Compound

We’re thrilled to welcome three seasoned leaders as we continue empowering next-gen advisors to deliver a modern planning experience that today’s clients deserve. Meet Eric Flynn, CFA, CPA, our new EVP, Head of Wealth Management, Marc Primiani, our General Counsel, and Brent Myers, who’s leading the charge as Head of Advisory Operations. Adding accomplished leaders like Eric, Marc, and Brent strengthens our commitment to supporting next-generation advisors who want to grow, maintain autonomy, and serve their clients with the backing of leadership that knows the industry but isn’t bound by the status quo. For our clients, these leaders bring decades of expertise serving entrepreneurs, professionals, families, and retirees—at every stage of their financial journey. We’re here to help you protect and grow your wealth with personalized solutions designed to meet your unique needs. “Eric, Marc, and Brent bring invaluable experience and strategic insight to Compound Planning at a critical time in our growth journey,” said Christian Haigh, Co-founder and CEO of Compound Planning. “Their expertise and leadership further validates the value that our AI and tech-enabled platform brings to advisors and their clients. We are thrilled to have them onboard as we continue to build the operating system for 21st-century wealth management.” With over $2B in AUM and recognition as one of the nation’s Top RIAs, we’re transforming how wealth management services are delivered. Want to learn more? Head over to the newsroom for all the details: https://lnkd.in/ePSJNPVb

Unlike an associate's paycheck, a partner's income is tied to the firm’s profits. Here are the top cash flow management strategies to navigate the uncertainty and fluctuations: → Prioritize your essential expenses and aim to build an emergency fund with 6-12 months of living costs. → Consider setting up a personal line of credit as a buffer during lean months. → If your firm offers monthly or quarterly draws, use them to create a more predictable income stream. → When higher distributions come in, prioritize savings and paying off student loans. Navigating these changes will give you the financial security to thrive in your new role. For detailed insights on managing your finances as a law firm partner, explore our Manual.

As a partner, proactive planning is a must to minimize taxes and avoid surprises. Here are the most critical areas you have to address: → Project your total income, including partner distributions, and make quarterly tax payments. Cover 90% of your current tax year’s liability or 110% of the previous year’s to avoid penalties. → Many partner expenses, like travel or continuing education, are deductible—be sure to capture every eligible deduction. → Consider using the annualized income installment method to calculate quarterly payments based on your actual earnings, not estimates. → Be mindful of deduction phase-outs and AMT if you’re dealing with long-term capital gains or stock options. Strategic tax planning helps keep your liability low and your finances on track. How do you plan your taxes? Comment below.

If you want to retire early, you should plan for 30-40 years of savings for your golden years. But leaving the workforce early demands planning most attorneys overlook... Retiring ahead of schedule isn't just about hitting a savings target. It's a complex financial puzzle that requires strategic planning. Here's what you need to consider: → Healthcare costs can easily exceed $20,000 annually before Medicare eligibility at 65 - you'll need a robust plan to bridge this gap. → Social Security benefits increase by 8% for each year you delay claiming between ages 62 and 70 - early retirement means forfeiting this guaranteed income boost. → Market risk is heightened with a longer retirement horizon - a downturn in your first few years of retirement can deplete your portfolio faster than expected. To mitigate these challenges, consider implementing a "glide path" approach by gradually reducing your workload over several years, allowing you to: → Ease into retirement lifestyle → Continue building your nest egg → Train your successor and ensure a smooth client transition Early retirement is achievable, but it demands thoughtful planning beyond a savings strategy. Are you considering an early exit from your legal career? What strategies are you employing to make it a reality?

AMAZING first day of Young Partners Accelerator! Thank you to our faculty Marlon Lutfiyya, Andrew Gilbert, Meredith Kirshenbaum, Erin Mayer, Jeremy Gresham, Reed Nothwang, CFP®, Andy Park and Eduardo José Paiz Cerezo. Special thanks to Compound for sponsoring the day! Legal Talent Advisors LLC and Bolder Legal Consulting Group are proud hosts of this event.

