How to Find a Tax Strategist for Your Investments in 2024

As an investor navigating today’s volatile markets, protecting your wealth against tax and economic headwinds is crucial. That’s why you need a financial professional to help you build a tax-advantaged investment portfolio.

This article provides a practical guide for investors like you seeking expert guidance on how to find a tax strategist. We’ll walk through best practices for conducting due diligence, evaluating credentials and experience, and assessing fit.

With the right tax strategist, you can invest confidently in 2024 and beyond. Follow our advice to find a trustedn tax advisor. We’ll also share how our firm, Wellings Capital, leverages commercial real estate investments to deliver strong returns not correlated to stock markets.

What Is a Tax Strategist and Why Do You Need One in 2024?

Tax strategists are financial professionals who specialize in tax planning and compliance. They have an in-depth understanding of the complex tax code and stay up-to-date with frequent changes in tax laws. Tax strategists provide advice and strategies tailored to your unique financial situation to help minimize your tax liability legally and ethically.

Why You Need a Tax Strategist in 2024

The 2024 tax reforms can significantly impact your tax burden. A tax strategist can help you navigate these changes and take advantage of any new opportunities to optimize your tax savings. They keep track of the latest updates, interpretations, and guidance on tax laws, so you have an expert on your side.

How a Tax Strategist Can Help You

A tax strategist offers both tax compliance and planning services. For compliance, they can prepare and file your tax returns to ensure accuracy and maximize your deductions and credits. For planning, they analyze your income, investments, business interests, and estate to develop tailored strategies that align with your financial goals.

Some of the ways a tax strategist can help include:

• Identifying tax-advantaged investment opportunities like retirement plans, college savings plans, and health savings accounts.

• Structuring your estate and gifts in a tax-efficient manner.

• Reviewing your tax withholdings and making adjustments to avoid penalties.

• Advising you on the tax implications of life events like marriage, divorce, or job changes.

• Recommending entity structures for your business to optimize tax benefits.

• Identifying tax credits and incentives you may be eligible for.

Utilizing a tax strategist allows you to focus on your financial priorities with confidence, knowing you have an expert managing one of the most complex areas: your taxes. Their guidance can lead to significant tax savings and help you make the most of new tax laws in 2024 and beyond. But how do you find the right tax strategist? Continue reading to learn more.

How to Find the Best Tax Strategist for Your Needs

To ensure the best result, you need a tax strategist with experience to back their claims and essential skills to navigate the tax terrain.

Here are some considerations:

1. Check credentials and experience.

2. Understand their services.

3. Compare fees.

4. Discuss communication.

1. Check credentials and experience.

The most important step is verifying credentials and experience. Search the IRS Directory of Federal Tax Return Preparers for certified public accountants (CPAs), enrolled agents (EAs), and tax attorneys in your area. Compare credentials, years of experience, specializations, and client reviews. For complex tax situations, look for a CPA or tax attorney with at least 5–10 years of experience.

2. Understand their services.

Not all tax professionals offer the same services. Tax preparation professionals typically handle filing returns, while tax strategists focus on minimizing your tax liability through income, deduction, and credit planning. For investors, tax strategy services are invaluable to minimize tax liabilities. Ask candidates about the scope of their services to find one suited to your needs.

3. Compare fees.

Fees vary widely depending on credentials, experience, and services.

CPAs and tax attorneys typically charge $200–550 per hour. On average, you can expect to pay between $3,500 and $4,500 to settle tax disputes. Those who provide tax strategy services may charge flat fees or hourly rates.

Compare fees from multiple candidates to determine a fair price range based on your needs before signing an agreement.

4. Discuss communication.

Effective communication is key to a good working relationship with your tax professional. Discuss their preferred communication channels and availability to answer questions before and during tax season. Look for someone willing to clearly explain what tax strategy is, not just give you a quick answer. Strong communicators can save you time and frustration in the long run.

With the right tax strategist on your side, you’ll feel confident that your returns are filed accurately and your tax bill is as low as legally possible. Taking the time to find a great match for your needs will be well worth the effort. One way to ensure this is to hire a professional with the right set of skills.

Five Key Skills to Look for in a Tax Strategist

When evaluating candidates for a tax strategist role, look for the following key skills:

1. Advanced Tax Knowledge: An effective tax strategy pro must have an in-depth understanding of every tax law and regulation and stay up-to-date with frequent changes to codes and rules.

2. Strong Research and Analysis Skills: It is crucial to research complex tax legislation and analyze its options and impacts. Your strategist should think critically about your unique situation to develop customized solutions.

3. Technological Proficiency: Mastery of tax software, platforms, and digital tools allows a tax strategist to work efficiently and ensure accuracy. They should leverage technology to simplify processes and access the latest resources.

