to a medical practice setup can ensure their personal financial goals are systematically addressed and achieved.
                          • Notable Quotes:
                          1. "An accountant is there to help you minimize tax—they're looking in the past. Whereas an advisor is very forward-looking." - Abraham Aguilan
                          2. "The financial professionals who build real long-term wealth are not the ones with the best individual advisors but those whose advisors work together." - Felix Taing
                          3. "An education bond allows you to invest money and potentially pay zero capital gains tax after 10 years—a powerful investment tool." - Abraham Aguilan
                          4. "Your life doesn't revolve around just tax returns or super funds; it needs a holistic approach." - Abraham Aguilan
                          5. "The client must always be at the center, with advisors aligning goals towards their prospects." - Felix Taing
                            6. Resources:
                            • Affluens Wealth Advisory Services: https://affluens360.com.au/
                              • 31 min
                            • SMSF Borrowing Ban: A Doctor's Next Move

                              From 10 August 2026, self managed super funds can no longer borrow to buy residential property. For medical professionals with an SMSF, or weighing one up, that raises a sharper question: why run one at all. Felix Taing and senior financial planner Aaron Phuong walk through what still works, from commercial property and becoming your own landlord to unlisted investments and the tax edge super holds over your own name. This Wealth Management episode reframes a rule change as a prompt. The door has narrowed. The opportunity has not. Here is where doctors go next.

                               

                              Key Takeaways:
                              • Changes in SMSF regulations now prohibit borrowing for residential properties, effective from August 10, 2023.
                              • Commercial property remains unaffected by these changes, presenting a strategic alternative for SMSF investors.
                              • Diversification in SMSFs can include investments in unlisted companies and investment trusts, offering broader control and unique opportunities.
                              • The tax advantages of SMSFs, such as a maximum tax rate of 15% and 10% on long-term capital gains, are compelling compared to traditional property investments.
                              • Professional advice is vital for setting up an SMSF, ensuring compliance and maximising financial potential through strategic planning.
                                • Notable Quotes:
                                1. "You become your own landlord in the business, even though the business itself doesn't own the property." - Aaron Phuong
                                2. "You can actually use your super to buy that commercial premises." - Aaron Phuong
                                3. "A lot of people do rule out the potential to step in a self-managed fund because their balances may not be quite there." - Felix Taing
                                4. "You need the right advice behind you so that you're stuck with a quality asset when you do transition." - Felix Taing
                                5. "The superannuation legislation that governs how an SMSF, what they need to do to remain compliant, that has to be strictly followed." - Aaron Phuong
                                  6. Resources:
                                  • Affluens Wealth Advisory Services: https://affluens360.com.au/
                                    • 14 min
                                  • Wealth Traps Every Doctor Falls Into Without Knowing

                                    Half a million dollars a year sounds like financial freedom. For most Australian doctors, it isn't. Lifestyle creep, a misunderstood tax bracket, and advisers who aren't in the same room quietly erode what should be serious wealth. Felix Taing and Abraham Aguilan break down the traps keeping high income medical professionals earning hard and building little: the real cost of $500K after tax and mortgage, why most wealth structures are set up in the wrong order, and three things you can do today to start pulling ahead.

                                    Key Takeaways:
                                    • Lifestyle Creep Danger: Even high-income earners can struggle financially due to lifestyle inflation, emphasizing the need for early and disciplined financial planning.
                                    • Good vs. Bad Debt: Understanding the characteristics of debt can help medical professionals leverage it to their advantage for investments and tax deductions.
                                    • Tax Planning: Awareness and management of tax obligations are crucial to avoid unexpected debts and to maintain financial stability.
                                    • Building a Professional Financial Team: Like a surgical team, having accountants, financial advisors, and mortgage brokers on the same page is essential for targeted and effective wealth management.
                                    • Education and Investment Strategies: Utilizing instruments like education bonds and understanding the importance of the liquidity and timeline of investments can significantly impact financial outcomes.
                                      • Notable Quotes:
                                      • "Lifestyle creep is where your income might increase, but expenses just catch up every year." – Abraham Aguilan
                                      • "A doctor earning 500,000, but spending 450k, is worse off than someone earning 150,000, spending 100k." – Abraham Aguilan
                                      • "Pay yourself in assets first. Buy an asset that produces income, then use what's left for your lifestyle." – Abraham Aguilan
                                      • "The reality today is that even with half a million dollars, it's not easy to live the lifestyle you want." – Abraham Aguilan
                                      • "Having a team of accountants, brokers, advisors, and buyer's agents ensures that your goal is their objective." – Abraham Aguilan
                                        • Resources:
                                        • Affluens Wealth Advisory Services: https://affluens360.com.au/

                                          •  

                                          36 min
                                        • July Is the New December - FY Reset for Doctors

                                          July is the financial year reset most doctors miss entirely.

