Name: Intuit ProConnect: Tax Planning and Advisory
Uploaded: 2025-02-18T18:16:05.210Z
Duration: 1 h 8 s
Description: Intuit ProConnect: Tax Planning and Advisory

Transcript for "Intuit ProConnect: Tax Planning and Advisory": Welcome, everybody, to Intuit accountant's session on, Intuit ProConnect onboarding. In this session, we're specifically gonna be talking about tax planning and advisory services with Intuit tax adviser. We're glad you're here today. My name is Jim Buffington. I lead advisory services here at Intuit. I'm a CPA like many of you. And before I came to Intuit twenty two years ago, I did practice public accounting for about a dozen years as a partner in East Texas. Fun fact about me, when I turned 50 years old, I needed a new challenge, so I started cycling 50 k in all 50 states, and I'm doing pretty good. I've got one more to go. Alright. A little bit about housekeeping. In the window over on your right, your navigation, feel free to converse with other webinar attendees and the moderators via the chat box. During this session, we will launch several polls. You can participate in those polls on the polls tab, which will appear next to the chat. By clicking an answer, the color will change. There is no submit button, and, you can just leave that there until the poll closes. And then finally, we do, yeah, we do have a q and a tab. If you need to ask the moderator or anything, you can ask questions in there. This session is eligible for one hour continuing professional education and zero hours of IRS continuing education. To meet that requirement, you do need to answer the polling questions and attend at least fifty minutes of this session, a minimum of fifteen minutes. Give it a day or two before you get your certificate in email. Alright. Here is our agenda for today and what we're gonna be covering. We're gonna be talking a little bit about tax planning and advisory services. Then we're gonna be jumping into Intuit tax adviser and reviewing how to use Intuit tax adviser to deliver those services. And then finally, we will come back, and we'll talk about what strategies are included in Intuit tax adviser today and how to use the custom strategies to create add additional reusable strategies for your practice that can help supplement the strategies that are already available in Intuit tax adviser. Well, let's get started. Intuit has an online platform that provides you with the tools to run your firm operations and your client services, including automating your client books, preparing and filing tax returns, and advising clients. Intuit Tax Advisor is the only tax strategy solution that's integrated directly with professional tax software, leveraging powerful AI driven insights. Intuit Tax Advisor users created a plan in an average of twenty two minutes, and that compares to what folks usually do using those traditional planners using spreadsheets and copy and paste that tax return, which took about two point three hours. So that's about an 80% time saving. That's really our goal here is to help you scale your planning and advisory services with more efficient tools like into a tax adviser. And, what we found is that a lot of firms who start with planning advisory services are able to eliminate in season cleanups of books and reactively chasing clients for tax data. And that oftentimes allows them to compress that cycle from ten months down to something less than that for their tax season. Let's talk a little bit about Intuit tax adviser features. Specifically, Intuit tax adviser is able to create tax strategy insights directly from your tax return data, and that just saves you a ton of time. 83% of taxpayers say that they would rather work with a tax professional that can do their tax return and provide them with ongoing tax advice versus one that maybe just only prepares their tax return. And instead of relying on a copy and paste of the tax return and spreadsheets and traditional planners into a tax adviser provides one stop convenience, and we heard that that was a big need from advisers when we designed into a tax adviser. This really helps you scale your tax planning services to more team members because you're using reusable strategies, and we're helping you with those insights, and it helps you scale it to more of your clients. And what we found is the average tax planning fee charged by firms per client is about $2,350.01 dollars a year, which is about five x of those tax preparation fees. So a lot more value and a lot more fee opportunity inside of planning and advisory than, maybe in just tax preparation alone. So, again, Better Together compliance and advisory services, to help you grow your practice and really simplify tax season. So here's our first polling question. You should see that pop up next to the chat. You'll see the polls tab. Please do go in there and respond to this. Let us know that you are engaged. Select your answer. The color will change. There is no submit button there. I'm gonna leave that up there for just a minute or so and let you respond to that, and then we're gonna close that out and give you just a couple of seconds. Please do respond to the polling, and I'm gonna count you down three, two, and one, and we're gonna go ahead and close out that poll. You should see my screen here. Most of you are probably familiar with ProConnect, and this is the dashboard that many of you would see. I'm gonna navigate to Intuit tax adviser from my left navigation menu to come down