Contryman Wealth Advisors Service Profile

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TAX PLANNING – Family and Education Related Opportunities
Provided by Contryman Associates, P.C., and Contryman Wealth Advisors

Description:
Services designed to capitalize on provisions of current tax laws relating to families and education expenses to help minimize income taxes by taking possible deductions, credits, and exemptions.

Benefits:
The increasing costs of higher education have made education planning an important aspect of personal financial planning. Frequently, education planning does not receive proper attention because cash outlays may not be incurred for many years and are low on the priority list. Often, families have made mental commitments to a certain standard of education for their children but have done little planning for when the tuition bill arrives. This tendency to postpone the issue may eliminate several effective education funding strategies that offer opportunities for tax reduction and financial gain when implemented early.

Caution:
Many of the strategies discussed include shifting income or assets to children. For clients who may be eligible for college financial aid, this strategy can have a negative impact on the amount of such aid, since a greater percentage of a child’s income and assets is considered in financial aid formulas than if such income and assets were attributable to the parents. However, high-income families may be eligible for little, if any, financial aid, so strategies that maximize the family’s available college funds may be the best overall plan.

Some Possible Opportunities:

Employing a child in the family business,

Gifting appreciated property to a child,

Using trusts, partnerships, & S-corporations to shift income to children

Funding for future college costs using 529 savings accounts, Roth and/or traditional IRA accounts, and U.S. Savings Bonds.

Note that the examples mentioned here are only a very few of the tax planning strategies that may apply to your situation to help reduce your tax liability.

For more complete information about the 529 savings plan, including investment objectives, risks, fees and
expenses associated with it, please read the issuer’s official statement. The issuer’s official statement
can be obtained from your financial advisor. Please read it carefully before investing.

Please consider, before investing, whether your home state offers any state tax or other benefits that
are only available for investments in your state’s qualified tuition program. Other benefits may include
reduced or waived program fees, matching grants, and scholarships to state colleges. Any state-based
benefit offered with respect to a particular 529 college savings plan should be one of many appropriately
weighted factors to be considered in making an investment decision. You should consult with your
financial, tax or other adviser to learn more about how state-based benefits (including any limitations)
would apply to your specific circumstances and you also may wish to contact your home state or any other
529 college savings plan to learn more about the features, benefits and limitations of that state’s 529
college savings plan.

Additionally, please note that unless Congress takes action, earnings withdrawn from a 529 plan account after 2010 to pay for qualified higher education expenses will be subject to federal income tax.

Securities offered through 1st Global Capital Corp. (1st Global Privacy Policy) Member FINRA, SIPC.
Investment Advisory Services offered through Wealth Advisors Network, Inc., d/b/a Contryman Wealth Advisors.
Insurance services offered through 1st Global Insurance Services, Inc.. and/or Wealth Advisors Network, Inc.
Wealth Advisors Network, Inc., a Registered Investment Adviser, and 1st Global Capital Corp. are unaffiliated
entities.
Currently, we have representatives licensed to offer securities and investment advisory services in Alaska,
Arizona, Arkansas, California, Colorado, Illinois, Iowa, Kansas, Michigan, Minnesota, Missouri,
Nebraska, New Jersey, Oklahoma, South Dakota, Texas, Washington, Wisconsin, and Wyoming.
This is not a solicitation or offer to sell securities to residents of any other state.
CPA services provided only through Contryman Associates, P.C., and other licensed CPA firms.