How To Make Your Financial Plan CPA Strong

How To Make Your Financial Plan CPA Strong 11457B-302_CFF Revised CPA Brochure-PS.indd 1

Why Work With a CPA Financial Planner? Because the person who does your financial planning must also underst the complexities of your tax situation. The road to financial security is rarely smooth easy. Creating following long-term financial tax planning strategies for your family or small business can be daunting, even during stable prosperous times. In a political, economic tax environment that is in constant flux, staying on top of your complex financial life is even more challenging. It s also more important. Financial planning focuses on a broad range of your individual needs goals, how they shape your decisions on retirement, education, taxes, investing, insurance your estate. As a trusted advisor, a CPA (Certified Public Accountant) is in a unique position to provide objective recommendations so you can make informed decisions. CPAs who are also financial planners have the added knowledge in all areas of financial planning helping you see the big picture ensuring that all of the bases are covered. Being a CPA first foremost, they are licensed by your state adhere to a strict professional code of conduct. Along with their additional financial planning knowledge, this ensures that you can count on competence, objectivity the highest stard of integrity for your most important financial decisions. Benefiting From the Services of a CPA Financial Planner CPAs have ranked among the most valued respected professionals for more than 125 years, are second only to physicians in terms of consumer trust confidence. CPA financial planners provide a full range of services that can help you attain financial security success. Although they do not offer every service discussed here, they have their own specialized combination will work with other professionals to complement those services customizing their offering to meet your unique needs specific goals. Meeting Your Personal Financial Goals Whether you re thinking of purchasing a new home, saving for retirement, Whether you re thinking of purchasing new home, saving for retirement, eliminating debt or funding a college education, a CPA can help you eliminating debt or funding college education, CPA can help you achieve financial milestones, including: achieve financial milestones with a realistic budget designed around your resources, Devise responsibilities practical savings goals. investment Your CPA can: strategies that help you navigate the complexities of your financial life, capitalize on your Devise practical savings investment strategies that help you fiscal strengths address your financial weaknesses stay on budget, capitalize on your fiscal strengths address Ensure your cash flow is flexible enough to accommodate the your financial weaknesses good, the bad the unexpected in your personal Ensure that your budget is flexible enough to accommodate the professional lives good, the bad the unexpected in your personal Help monitor revise your financial plan as necessary so you can professional lives create a fluid action plan that meets your goals as well as your lifestyle Help monitor revise your budget as necessary so you can Income create Tax a Planning savings system that Preparation meets your goals as well as your lifestyle A Income continuing Tax education Planning requirement Preparation keeps CPA financial planners up-to-date about constantly changing tax laws so they can provide prudent, A continuing education requirement keeps CPAs up-to-date about year-round tax planning counsel, including: constantly changing tax laws so they can provide prudent, year-round tax-management Design strategies counsel. you Your can CPA follow can: throughout the year to reduce your taxes Clarify the impact of the latest tax laws, legislation IRS rules Design strategies you can follow throughout the year to reduce on your tax liability your taxes, save money achieve a smoother tax-preparation Identify the long- short-term tax consequences of your process spending, investment other financial decisions, advise you Clarify the impact of the latest tax laws, legislation IRS rules on the steps you can take to reduce your future tax liability on your tax liability Estate Identify Planning the long- short-term tax consequences of your spending,investment other financial decisions, advise For most you of on us, the planning steps you for the can distribution take to reduce of our your financial future resources tax liability personal Counsel property you through can be tax-return a difficult issues emotionally charged issue. However, Most with importantly, a CPA financial provide planner s guidance professional to help keep comprehensive the IRS satisfied approach to estate planning, you can be assured that your wishes will be honored, Estate Planning including: For most Review of us, wills, planning trusts, for retirement the distribution plans of our other financial estate-planning resources personal documents property can ensure be a that difficult they remain emotionally up-to-date charged issue. However, Develop with a a CPA s strategy professional that fulfills your comprehensive goals while preserving approach assets to estate planning, for you the can next be generation, assured that reducing your wishes estate-tax will be liability honored. providing Your CPA for can: sufficient liquidity Review wills, trusts, retirement plans other estate-planning documents ensure that they remain up-to-date Develop a strategy that fulfills your goals while preserving assets, reducing estate-tax liability providing for sufficient liquidity 2 3 11457B-302_CFF Revised CPA Brochure-PS.indd 2-3

