How to earn interest rate equivalents and pay less in tax {PFP Section}

Investors have regained interest in investing in bonds in this higher interest rate environment. In this episode of the PFP Section podcast, Bob Keebler, CPA/PFS, interviews expert Mark Fichtenbaum, JD, LLM, to guide CPA financial planners on how to give rise to interest like income while paying long term capital gain rates. They discuss:

·        How to create the economic equivalent of interest income using option strategies

·        The after-tax benefits of using option strategies versus investing in assets that create ordinary interest income

·        How to structure the option transaction to create a higher after-tax return in a safe and low risk way

·        The best scenario of using this strategy when you have clients with capital loss carry forwards

·        When this strategy may not make sense

 

For more resources related to this episode, access:

·       

• Use the slide deck to follow along with the discussion.

• The Proactive Planning Toolkit, exclusive to PFP Section members.

•        Join Bob Keebler for his year-end planning webcast on October 30th and November 13th. CPE for this webcast is included with your PFP Section membership.

 

This episode is brought to you by the AICPA’s Personal Financial Planning Section, the premier provider of information, tools, advocacy, and guidance for professionals who specialize in providing tax, estate, retirement, risk management and investment planning advice. Also, by the CPA/PFS credential program, which allows CPAs to demonstrate competence and confidence in providing these services to their clients. Visit us online at www.aicpa.org/pfp to join our community, gain access to valuable member-only benefits or learn about our PFP certificate program.

 

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