Tax Planning
Modern Tax Strategies
Our tax planning strategies are designed to maximize your investment returns while minimizing your tax liabilities. By carefully analyzing your unique tax situation, we develop personalized tax strategies to grow your portfolio while lowering your tax burden.
- Tax Optimization: Our tax planning strategies aim to reduce your tax burden and maximize your investment returns. By minimizing taxes, we help you grow your portfolio and enhance your financial success.
- Personalized Strategies: We analyze your unique tax situation to create customized plans tailored to your needs. This ensures your investments and taxes work together efficiently.
- Retirement Alignment: We optimize your retirement accounts to align with your tax strategy for long-term benefits. When it’s time to withdraw, we guide you on strategies to minimize taxes and protect your wealth.
- CPA Collaboration: We work closely with your CPA to align investment and tax strategies. Our approach ensures that your financial plan stays adaptable to changes in tax laws.
- Proactive Adjustments: Modern Wealth reviews your tax returns in detail to find opportunities for improvement. We enhance your financial well-being and keep your plan efficient by making strategic adjustments.
Wealth Protection: Our experts focus on protecting and growing your wealth through effective tax planning. We aim to simplify tax complexities while ensuring your plan is sustainable and aligned with your long-term goals.
Simplistic Tax Reporting
Considering all the above tax planning strategies, we provide two simple-to-understand documents summarizing all the benefits in our Scenario Analysis and Tax Analysis reports.
- Scenario Analysis: We provide clear reports to help you understand and optimize your tax strategies. Our Scenario Analysis Report identifies key tax opportunities tailored to your financial goals.
- Tax Breakpoints: The report highlights critical income breakpoints. These are areas where you can take advantage of tax-saving strategies, such as Roth conversions, tax-efficient withdrawals, and charitable giving.
- Roth Conversions: Our analysis identifies the best opportunities for Roth conversions. This helps reduce future taxes and maximize the growth of your retirement accounts.
- Tax Analysis: The Tax Analysis Report gives you a simple breakdown of essential figures like Total Income, Adjusted Gross Income (AGI), Total Tax, and Capital Gains. Tooltips are included to explain any complex terms.
- Income Breakdown: We categorize your income into Ordinary Income (wages and earnings) and Qualified Income (capital gains and dividends). Each type is taxed differently, which is crucial for effective planning.
- Charitable Giving: We include strategies for tax-efficient charitable giving. These methods align with your financial goals while offering tax savings.
Our reports make tax planning straightforward. With clear insights and actionable strategies, you can confidently manage your taxes and maximize your financial outcomes.
Modern Tax Planning
Considering all the above tax planning strategies, we provide two simple-to-understand documents summarizing all the benefits in our Scenario Analysis and Tax Analysis reports. Our modern tax planning approach includes the following:
Scenario Analysis with Tax Opportunities
Our Scenario Analysis Report helps identify income breakpoints for tax-saving opportunities. These include Roth conversions, tax-efficient withdrawals, charitable giving, and other strategies to lower your tax burden and boost financial outcomes.
Roth Conversions and Tax-Efficient Withdrawals
We pinpoint the best opportunities for Roth conversions to reduce future taxes. We also guide you on tax-efficient withdrawals to protect your wealth and ensure long-term growth.
Charitable Giving
Our analysis includes strategies for tax-smart charitable giving. These methods help you support causes you care about while reducing your tax obligations.
Tax Optimization and Analysis Report
The Tax Analysis Report breaks down all essential tax figures. It includes Total Income, Adjusted Gross Income (AGI), Total Tax, and Capital Gains. Clear tooltips are included to simplify any technical terms.
Capital Gains Insights
Our reports offer insights into your capital gains. We explain how these gains are taxed and how to manage them for tax efficiency.
Ordinary Income vs Qualified Income
We distinguish between Ordinary Income (like wages) and Qualified Income (like dividends and capital gains). Each is taxed differently, and this breakdown is key for precise tax planning.
MAGI Tiers and Medicare Impact
Our āMAGI Tiersā approach simplifies the impact of Modified Adjusted Gross Income (MAGI). This helps you see how income levels affect costs like Medicare Part B/D premiums.
Tax Bracket Placement and Average Tax Rate
We ensure your income is placed in the correct tax brackets. This helps you understand your tax obligations for each income type. We also calculate your average tax rate to give you a clear perspective on how much you pay.
Transparent and Strategic Tax Insights, Planning, and Analysis
Our reports make tax planning simple and effective. They provide a clear view of your tax landscape, ensuring your strategies align with your financial goals. With these insights, you can confidently plan and optimize your taxes for the future.
The Tax Lab
At Modern Wealth, we use Tax Lab, a cutting-edge tax planning tool to optimize your tax strategy and maximize your financial efficiency. Tax Lab Does helps us:
Compare Tax Strategies in Real-Time
We analyze multiple tax scenarios, such as Roth conversions, tax deferral strategies, and tax-free withdrawals, to determine the best long-term approach.
Visualize Tax Impacts Over Time
Tax Lab provides clear, side-by-side comparisons of strategies, showing the effects on lifetime taxes, tax brackets, and overall wealth.
Break-Even Analysis
We assess how long you need to hold a tax strategy for it to be beneficial, helping you make confident decisions.
Customizable Tax Planning
Whether itās managing Roth conversions, avoiding unnecessary Medicare surcharges, or minimizing lifetime tax liability, we tailor strategies to your unique financial picture.
Portfolio Tax Impact
See how different tax strategies affect your investment accounts over time, ensuring a tax-efficient wealth strategy.
Let's Chat
Join us for a complimentary 30-minute chat focused on your needs, goals, and vision. Enjoy a relaxed, no-pressure session to learn about our process and ask any questions. Weāre here to listen, not to sell. Letās discover whatās possible together!