No kidding non-strip-mall estate/tax attorneys who actually know what they are doing, stay up on the changes and can actually execute when you need it are big bucks. This is one area where you get what you pay for.

 

This is good advice.

 

With the Unified Gift and Estate tax credit at just over $12.9M for 2023 ($25.8M for married couples), estate taxes are currently not a factor for the vast majority of us. However, as we well know, tax laws can and will change. Those who truly can be affected by estate tax laws aren't going to a strip-mall attorney. With that kind of $$, they have already retained a top law firm for their business and those firms offer high net worth clients estate planning as a "courtesy." (Probably a $750/hr "courtesy" but a courtesy nonetheless). 😁

 

You might consider going to your state bar's website and see if they have a Trust and Estates section (or something similar). The authors who write columns for their monthly/quarterly/annual newsletter/digest/journal are usually very experienced and well versed in their respective areas and leave their contact info at the end of the article. Many experienced attorneys who specialize in estate planning also have their LLM in tax law. Further, law firms which practice in that area usually advertise in those journals in order to receive referrals among colleagues. It is a decent place to start. Finally, if you get ahold of one of those journals, do NOT start reading unless you are somewhere very comfortable and have no expectstion of operating heavy machinery for several hours. Just sayin'

 

Genuinely just curious, what do you mean by someone who "specializes in airline pilots"?........ Are you referring to a financial outfit who can advise on the pilot specific insurance/tax end of things too along with the traditional finance side?

I personally have used the same fee only fiduciary since '07 and am very happy with their services and results. I'm relatively certain, due to my own lack of knowledge on investing/finances, insurance, estate planning, that I could not have achieved the year after year returns that they have. I could be wrong. Someone will tell me i'm wrong shortly. Same with the estate planning and insurance side of life and adulting. They advised me without getting any monetary cut of anything, what their opinion on appropriate insurance setup would be (Short term, LTD, umbrella stuff, extra ALPA packages) for a pilot/doctor household w/kids might look like. They can't directly manage my delta 401k or my wifes 401k, but I send them screen shots of the available investment options within and they tell me where to allocate all the %'s and we tweak every so often. I personally don't mind paying my 1% fee every year for this stuff.

 

There are financial advisors/planners/wealth managers who directly specialize in and market to airline pilots and also air line pilots. Finding these people may be as easy as an internet search or checking out some of the aggregator websites such as the CFP Board, XY Planning Network, Fee Only Network, and others.

I don't think you need to engage airline specific advisors necessarily, but they are worth considering.

It sounds like you have found a great advisor who has done good work for you and genuinely added value to your situation.

One point to emphasize from your post is: it sounds like you have someone who helps you with financial planning AND investment management. Sometimes these are conflated or covered under one fee, but your statements show that your advisor has given you far more service than just investment management.

 

Your best shot at getting this Venn diagram to overlap under one firm is an independent RIA. The big box brands generally don't help with tax planning.

Additionally, the CFP designation is specifically designed to address this type need. There are other professionals that can help as well, but this situation is firmly in the CFP swim lane.

Finally, a CPA may be overkill depending on your tax situation. EAs and non-CPA accountants can also help with tax advice.

Good luck with your search.

 

If you’re happy stick with them but just realize that 1% per year compounds negatively. It’s hardly anything at all early on but as you get closer to retirement it has a major effect.

https://www.planmember.com/default.cfm?pageid=304

Over 30 years that tiny 1% fee can destroy 30% of your nest egg vs having picked some “set it and forget it” index or target date funds.

 

Exactly. With that fee are they still beating the S&P? If not why are you paying them?

 

People with net worth in those ranges don't trust their estates to "hey, we can do this for you, too", even at a high dollar firm. They go out and seek a best in class firm that does THAT.

Estate & Tax law are extremely fussy, especially when you get out into the margins. What kills me is I see people setting up LLCs and claiming their kids as employees, and then "I do my own taxes". Legal, yeahhhh, maybe, but when the IRS comes knocking, with their new hire tax inspector and a system that is impossible for most people to even contact a live person, and they don't want at least a store front CPA's name on the return.