under workflow solutions where it says tax adviser. When you select that, you're gonna open up a new tab in your browser, and this is mine that says Intuit tax adviser. Welcome, Jim. If you don't see that charcoal navigation on the left, your menu may be collapsed. And at the bottom, you can select the button that says expand menu. K? That will expand this out. Notice at the top, I'm on the welcome page. There are several things that I wanna draw your attention to on this welcome page. Down at the bottom, we have a couple of videos which would be really helpful if you're just getting started. It one is how to create a plan, and I'm gonna show you how to do that a couple of times here. And then how to adjust the base case. So we import the tax return, and then you make adjustments based on economic changes to get your base case, your pre strategy baseline, and then how to select strategies from insights. And then following across the tabs in Intuit Tax Advisor, there's a review plan, and then finally, the client report, which is branded with your colors, your logo, information about your firm so that you can showcase your expertise to clients. So go through those videos. Those are super helpful. Also, under this quick help, there's a product overview menu here. You're gonna wanna select that. And before you get into Intuit Tax Advisor the first time, we have a couple of click through interactive demos. I'm gonna encourage you, do the end to end interactive demo. Take you about five minutes. Doesn't take very long, but it will literally walk you through each of those steps of creating a tax plan. And it'll help, get you oriented and get your team oriented to use Intuit tax adviser. The next one down is an example of a common strategy, s corp strategy, moving a client from a schedule c to an s corp and setting up a w two wage and illustrating how that can save a lot of money in terms of SE taxes for that taxpayer. So that's a really good interactive demo walking you through a specific tax strategy, a very common tax strategy. Also, from this menu, I'm also gonna point out while we're here, there's a feedback tab. You can send feedback to us, and we do respond to that. As a matter of fact, this solution into a tax adviser, more than any other, program in a long time, is really built based on your feedback. Every strategy we have is prioritized based on how you've recommended them and voted on them. So please do provide feedback about how you'd like to see this improved and things that, maybe you'd like to see in terms of planning and advisory. A lot of good, ideas have come directly from users. Under my quick help menu here, I'm gonna click on advisory resources. If you are new to offering these services, we oftentimes get asked, how do I price this? What clients do I choose? How do I engage these clients in these conversations? What does that engagement look like? How do I deliver this report? A lot of those questions are answered by your peers from some of these resources that are here. So click through. There's articles, videos, tools that have been compiled from other advisers who have already been down this journey, and, they're sharing their best practices with you. So a lot of good things in there that you may wanna check out under advisory resources to help you launch your services. Then you're gonna be ready to begin doing a tax plan, creating a tax plan. Actually, before we get there, also to help you choose what clients to offer, on our clients menu here, we have provided a dashboard that may give you some insights about your clients. If you've opted all of your clients into into a tax adviser and you do that right here, you'll opt clients in. You can select all and opt all of them in at once, or you can select a few in, however you wanna do that. We can basically do a brief analysis of your tax returns, and then we can come back with some information about those clients. So in this case, Katie Coco, you can see she's got certain forms and schedules in her return. Here's her AGI. These are the potential tax savings for her. This is the likely strategies you can highlight. You can sort this based on different criteria. One thing you might wanna look at is what taxpayers owed money last year with their tax return. Those are a great place to start and ask those taxpayers, hey. Because you owed a lot of money last year, we probably wanna engage in planning and do some projections to make sure you've got your estimates paid in early and on time and avoid those uncomfortable surprises that taxpayers and preparers both, don't like. So a good example of where to start is with people who owe money. Number two, business owners, business owners, business owners. That could be rental property. It could be a k one. It could be a schedule c. Business owners tend to care more about planning and reducing tax liability, and there tend to be more strategies related to helping lower their taxes. So, business owners are a great place to begin with planning advisory services. Also, your high net worth clients, your high income clients, you probably know some of these, and you may be doing projections for them today. And this is just an opportunity for you to expand those services. One more thing that we've done to sort of help you get started is there's this button here called view client email templates, and it's just a little bit of personalized information about that taxpayer that you can copy over to an email, and then you can customize