Figuring out the tax impact on clients' portfolios

Contributing sentiments towards policy:

58% : If yes, then the client's portfolio is more likely to achieve a better after-tax outcome.
57% : A financial advice practice focused on generating better after-tax outcomes and embracing tax management is better positioned to help the high-net-worth clients of today and tomorrow.
56% : If most of the interest is taxable, the impact on the investor's after-tax wealth could be sizable.
53% : The sale of a business* Deferred compensation* An inheritance* Insurance proceeds* Trusts* Current taxable assetsInvestors need good advice, particularly amid today's volatile markets, especially when it comes to the impact that something as mundane as taxes can have on their portfolios, and their ability to accumulate more meaningful after-tax wealth.
51% : Taxes can create a significant drag on the value of a portfolio, so here are the things you should be looking for in a client's tax documents.
49% : In addition, fixed-income funds producing this taxable interest could be generating higher trading activity to achieve a higher total return, which could be adding taxes through realized capital gains.
45% : Every client situation is different and there's no hard-and-fast rule on what is just right or too high, but the higher these numbers are, the greater the likelihood an investor is paying more in taxes than they need to.
44% : But when you consider the cost of taxes and the 2.14% that is lost annually to tax drag, that $1 million initial investment is now worth $1,840,000 -- a difference of almost $220,000.
44% : A deeper dive into both Form 1040 and Schedule D will help identify the types of gains an investor is paying taxes on and how much.
43% : It's clear that the cost of taxes adds up over time.
41% : Over the five years ending Dec. 31, 2021, investors in non-tax-managed funds lost, on average, 2.14% of their return every year to taxes.
40% : There are many things that occur as we go through the stages of life and move closer or into retirement that can amplify the cost of taxes due to investments.
37% : This tax drag is the cost that taxes levy on investment returns and after-tax wealth.

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