Is Your Bonus About to Turn Into a Tax Bill You Didn’t See Coming?
By David L. Dunn, CPA/PFS, CFP®, CPWA® A bonus can create an unusual financial moment. For most of the year, income follows a familiar pattern. Salary arrives. Bills are paid. Retirement contributions continue. Equity vests according to its schedule. Then a larger deposit appears. After a demanding year, the money can feel different from ordinary […]
Is Your Deferred Compensation Election About to Backfire?
By David L. Dunn, CPA/PFS, CFP®, CPWA® Deferred compensation can make a tax bill disappear from this year. That can feel appealing. An executive earns a strong salary. A bonus arrives. Equity continues vesting. Another portion of compensation becomes eligible for deferral. Moving some of that income into the future may appear to create an […]
The Family Financial Playbook: What Would Your Spouse Know If You Couldn’t Manage the Money?
By David L. Dunn, CPA/PFS, CFP®, CPWA® Every household has a financial operating system. Sometimes it’s carefully documented. Sometimes it exists inside one person’s head, supported by a collection of passwords, color-coded spreadsheets, automatic payments, and the quiet belief that everything will continue working as planned. That system may function beautifully for years. Then something […]
Beyond the Emergency Fund: How Executives Should Build a Personal Liquidity Strategy
By David L. Dunn, CPA/PFS, CFP®, CPWA® High income can create a reassuring picture. The paycheck arrives. Equity continues vesting. Retirement accounts grow. The balance sheet looks healthy. Then life asks for cash. A career transition appears sooner than expected. A home renovation costs more than planned. A tax payment arrives after a strong equity […]
Golden Handcuffs: How to Evaluate Whether You’re Really Ready to Leave Your Employer
By David L. Dunn, CPA/PFS, CFP®, CPWA® There comes a moment in many successful careers when the question gets harder to ignore. “How much longer do I want to do this?” For some executives, the question follows a leadership change. For others, it appears after a demanding year, a reorganization, or a quiet realization that […]
The Hidden Risk of Success: When Too Much Company Stock Becomes a Liability
By David L. Dunn, CPA/PFS, CFP®, CPWA® Many executives don’t become concentrated in company stock because they were careless. They become concentrated because they were successful. Years of strong performance, promotions, RSU grants, stock options, ESPP participation, and loyalty to one organization can quietly create significant wealth. That’s a good problem to have, but it’s […]
401k Critical Mistake #2: 401k After-Tax Contributions That Seemed Smart May Cost You Tens of Thousands
By David L. Dunn, CPA/PFS, CFP®, CPWA® Many executives stop contributing to their 401k when they hit the pre-tax contribution limit. You didn’t. You made after-tax contributions. Smart move. But the step you didn’t take may be quietly turning that move into a compounding tax liability you had no reason to expect. This article is […]
401k Critical Mistake #1: Are You Hyper-Funding Your 401k with Mega Backdoor Roth?
By David L. Dunn, CPA/PFS, CFP®, CPWA® Are you maxing out your 401k pre-tax contributions, firmly convinced you’ve captured every tax advantage your 401k has to offer? Your 401k may allow contributions far beyond that limit, and a little-known strategy could make every extra dollar grow tax-free. You might be one of the few executives […]
401k Critical Mistake #6: 401k Company Stock Declined Sharply? Hidden Tax Reset Strategy
By David L. Dunn, CPA/PFS, CFP®, CPWA® Are you an executive who’s watched your 401k company stock drop 30%, 40%, 50% or more? Or maybe it hasn’t dropped yet, but it could. A sharp decline can feel like a disaster. But here’s the counterintuitive truth: that decline may have just opened the door to a […]
401k Critical Mistake #5: Have Company Stock in Your 401k? One Withdrawal Starts a Costly Clock
By David L. Dunn, CPA/PFS, CFP®, CPWA® Do you have highly appreciated company stock inside your 401k? If so, are you thinking about taking a withdrawal to bridge the gap before pension or Social Security kicks in? Here’s the problem: one withdrawal could wipe out a tax opportunity worth hundreds of thousands of dollars. The […]