and say whatever you'd like to say. But we're giving you a starter email to kind of engage them in planning and advisory services. It might be around their estimated payments. Hey. We need to meet because you've got some estimates due, and we wanna make sure that we're on track. Or it might be around there may be some potential tax savings if we talk about your goals and align certain strategies to support those goals. So under the clients tab, we've got a dashboard here that may be helpful. You can also search for specific clients or just sort and look for, particular clients to offer your services to. So if we come back to our welcome page here, we have two different plans that we can begin and create. Number one is the quarterly estimated tax projections. Many of you do these before the end of the year, and, oftentimes, that's with copy and paste or with spreadsheets. Copy and paste a tax return and, spreadsheets. This is gonna give you a much better tool to create those projections. This one up here is creating a full tax plan with strategy. So I'm just gonna click on our quarterly estimated tax plans, and you'll see I have a choice. I can create a full tax plan or an estimated tax plan. And then the next thing I'm gonna do is I'm gonna select my client. In this case, I'm gonna select Larry and Linda, and I can pick one of two years. So we have the last two years available of tax returns, and you're gonna select a specific tax return. It does not have to be a tax return that's been efiled. It can be one that is still in progress, or it could be efiled. It's up to you how much information you wanna bring in to get started with your plan, but you do have to start with a tax return. You can't create a tax plan unless you've created a tax return first. And so, again, this is all about onboarding you for ProConnect. You should have some tax returns in there. And now we're moving over into a tax adviser, and we're pulling that information in. So once you've selected a tax return and named that plan, you're gonna start planning. And as soon as I start planning for a quarterly tax plan, this is what I'm gonna see. I'm gonna see an adjustments tab and a client report tab. I'm on the adjustments tab here. And notice that this says 2023 actual. So this is what came in from my tax return. These are actual values that were in my, 2023 tax return, and I have an opportunity to adjust these for my '24 baseline projection. I can go into any of these fields, and I can expand this caret here and update any of these amounts. If there's a calculator there, I probably have some sort of, projector or some sort of, tool that can help me, like, for estimating, home office deductions and things like that. There are additional tools behind those calculators. And in this case, I could take a pay stub and annualize that, using a couple different choices, maybe weekly or monthly, and figure out what this should be in order to annualize that. Or I could just come down through here and, update any of these fields, withholding, four zero one k, other contributions. All of these are detailed fields that are available. If I come down to my businesses, social media marketing, we can make adjustments to any of these expenses or income amounts to change those for this year. Couple other things to note on this page. If you need to add a new activity, you can click add a new activity and add a w two if they've got a new job, if they have a schedule c they've started for a side hustle, maybe some, rental property. Whatever it is, you can add this in. And when you do, you'll name that. So this could be some new w two job and begin to fill this out and save it. That will add the new activity to your projection. So if it wasn't in the return last year, you're gonna wanna add a new activity here. Another couple things to be aware of. You may want to disable the auto calc, and sometimes things will move a little faster, especially when you're making a lot of adjustments, to a lot of different fields. On this page, you might wanna disable auto calc. When you switch tabs, it will do a full cal just like in your tax program. But while you're inputting a lot of fields here, you may wanna disable that. Another tool that's super helpful is the notes tab. So as you're talking to your client about changes from '23 to '24, you may wanna document what they're saying. So, hey. Linda worked half the year for the cleaning equipment, made 48,000. Now she's got, the social media schedule c that is ramping up. She's expecting closer to 80,000 this year. Jot those notes down, and everybody in your firm can see those. Those are just for your firm, but super helpful to document some assumptions and conversations to go along with this plan. If we wanted to see a quick summary, you can click view summary here, And this is just a tighter view to get down to maybe what our refund is, and payments and things. Notice down here, I also get my federal marginal rate. That's 24%. When I click from federal, I can also view my primary state of residence. In this case, it's Oklahoma. If I click that, all the numbers will change to Oklahoma, And I can see what my Oklahoma marginal rate is here. If I hide this summary, come over here, I can view my Oklahoma, return and make any adjustments here. I've got all of my AGI, any changes to that. And when I get down under payments let me show you why this is gonna be a better solution than using a copy and paste of a tax return or spreadsheets. You