When is the right time to hang up your stethoscope for the very last time? Most of us have asked ourselves this question at some point during our careers: Will I be one of those last gaspers willing to die with my boots on, or do I bow out early enough to attempt a successful last chapter? Unfortunately, many of us do not think we have much choice. The economics of our industry are such that most drug reps and corporate middlemen are in a better financial position to retire comfortably than we are … but it does not have to be that way. You always have a choice, even if it means “retiring” from your clinical duties to a less physically and emotionally demanding brand of veterinary work or engaging your brain elsewhere as you learn to make a decade or two of savings and investments last for the balance of your “retired” life. How it used to be In decades past, veterinarians retired after selling their practices, often electing to work part-time their last decade while remaining employed as the resident “old timer” at the practice they founded or purchased (typically when fresh out of vet school). Afterward, they would live their fully retired lives on their practice sale income, savings, and other myriad investments they accumulated. Our veterinary forebearers enjoyed a professional economic culture in which saving was discussed, encouraged, and, most importantly, a real possibility. They had often put aside as much as 10 to 20 percent of their paychecks, starting as early as their first baby-vet bank deposit, learning to use traditional financial instruments along the way to help manage their wealth and plan appropriately for their retirements. Wealth? What wealth? However, most of those who graduated during the 21st century will still be paying off student loan debt well into their third decade of work. Saving and investing early on is not exactly doable, much less something we discuss among ourselves. The result is that when most millennials cross the line from debt to wealth, they might be too close to retirement to become facile with the tools others use lifelong to manage their money and plan their retirements. On the plus side of modern veterinary life, the increase in corporate employment bakes a certain amount of savings into the cake. If your company’s 401K grants you the ability to save and applies matching funds to sweeten the deal, you would be daft to miss out on the opportunity to get started, no matter your age or degree of indebtedness. Unfortunately, the math does not tend to work out well enough to grant the average heavily indebted veterinarian an opportunity to retire comfortably, much less early. Unfortunately, those who retire ahead of schedule tend to need it least. Practice owners who bought or started practices before the corporate bidding wars began are the most obvious beneficiaries of today’s veterinary economics. They are today’s early retirees, but they should not be. We need to expand the field to those who can put their professional and personal skills to better use by hanging up their stethoscopes a decade in advance. Why retire “early”? I used to think retiring early meant lots of travel and endless time to bake, read books, and accomplish animal-related chores. If only! Now that I’m well into my fifties (and just finished paying off my loans!) I’m realizing I will still have to earn an income to maintain my standard of living and do the things I have always wanted to—no matter when I decide to retire. However, retiring “early” is still on the menu. After all, being a veterinary practitioner—no matter the species—is physically exhausting and potentially perilous for those no longer in their prime. I learned this truth after watching several older veterinarians continue to practice well into their eighth decade. While they all had the brain power and stamina to match their strong will to continue to practice, they did not exactly do it very safely. One accumulated more bites in his last year in practice than throughout his preceding fifty-some odd. Another fell suddenly during a medium-long surgical procedure. Still, another would work for a week only to have to take the next week off after “overdoing” it. It was enlightening (if not depressing). This is a more physical profession than most of us like to tell ourselves it is. Hence, why I have vowed to retire “early.” I would rather not expend my energy on “work” when I still have enough to devote to all the “play” I have deferred. But when is the right time? When considering the ideal retirement age, I think somewhere in our fifties would be just about perfect for the typical veterinarian. Most of us will still have 10 very active years left beyond this stage. Moreover, we will still possess the mental agility needed to acquire the new skills our “new chapter” may require. The cognitive demands of novel skill development bode well for any brain, much less one starting to sputter a bit. Here’s where you say, “I’d never earn as much doing anything else.” you would probably be right. However, do you really need to earn as much at this point? Like me, you might also be loath to leave the profession. It is your psychological home and a big part of your identity, after all. But you don’t need to be a clinician to be a veterinarian, right? This industry supports veterinarians in a multitude of roles. Surely, there is one you would be willing to try on for size. Ideally, you would be better able to accomplish part-time or even from home. Back to the money thing OK, so the financial bit is still a serious sticking point. Many of us do not think we will ever be able to retire, even in a limited capacity, but what is the alternative? Working ‘till you die? In many ways, that is the most muttonheaded option of all (unless practicing is the one thing that unequivocally makes you happiest). Not only will you miss out on turning the page and exploring something new, but it may not be the smartest financial option, either—not when you consider that most people become most financially literate during retirement. Plus, would it not be a boon to get on that train a decade sooner? Patty Khuly, VMD, MBA, owns a small animal practice in Miami, Fla. and is available at drpattykhuly.com. Columnists’ opinions do not necessarily reflect those of Veterinary Practice News.
