Arkansas Diamond Deferred Compensation Plan.
As a doc in Arkansas who sees Medicaid patients,I just found out today that I am eligible for this ADDITIONAL tax-advantaged space. Gotta get my employer on board!! Also .. This money is NOT subject to creditors should hospital go under.
Anybody have experience with this plan? Especially as an employed physician....not private practice.
From the website:
What is deferred compensation?
As a Medicaid provider, you are an independent contractor of the state of Arkansas and are eligible to defer a portion of your Medicaid income on a pre-tax basis. By making contributions to the State of Arkansas Diamond Deferred Compensation 457(b) Plan, commonly referred to as the Arkansas Diamond Plan, you can include Medicaid as an element of your retirement planning.
The annual dollar limit is $17,000 for calendar year 2012 and later. If you are age 50 or older, the annual dollar limit is $22,500 for calendar year 2012 and later. This deferral is in addition to any contributions made on your behalf to a qualified retirement plan established by your group or individual practice such as a 401 (k) plan, a profit sharing plan, a money purchase pension plan or a defined benefit plan. The Arkansas Diamond Plan includes a special pre-retirement catch-up provision which allows deferrals for three consecutive years equal to twice the dollar limit. The Arkansas Diamond Plan also offers a ROTH option. Participants can utilize both options during the year if they wish, but their total contribution cannot exceed their respective calendar year limit.
Read responses in bogleheads.org