4. Communication Skills: A tax strategist must be able to explain complex tax concepts and strategies clearly and understandably. They need to listen to your concerns and questions and then provide responsive answers and recommendations. Strong writing skills are also important for articulating tax plans and positions.

5. Negotiation Skills: The ability to negotiate the best outcome is invaluable when dealing with tax authorities. An adept tax strategist can make a persuasive case to achieve optimal tax deductions for their clients. They should aim to resolve issues cooperatively while protecting your interests.

With tax policies in flux and markets facing uncertainty, partnering with a tax strategy consultant who demonstrates these key skills provides reassurance. Their expertise and guidance can help you make the most of investment opportunities in a tax-efficient manner. Conduct tax strategy pro reviews to assess which candidates have the optimal combination of knowledge, abilities, and experience to suit your needs. With the right tax strategist on your team, you’ll have confidence your financial decisions are backed by sound tax planning.

At Wellings Capital, we believe an effective investment strategy goes beyond lowering taxes. It involves investing in tax-efficient assets that are equally recession-proof. Continue reading to learn more about how to lower your tax bills through proper investment.

Four Tax Strategies Beyond Just Lowering Your Tax Bill

Focusing on tax-efficient asset classes will allow you to save valuable time and consultation fees while maximizing your returns.

Here are some investment strategies that have historically withstood recessions while providing tax advantages:

1. Invest in commercial real estate.

2. Work with a private equity firm.

3. Consider a 1031 exchange.

4. Explore investments in publicly traded REITs.

1. Invest in commercial real estate.

Commercial real estate is an asset class that typically performs well during economic downturns and recessions. The stable, long-term leases of commercial properties provide steady cash flow and income, even when other investments struggle. Investing in commercial real estate also provides significant tax advantages, such as depreciation deductions, interest expense deductions, and deferred capital gains.

2. Work with a private equity firm.

To invest in commercial real estate, you should work with a private equity firm that specializes in real estate. Firms like Wellings Capital have the expertise to identify high-quality, income-producing properties and structure investments to maximize tax benefits for investors. We take care of property management, leasing, accounting, and reporting so you can earn attractive returns with less hassle. Get started today to evaluate if investing with us is right for you.!

3. Consider a 1031 exchange.

A 1031 exchange, also known as a like-kind exchange, allows you to sell a property and defer paying capital gains taxes by reinvesting the proceeds in a new property within 180 days. This tax-advantaged reinvestment strategy lets your money work harder for you over the long run.

4. Explore investments in REITs.

Real estate investment trusts or REITs provide an easy way to invest in real estate. REITs own and operate commercial properties and pass-through income to investors. REITs are publicly traded, so you can buy and sell shares through a broker.

Some REITs also qualify for special tax treatment. Mortgage REITs that invest in real estate mortgages and loans, for example, typically distribute tax-advantaged dividend income.

Using advanced business tax strategy, working with experienced professionals, and selecting investment vehicles tailored to your needs can help you make the most of your money while minimizing your tax liabilities. Keep your eyes open for opportunities beyond just reducing your annual tax bill. With the right approach, you can build wealth in the long run in a tax-efficient way.

Get in touch with us at Wellings Capital to learn more.!

Frequently Asked Questions

What type of commercial property is most profitable?

The profitability of commercial properties varies based on market conditions, location, and management. All commercial real estate property types have been profitable at one point or another, depending on many factors such as acquisition price. We like multifamily properties, self-storage facilities, mobile home parks, RV parks, and a few other asset types because they have historically been profitable through past recessions.

Is commercial real estate better than stocks?

Commercial real estate offers steady cash flow, potential tax benefits, and tangible asset value, providing a hedge against inflation. It's less volatile than stocks but requires significant capital and management. Stocks offer liquidity, ease of diversification, and potential for high returns but come with higher volatility and market risk. The choice depends on your investment goals, risk tolerance, and time horizon. Combining both can balance risk and return in a diversified portfolio.

How do investors make money in commercial real estate?

Investors make money in commercial real estate through:

1. Rental Income: Regular cash flow from leasing space to tenants.

2. Property Appreciation: Increased property value over time due to market demand, improvements, and favorable economic conditions.

3. Tax Benefits: Deductions like depreciation, mortgage interest, and operating expenses reduce taxable income.

4. Value-Add Strategies: Enhancing property features or management to increase rental income and property value.

5. Leverage: Using borrowed capital to increase potential returns on investment.

These strategies provide multiple income streams and growth opportunities.

Conclusion

You now have a clear roadmap on how to find a tax strategist to protect and grow your wealth in 2024 and beyond. It’s crucial to partner with a taxn advisor who understands both sides of the investing equation — minimizing taxes while maximizing returns. Wellings Capital has a proven track record guiding clients to smart commercial real estate investments that provide stable cash flow and tax benefits.

Reach out for a free consultation to start crafting your personalized investment plan today.