by Kevin Slater, CEO, Lead Advisor, CFP®
A First Lesson in Taxes
When my oldest daughter was eight, she made her first major purchase using her own money: a skateboard. She also got her first lesson in sales tax as the sale price turned out to be much bigger (10.1%!) than the sticker price.
She burst into tears right there at the register. Sobs soon gave way to cries of unfairness and pleas for someone else to pay her taxes. Hearing that taxes paid for sidewalks and streets she used was of no consolation. Eventually, she calmed down, paid the bill, and joined the mass of disgruntled taxpayers.
Taxes.
It’s amazing that a single word can evoke so many strong feelings. Drop that word into a conversation and it’s like a squirrel running through the dog park; any sense of peace and joy vanishes. It can simultaneously boost the blood pressure of a group of any size. It can somehow unite bitter enemies and divide the best of friends. On top of that, taxes have somehow made April 15 a sort of national anti-holiday.
Why the Details Matter
While conversations about taxes might best be avoided at family gatherings, it is not a topic we can ignore. Due to the complexity of our tax systems, taxes can show up in unexpected places and in surprising amounts. And the amount, rate, and timing of taxes owed can have a negative impact on your long-term financial sustainability.
Clarity Without Drama
This fall, we are going to take a sober look into your taxes. We aim to bring clarity without drama. We will focus on taxes over which you have some level of control and formulate a long-term plan to manage them.
We hope we can both save you money and help you avoid any tax-induced tears.