Proactive CPA Communication Strengthens Advisor Trust During Tax Season
In this episode, we talk in-depth about how Steven finds that proactive communication (to avoid surprises when tax filing season arrives) is one of the keys for financial advisors to build trusting relationships with CPAs, why Steven thinks such communication is particularly important when clients have 1099-Rs (to help the CPA understand the background of a particular distribution, for example, whether it was a Roth conversion or a Qualified Charitable Distribution), and how Steven has seen advisors build stronger CPA relationships: https://t.co/Qme5kub6EN #taxseason
Review Beneficiary Designations to Boost Advisor Value
5 Beneficiary Designations For Clients To Review Now ➡️How financial advisors can add value for their clients by holding a beneficiary designation review meeting and by being aware of opportunities for changes as their clients' (and the clients' current beneficiaries')...
Growth, Niche, Simple Ops Boost RIA Sale Returns
This #WeekendReading: A recent study from Advisor Growth Strategies' 2026 RIA Deal Room Report finds that while RIA mergers and acquisitions activity continues to break records in terms of volume and valuations, not all sellers are necessarily able to cash in...
Advisors Overlook High‑Revenue Tactics Despite Referral Dominance
The typical advisory practice used 5 marketing tactics in 2024, up from 4 in 2022. Larger practices cast a wider net, with advisors with <$250k in revenue using a median of 4 tactics while practices with $5+ million in revenue...
Assessments Build Shared Language for Better Team Fit
Personality assessments are less concerned with articulating an individual's work style. Instead, they are powerful inasmuch as they create a shared language for advisory teams to discuss individual role fit, from workload to personality. https://t.co/C2rSx28zLD In this article, Senior Financial Planning...
Geopolitical Risks Are Temporary; Stick to Fundamentals
Geopolitical Risk Is A Recurring But Temporary Driver Of Markets ➡️While recent developments such as rising oil prices, evolving tariff policy, persistent inflation... can heighten investor anxiety, the more pressing challenge for advisors is helping clients distinguish between short-term noise...
Use CLEAR Framework to Uncover True Client Goals
Human beings struggle to set goals, let alone anticipate what will actually make them happier in the long-term… When clients talk about their goals, one challenge for advisors is figuring out what those goals actually mean beneath the surface. Using The...
Social Media: Easy Entry, Complex Success for Advisors
Social media is the 4th most-used marketing tactic amongst advisors; given its low barrier of entry and initial distribution costs (and a feeling of, "I've used social media– how hard can it be?"). However, the challenge of 'successful' social media...
Leadership Capacity Drives Hiring, Retention, Not Just Time
Leadership Capacity Is The Silent Force Determining Your Firm's Future ➡️ Why leadership capacity is about more than 'just' a lack of time – and why, while a lack of leadership capacity often manifests as a hiring and team retention shortfall, it...
Non‑Trump Accounts Can Outgrow TAs with Greater Flexibility
While many illustrations of Trump Accounts (TAs) project how their value can grow to eye-popping levels over time, the reality is that similar (or even better) results can be achieved in other types of accounts that have far more flexibility...
Top Tax Tactics Advisors Use for High-Net-Worth Clients
Top 5 Tax Strategies Advisors Use With Wealthy Clients: Several effective tax planning strategies for high-net-worth clients, from tax-aware long-short investing to private placement life insurance and annuities to strategies for pre-liquidity business owners: https://t.co/bvOqLR93S1 (Cheryl Winokur Munk |...
Growing RIAs Face Class-Action Lawsuits Over Cyber Breaches
As 'mega-RIAs' get bigger for growth, they're becoming a bigger target for lawsuits. Now a data breach incident isn't just a complaint for clients, it's a movement to band together and seek class-action status. Advocates have made the case that RIAs...
Advisor Wellbeing Drives Retention: Insights From Kitces Research
Senior advisor recruitment, training, and retention are all different sides of the same coin: workplace satisfaction. Wellbeing matters for more than 'just' altruistic reasons. The lower a team member's wellbeing, the more likely they are to leave their employer (or profession)...
Advisor Time Value Drives Rising Client Acquisition Costs
In our last report on Advisor Marketing, we found that the median client acquisition cost (CAC) for advisory firms was $3,800 when including both "hard dollar" expenditures on marketing and the "soft dollar" value of advisors' time. https://t.co/BTglcsTaaR Acquisition costs...
Higher Oil Prices Not Always Bad for Stocks
How Do Higher Oil Prices Impact Stock Market Returns? An analysis of historical oil price trends and stock market returns indicates that higher oil prices don't necessarily lead to weaker stock market returns going forward. (Ben Carlson @awealthofcs) This #WeekendReading,...
DSTs May Be Riskier Than Traditional Installment Sales
The Problem With Using A Deferred Sales Trust To Defer Taxes On A Business Sale: Closer scrutiny of the DST strategy raises significant red flags that aren't included in the sales pitch. The characteristic that is needed to make DSTs work...
