Broker Check

End of Tax Season Letter

May 09, 2018

Dear Client,                                                                                                                                               May 2018

Tax Season is behind us, Extensions are ahead for October. We are thankful for many new clients (which we accept only by referral from our current clients) and are looking forward to establishing long-term relationships. Our client base extends from Washington State to Pennsylvania, from Florida to Michigan. We also have many Non-U.S. based clients; including missionaries and employees on assignment overseas. Overall it was another year of growth and blessings.  

We enjoyed meeting with our clients during Tax Season. The time is rushed, but so worthwhile. We have some clients that work with us by mail and Internet due to distance, but we sincerely value time with clients. We thank you for allowing us to work with you in your financial life.

Thoughts from the past tax season that we would love to discuss further in a free ½ hour meeting with you:

  • Our Secure Portal was a big help this year in exchanging information with clients.
  • More clients elected to receive the finished product of their Tax Return by way of the Secure Portal.
  • Scams are still happening. We have heard many reports about scams, both Email and Phone.
  • Back-Door Roth and regular Roth IRA Accounts are being used by more clients (Tax-Free growth is great!)
  • Treasury Department I-Bonds are one of the biggest secrets out there. (Rates are based on inflation).
  • The 20% Pass Through Deduction is a great thing for certain business owners with the new tax plan.
  • The Stock Market has been volatile but also profitable for many clients. Long-Term Thinking is good.
  • We asked every client to look at the wall and apply the 5 Steps of Financial Soundness to their lives.
  • Clients have regretted buying timeshares and Annuities.
  • You can save almost 5% on College Tuition (even for current students).
  • When Bond Interest Rates go up, Current Non-Inflation Bond Values go down.
  • RMDs have to be taken after 70 ½ of age or there are big penalties.
  • When a file is downloaded to your computer, look at where it is stored, don’t download multiple times.
  • A Donor Fund is a great tax planning tool.
  • Bunching deductions into one year can be tax-effective.
  • Long Term Care is expensive. But there are solutions and options. This can be a big help to you.
  • Clients like our newsletters and like the fact that we try to educate and partner with them.
  • Giving directly from your IRA by way of a QCD (Qualified Charitable Donation) is a Great Idea!
  • People are amazed at how much health insurance costs when they leave their jobs or in retirement.
  • More business clients are offering SIMPLE Retirement Accounts.
  • Illinois has lowered the cost of establishing a LLC Entity.
  • P&L will only offer discounts prior to February 28th during Tax Season.
  • P&L will not meet with clients after March 31st. Drop offs will be charged an April Premium charge of $100.
  • E-File forms must be returned promptly by clients. Funds will not be withdrawn before agreed date.
  • Non-Monetary giving can be very beneficial but people must follow the rules regarding documentation.
  • Compounded Earnings is one of the most powerful force in the universe per Albert Einstein.
  • HSAs are a great tax savings tool and can be a great long-term investing idea with proper planning.
  • Employer Matching = Free Money. Don’t miss out! Employer Retirement plans are powerful for your future.
  • Budgeting and working with a financial professional are key to long term financial wellness.
  • Now is the time to start, it is not too late, yesterday is gone. Move forward, make good things happen.      

Please Meet with Us Outside of Tax Season: - In addition to being licensed as a CPA, Paul is a Personal Financial Specialist (PFS) which is an AICPA special designation and Securities licensed (Series 7 & 66) and Insurance (Health, Life & LTC). Dave Chess, CPA is also Securities licensed (Series 7 & 66).

We encourage clients to contact us before any major financial dealings. It is easier to consult rather than fix problems afterwards. We love working with clients as they organize their financial lives. It is exciting to watch clients experience growth. Now is a great time (outside of the rush of Tax Season) to get together and discuss important financial matters, please set up an appointment for a free ½ hour confererence.

We enjoy working with you and your family and wish you all the best. Thank you for being a P&L client. We sincerely value and appreciate you!

Paul,CPA/PFS & Linda Dillman, Leisa McNamara,CPA and Dave Chess,CPA and Jessie Insalaco