Physician Retention Program

Manitoba is a great place for physicians to practice. Whether they are home-grown or have landed here from elsewhere, we value our physicians and want them to stay here in our province.

Our Doctors Manitoba Physician Retention Program was developed to encourage retention and to continue to incentivize and recognize those physicians who have provided long service in the care of Manitobans. 

Provincial funding of this program has grown to $10 million annually, through our negotiations with Manitoba Health. These funds are administered by Doctors Manitoba with over $55 million paid out to Manitoba’s physicians. 

In general, physicians who earn income either directly or indirectly from Manitoba Health are eligible for a bonus payment once every five consecutive years, for up to 30 years of active, continuous practice in Manitoba. 

  • All physicians in active practice are eligible for the same potential benefit. 
  • The actual amount received by each physician is dependent on their total years of service and income earned.
  • The type of practice and geographic location of practice are not factors in determining a physician’s eligibility or benefit level.

Program Details

How does it work?

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:

Share Class Consecutive Years of Manitoba Practice
A 1st — 5th
B 6th — 10th
C 11th — 15th
D 16th — 20th
E 21st — 25th
F 26th — 30th
How much is it worth?

The current share values are:

Share Class Relative Value Projected Value of Shares per Year
A 1.0 $3,000
B 1.2 $3,600
C 1.4 $4,200
D 1.6 $4,800


F A $6,000

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

What If you leave the province?

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.

What if you take a temporary break?

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).

When do benefits start accumulating?

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.
When is your first payout?

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.

Are there any exceptions?

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.

What are the Tax Reporting Requirements?

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.

Direct Deposit

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.

Last updated
April 22, 2021

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