Back to Blog Posts

Tax Planning in March & April

April 13, 2022
By: Marcos A. Segrera, CFP®

Author Bio Image

Planning opportunities are present at all times, but March and April’s natural focus on taxes gives you a chance to identify opportunities and potential issues with your tax returns.

Reviewing tax returns is daunting and difficult given the many state and federal complexities and often changing rules, not to mention the fact most individuals lack fluency with taxes in general. Tracking your exposure to various taxes (e.g. ordinary income tax, capital gains tax, the alternative minimum tax, the net investment income tax, etc.), and your rights to various credits and deductions, requires time and effort.

To assist you in reviewing your filings with your CPA, we have a checklist for retired taxpayers and one for taxpayers that are still working. Each checklist outlines nearly two dozen considerations to help guide you through your returns and circumstances.

While the checklists can help you spot great ways to identify all the different opportunities to consider, we always encourage coordination amongst all your professional advisors to be sure all important items are taken into consideration. For example, you may want your CPA to know that your wealth management advisor has been able to harvest capital losses in your portfolio to offset against capital gains. This could be helpful in smoothing out your tax bill over time. Your estate planning attorney may want to coordinate with your CPA to be sure that any income associated with a trust is properly reported. And of course, if that trust owns an investment account, you will want your investment advisor, CPA, and estate attorney to have coordinated all planning matters to avoid any negative tax events.

Like most complex systems, coordination is key, and simple but elegant solutions usually prove best.

Happy tax planning.

Source: fpPathfinder.com

Categories

financial-planning

IMPORTANT DISCLOSURE INFORMATION

Evensky & Katz / Foldes Wealth Management (“Company”) is an SEC-registered investment adviser located in Coral Gables, Florida. A copy of the Company’s current written disclosure Brochure discussing our advisory services and fees continues to remain available upon request.

The Company may only transact business in those states in which it is registered or qualifies for an exemption or exclusion from registration requirements. The Company’s website is limited to the dissemination of general information pertaining to its advisory services, together with access to additional investment-related information, publications, and links. Accordingly, the publication of the Company’s website on the Internet should not be construed by any consumer and/or prospective client as Company’s solicitation to effect or attempt to effect transactions in securities, or the rendering of personalized investment advice for compensation, over the Internet. Any subsequent, direct communication by the Company with a prospective client shall be conducted by a representative that is either registered or qualifies for an exemption or exclusion from registration in the state where the prospective client resides. A copy of the Company’s current written disclosure Brochure and Form CRS discussing the Company’s business operations, services, and fees is available on this website and/or from Company upon written request. The Company does not make any representations or warranties as to the accuracy, timeliness, suitability, completeness, or relevance of any information prepared by any unaffiliated third party, whether linked to the Company’s website or incorporated herein and takes no responsibility therefore. All such information is provided solely for convenience purposes only and all users thereof should be guided accordingly.

Please remember that different types of investments involve varying degrees of risk, and there can be no assurance that the future performance of any specific investment or investment strategy (including those undertaken or recommended by the Company), will be profitable or equal any historical performance level(s).

Certain portions of the Company’s website (i.e. newsletters, articles, commentaries, etc.) may contain a discussion of, and/or provide access to, the Company (and those of other investment and non-investment professionals) positions and/or recommendations as of a specific prior date. Due to various factors, including changing market conditions, such discussion may no longer be reflective of current position(s) and/or recommendation(s). Moreover, no client or prospective client should assume that any such discussion serves as the receipt of, or a substitute for, personalized advice from Company, or from any other investment professional. The Company is neither an attorney nor an accountant, and no portion of the website content should be interpreted as legal, accounting or tax advice.

Please Note: Limitations: Neither rankings and/or recognitions by unaffiliated rating services, publications, media, or other organizations, nor the achievement of any professional designation, certification, degree, or license, membership in any professional organization, or any amount of prior experience or success, should be construed by a client or prospective client as a guarantee that he/she will experience a certain level of results if the Company is engaged, or continues to be engaged, to provide investment advisory services. Rankings published by magazines, and others, generally base their selections exclusively on information prepared and/or submitted by the recognized adviser. Rankings are generally limited to participating advisers (see participation criteria/methodology). Unless expressly indicated to the contrary, Company did not pay a fee to be included on any such ranking. No ranking or recognition should be construed as a current or past endorsement of Company by any of its clients.

To the extent that any client or prospective client utilizes any economic calculator or similar interactive device contained within or linked to Company’s website, the client and/or prospective client acknowledges and understands that the information resulting from the use of any such calculator/device, is not, and should not be construed, in any manner whatsoever, as the receipt of, or a substitute for, personalized individual advice from the Company, or from any other investment professional.

Each client and prospective client agrees, as a condition precedent to his/her/its access to Company’s website, to release and hold harmless the Company, its officers, directors, owners, employees, and agents from any and all adverse consequences resulting from any of his/her/its actions and/or omissions which are independent of his/her/its receipt of personalized individual advice from the Company.