Tax Planning

Tax planning is the analysis of planned financial situations or transactions from a tax perspective. The purpose of tax planning is to ensure tax efficiency, with the elements of the financial plan working together in a tax-efficient manner. Planning is the key to successfully and legally reducing your tax liability. Proactively using tax-saving strategies to ensure tax efficiency can maximize your after-tax income, especially when projecting into retirement. Tax planning and tax preparation are integrated into our Investment Management and Financial Planning processes, distinguishing Retirement Extender® and the Retirement Extender® Method from other financial planning and investment management service providers. Our methods are based on over 30 tax seasons of experience.

When preparing an investment strategy, the team creates a multi-year tax plan for you that utilizes a tax efficient order of distribution to minimize tax liabilities. The team recommends taxable accounts, tax deferred accounts and tax-free accounts to help manage taxes at the time of projected distributions. We utilize periodic Roth conversions where appropriate to minimize the impact of future Required Minimum Distribution (RMD) obligations, providing more flexibility in your choice of where to draw income. We may also utilize low, long-term capital gains to reduce income or harvest gains for years where income is low enough to take advantage of the tax rules.

How comfortable are you that you have evaluated every possible tax savings in your business and personal tax return?