can document. Here's what our q one payment was supposed to be, and did they pay that, or is it planned, or was it not paid? You can document that in your estimated tax plan and put exactly what they paid, exactly what's planned, and and document that for both your state and your federal. And that is gonna be a cleaner way for you to keep up with, payments, estimated payments that you're telling the customer, your client to make. K? So you can adjust the 24 baseline up, down, and that's gonna give you your projection. We're gonna help you calculate those new estimated tax payments, including twenty two ten underpayment penalty, if that applies. And then what you're gonna do is click over on our client report, and this is gonna give you really a simple two page report, your federal estimated tax plan and your state. This is Oklahoma. State estimated projection and payments. Notice here, under the projection, I've got my federal liability that we're estimating and then the, payments that we recommend, notice that in this case, they paid a couple that were a little bit light, so I still have a remaining tax due. So if they continue to pay the two recommended payments, schedule, they'll still owe another $34.48. We're giving this super simple, report, by the way, you helped design, that you can share with your taxpayer. So two pages, making it easy. And, again, you may wanna meet with them several times a year and keep updating this so they're not underpaid for the year. You can download this report, and email that to them, however you wanna share that with them. You can also share it on screen here. But this is our estimated tax plan report, and that's really when we start from the welcome page and we create a quarterly estimated plan. That's what we find a lot of advisers are doing pretty frequently. More less frequently, they're creating a full tax plan. So if I start here, I'm gonna create that plan in the same exact way that we did, the, quarterly estimated plan, except we now are gonna be into a full plan. So I have four tabs to choose from instead of just two. We still end up with a client report, and we'll get there. But now we start with the pre strategy baseline, which was exactly what we just covered on the other, estimated projection. Looks the same. K? So I've come down, and I've still got my if I collapse all this here and go to my payment section. Let's see here. Yep. Exactly the same here. So we can come up with our estimated payments. But now we're gonna create a full tax plan. And when we finish adjusting our pre strategy baseline, I sometimes call that a PSB. We're gonna click to the strategies tab. And when we do, we're gonna see over on the left navigation here that we have insights. And in this case, Intuit tax adviser has come up with about 32 different insights for this taxpayer. See the 32 under insights? And those insights are gonna be broken down among eight different categories. Those categories are what you told us or kind of the process you go through to, do tax planning, beginning with entity selection, income shifting, expense shifting, business deductions, retirement plans, charitable contributions, tax credits, things like that. You can expand or collapse these. Think of these insights kinda like diagnostics in your tax program. They're suggestions. You are the expert. So you take these suggestions and apply your expertise and knowledge about your client to decide what makes sense for this particular client. Let me give you, take a look at one or two of these under entity selection. This is a very common one called s corporation choice of entity. So this says schedule c created this insight, and social media marketing is the name of the schedule c. The s means it's a spouse. K? Not a taxpayeratee, but a spouse. And the diagnostics is social media marketing had $73,000 from schedule c, which resulted in self employment income of $10, Converting the business to an s corp and paying a reasonable salary could reduce that self employment tax. If I wanna add that, I would just click add here. If I wanted to dismiss it because, nope, we're gonna stick with the schedule c forever, just dismiss it. K? So that's one particular, insight. If I click here on the title, I get a strategy card, and it's gonna give me a lot more information about this particular strategy starting with the overview tab. And it's gonna tell me some information about this, maybe even giving me the limits for Social Security for this year, a buck 68. That's helpful. With holding on, Medicare, that's helpful. And here's a few more links to other research, and then this is what's gonna show up on my client materials page. It's gonna have some action items and things for my client. So this is an overview of the strategy inside the strategy card. K? I get that by clicking on the title. One other one here under entity selection that's common. So you may have a lot of clients that you've already converted from a schedule c to an s corp. There's a lot of value in them being an s corp, but maybe they don't know that or they you haven't communicated the value of that each and every year. The reasonable compensation analysis strategy can help you do that. It actually says, hey. Larry had net income from his s corp of a hundred and 70,000, and he also had a reasonable w two there. If we open this up, we could see that. And that saved him about $15 in SC taxes. So we wanna do that reasonable comp every year. Is it still a reasonable w