TAX PLANNING
We will work with your tax specialist to maximize your tax efficiency.
SERVICES
Tax Planning Services
We help our clients with tax efficiency planning so they can make more, keep more, and leave more to their loved ones. This is an area where we believe most investment advisors and tax advisors fall short in coordinating the best outcomes.
Instead of asking you to go between us and your accountant, we’ll speak directly with your accountant to ensure nothing is lost in translation.
Also, instead of waiting until your taxes are filed and the tax year is over, we’ll work with you and your accountant proactively to suggest strategies while you still have time to implement them. This usually comes in the form of mid-year or end-of-year tax projections (or both!).
Some of the most common strategies we review include:
- Cost Basis and Capital Gains Evaluation
- Tax-Loss Harvesting
- Roth Conversion Analysis
- Charitable Gift Planning
- HSA (Health Savings Account) Evaluation
- Tax-Efficient Wealth Transfer Planning
- Roth vs. Traditional Contribution Analysis
Effectively managing wealth requires a thorough understanding of your tax situation along with a focused, cohesive plan.
To learn more about how you can reduce your tax liability and increase the tax efficiency of your financial plan, click the button below to schedule a 15-minute introductory call.
Tax Planning FAQ
1. What is tax planning, and how is it different from tax preparation?
Tax planning is a proactive, year-round strategy focused on minimizing your lifetime tax liability, while tax preparation is the process of filing your tax return after the year ends. Effective tax planning helps you make smarter financial decisions throughout the year, not just during tax season.
2. How can tax planning help me pay less in taxes over time?
Tax planning helps reduce lifetime taxes by coordinating when and how you take income across different account types, rather than making decisions year by year. By being proactive with withdrawals, contributions, and strategies like Roth conversions, you can smooth income, stay in lower tax brackets, and keep more of your money working for you over time.
3. Who benefits most from working with a tax planning advisor?
Anyone with income, investments, retirement accounts, or business ownership can benefit from tax planning. It is especially valuable for high-income earners, retirees, and business owners who want to reduce tax exposure and improve financial efficiency.
4. What are some examples of tax planning strategies?
Common tax planning strategies include retirement contribution optimization, tax-efficient investing, income timing, Roth conversion planning, capital gains management, and estate tax reduction strategies. These strategies are customized based on your financial situation and goals.
5. When should I start tax planning?
The best time to start tax planning is as early as possible—ideally at the beginning of the tax year or before major financial decisions. Early planning provides more opportunities to adjust income, investments, and contributions for better tax outcomes.
6. Is tax planning only worth it for high-income earners?
No, tax planning benefits individuals at many income levels. While high-net-worth individuals often see the most complex opportunities, middle-income families and business owners can also significantly reduce taxes and improve financial outcomes with proper planning.
7. Do I need to work with a financial advisor if I already have a CPA or accountant?
Yes, because a CPA typically focuses on filing and compliance, while a financial advisor helps coordinate tax decisions with your investments, retirement income, and long-term financial goals. Working together can ensure your tax strategy is not just accurate, but optimized across your entire financial plan.
8. What’s the difference between a CPA and a financial advisor when it comes to tax planning?
A CPA focuses on preparing tax returns and ensuring you meet tax rules, while a financial advisor looks at how tax decisions affect your investments, retirement income, and long-term wealth strategy. The advisor helps you plan ahead, while the CPA typically reports what has already happened.
9. How does tax planning fit into my overall financial plan?
Tax planning is a core part of your financial plan because it influences how much you keep from your income, investments, and retirement accounts over time. By integrating tax strategies with investing, cash flow, and retirement planning, you can make more efficient decisions that support your long-term goals.
Step #1: Schedule 15-Minute Phone Call
Additional Tax Planning Resources
Illinois Capital Gains Tax: What It Means for Retirement Planning
Selling a home you no longer need, a stock portfolio built over decades, or a business you're stepping away from often happens right around retirement. These sales can help fund a retirement, and they can also come with a real tax bill from both the...
Illinois Estate and Inheritance Taxes: What Retirees Should Know
If you live in Illinois, the easy mistake is assuming the federal exemption is the only number that matters. Most states would let you get away with that, since roughly two-thirds of them tax neither estates nor inheritances. Illinois is one of 12 states,...
Should I Do a Roth Conversion? When It Makes Sense and When It Doesn’t
Roth conversions can help reduce future taxes, but are not right for everyone. The best opportunities often occur after retirement but before Social Security and RMDs begin. Medicare premiums, Social Security taxes, and future tax brackets should be considered before...
No client or potential client should assume that any information presented or made available on or through this website should be construed as personalized financial planning or investment advice. Personalized financial planning and investment advice can only be rendered after engagement of the firm for services, execution of the required documentation, and receipt of required disclosures. Please contact the firm for further information.