A physician earns ​“shares” based on the number of consecutive program years spent in Manitoba practice. After service in five consecutive program years, a service ​“milestone” payment is made based on the shares earned during that period. The number of shares is based on a physician’s gross income (regardless of income modality) during each Retention Program year (which runs from April 1 to March 31):

• $80,000 or more — one share
• $25,000 to $79,999 — one half share
• Under $25,000 — no share, but credited with one year of service toward the requirement of five consecutive years.

There are six classes of shares, each covering a five-year milestone period as follows:

The current share values are:

Share values are set every five years. The next Fund valuation will occur in 2022.

If you choose to leave Manitoba practice before completion of a five-year milestone, you automatically lose entitlement to all shares accrued during that period. Should you later return to practice in Manitoba, shares will start accumulating as if you are in your first year of Manitoba practice. In other words, you start over from the beginning.

Temporary breaks in consecutive service are permissible for up to 12 consecutive months. The year of such a break will be counted as one of the five consecutive years needed to complete a milestone. However, no share will be earned that year (unless you earn sufficient income during the program year despite the temporary period of absence).

Physicians start accumulating credit towards the Retention Program on the day they become licensed with the College of Physicians and Surgeons.

• Each physician who earns $80,000 or more in a fiscal year (April 1 to March 31) accrues one share.
• For example, if you began practicing in Manitoba anytime between April 1 and March 31 and earned $80,000, you will accrue one Class A share as of March 31 in the year after which you became eligible for the retention program. You will continue to be eligible to accrue a Class A share for every program year that follows, until the end of your first five-year service milestone. At that point you are eligible for a payout of up to five Class A shares. Over the following five program years, you would be eligible to accrue Class B shares.

The first payment of benefits to an eligible physician occurs after the physician has accrued five shares in the program. For any given program year, payouts will typically be made in December or January following a physician reaching a milestone on March 31.

Normally, physicians are paid a benefit only upon completion of each five-year milestone. However, accrued shares will be paid in the circumstances of the death or permanent disability of a physician in active practice prior to completion of the milestone. Those who choose to retire or relocate from Manitoba before completion of a milestone will lose all accrued shares.

The T4A slip reflecting payment under the Physician Retention Program will be issued in the name of the physician, not in the name of his or her medical corporation. This is because a physician is unable to validly transfer the rights to payment under the Physician Retention Program to a corporation, and the Income Tax Act requires the payment to be taxed to the physician. 

If you have received legal/​accounting advice contrary to that which has been provided to Doctors Manitoba, there is nothing to prevent you from depositing your Physician Retention Program cheque into your corporation and reporting the payment as corporate income, regardless of the fact that your T4A slip was issued in your name rather than in the name of the corporation. However, it is imperative that you obtain a written opinion from your own tax lawyer/​accountant so that, in the event of an audit by Canada Revenue Agency, it can be established that your decision as to how to report his payment was based on professional advice. This may eliminate any potential penalty being assessed against you.

We make it easy and convenient for you to receive your benefit payments with direct deposit into your bank account. Sign up using the Direct Deposit Form.