The Importance of Planning

Smart planning for taxes is a vital part of any financial plan. The tax impact of your investment gains, charitable contributions, education funding, retirement contributions or retirement plan withdrawals should be reviewed often. We strive to reduce your tax burden by focusing on your individual situation and how tax laws impact you.

We Will:

• Review tax impact of your investments
• Explore strategies that reduce your tax liability
• Coordinate allocations among various accounts
• Prepare for the impact of future taxes
• Focus on deferral or reduction of income tax
• Create effective strategies to limit the impact of estate taxes
• Utilize Deferred Retirement Savings and Deferred Education Savings (529) Plans

Estate Planning:

What Matters to You

You have worked hard to accumulate your wealth; chances are you care about how it is transferred during life or upon your death. We work with attorneys to help you implement your plan in a cost-effective and tax-efficient manner. We explore what is important to you and your family and then offer solutions.

Whether your goals include estate preservation, tax reduction, business continuation or caring for grandchildren, we can outline which techniques make sense. We believe our candid approach to wealth transfer provides our clients with a greater sense of comfort with how their estate with be handled.

Wealth Transfer Strategies:

• Gifting
• Living Trusts
• Family Limited Partnerships
• Irrevocable Trusts
• Special Needs Trusts
• Charitable Trusts
• Personal Residence Trusts
• Advance Medical Directive
• Durable Power of Attorney
• Permanent Life Insurance

Important Articles: 

• 5 Tax Tips For Millennials - And Others Who Want To Lower Taxes
• How The Tax Cut And Jobs Act Can Help The Middle Class Retire
• How Tax Reform May Impact Near Retirees And Retirees
• 8 Financial Tips To Help Manage The Death Of A Loved One

Everyone Already Has An Estate Plan

This may be a surprise but no one needs to create their own documents to have an estate plan. Your state of residence already has one set up for you! That is why we discuss these sensitive issues. Many people believe that after working so hard for their money they should determine how assets should be distributed at death. Having a customized plan in place may also reduce probate costs, estate taxes and family friction. Once you determine your goals, we work closely with local attorneys and national law firms who can draft your documents.

Why Pay More Taxes?

After paying income taxes, sales taxes, property taxes, and other fees, etc., many clients want to reduce taxes on their investments. In recent years the tax burden has grown - including the investment surtaxes in the Affordable Care and Patient Protection Act. We consider ways to structure portfolios and strategies that can help reduce your tax liability. And we can discuss ways to benefit from lower dividend and capital gains tax rates. In addition, we can utilize lower cost tax-deferred annuities. For each unique client situation, we review all investments and explore alternative structures that may reduce the tax burden.

Potomac Wealth Advisors, LLC does not provide legal or tax advice. You should consult a legal or tax professional regarding your individual situation