You Find the HNWs – We’ll Make the Case for You!

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There’s an old story about the moving men who had no trouble getting the grand piano onto the front porch but couldn’t get it through the door into the living room.  It is a pretty funny tale, but I don’t have time to elaborate now.

Only to say, that advisors often encounter a similar circumstance when they have the ear of a high-net-worth client, but don’t know  quite how to proceed with a plan for them to save, literally, millions of dollars in estate taxes before the lifetime exemption drops by 50% at the stoke of twelve on January 1, 2026.

Because proper planning can save your wealthy clients so much money, and because the unavoidable tax liabilities can be funded easily and economically with life insurance, this is one piece of furniture you want “in the house!”

And we will help it happen by clearly addressing with you and them all the common questions most have concerning “high exemption planning,” all to prepare for the eventual meetings with tax advisors and legal counsel – and all before it starts costing anyone any money! 

We know they will ask. . .
  • How much can using the full high exemption really save me?  We will simply and clearly show how the $13,610,000 exemption can save your client over $4,000,000 in taxes in 20 years versus the reduced exemption after 1/1/2026.  Both exemptions can save a married couple almost $9,000,000!
  • What if I gift the full exemption and Congress chooses not to have it reduced?  We will explain how simply loaning the assets to an irrevocable trust allows your client to easily reclaim them if the exemptions aren’t lowered.  If the reduction is to occur the debt can be forgiven and the assets are removed immediately from the taxable estate.
  • Do I have to give up control of the gifted property?  We will explain the common practice of holding assets in a Family Limited Liability Company with voting and non-voting interests.  Your client simply gifts the larger non-voting portion while holding onto the voting share and retaining complete control of the FLLC.
  • Can the benefits of any gifted property be retrieved if needed later?  Yes, if your client is married. We will explain how the assets can be transferred to a trust in which the spouse has a lifetime interest with broad access, if needed, but not have them includible in either spouse’s estate at death.

The prospects are single clients worth north of $7,000,000 and married couples with a combined net worth over $14,000,000.  Make an appointment with us to get on a conference or Zoom call with your high-net-worth clients.  Contact Tom Virkler about arrangements at 706-614-3796 or tom@cpsadvancedmarkets.com.

For What It’s Worth:  Concert grand pianos are the largest moveable musical instruments.  They reach 9-1/2 feet in length, weigh up to 1400 pounds and usually cost between $100,000 and $200,000.  Despite it being a small and simple upright model, Sam’s piano from the movie Casablanca was auctioned in 2014 for $3,410,000.