                                          Wealth adviser Abraham Aguilan and buyer's agent Felix Taing break down what the first 90 days really demands: reviewing income structures, super contribution strategies including a $100,000 catch up opportunity most practice owners never knew existed, insurance cover checks, and why your accountant and mortgage broker need to be in the same room before you chase the year's big acquisition.

                                          The question they leave you with will change how you think about every July that follows.

                                          Key Takeaways:
                                          • Align Finances with Fiscal Year: July marks an optimal time to set financial goals, enabling a proactive approach throughout the year.
                                          • Understand Different Income Structures: Medical professionals often have complex income structures that need tailored tax strategies.
                                          • Strategic Super Contributions: Taking advantage of concessional and catch-up contributions can significantly affect tax and retirement savings.
                                          • Insurance Reviews are Vital: Regular reviews of income protection insurance ensure coverage aligns with income levels and professional risk.
                                          • Team Alignment is Key: Having a robust financial team aligned on goals makes a tangible difference in achieving financial objectives.
                                            • Notable Quotes:
                                            1. "Why not have a revelation in July, rather than a resolution, to plan your finances well for success?" - Felix Taing
                                            2. "The first 90 days in the start of the financial year is the most critical time to be planning." - Abraham Aguilan
                                            3. "Review your income at the start, sitting with your accountant, your advisor, and your lender to make sure that we're all aligned on what those plans are." - Abraham Aguilan
                                            4. "It's about every adviser having their own agenda and aligning those with your goals." - Abraham Aguilan
                                              5. Resources:
                                              • Affluens360: Explore more about financial planning and wealth management services.

                                                • The information shared on this podcast is general in nature and does not constitute personal financial, tax, legal, or investment advice. It has not been prepared with your individual objectives, financial situation, or needs in mind. Before acting on anything you hear, we recommend seeking advice from a qualified professional who can assess your specific circumstances. Affluens360 Wealth Management Pty Ltd is an authorised representative of Advisory Circle Pty Ltd (AFSL No. 513052). For more information, visit affluens360.com.au.

                                                 

                                                 

                                                22 min
                                              • TRAILER - The Physician's Portfolio

                                                You've spent years becoming exceptional at what you do. But when did you last sit down and ask: is my money working as hard as you are?

                                                The Physician's Portfolio is the podcast built for Australian medical professionals who are done leaving wealth on the table. Each episode brings together financial planners, tax accountants, mortgage brokers, and buyers' agents — one integrated conversation that most high-income earners never actually get.

                                                Built for doctors who are:

                                                • Earning above the top income bracket but not yet in control of where it goes
                                                • Time-poor, finance-aware, and ready for strategy that keeps up with them
                                                • Asking the questions a single adviser in a single discipline can't fully answer

                                                  • What we cover:

                                                  Wealth management. Tax and business strategy. Lending. Property.

                                                  No surface-level tips. No single-discipline thinking. Just the kind of integrated advice that treats your financial life as one interconnected system — because it is.

                                                  Hosted by Abraham Aguilan, Wealth Adviser and Managing Director, and Felix Taing, Property Adviser and Buyers' Agent.

                                                  Available from 2nd July on all podcast platforms

                                                   

                                                  The information shared on this podcast is general in nature and does not constitute personal financial, tax, legal, or investment advice. It has not been prepared with your individual objectives, financial situation, or needs in mind. Before acting on anything you hear, we recommend seeking advice from a qualified professional who can assess your specific circumstances. Affluens360 Wealth Management Pty Ltd is an authorised representative of Advisory Circle Pty Ltd (AFSL No. 513052). For more information, visit affluens360.com.au.

                                                  2 min

                                                About The Physician’s Portfolio

                                                From the publisher's feed

                                                The Physician's Portfolio is where Australia's top-earning medical professionals come to think clearly about wealth.