CASE STUDIES
Jeff and Pam:
Tax-Smart Financial Security
Goals
Jeff was nearing retirement and wanted to make sure that he and his wife, Pam, would stay financially secure. They understood there was a lot to Social Security benefits, taxes, and investments — and that mistakes could be expensive.
Jeff and his wife wanted someone who could help them make informed decisions for their eventual retirement, and save them from any costly errors along the way.
Challenges
Jeff had gone to several financial planner meet-and-greet dinners before he met his current one.
After these experiences, he was concerned that some advisors were more focused on sales rather than providing genuine advice.
Another concern was that some advisors were very hands-off and provided little information or guidance.
He knew he needed help, but he was understandably slow to trust.
Approach
One day, Jeff attended a lecture on Social Security by a local financial advisor. Jeff liked that he was a fiduciary, and that he was a CPA and familiar with the best ways to reduce taxes. He decided to talk to him.
He answered Jeff’s questions in detail and provided information relevant to his situation. Jeff appreciated that he was not overly technical or sales-oriented, but instead focused on providing direct answers that addressed his concerns.
After engaging with this financial advisor, Jeff liked that he laid out his options clearly, made his recommendations, but ultimately any decision was up to Jeff.
Another pleasant surprise was that his new financial planner had a professional Medicare planner on his team. Jeff gratefully took advantage of that as well.
Results
Their new financial advisor’s expertise helped Jeff and Pam choose the optimal time to claim benefits to maximize their potential income. His tax planning strategies minimized their taxes and allowed them to retain more of their hard-earned money.
Now, Jeff and Pam’s portfolio is well-diversified, tax-efficient and aligned with their risk tolerance. They meet with their advisor twice a year — more if they feel it’s necessary — so that as their lives change, their plan changes with it.
