The deadline for filing your taxes is quickly approaching.  Do you have all of the right information for saving yourself on taxes?  Watch this video--  Roger explains how deductions may not always save you on taxes and what your better options may be.

...don't call the IRS and ask them to mail you a coupon!  But it is a valuable concept that could benefit you.

With the Tax SuperSheet, only offered with FFP Wealth Management, you could take advantage of a "Tax Coupon".  Don't wait until it's too late-- let FFP help you figure out what your picture will look like throughout the year to see if you can create tax-free income so that you can have additional savings at tax time! See more HERE

 Every decision you make about your investment strategy has tax implications.  Some decisions may look like a sensible move today but can prove disasterous come tax time.  Well tax time has arrived!

The Tax SuperSheet™ is a proprietary tool created by
FFP Wealth Management that allows our advisors to provide a simple way to illustrate the tax implications of any proposed strategies. This empowers our clients to make decisions after being fully informed rather than on a guess.
 

Before you file your taxes, let our financial experts assist with maximizing your return.  http://ffpwealthmanagement.com/pages/TaxSuperSheet/

FFP Wealth Management is pleased to announce that we have partnered with Schwab Institutional as an additional custodian of the funds under the management of our firm. Schwab Institutional is a division of Charles Schwab & Co., Inc. and has served investment managers for more than a

This is a great follow up article about Roger and his Leave Wisely – Inherit Wisely workshop that was written for the Dow Jones Newswires!

http://financialadviserblog.dowjones.com/

In the opinion of FFP Wealth Management, the recent run up in the market runs contrary to the current financial condition of the world.  We believe that the stock market is due for a significant correction.  As a result, FFP continues to hold onto cash in client accounts while the markets assess the real risk of the European Crisis.

Here is an interesting article written for financial advisors that talks about the disconnect between estate planning for a client and the heirs of that client.  
FFP Wealth Management has been way ahead of the curve on this issue.  The estate plan is only half of the equation when you are talking about tax liability because inherited retirement plans retain the income tax liability after the owners death.   One person could have 4 heirs with 4 completely different income tax situations.  The heir ABSOLUTELY needs to understand their income tax situation before they inherit any monies so that the best tax strategy can be implemented.  
That means an estate plan should include a meeting with the potential heirs and getting to know their situation BEFORE the time comes when that inheritance is realized.  It also means heirs should sit with a qualified fiduciary to help them determine the best strategy prior to accepting an inheritance.  

Heirs article here 

What should you be doing now.

Energy Tax Credits Expiring in 2011 - Credits need to be claimed in the year in which they are purchased. The following forms must be filed by April 15th, 2012. IRS Form 5695: If you have made qualified energy efficient or renewable improvements to your house (nonbusiness)...

Read the full article HERE

The current debate in Europe is how to use the European Financial Stability Facility (read “European Bailout Fund”).

The fund currently holds 440 billion euros (600 billion USD). Because 440 billion euro is seen as inadequate for Europe’s degree of debt, and because it is difficult for many countries to increase their contributions to the fund, officials have been debating ways to leverage the fund’s power...

Read the full article HERE

Are you a giving person?

Charitable contributions can significantly lower your tax bill, and there are many different strategies available to take advantage of this tax benefit...

Read the full article HERE

To increase connectivity with clients, we have recently made major updates to our website.

The first thing we hope you notice is that it looks better. But along with aesthetics, the main purpose of the update was to make the site more engaging to clients. You will notice the “Articles” and “Blog” tabs on the homepage. These sections will be updated regularly with economic news stories, tax code changes, info on FFP developments, and general commentary...

Read the full article HERE

A recent article posted on cnbc.com (Retirement and You 2011 - Pay Off Your Mortgage?) suggests that retirees should reconsider paying off the mortgage and suggests the benefit of investing in growth and the tax break of the mortgage.  In this article you will find the typical advice from advisors who love to be quoted in the media by using “rules of thumb .”  The problem is that most of the so called  “rules of thumb”  just don’t seem to apply to many people.

Are you a giving person? Charitable contributions can significantly lower your tax bill, and there are many different strategies available to take advantage of this tax benefit.

Donations of non-cash property or shares of stock, creating a Donor Advised Fund, or exercising a Qualified Charitable Distribution are all viable options for reducing taxes through gifts you are already planning on giving. By comparing the overall tax benefits of each of these strategies, the Tax SuperSheet illustrates which option is ideal for you.

FFP recently developed a charitable giving strategy for a retired client, with a substantial IRA, and several other income sources adequately funding their retirement. The client doesn’t require IRA distributions to fund their personal spending and were interested in donating a large sum to their favorite charity. After running the numbers through the Tax SuperSheet, we found significant tax savings in making a one time $100,000 IRA distribution to a Donor Advised Fund in the current year. By adding the gift to the itemized deduction page of the tax return we anticipated current year tax savings of $6283. But the tax savings didn’t end there. The one time distribution lowered the required minimum distribution for all following years (because there is now less money in the IRA), and thus also lowers the tax bill for all following years. We project tax savings of $11,003 for the next five years and total tax savings of $45,256 over 20 years.