two? Based on all the facts and circumstances, you're the expert. If it is, we wanna display how much that s corp is still saving them. If we scroll down through here, a lot of other strategies like income shifting strategies, hire your kids, Augusta rule, different things here. Lots of different strategies that you can consider. All of them that have an insight will be on this tab. If we click all strategies, we can see everything that is available without insight. So this is all of the strategies in Intuit tax adviser. You can just go through and scroll through, and you can look at any of these and kind of, pop up that strategy card and maybe check those out. K? Also, you can add a custom strategy. We're gonna look at that a little bit later. K? So for now, we have 32 insights, that are about information directly from Larry and Linda's tax return. So I'm gonna, fast forward here and add some strategies to this plan. And if I come over here, I can collapse all of these insights or expand them. And as I mentioned, I'm gonna add several of these on here. I've got quite a few of them. We did the s corp choice of entity. Remember that one? So Linda had about $74,000 of income on her schedule c. If I hide these lines, basically, this is saying, hey. We're saving about $5 in SC taxes. If I expand the lines, we'll see that I decided a reasonable salary for Linda, w two right here, if we convert to an s corp, it'd be $30,000. K? Intuit tax adviser is gonna take the initiative to create a w two, create an eleven twenty s with a k one here. It's gonna calculate all those payroll tax expenses, the net income related to that s corp here, and do a lot of plus and minuses to zero out that schedule c. And before you know it, it's summarized. This is my net tax savings for that particular strategy. So that's the first one, s corp choice of entity. The next one, s corporation compensation analysis, is Larry's s corp that's already been in existence for a little while. And if I come down and I take a look at it, he has a w two, currently of $80,000. I could adjust that. Maybe that needs to be higher. Maybe it needs to be lower. You're the expert, and there are good resources to help you decide what reasonable compensation is. But based on his k one and his current w two, Intuit tax adviser is estimating that that strategy is saving Larry about $15. Couple other strategies here. We've added business use of home that's saving about $2, some bonus depreciation on $35,000 of equipment, nets out, about $24,000 of bonus depreciation deduction, which then results in $6,000 of tax savings. So more than just calculating the ending liability, we're helping you communicate what the value of each of these strategies are to your client. You can also toggle these on and off. So maybe you talk to Larry, and he says, not sure how much I wanna put in my four zero one k. You can toggle that off. K? And then you can see that we've summarized about $30,000 of tax savings with just a couple of strategies here. Now the next thing we wanna do, as we're creating tax strategies that align with the taxpayer's goal, is take a look at what is our projected net income with these strategies applied. And when we come over to the review tab, we start with the pre strategy baseline. We came up with some suggested strategies from that pre strategy baseline. We applied those strategies, and now the review plan incorporates those in to come up with an ending projected amount with those strategies in there, including the s corp compensation analysis. That doesn't change the net income, but it does, help you demonstrate the tax savings, but it doesn't change our net income. A couple of these do. So there's a new employer w two related to the s corp choice of entity, and my guess is the business income here got zeroed out. Yep. We're zeroing out some, s corp income here. There's a few things on business use of home, and all of these, by the way, can be toggled on or off to come up with your final projection. And what we wanna do is help you make it easy to document this. And, by the way, you can print this. You can collapse or expand this as much as you want. You can hide the zeros and get it to the level of detail that you want, and then save this whole projection as a PDF for your work papers. By the way, you can do the same thing for Oklahoma, the primary state of residence. We can also do the plan for your primary state of residence. Alright. Once you've got your review plan, you've been through your, final projection there, we're gonna come over here to the client report. And under our client report tab, you have the ability to, under report settings here, customize this to match your branding. You can upload your logo. Mine's Intuit. Yours will be something else. Just click on this pencil, and you can update and, upload a logo about your firm. You can also choose your colors. Any color scheme that you want, you can do. Just click on here to create more of them, and, basically, apply this so that all of your clients will see a more branded, client friendly looking report. We have two reports. The first one is a proposal, and it's pretty simple. It's short. It's a little bit about who we are. And, by the way, anything with a pencil, you can edit. So I can edit it over here, or, right here, I can just make changes to any of that text, or I could edit it over here and make changes to that text. Anything with a pencil, you can just make changes to. Super easy to do. In this