Retiring Executive Dallas Estate Planning Journey Robert Davenport Farther

A recently retired executive from one of the major corporations headquartered in the DFW Metroplex came to Robert Davenport at Farther with a situation that looked very positive on the surface but contained several significant planning gaps beneath it. The client had a substantial defined benefit pension from a long corporate career, a 401(k) with a significant balance, a non-qualified deferred compensation account that was coming out of deferral https://www.farther.com/advisor/robert-davenport in a series of annual installments, and a portfolio of company stock that represented years of equity award accumulation.The planning challenges were real. The non-qualified deferred compensation payments were creating additional taxable income in retirement years when the pension and required minimum distributions were already pushing the client into the highest federal tax brackets. The concentrated company stock position represented both significant unrealized gain and significant portfolio concentration risk. The pension survivor benefit election had been made years earlier in a context that was no longer accurate given changes in the client's health and financial situation. And the estate plan had not been revisited since a major update of the applicable estate tax exemption.

Robert's comprehensive review produced a multi-year plan that addressed each of these dimensions: a systematic company stock diversification program designed to minimize annual capital gains tax impact, a charitable giving strategy that used highly appreciated company shares to fund a donor-advised fund and avoid capital gains entirely, a Roth conversion analysis for years when taxable income was lower, and an estate plan update that reflected both the current tax landscape and the client's current wishes for distribution of the estate.

Robert Davenport - Wealth Advisor at Farther | Dallas, TX | (214) 617-3424Dallas executives approaching or in retirement who want a comprehensive review of their financial situation are encouraged to connect with Robert Davenport at Farther.

Call (214) 617-3424 or visit farther.com/advisor/robert-davenport.

Robert Davenport - Wealth Advisor at Farther | Dallas, TX | (214) 617-3424