Top Strategies Ensure Consistent Retirement Income
The Best Retirement Income Strategies For Consistent Spending: An analysis of a range of retirement income strategies identifies those that lead to the most consistent annual income throughout an individual's retirement, and more on #retirementplanning this week: https://t.co/ao7EeGgvct #WeekendReading (Amy...
Court Dismisses Biden Fiduciary Rule, Prompting New Label Strategy
This #WeekendReading: U.S. District Court has formally put an end to the Biden-era Retirement Security Rule (aka "Fiduciary Rule 2.0") after the Trump administration's Department of Labor elected not to defend the rule against lawsuits led by groups representing product...
Saving More Cuts Needed Retirement Nest Egg
The reality is that trying to increase savings actually has a dual positive effect on reaching retirement: not only does it mean there’s more in the account to grow, but saving more reduces your retirement savings need. https://t.co/eEAqccbz3U #retirementplanning #advicers
Know the Line: Planning Vs. Advice Liability
Understanding the difference between tax planning and tax advice is crucial for advisors seeking to stay on the right side of this liability line. Tax planning may involve discussing general tax rules, modeling hypothetical scenarios, or analyzing the tax impact...
Probate Avoidance Isn’t the Sole Measure of Success
"Avoiding Probate" is misleading as the marker of estate plan success. Because probate is so commonly framed as something to be avoided at all costs, its presence is often interpreted as evidence that the estate plan failed. That interpretation is...
Workplace Environment and Incentives Drive Advisor Satisfaction
What ACTUALLY Makes A Difference In Advisor Satisfaction? Senior advisors occupy a uniquely high-impact role within advisory firms and develop portable skills. For firm owners, the challenge is not merely recruiting this talent… but also creating an environment and incentives...
Swap Powers Boost Flexibility and Tax Efficiency in Irrevocable Trusts
The downside of irrevocable trusts are that they are "irrevocable" and can't easily be undone ➡️ But here's how "swap powers" – the ability to exchange assets in an irrevocable trust with other assets of equivalent value – can be...
Group Investments by Risk, Not Asset Class, for Smoother Returns
How a "total portfolio approach" that groups investments by risk and performance characteristics (rather than asset class) could lead to a smoother ride for investors (@JasonKephart | @MorningstarInc) More curated articles on investment planning this #WeekendReading: https://t.co/L80cXNYxuT
Leverage IRC 199A for Massive QBI Tax Savings
The planning opportunities created by IRC Section 199A after the Tax Cuts and Jobs Act are tremendous. Here's how you can help clients reduce their tax burden through creative strategies around the QBI deduction. Read more about the 3 buckets of...
Missed RMD? Penalty Waiver Possible, Avoid Amending Returns
Missed Depreciation On A Rental? Why Amending Prior Returns Is Usually The Wrong Move: Missing a Required Minimum Distribution (RMD) can incur a hefty tax penalty of up to 25% of the missed amount – however, the IRS allows individuals...
Advisor AI Adoption Rises to Over Half, Notetaking Gains
This #WeekendReading kicks off with the news that the latest @t3techhub/Inside Information Software Survey shows an uptick in advisor use of Artificial Intelligence (AI) tools, with approximately 52% of survey respondents using AI search and generative language functionality (up from...
T‑CRUT Bypasses 10‑Year Rule as IRA Beneficiary
As a non-person entity, the T-CRUT is not subject to the 10-Year Rule and can be designated as the IRA beneficiary while naming the original non-spouse beneficiary as an income recipient of the trust and a charitable organization as the...
Financial Advisors Must Navigate Strict Tax Advice Rules
Tax Advice Restrictions For Financial Advisors⬇️⬇️ Despite the prominent role of taxes in financial planning, remaining in compliance while offering recommendations on a #taxstrategy can quickly become thorny. https://t.co/YjeKnoTO3M #taxseason
EncorEstate Introduces Standalone Special Needs Trust for Advisors
This is a challenging spot, because if you don't outright specialize in clients with special needs children, most advisors may only come across these scenarios once or twice in a career, and won't necessarily have a good network of attorneys...
RIA Valuations Dip as Earnouts Grow Longer
This is, indirectly, how valuation multiples for RIAs are starting to come down slightly. Because the headline number of "such-and-such got a certain multiple of EBITDA" isn't the walk-away-with-cash valuation, it's the valuation including post-closing growth contingencies. In the past, that...
Hold ISOs 1‑Year/2‑Year for Capital Gains
ISOs are attractive because, under the right conditions, gains from their exercise and sale can qualify for long-term capital gains treatment. However, to receive this preferential tax treatment, employees must wait to sell the employer stock until at least one...
Estate Planning Must Address Digital Access Challenges
Many assume estate planning is handled once documents are signed, but DIGITAL estate planning does not behave that way. For many clients, the real issue is an ACCESS problem: email, cloud photos, financial logins, business accounts, and Terms of Service...