Explain different methods of property transfers, estate-tax rules, the impact of the most current estate-planning legislation possible future changes in rules regulations Collaborate with other team members attorneys, investment advisors, appraisers insurance brokers, among others to ensure that every issue is properly addressed by the appropriate expert Retirement Planning It is never too late to plan for retirement; however, the sooner planning starts, the more financially prepared you are likely to feel when the time arrives. Specialized guidance support from a CPA financial planner can help you develop a plan that delivers a secure comfortable retirement peace of mind during your pre-retirement years, including: Review expenses that will be, or are likely to be, incurred during your retirement create a plan to eliminate any shortfall between income expenses Identify the primary sources of retirement income that you have or should have calculate the savings required for you to retire at a specific age achieve your desired lifestyle Create strategies for preserving growing retirement account balances distribution amounts Recommend a diverse range of tax-efficient financial tools IRAs, 401(k)s, investments tax-sheltered opportunities that are best suited to your age retirement time frame Education Planning You your family can look to the future far more positively when you have a well-planned strategy for education costs. With a plan that features a CPA financial planner s tax savvy investment advice guidance, you can realize your education funding goals reap the benefits they deliver, including: Create a timely, diverse college investment strategy designed around your financial resources, child s age, risk tolerance projected educational costs Explain tax credits deductions that can defray education costs, the tax implications of education-related investment savings decisions Recommend ways for the student to become involved in the planning process contribute to the education fund Keep your plan updated to reflect changes in your employment situation, investment options, savings plans, financial-aid requirements tax laws Investment Planning Investment Planning Creating growing the resources needed to reach your financial Creating lifestyle goals growing starts the with resources a well-crafted needed investment to reach your strategy. financial A qualified* lifestyle CPA goals financial starts with planner s a well-crafted expert insight investment provides strategy. the foundation on A qualified* which you CPA s can build expert a sound insight investment provides the plan, foundation including: on which you can Evaluate build a sound your assets, investment liabilities plan. Your cash CPA flow, can: determine how Evaluate you can best your meet assets, your liabilities current financial cash flow, needs determine how Explain you can the best advantages meet your current disadvantages financial needs of the full range of Explain investment the options, advantages from annuities, disadvantages Treasury of bills the full range insured of certificates investment of options, deposit from to life annuities, insurance, Treasury stocks, bonds bills insured mutual funds Develop certificates a plan of deposit that meets to life your insurance, short- stocks long-term mutual financial funds Develop goals, is consistent a plan that with meets your your risk short- tolerance long-term has the financial potential to generate goals, is consistent optimum returns with your during risk tolerance the time you have has the to invest potential to Provide generate strategies optimum for returns managing during a sudden the time financial you have setback to invest or Provide windfall, strategies including for the managing best ways a to sudden use, manage financial setback protect or your resources windfall, including the best ways to use, manage protect your resources * Only professionals who are registered with the SEC or with their state securities regulator to provide investment advice are eligible to do so. Check with your CPA to be sure he/she is an investment adviser under federal /or state securities regulations. 4 5 11457B-302_CFF Revised CPA Brochure-PS.indd 4-5

