Sometimes, even the best spreadsheets miss the mark. That’s because investors, while typically seeking the best possible investment return, may have values or beliefs that can supersede financial recommendations that only consider hard numbers.
Many investors mistakenly believe that their income levels limit their options to qualified employer retirement plans when it comes to tax-advantaged investing. Yet, a novel strategy called a backdoor individual retirement account can help highly compensated clients save an estimated $250,000 in taxes over their lifetimes.
Firms that use interns should use the recruits to help senior planners prepare for client meetings and should take steps to ensure that the new hires engage in tangible job duties, including meetings with clients. So reports CNBC.
A new study by Vanguard concludes that advisors can add 3% to investors’ returns by following established financial strategies. The document is technical in nature and, at 28 pages in length, rather long. Yet, it can serve as a foundation for helping financial planners justify their fees and illustrate the potential value of professional advice.
Preventing identify theft is about a lot more than protecting clients’ privacy. Indeed, sophisticated hackers that breach data firewalls can use the stolen information to gain control of individuals’ financial accounts and take out loans in victims’ names. What’s more, data breaches appear to be occurring more frequently and are becoming more threatening to individuals’ financial health. With that in mind, advisors should help their clients take appropriate actions—some of which may not be commonly known—to help halt identify theft. At the same time, many Americans who use data monitoring services may be enjoying a false sense of comfort.