case, our proposal includes a before and after strategies, which might help communicate your value to a prospect or to one of your clients. Let's see here. You can also, if you choose, put an ROI, put your fees in here, and then communicate a return on investment of your fees relative to the tax savings that you're suggesting to this particular client. So this is a proposal, pretty brief. You can use that if it's helpful. Some advisers find that useful. Many just go straight to the tax plan, and they feel like they can sell those services on their own. So in this case, this plan, if you wanna hide a page, just click this eyeball. So if I go to this page and, maybe the disclaimer, if you don't wanna include that, hit the eyeball. It will go to the bottom of the list and not be included in the report. And you can always drag these around different places. Grab the grid and drag it up and down. If it has a pencil on it, you can go edit it. So if you want a different disclaimer, just go edit that disclaimer. Here's an example of our plan before and after strategies and the tax savings. There's our year over year comparison. And, what's even more helpful here is, we're gonna have one page in here for each of those tax strategies that you've applied in the in the plan. So this is a great way to automate these strategies. So you've probably explained the value of an s corp many times to your clients. They may or may not get it. It may go over their head. It may not necessarily be in their, language. This is a great way to simplify that and let them know the value of an s corp, and, you can customize these pages if you want. These are action items over here. You can add up to three action items, edit those here, or, on custom strategies, you can create a different one that can be, updated here. You so these are standard strategies, but you can also include custom strategies here with, a little explanation about each one of them. So here's business use of home. Again, links to get more information. So your client, if they choose to, probably won't, but they could click out to get a little bit more information about that. So this is our report in Intuit Tax Advisor and really designed to help showcase your expertise as an adviser more than just the tax guy who prepares the tax return, and really helps you differentiate your services, get in front of planning and advisory services early in the year, and avoid, cleanup during tax season and really help simplify your tax season. So what we find is that compliance, doing the tax return preparation, along with planning and advisory really go better together. K. I think, I think I've covered everything. Again, here's my notes tab. I can add more notes to this if I wanted to. Those are just internal. Couple other things while we're here. Let me go back to my pre strategy baseline tab. If I highlight this carrot over here in the top left corner, Larry and Linda, some basic information carries over that you might use in your conversation. So there's our phone number, email address, total income, income tax after credits, what state, their ages. That's very helpful. Oftentimes, you're sitting there mentally trying to figure out how old they are, filing status, and their marginal rate. So this little carrot here, great information when you're doing your projection, when you're doing your planning. Super helpful. You probably are not gonna change very often, but if you do need to add a dependent during the year, you can add that here. So just click under the, profile information to update that. Anytime you need to change the name of your plan because you might create one for q one, for q two, for q three, four. However you decide to do that, you could just edit the name of the plan here. That's easy to do. I think that about covers everything we need to, review here in our plan, and I'm gonna come back over. I'm gonna stop sharing for just a minute and come back to our slides. And I think, we've demonstrated how to create an estimated tax plan for your quarterly review engagements. We've talked about how to create a full tax plan with tax strategies. And that pretty much brings us to our next polling question. Again, let us know that you are engaged. Respond to that poll that should be open right now. Do you currently communicate tax savings by strategy to the clients that you do planning for? Just answer that polling question for us and let us know that you are engaged there. K. I'm gonna count that one down. Four, three, two, and one. We're gonna close that one out. So great. You can see those results there. And let's talk a little bit about the strategies that are already in Intuit tax adviser. So as I mentioned, Intuit tax adviser organizes the strategies in the order that you as expert advisers told us you go through each and every year. So we created eight different categories beginning with entity selection. Entity selection oftentimes is something that many of you have done when you first met that client or they started a new business and you decided, hey. They should be a partnership or an s corp or a schedule c. But it may not be something that you revisited, in a long time. And what we've learned is that life is complex, and people will have a lot of changes going on and tax laws change. And there may be really good reasons to add new entities or update entities or change entities over time. For many of you, the Tax Cuts and Jobs Act was a big change that brought in QBI deductions, lowered