AI Can't Beat Markets; Hedge Funds Already Arbitrage Any Edge
While I think there are some great use cases for AI to do investment research (got an investment thesis, let it help crunch the data, or sift through a zillion 10-K filings to spot which companies match your criteria), I...
Reframe Retirement Risk: Balance Overspending and Underspending
Pivoting to a more accurate "probability of adjustment" framing, there is a simpler way to talk about "retirement income risk" that relies on the concepts of overspending and underspending. https://t.co/MEL3idSI4O This can help both advicer and client better understand the trade-offs...
Early SEO Investment Compounds Long‑term Visibility
Search has changed – and so has the way advisory firms can earn visibility online. This episode explores how early investments in SEO can compound over time: https://t.co/n6RD6lcWQF Helen Stephens, founder of Aspen Wealth Management, shares how her SEO strategy evolved alongside...
Smooth RMD Withdrawals with Rolling Three‑Year Averages
Modified RMD: Utilizing Rolling Three-Year Averages To Reduce Volatility ➡️In our modified RMD approach, the average of the last three years of portfolio values is used to calculate the withdrawal, rather than the value on a single (arbitrary) day. The total...
Robinhood's Exit Fee Demands 4× Referral Revenue
Interesting highlight in this article about the new Robinhood Advisor Network (custodial referral program via TradePMR that pays a 25%-of-fees rev-share for the referral): "For an RIA that ends participation in the program, they will also pay a one-time fee...
ChatGPT Enhances, Not Replaces, Financial Advisors Today
If the long-term opportunity of ChatGPT and similar AI tools is not to replace financial advisors but to make them better, then the question naturally arises: how, exactly, can financial advisors leverage ChatGPT today to harness its benefits? https://t.co/sQ16RsmATN...
Altruist AI Tax Tool Sparks Custodian Stock Selloff
In this month's latest in #AdvisorTech news. @altruist's launch of a new AI-powered tax planning add-on to its Hazel AI notetaker, which triggered a big selloff in the stocks of established RIA custodians like @CharlesSchwab, @LPL, and @RaymondJames: https://t.co/GaoXPwW9F3 And other...
All‑in‑One vs Best‑in‑Class: Satisfaction Levels Similar
There's lots of discussion about the benefits of using fewer “all-in-one” software platforms that serve multiple functions (e.g., Advyzon, Orion) versus adopting a greater number of “best-in-class” tools for each individual function. https://t.co/5JYwewMmB2 In our research, we get at this by...
LLMs Fail 85% of Investment Tasks, Math Weakness Evident
LLM-driven AI tools are much better with words than with math... at what point is the time to back-check the output calculations more time-consuming than just using established software providers for key investment research and financial planning functions? "Mass market AI...
Box Spreads: Low‑cost Synthetic Loans Explained
In recent years, a new form of 'synthetic' lending has emerged as a potential alternative to margin loans or SBLOCs for short- and medium-term borrowing: The "box spread". https://t.co/xmNXcFkoUQ Kitces Nerd Ben Henry-Moreland shares the mechanics of box spreads, why the...
AI Boosts Efficiency and Client-Winning Deliverables
The real use of AI tools is not only to gain greater efficiency, but also to create high-quality deliverables that convert prospects and wow clients - Christopher Haigh, CEO of Iconoclastic Capital, shares how he does it: https://t.co/VMkPMNuWxh In this #FASuccess...
Know When Gifts Trigger Tax Reporting, Even Below Estate Thresholds
Gifting Without The Headache 🎁 Gifting is an area of the Internal Revenue Code fraught with nuance and complexity. Understanding when a gift is taxable is important, but the reality is that many clients won't approach estate tax thresholds, which makes...
Incentive Pay Boosts Advisor Revenue and Client Growth
This #WeekendReading kicks off with the news that @CharlesSchwab's latest RIA compensation report finds that while base salaries remain the largest component of advisor compensation, firms that offer incentive pay have seen more revenue and client growth in recent years than...
Early‑Career Earn, Save, Grow, Preserve Retirement Blueprint
The traditional approach to saving for retirement is all about starting early, saving consistently, and letting compounding growth do most of the heavy lifting over time. Yet the reality is that for those who are still early in their careers,...
Advisors Must Navigate AI Bubble Fears, Not Dismiss
We have this conversation about once every 18 to 36 months or so. I think it's time for a version of scary markets conversation. This one is some version of, are we in an AI bubble? And what are you...
AI Prospecting Gains Momentum as Advisors Seek Growth
Will advisors who dislike outbound prospecting be convinced to give it a try using tools like @FINNYAI? This month #AdvisorTech kicks off with the news that the AI-powered prospecting solution FINNY has recently raised $17 million in Series A funding...
Separate Risk Tolerance and Capacity to Avoid Over‑Risky Portfolios
By averaging together risk tolerance and risk capacity scores, the advisor can unwittingly end up in situations where clients with extremely low risk tolerance (or risk capacity) end up with portfolios that are far too risky for their situation. In...