As a partner in your law firm, your compensation structure, tax obligations, and even your role in the firm's overall financial health will change dramatically. Here are a few strategies to manage your cash flow and keep more of what you earn: → Defer a portion of your income with deferred compensation plans to lower current tax burdens—but stay aware of your firm’s financial health. → Use asset location strategies to minimize taxes by holding tax-efficient investments in taxable accounts and high-growth assets in Roth accounts. → Take advantage of Roth conversions during lower-income years for future tax-free withdrawals. → Leverage Supplemental Executive Retirement Plans (SERPs) to boost your retirement savings, though be aware of access restrictions. → Fully utilize cash balance pension plans for guaranteed retirement income beyond your 401(k). → Max out your 401(k) contributions, including catch-up, to hit the $76,500 limit with employer matches. For a deep dive into these strategies and much more, head over to our new Manual for Law Firm Partners: https://lnkd.in/gADBJ5Ax

As a newly minted law firm partner, gone are the days of W2 income and automatic tax withholding. Here's how to avoid an unexpected, massive tax bill and keep your finances on track... → Project your annual income and set aside 30-40% of your gross earnings for taxes - this will help you cover quarterly tax payments and avoid penalties by meeting at least 90% of your current year's tax liability. → Track your income and expenses diligently - expenses like professional dues and education that were once reimbursed are now your responsibility and can be deducted. → Consider using the annualized income installment method to base your quarterly tax payments on actual earnings - this method is advantageous if your income fluctuates. → Maximize deductions and watch for the personal exemption phaseout (PEP) and Pease limitation as your income grows - work with a CPA to optimize your retirement contributions and leverage the QBI deduction. If you're an attorney and want to learn more about this, drop a comment below 👇 Head over to the Manual for more. https://lnkd.in/gADBJ5Ax

As an attorney, your days are filled with advocating for clients, interpreting laws, and handling the demands of a fast-paced legal career. Whether you're navigating the financial transition from associate to partner or preparing for a well-earned retirement, managing your personal finances often takes a back seat. You know that strategic planning is key—both for your career and your personal life—but balancing cash flow management, tax strategies, and retirement planning can feel overwhelming with your back-to-back-to-back schedule. We get it. That's why we created a new Manual to help you on your path from associate to retirement: https://lnkd.in/gADBJ5Ax

Join Tim Hamilton, CFP®, CIMA® for a Compound Conversation featuring our new Head of Wealth Management, Eric Flynn, CFA, CPA and General Counsel, Marc Primiani, JD. 📆 Date: Thursday, September 26th 🕚 Time: 2 pm ET / 11am PT Whether you’re a client of Compound Planning or you’re interested in learning more about our company and services, this conversation is the perfect opportunity to: → Meet two of our newest leaders who bring decades of experience and strategic insights to our rapidly growing firm → Hear from Marc and Eric about their experiences growing successful companies and what attracted them to Compound Planning → Learn what’s new with our Personal Wealth Dashboard and how these updates enable our advisors to drive exceptional client experiences RSVP here: https://lnkd.in/egqx7JxC

Relocating from California doesn't eliminate taxes on previously granted equity. But it can significantly reduce your liability if you understand these factors: → With ISOs, your California AMT adjustment decreases the longer you live outside the state before exercising. → For NSOs, California taxes the bargain element as ordinary income. If granted equity as a CA resident, then move & exercise elsewhere, CA still taxes based on time as resident from grant to exercise date. → For RSUs, as with NSOs, California's claim on your vesting income diminishes over time after relocation. The key is understanding the time-based calculation. For all equity types, California's taxable portion is: (Work days as CA resident) / (Total work days from grant to exercise or vest date) Here’s an example: You're granted 5,000 NSOs in California on January 1, 2024, with a $1 exercise price and $11 fair market value. You move to Texas on June 30, 2024. The total exercise gain is $50,000 (5,000 x ($11 - $1)). If you exercise in 2024: 49.59% of your income is California-taxable (181/365 days = $24,795) If you wait until 2026: Only 16.53% is California-taxable (181/1095 days = $8,265) This timing difference results in $16,530 ($24,795 - $8,265) less income subject to California taxes, potentially saving thousands in state taxes depending on your tax bracket. The same principle applies to ISOs and RSUs, though the specific calculations may vary. In all cases, the longer you wait to exercise or vest after moving, the less California can tax. For a deep dive into all the factors affecting your equity's tax treatment when leaving California, including state-specific considerations and more detailed examples, check out the complete Manual on our website. #taxplanning #wealthmanagement https://lnkd.in/e2qjwPK6