Medical Professional Divorce Checklist: Physician Compensation & Practice Edition

Physician Compensation Documentation

Critical - Do This Immediately

Gather all employment contracts and compensation addenda

Why: Physician contracts are often multi-component with varying payment timelines

Tip: Include base salary, RVU bonuses, quality metrics, and call pay schedules

Document partnership or shareholder status in medical group

Why: Partnership buy-ins and capital accounts are significant marital assets

Tip: Review operating agreement for valuation and buyout provisions

List all deferred compensation arrangements

Why: Physician retirement plans often exceed standard 401(k) limits

Tip: Include 457(b), defined benefit pensions, and SERP arrangements

Calculate value of malpractice tail coverage

Why: If employed on claims-made policy, tail coverage liability affects negotiations

Tip: Tail coverage can cost 200-300% of annual premium

Document CME allowances and professional development funds

Why: These perks have monetary value affecting income analysis

Tip: Include conference travel, journal subscriptions, society memberships

Track call schedule and extra shift compensation

Why: Irregular physician income requires careful averaging

Tip: At least 3 years of pay stubs show true income patterns

Medical Practice Valuation

If You Own Practice Equity

Compile practice financial statements (3-5 years)

Why: Practice value depends on sustainable earnings, not just revenue

Tip: Include accounts receivable aging and collection rates

Document all payer contracts and reimbursement rates

Why: Contract mix affects practice value significantly

Tip: Medicare vs. commercial payer mix impacts future earnings

Separate personal goodwill from enterprise goodwill

Why: Personal goodwill (your reputation) may be non-marital in Illinois

Tip: Document patient loyalty to you personally vs. the practice

List all equipment and leasehold improvements

Why: Tangible assets are easier to value than goodwill

Tip: Recent equipment purchases may still have significant value

Review any pending practice sale or merger discussions

Why: Known transaction value supersedes theoretical valuation

Tip: LOIs and term sheets become discoverable

Document any non-compete agreements

Why: Non-competes affect your ability to practice post-divorce

Tip: Geographic and temporal restrictions impact earning capacity

Academic & Research Positions

For Academic Medical Center Physicians

Document academic appointment terms and tenure status

Why: Tenure provides job security that affects support calculations

Tip: Include clinical vs. research effort allocation

List all grant funding (NIH, foundation, industry)

Why: Grant-funded salary portions may be time-limited

Tip: Note grant end dates and renewal probabilities

Document publication record and H-index

Why: Academic reputation affects future earning potential

Tip: Google Scholar profile provides quick citation metrics

Inventory any patents or IP from research

Why: Inventions during marriage may generate future royalties

Tip: University tech transfer offices track these

Track consulting and speaking income

Why: Outside income supplements academic salary significantly

Tip: Sunshine Act disclosures reveal industry payments

Document any administrative supplements (chief, director roles)

Why: Administrative stipends may end with position changes

Tip: These are often at-will appointments

Lifestyle & High-Value Assets

Document the Streeterville Lifestyle

Inventory luxury condo with all upgrades documented

Why: Streeterville high-rises require specialized appraisal

Tip: Views, floor level, and unit layout significantly affect value

Document all vehicles including specialty and collector cars

Why: Physician households often have multiple high-value vehicles

Tip: Lease vs. own affects division approach

List vacation properties and timeshares

Why: Second homes and fractional ownership require separate valuation

Tip: Document who uses properties and pays expenses

Inventory jewelry, watches, and luxury goods

Why: High earners accumulate significant personal property value

Tip: Video walkthrough with open safes and closets

Document country club and social memberships

Why: Golf club memberships can be worth $50K-$200K+

Tip: Initiation fees and waitlists affect transferability

Privacy & Professional Reputation

Protect Your Medical License

Secure personal email and communication channels

Why: HIPAA concerns make work communications particularly sensitive

Tip: Use personal devices for attorney communications

Document any medical board or hospital privilege issues

Why: License problems affect earning capacity analysis

Tip: Be honest with your attorney about any pending issues

Review social media for anything professionally damaging

Why: Social media can affect custody and credibility

Tip: Consider privacy settings or temporary deactivation

Secure patient records and maintain HIPAA compliance

Why: Using patient records improperly creates separate liability

Tip: Your divorce attorney should never see patient information

Consider reputation management for public-facing physicians

Why: Divorce filings are public record in Cook County

Tip: Seal motions for sensitive matters when appropriate

Professional Team Assembly

Early Stage

Find attorney experienced with physician divorces

Why: Medical compensation structures require specialized knowledge

Tip: Ask about experience with RVU-based compensation and practice valuation

Identify healthcare industry business valuator

Why: Medical practice valuation differs from standard business valuation

Tip: CVA designation with healthcare experience is ideal

Consider vocational expert if spouse claims career sacrifice

Why: Medical spouse careers often take backseat; this affects maintenance

Tip: Expert can analyze spouse's earning potential

Line up therapist familiar with physician stress

Why: Physicians face unique pressures around professional identity

Tip: Physician-specific mental health resources available through medical societies

Consider wealth manager for post-divorce financial planning

Why: High-income divorce requires immediate tax and investment planning

Tip: CFP with experience with professionals transitioning finances

Medical Professional Divorce Checklist