Tax Planning Strategies

Our Big Picture Planning process involves looking at all the pieces of your financial puzzle, including your sources of income, short- and long-term investment strategies, and tax planning. At 360 Financial we realize that it’s not just what you make, but what you keep – after taxes – that matter. That motive is critical when it comes to saving, investing, and taking distributions from investment and retirement accounts. With careful and consistent preparation, we can help you manage the impact of taxes on your financial efforts.

At 360 Financial, we have the ability to use sophisticated planning software to assist in projecting your current and future tax brackets. This ability will help us answer the following questions:

  • Where should you save your money? (tax-deferred accounts, tax-free accounts, or taxable accounts)
  • What proportion should you save in each bucket?
  • Are there opportunities to save via a Backdoor Roth IRA?
  • Will there be opportunities to make Roth Conversions in retirement?
  • Can I take advantage of the 0% long-term capital gains rate? (see chart below)

*Source: College of Financial Planning

Furthermore, it is critical to invest in strategies that are tax-efficient. Typically, this means investments that generate long-term capital gains (favorable tax treatment) versus investments that generate short-term capital gains or unnecessary income (taxed at ordinary income rate).

When you put so much effort into earning and building wealth, it only makes sense that you accurately place the tax planning piece into your financial puzzle so you can keep as much of your wealth as possible.


Disclosure: There is no guarantee of future returns based on past performance. Asset allocation and diversification do not ensure a profit or protect against a loss. Additionally, there is no guarantee that the investment options mentioned will provide adequate income at or through retirement. This information is not intended to be a substitute for specific individualized tax advice. We suggest that you discuss your specific tax issues with a qualified tax advisor.