Only 1% of financial advisers completely embrace fee-only service

Posted 2 CommentsPosted in Financial Planning

PriceMetrix research consultants report that only 1% of financial advisers have completely converted to fee-based services. 99% cling to the older commission-based approach despite overwhelming evidence that clients are surging to fee-based approach. I am quite surprised by this study; other indicators led me to believe that as much as 5% of financial advisers, especially […]

Comments on “Know Who to Trust” editorial about financial advisers

Posted Leave a commentPosted in Financial Planning

Today I had an email exchange with a CPA who commented on the editorial I recently posted in CBSPhilly on the issue of establishing a basis of trust with a financial adviser. Sometimes these little bits of encouragement make all the difference so I compiled and re-posted the email conversation here as an ego reward […]

The value of financial planning

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New study reveals significant differences between “planners” and “non-planners” This except that I’ve annotated below comes from “Accounting Today” July 23, 2012 article titled “Families with Financial Plans Manage Money Better” includes some powerful data in support of the value of financial planning across all income levels: Families who have prepared a personal financial plan report more […]

notes / updates on 412(i) pension plans

Posted Leave a commentPosted in Financial Planning, Tax Planning

Following is an unformatted dump of research notes. For a few complete articles see IRS code:  links to applicable Revenue Rulings 1_412e3 – Beyond the Basics.ppt downloaded MassMutual powerpoint presentation Requirements for “Separate Agreements” for §412(i) Pension Plans This article discusses the information that must be included in the “separate agreements” […]

Medicare premiums are tax-deductible

Posted Leave a commentPosted in Financial Planning, Tax Planning

Medicare premiums are officially tax-deductible. Portions are highlighted for implication in tax planning. (The grammatical error in the final paragraph is reproduced as found). This excerpt comes from Journal of Accountancy: “Explaining a recent reversal of a long-held IRS stance, the Office of Chief Counsel advised IRS attorneys on Friday that self-employed individuals may deduct […]

Average salary of non-public CPAs and billing rate of public practice CPAs

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Two surprising statistics from “Accounting Today”: – Average salary of a managerial CPA in private industry was $139,338 in 2011. – The average billing rate for a small business CPA is $165 per hour. Apparently this includes everyone from entry level associates to partners. I suspect that both figures would be lower in South Jersey and higher in […]

MassMutual sets the pace for retirement plan services

Posted Leave a commentPosted in Employee Benefits, Financial Planning

Congratulations to my brother, John Novak, who has been a leader at MassMutual Retirement Services for many years. Since long before we were born, MassMutual has been one of the top financial companies to consider for a wide range of business and personal financial services. Apparently even more people are realizing this over the past two years as so […]

What do planners and accountants expect from each other?

Posted Leave a commentPosted in Financial Planning, Uncategorized

This topic is important to me as I revisit the issue of finding referral partners to trade tax and auditing work for planning work. Article abstract from “The Planner Connection”: One surprising finding in a survey of CPAs across the country was that advisers have several common misconceptions about CPAs that may create unnecessary problems or […]