Simply put, the charity received $100,000 while the client will only end up paying $54,744 for the donation over their lifetime. If you are the giving type, the team at FFP Wealth Management (with the aid of the Tax SuperSheet) is continuously developing strategies such as this to give you the most value for your charitable gifts.

Most people invest for the purpose of accumulating wealth and to make sure they can continue their current lifestyle through retirement years.  Although, what is the point of accumulating investment wealth if a large portion has to be paid out in taxes when it’s time to retire?

The Tax SuperSheet accurately calculates how much of every dollar of investment income will be taxed, and the FFP team then makes recommendations accordingly. We can predict what your yearly tax bill will be from your investments and allot tax withholding accordingly. FFP believes people should be rewarded for their decision to invest, and although we can not change the tax code, we can minimize its effects.

Think for a minute about why wills are written.  They are put in place to ensure that loved ones are cared for even after a person passes on.  A lot of thought is put into the preparation and writing of a will, but only from the side of the giver.  What about the receiver?

 At FFP, we consult with our clients to make sure that they inherit wisely. This is an important component of financial planning that is overlooked by the vast majority of advisors.

The Tax SuperSheet can help honor the intent of a will by making sure that the inheritor receives the maximum value of the gift.  Often, establishing a trust can be very beneficial to heirs. By looking at trusts as well as different strategies, FFP can help you determine where to place your gift and minimize tax implications.

For example, say your heirs are middle-aged, at the peak of their careers, and thus are currently in a high income tax bracket. You have several pre-tax investment accounts and are considering options for distributing them after your inevitable passing. In this case, the Tax SuperSheet might reveal that these investments should be named to a trust rather than distributed directly to your heirs. Using trusts allows the distribution to your heirs to take place over several years (keeping them within the same tax bracket) rather than distributing it all at once and bumping them into the next highest tax bracket. The Tax SuperSheet allows us to precisely answer questions such as a) How much each year should your heirs distribute from a trust? b) What would be the tax liability for a one time distribution? Or c) How much will using a trust save in taxes over a X year period?

Before you implement a retirement planning strategy, you should first know how your tax liability will be affected.  Traditional plans often leave that to a tax planner, and when does a tax planner get this information?  After the strategy has been implemented and the taxes are due!

 In 2008 and 2009, FFP sold stock funds and allocated client accounts into money markets, bonds, loans and high yield bonds. We correctly predicted that based on the value of the holdings, the mutual funds holding bonds would provide a combination of income and growth assuming the bond values recovered to par value (maturity value). We anticipated we would hold these investments for three to five years during the economic recovery.

The power of attorney is perhaps the most important tool a person needs to protect financial interests if a time comes when an individual is not able to act. Signing a power of attorney is absolutely critical to ensure a person’s future independence in the event of illness or incapacity. Without it, one risks having his or her affairs managed by a court‐appointed guardian, possibly a stranger, under court supervision and often without the ability to have any input. In other words, the person literally loses financial control.

What Is a Power of Attorney?

The power of attorney is the cornerstone of a financial‐management plan. It ensures that a person’s wishes will be respected if he or she is unable to act. It is a written document whereby someone is appointed to manage that person’s financial affairs in the event of illness or incapacity.

For the vast majority of our clients, a professional relationship with FFP begins with the financial planning process. Throughout this
comprehensive process we assess client circumstances, review financial goals, and propose various strategies to help meet those goals. While a financial plan from FFP includes many forward‐looking projections, these illustrations are based on information and assumptions provided at the time the plan is completed. Although we use this snapshot‐in‐time to accurately assess a client’s situation and prepare recommendations, failure to update the financial plan according to changing circumstances can have a tremendously negative result.

Hello everyone, my name is Vanessa Dualan. I was born and raised in sunny southern California. In 2006 my family decided with some persuasion from my sister‐in‐law to pack up and move to Minnesota. Our choice to leave California at the real estate peak was more for our hopes to raise a family in a slower paced environment. Since our move my oldest child has gained two siblings and a dog. One thing we are still not accustomed to and wonder if we ever will be is the winter! Every year we ask ourselves the same question, “What were we thinking?”.

Despite the fact that 65% of taxpayers believe the federal estate tax is unfair, it’s back after a one-year repeal, and it could be here to stay.¹

Some form of estate tax has been a part of the political landscape since 1797. Although it’s been repealed and reinstated many times, the federal estate tax appears to be as American as baseball and apple pie.