Medical Practice Management
Dec 30

Consider treating each new employment agreement individually

When you finally land the right physician after months of searching, don’t fall into the trap of using the same employment agreement your attorney drafted "three physicians ago." As we call know, laws and economic circumstances change, and even though you think a minor change you make to the old contract won’t matter, you’re better off leaving legal wording to the experts.

Even if you choose to draft the employment agreement yourself (based on previous agreements) to save money, always hire legal counsel to review the final agreement you’ll present to your new doctor.

Here is a real life perfect example: A recent client tried to draft their own employment contract and proceeded to add great detail about their compensation plan – innocently hoping to impress the newly hired physician with a guarantee of an excellent benefits package. Instead, they locked themselves into an employment agreement that would have to be completely renegotiated every time the practice changes its benefit plan.

About Reed Tinsley, CPA

As a top advisor to physicians, I help increase practice profits by delivering hands-on, expert medical accounting/tax support, practice counsel, and revenue-building strategies. Read more →