the corporate tax rate, changed a lot of itemized deductions. That's going to expire at the end of twenty twenty five. Don't know what's gonna replace it, but that might have significant implications for tax planning. Some of your taxpayers may be considering selling their business in five years. Maybe a great opportunity to create a new entity with a high basis in it that could create a very significant tax free gain on the sale of that business. Maybe you need to have multiple entities to allow for more income shifting strategies. Beginning with and talking through your client's goals each and every year and updated, goals is super important and really can help you think about potential, for entity selection strategies. There may and that'll set you up for the next category, which is income shifting strategies. Are there opportunities to shift income between entities, between taxpayers? Could be family members. Could be, between tax years. So recently, we had a lot of, federally declared disasters. Those result in casualty losses. And, by the way, casualty losses can still be deducted even if you don't itemize. Those can be deducted in the current year. The prior year, maybe the next year, depending on which one, really provides the greatest tax advantage. So thinking about income shifting strategies to benefit that taxpayer, in different places. Then we move to, expense shifting strategies. Are there personal expenses that maybe they're paying that could be deductible through a business if it was planned or set up and they met the facts and circumstances differently. To change your tax, you have to change your facts, which requires planning. When when taxpayers show up at the last minute and expect you to look for deductions, that's not usually very helpful. When you get in front of it, maybe you can organize the expenses to meet certain, tax law requirements and then be more deductible, such as, you know, business and personal travel being mixed. Lots of different things that are opportunities there. Charitable contributions, thinking about appreciated assets, thinking about different strategies around charitable contributions can, oftentimes lead to bunching itemized deductions, things like that. Great strategies. Retirement plans, you're usually great at putting money into retirement plans, but are you taking the time to really evaluate with your taxpayers their goals? How much do they wanna have saved for retirement? Are they on track for that? What does that look like? So you probably have a lot more opportunity to do more retirement conversations and helping them think through. Maybe some of their retirement should be in a pretax four zero one k type plan and other parts of it in a Roth. Younger folks, maybe you try to help them stack more money in a Roth and, take advantage of that. All of these are predefined strategies, but then there's gonna be some strategies that we, don't do, and you're gonna wanna do a custom strategy. So we're about to get into custom strategies and what those look like, how to create those. But before we do, do respond to this open poll. I've got another poll question here. Please respond to that. And while you do that, I'm gonna get ready to share our custom strategies. But take advantage of that open poll, respond there, let us know you're engaged, and I'm gonna count this one down, Three, two, and one. Thank you for that. And we're gonna move on to our custom strategies, which are really an opportunity for you to create your own flexible strategies that are reusable by your team. Just the other day, somebody asked me to help them create a five twenty nine deduction for the state of Pennsylvania. They have a great plan there. You can deduct up to $18,000 a year, per beneficiary for a five twenty nine plan on the state. So that's a good one that we're probably not gonna create that because it's at the state level, but you as a, adviser might take advantage of that and create your own. Once you create that, it's always accessible, and, really, you can apply that into any of your taxpayers where it really makes sense. So let's walk through just exactly how to do that. We're gonna start with at the bottom of the insight column on the left of Intuit Tax Advisor, you're just gonna create the add a custom strategy button there. And then, you're gonna need to name this strategy and provide a description as well as any client education items or action items that you want to include. You can also include links to additional information for your clients, if you want them to click out and find more. So use a name that really helps make sense. These are going to apply to a specific activity, so you might wanna put the activity that it applies to in parentheses, maybe the state, maybe like eleven twenty s, things like that to help you reuse that in a way that, you'll understand what what goes in there. So next, you'll be able to decide if this strategy is going to impact the tax return or not. So I gave you two strategies earlier. The one that was moving from a schedule c to an s corp definitely changes everything about that tax return. The one that was an s corp compensation analysis did not change, but we did calculate the tax savings related to that. So it didn't actually change the net income on the tax return. So in this case, we are going to select yes. It's going to impact the tax return, for this profit sharing plan contribution. And then we're gonna select an activity. We're gonna choose