Tax strategies
Tax strategies represent a highly sought-after aspect of financial planning, yet are offered by only a limited number of financial advisors.
BW Wealth Management specializes in implementing the most tax-efficient strategies for our clients. Each client has a very unique circumstance, so we custom develop a specific tax strategy for the needs of each client.
What you make is not as important as what you keep. We structure our tax strategies into four key areas: optimisation planning, tax-efficient withdrawal and income strategies, Roth conversions managed against their IRMAA consequences, and the longer game of lowering what you pay across a lifetime rather than in a single filing year.
Best for: High-income earners, business owners, and anyone whose retirement income will come from more than one kind of account.
- Optimisation planning
- Lowest possible lifetime liability
- Withdrawal strategy
- Timing and source, not just amount
- Roth conversions
- Managed against IRMAA and bracket
- Credential
- TPCP® — Tax Planning Certified Professional
What this covers
- Sequencing account contributions, and planning by investment type
- Calculating the Net Investment Income Tax (NIIT) and minimising it
- Coordinating distribution sequencing across qualified and non-qualified accounts
- Tax-loss harvesting, capital gains harvesting and cost-basis identification
- Roth conversions that increase tax-free assets without tripping an IRMAA tier
- Reducing RMDs, and the eligible rollover distribution rules
- Taxation of Social Security, and paying your taxes in retirement
- Sale of a primary residence, large medical expenses, and the widow(er) tax
- 1031 exchanges and charitable trusts
Important disclosures
This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific tax issues with a qualified tax advisor.
Contributions to a traditional IRA may be tax deductible in the contribution year, with current income tax due at withdrawal. Withdrawals prior to age 59 ½ may result in a 10% IRS penalty tax in addition to current income tax.
A Roth IRA offers tax deferral on any earnings in the account. Qualified withdrawals of earnings from the account are tax-free. Withdrawals of earnings prior to age 59 ½ or prior to the account being opened for 5 years, whichever is later, may result in a 10% IRS penalty tax. Limitations and restrictions may apply.
Next step
Start with a conversation, not a pitch.
An initial conversation, at no cost and no obligation. We look at what you have and how it is currently taxed before anyone recommends moving anything.
Scottsdale and the greater Phoenix valley · Monday to Friday, 9am to 5pm