Left unchecked, taxes can erode portfolio returns, diminish disposable income, and impact wealth longevity. That’s why it’s important to think ahead when it comes to tax planning well beyond Q4 and tax day. Being tax forward year-round allows you to help your clients minimize their tax exposures, keep their wealth plans on track and proactively generate more value.

A comprehensive investment plan can help improve after-tax outcomes by coordinating asset allocation with asset location. For example, early in the year is an optimal time to discuss the types of equity awards clients have so you can build and execute a tax-efficient strategy for these assets. Mid-year, be the catalyst for planning conversations to evaluate this year’s tax reality and identify adjustments to help improve next year’s tax outcome, including the potential impact of tax law changes. In late summer, review your clients’ expected charitable donations to give you time to implement tax-smart strategies for their gifts, and don’t forget the importance of year-round tax loss harvesting to help clients offset gains with losses.

Consider mapping out an action plan to start these key conversations with your clients and prospects. Here’s a preview of monthly themes you can focus on.

Take a few minutes to explore the Eaton Vance Tax Education Center at EatonVance.com/TaxEdCenter for more useful resources to help you meet a variety of tax-forward investing needs.  

Tax-loss harvest transactions aren't beneficial in a retirement account because the losses generated in a tax-deferred account cannot be deducted.

The Firm does not provide tax advice. The tax information contained herein is general and is not exhaustive by nature. Tax laws are complex and subject to change. Investors should always consult their own legal or tax professional for information concerning their individual situation.

The views expressed in these posts are those of the authors and are current only through the date stated. These views are subject to change at any time based upon market or other conditions, and Eaton Vance disclaims any responsibility to update such views. These views may not be relied upon as investment advice and, because investment decisions for Eaton Vance are based on many factors, may not be relied upon as an indication of trading intent on behalf of any Eaton Vance fund. The discussion herein is general in nature and is provided for informational purposes only. There is no guarantee as to its accuracy or completeness. Past performance is no guarantee of future results.