the activity for an November. Let's say this is Larry and Linda. We wanna put a profit sharing plan on his s corporation, and you're gonna choose the impacted field, ordinary income. A positive strategy change is gonna create tax savings, and a negative one, would reduce that field. So in this case, I wanna decrease the ordinary income by the amount of our contribution. Then you're gonna select what rates are going to apply to this particular strategy. This is a profit sharing contribution, so it's going to be our federal and state rates. I actually have, city marginal rates marked down there. This is an Oklahoma return I'm working on. But if it were applying to a, New York City, that might also apply. Whatever rates you think apply, you're gonna wanna select those. Then you have the option to adjust the net out of pocket. Some professionals prefer to include this and some do not. You got the option to use the formula here that basically says, hey. If we put in $30,000 and it saves you $10,000, then net out of pocket would be $20,000. That's how that formula works. And for some folks, that helps communicate, helps the medicine go down a little easier. Once you've saved that strategy and, by the way, you can go back and edit everything in there except what activity this applies to. So if you decide that this applies to a different activity, not the eleven twenty s, you would you'd need to create a new strategy. But everything else, the education materials, the rates, things like that, you can edit those. But once you say that, it is gonna show up in your list of strategies under custom, under the category of custom. And, from there, you can click add to my plan, and then you can adjust the amount, and and add that into your plan and calculate the savings. The savings, the marginal rate, is going to be for that particular taxpayer. K? So that is how to create a custom strategy that is reusable and helps your team really standardize the experience of tax planning and advisory across all of your clients and across all of your team. Couple of other examples of custom strategies you might wanna consider. Some people like captive insurance companies, They may only do it for four or five of their clients, but that's still an important strategy that could save a lot of money for those high net worth clients or those particular, customers in that space. So you might wanna create a custom strategy to calculate the benefit there. I mentioned earlier, we've had a lot of federally declared disasters that result in casualty losses. Casualty losses can be significant. If folks in, certain states did not have flood insurance and FEMA doesn't cover anything, their loss may be significant. Hundreds of thousands of dollars, half a million, millions of dollars in some cases would be casualty losses. Deciding which year to take that in, maybe the year before, they had a lot more income. This year, maybe they don't have very much income because their place of business or residence was destroyed, by a natural disaster. Super easy to create a casualty loss, custom strategy that you could reuse specific to your state and really help communicate the value of that tax strategy with your, with your client. Tax free sale of residence. Again, you might wanna show the tax savings associated to that gain. Maybe doing an income shift between entities. And let me explain this one. When you create custom strategies, try to create discrete legs of the strategy. So you can't bundle everything into one strategy like, hey. We're gonna move some income from an s corp to a c corp related to some marketing activities that the c corp's gonna do to support this, maybe this law practice of Larry and Linda over here in the s corp. That would be too much for that, custom strategy, but you could create two different strategies, one that decreases the income on the s corp side and one that increases the c corp. And then you might have a third one that is fringe benefits coming out of a c corp, that you may wanna take advantage of through that c corp. And the c corp will also use the corporate tax rate, and that's a a great way to do that. So breaking these down into specific legs is a great way to use custom strategies to really help, deliver complicated complex, strategies and tax plans in smaller pieces. So here's just a few examples. You probably have many, many more examples. And, again, as you get into having planning meetings with your clients and talking about their, goals and perhaps strategies that can help support those goals, you're probably gonna come up with even more ideas and strategies that you're gonna wanna create some custom strategies. So that is a very quick overview of Intuit Tax Advisor, and we hope that this is helpful and, you use this as an opportunity to really start leading with planning and advisory with your clients. The firms that have done that really have seen, been able to differentiate their services, simplify their tax preparation, season, and deliver a lot more value, and, that leads to higher fees with their with their clients. Do, please do take, our survey that will come up, as you're leaving this, session, and we do appreciate everybody being here today, for this session of Intuit ProConnect and tax planning and advisory services using Intuit tax advisor. So thank you all for being here. Thank you all for being customers. We appreciate you. We appreciate you powering Prosperity with your clients. Hope you have a fantastic day.