Tag: Tax Exempt Trusts

  • Taxes – Still Time (Not Much) to Plan

    Congress wants to lower your clients tax bill (it’s true)! For most high-net-worth clients, the best way to reduce their tax bill for 2024 is to employ one or more of the many tax-reducing techniques Congress has enacted to promote philanthropic activity. Ben Franklin said that only two things are…

  • Income Accounting for Tax-Exempt Trusts

    Section 664 of the Internal Revenue Code includes the rules for income paid from trusts that are tax exempt under the section. These rules are the so-called four-tier accounting system. This system lays out the basic rules for how distributions to the taxable beneficiaries of a tax-exempt asset diversification trust or…

  • Trusts Part 3: SLATs and Asset Diversification Trusts, A Match Made in Heaven?

    The scheduled sunsetting of the $14 million lifetime estate tax exemption presents a dilemma for some planners and clients. The dilemma is that many people with estates that will be taxable (when and if the $14 million exemption sunsets) are not comfortable giving away a large part of their wealth.…

  • Big News on IRA and 401(k) Distributions at Death

    Due to the IRS’ new regulations, your clients may be hit with a huge tax bill they didn’t expect. If you plan correctly, you have the opportunity to help clients avoid a massive tax hit. That’s because the IRS just issued final regulations about required minimum distributions. The News in…

  • Are Taxes Killing Your Compounding?

    We were recently interviewed for a piece on CBS. We discussed the magic of compounding. Compounding is at the core of investing. One of the biggest enemies of compounding is taxes. Tax-Exempt AccountsYou know, and undoubtedly speak with clients, about the compounding benefits of tax-free accounts including IRAs, 401(k)s, in…

  • Why Doesn’t Your Client Act? 4 Factors to Guide Financial Decision-Making

    Advisors can spend hours explaining a great solution to their clients, only to have those clients not act on the solution. There’s no magic bullet. But sometimes clients appreciate it when their advisor helps them identify what’s making the decision hard.  What makes a decision difficult?  Decision analysts have found…

  • Are Your Clients Choosing to Pay $2.5 Million in Unnecessary Taxes?

    Every week, we meet with advisors who have a client who is choosing to pay two and a half million in taxes that could be permanently and legally avoided. Before you say that none of your clients would ever make such a choice, you might want to see why we…

  • Death And Taxes

    Are your clients paying more than their fair share of taxes? The chances are high that they feel they are. And the statistics suggest they might be right. What Level of Taxation is Fair?The US Government claims that “taxes are the price we pay for a civilized society.” That claim…