An Investment Consulting Group WMP will cover such areas as: Cash Flow analysis, Tax Planning strategies such as Roth IRA conversions, Tax Loss Harvesting, Social Security income, Lump Sum Pension analysis, Transfer of Wealth strategies, Long Term Care considerations, Sale of a Business, Gifting Opportunities, and more.
After implementing a WMP, we review with clients periodically to ensure that your plan continues to address your needs in the short and long term. Throughout the process, we encourage flexibility and the ability to adjust your plan as your financial situation evolves through all stages of life.
Investment Management
Our knowledge of each client’s situation allows the creation of a diversified portfolio that fits their risk tolerance and time horizon. Investment management refers to the professional practice of overseeing and optimizing an individual's or institution's investment portfolio to achieve their financial goals while managing risks and taxes. It involves a range of activities aimed at making informed investment decisions, maximizing returns, and reducing tax drag
After developing a comprehensive plan, it will help determine the direction for the investment selection for your investment portfolio — working to ensure that your portfolio adequately addresses your risk tolerance, time horizon, and liquidity needs.
Tax Planning Strategies
Taxes are inevitable and it is our job to help mitigate taxes paid on investments portfolios and utilize tax planning strategies to better any wealth transfer event.
An example of this is tax drag which had been said to reduce your taxable investment account returns by 1-3% annually. Another example is Roth IRA Conversion strategies where you can help lower your overall taxes paid and increase the tax-exempt wealth part of your estate.
By being conscious of taxes, we can select positions and develop strategies that are favorable to your financial position. Our advisors implement tax-loss harvesting strategies when applicable and leverage tax-advantaged retirement accounts to lessen your overall tax burden.
Wealth Transfer Strategies
Estate planning strategies in wealth management involve structuring and managing assets to ensure a smooth transfer of wealth to heirs and beneficiaries while minimizing estate taxes and preserving one's legacy. These strategies aim to address various aspects of estate distribution, tax implications, and personal wishes.
With our Wealth Management Planning software, we will be able to help forecast tax implications between various planning scenarios, which in turn will help guide our wealth transfer decisions today versus finding out at the end of the plan that certain techniques or planning strategies should have been implement years ago.
Next Generation introductions, education, and helping them to create their own WMP is part of our process and is paramount to making sure estate planning strategies are executed efficiently. Your legacy starts here.
In addition, with the help of a TPA (Third Party Administrator) we can help a small business or company benchmark their current plans selection or help to establish a new plan set-up that can provide financial security for employees in their post-working years and offer employers opportunities for tax savings and talent retention.
Types of company sponsored plans we help advise:
- 401(k); 403(b); 457 Plans
- Defined Benefit Plans
- Profit Sharing Plans (PSPs)
- SEP Plans (simplified employee pension)
- SIMPLE Plans
- Cash Balance Plans
- Employee Stock Ownership Plans (ESOPs)
Retirement Income Analysis & Planning
This is an integral part to your Wealth Management Plan. Cash flow analysis can help direct a consistent and sustainable stream of income during retirement. There are various potential income sources in retirement such as Social Security, Pensions, Deferred Compensation, Restricted Share Units (RSU’s), Stock Grants and other stock options, Investment Portfolio Income, Real Estate Income, Sale of a Business or Real Estate, Inheritance, and more. it is important to have well thought out income plan that will help manage the income needs from a timing and tax standpoint. The expenses needed for that individual or family is key to making sure that that income plan succeeds.
Social Security
It has been written that Social Security is now expected to run short of cash by 2033. With ever-evolving legislation, Social Security may seem daunting. Our advisors work with you to help understand your benefits and implement strategies to maximize entitlement payments for you and your successors.
According to a Vanguard study, Social Security provides 90% or more of income for 35% of retirees, and between 50% and 90% of income for another 29%. Just 36% of retired seniors rely on their benefits to produce less than half of all income.
Risk Management
Wealth management involves identifying, assessing, and mitigating potential risks that could impact an individual's or family's financial well-being, plans, and goals. It encompasses a range of strategies and aims to safeguard wealth, minimize losses, and ensure long-term financial security. Our client’s WMP has the flexibility to account for a variety of outcomes. Because life is full of uncontrollable circumstances, longer term care needs being one example, we have access to a full suite of variable annuities from leading external companies to serve as the backbone of a portfolio requiring an extra layer of income.