Strategic Business Planning Consulting Business Business owners owners have a different have a different set of needs set of than needs individuals than individuals families. families. In many In cases, many however, cases, however, a small a small-business owner s owner s personal tax issues are personal intertwined tax issues are directly intertwined connected with directly those connected of their business. with CPA financial those of planners their business. act as independent CPAs act as advisors independent who can advisors work who with can business work owners with to business help them owners coordinate to help business them coordinate personal business financial goals, including: personal financial goals. Your CPA can: Create Create a realistic realistic business business plan, plan, help help you you select select an an organizational organizational structure structure that that meets meets your your needs needs Help Help identify identify financing, financing, negotiate negotiate financing financing terms terms conditions conditions Advise Advise on on employee employee benefits, benefits, executive executive compensation, compensation, retirement retirement plans, plans, insurance insurance other other areas areas Risk management Planning Risk management Planning Risk is a part of life. It s how you deal with it that counts. While most of us Risk is part of life. It s how you deal with it that counts. While most of us immediately think of managing risk in terms of insurance, it s important to immediately think of managing risk in terms of insurance, it s important to recognize the need to protect yourself in a full range of areas. This includes recognize the need to protect yourself in full range of areas. This includes both unforeseen events close to home, the fallout from financial both unforeseen events close to home, the fallout from financial market conditions that might seem far away. Your CPA financial planner can: market conditions that might seem far away. Your CPA financial planner can: Point out areas of your plan that would be most susceptible to risk Point out areas of your plan that would be most susceptible to risk Describe the types of risks in your investment portfolio Describe the types of risks in your investment portfolio Suggest ways to manage risks avoiding, reducing or sharing Suggest ways to manage risks avoiding, reducing or sharing Help quantify the impact of loss of income or assets Help quantify the impact of loss of income or assets The point isn t to be afraid; it s to have a plan in place that offers as much The point isn t to be afraid; it s to have plan in place that offers as much protection as you need to weather a storm. And who better to talk about protection as you need to weather storm. And who better to talk about risk in a clear, levelheaded way than an objective CPA financial planner? risk in clear, levelheaded way than an objective CPA financial planner? Meeting With Your CPA Financial Planner Creating a relationship with your CPA financial planner is similar to establishing a trusting relationship with other professionals on whom you rely for sound, objective advice, such as a doctor or attorney. You will want to find a CPA financial planner who can best protect your interests, listen to address your concerns, equally important, make you feel comfortable valued. It all begins with your first meeting. Here is what you can expect: Scope of Services. When you schedule an appointment, he or she will ask you to explain the type of services you need your scope of services, also called an engagement. Examples include tax preparation, financial planning investment management. Required Paperwork. Your CPA financial planner will ask that you bring specific records other documents with you to the meeting. The type of documents will depend on the engagement. Providing the proper paperwork will allow your CPA financial planner to better underst your situation, ensure a productive meeting. Cost of Services. Once you have met discussed the engagement, your CPA will provide you with an engagement letter summarizing the services the scope of work to be performed. It also will discuss the terms of payment depending on the type of engagement. A CPA A who CPA is who also is a also financial a Personal planner Financial is an Specialist ideal position is in an to underst ideal your current position financial to underst position, your current specially financial trained position, to help you prepare specially for the future trained as to well help providing you prepare objective, for the independent future as well advice providing so you can make objective, informed decisions. independent advice so you can make informed decisions. As you As start you thinking start thinking about about putting putting together together a plan a for plan your for family your family or small or business, small business, think about think turning about to turning the person to the who person can who work can with work you to coordinate with you your to coordinate total financial your situation. total financial And situation. help you craft And help a plan you that s craft CPA a Strong. plan that s CPA strong. What are a CPA s qualifications? CPAs qualifications make them the trusted professionals who are best prepared to meet all of your personal or business financial tax planning needs. CPAs must: Hold an undergraduate degree Complete, generally, up to 150 hours of career-focused education Pass a comprehensive, rigorous four-section, qualifying examination Meet strict state-licensing guidelines Fulfill generally 40 hours of continuing professional education each year Adhere by a code of professional ethics A CPA financial planner builds on this strong foundation with additional knowledge experience making them uniquely to address your financial needs. 6 7 11457B-302_CFF Revised CPA Brochure-PS.indd 6-7