Financial Advisors Serving Frontenac, MO
As people who often face tax obligations, complex compensation, and investments spread across multiple financial institutions, high-income professionals and individuals with executive careers must juggle financial complexity.
JAG Capital Management offers financial portfolio management in Frontenac, MO, helping clients organize their wealth into an intentional investment plan with effective financial strategies.
Financial Planning Considerations for High-Income Frontenac Households
If you are a high-income professional, you need financial planning with financial advisors in Frontenac to protect your assets, maximize your compensation, and work with your tax professional to help manage your taxes.
Without proactive wealth management, your assets may be unnecessarily drained. Hiring a financial advisor in Frontenac, MO, can help you understand your options, provide guidance on selling shares, and identify the insurance you need to protect your assets.
The median household income in the area is $233,425, more than double the national average, making financial planning in Frontenac, MO an important consideration.
Simply possessing wealth gives professionals and executives the potential to accumulate assets; however, wealth alone is not the key to long-term financial stability and security.
Converting earnings into wealth helps secure financial well-being.
To achieve financial security, high-income households can:
- Manage lifestyle inflation by living below their means and keeping baseline expenses manageable
- Strategize cash flow by saving 25% or more of gross income, channeling funds from paychecks directly into retirement accounts or brokerages.
- Optimize taxes by managing diverse income streams and minimizing tax burdens.
- Manage risks and protect assets with liability insurance and certain trust structures.
- Consider long-term objectives.
As income and investments grow, tax implications become something to consider. The $120,964 per-capita income level calls for financial portfolio services in Frontenac.
JAG Capital Management financial advisors in St. Louis will help clients consider tax implications in coordination with their CPA or tax professional.
Executives and high-income professionals must navigate ways to shelter their wealth to minimize the tax burden on their income and protect their assets from lawsuits.
High-income professionals should consider:
- Their tax bracket of 32% or higher
- Additional surtaxes, such as the Medicare tax and the Net Investment Income Tax
- Planning carefully around restricted stock units
- The placement of tax-inefficient assets
- Index funds vs. mutual funds
- Selling underperforming investments
- Maximizing traditional or Roth retirement accounts and health savings accounts
- Sheltering cash flow to build net worth
Rather than short-term lifestyle upgrades, high-income earners typically want to create generational wealth and financial security.
Effectively managing wealth may support the ability to:
- Have a traditional retirement.
- Retire early.
- Switch careers.
- Buy a second home.
- Support family members.
- Give to charity.
- Become less reliant on employment income.
- Build emergency funds.
- Pass down assets.
- Set up private foundations.
The decisions made today about financial planning impact future financial freedom and flexibility.
Building a Portfolio Around Your Complete Financial Picture
Are you overwhelmed by complex investment strategies? Are retirement decisions weighing on you? Do you have a large sum of money you aren’t sure what to do with?
JAG Capital Management provides investment management capabilities to build and monitor your financial portfolio. Managing stocks, allocating assets, and monitoring performance can help you maintain an effective financial portfolio.
Consider all of your accounts collectively instead of individually to get an accurate picture of your investments.
High-income earners typically have accounts such as:
- 401(k)s
- IRAs
- Taxable brokerage accounts
- Previous employer accounts
- Individual securities
- Spouse’s investments
Looking at your accounts as a whole is beneficial because there is less confusion, it is easier to rebalance, and you can ensure better diversification.
Assessing the big picture allows you to account for funds that may have been forgotten and track your total net worth accurately. You can determine if you have any areas that are too large or too small and how to place investments in the best type of accounts.
Examining your accounts collectively also ensures that you aren’t accidentally buying the same stock twice and allows you to spread your money across accounts in different industries and risk levels.
JAG Capital Management provides financial portfolio services in Frontenac to help clients build investment strategies that meet their goals and needs.
When building an investment strategy, it is important to consider the client’s:
- Goals: What do they plan to do with their money, both short- and long-term?
- Time horizon: How long can they hold onto an investment before they need the money?
- Risk tolerance: How much uncertainty and potential loss of finances are they willing and able to endure?
- Liquidity needs: How much cash do they need to have accessible to cover their current financial obligations?
- Existing assets: What assets do they already have, and how are they working for them?
Financial advisors can also assist with avoiding concentration risk so all client assets aren’t in a single industry, geographic area, or name. Concentrated wealth may come from employer stock, a business, real estate investments, or a highly appreciated investment.
Diversifying investments and setting limits on how much a single stock can represent will help manage the client’s risk. Rebalancing periodically is also beneficial.
Traditional retirement setups don’t always work for high-income professionals and executives. High-income households may envision a future where they can control if, when, and how much they work.
Preparing for retirement as a high-income earner requires someone to examine the type of lifestyle they want, the investments they have accumulated, and what they expect to spend, including any major future expenses.
Preparing for retirement may involve maximizing 401(k) contributions, contributing to a health savings account, and investing through taxable accounts without contribution limits to support long-term financial goals. It is also important to consider any Social Security or pensions that the client will receive.
JAG Capital Management can help clients determine whether their current financial strategy aligns with the future they envision. Our 401(k) services in St. Louis provide guidance for clients working toward their long-term financial goals.
What Working With JAG Capital Management Looks Like
JAG Capital Management provides support for building and managing your wealth by actively managing your portfolio for long-term success, including retirement planning.
Map Your Complete Financial Picture
To begin, we need to gather information to gain an understanding of a client’s finances.
JAG will examine the client’s:
- Salary
- Bonuses or compensation
- Employer equity
- Retirement accounts
- Taxable assets
- Concentrated holdings
- Liabilities
- Liquidity
Determining the big picture of their client’s current finances will help us effectively utilize strategies to assist clients with their long-term goals.
Identify Where Complexity Creates Risk or Opportunity
Complex assets have the potential to provide opportunity for clients. Assets, such as real estate, private investments, or digital currency, may be valuable because they can:
- Yield higher returns
- Perform differently than standard stocks and bonds
- Smooth out portfolio performance
- Have multi-layered tax advantages
On the other hand, complex assets may also generate risk by:
- Having long lock-up periods
- Requiring multiple financial partners
- Having high management fees
- Leading to overconfidence during calm markets
When creating an investment strategy, JAG Capital Management looks for:
- Areas of concentration
- Tax exposures
- Disconnected accounts
- Excess cash
- Insufficient liquidity
- Areas where compensation decisions are affecting investment
Build a Coordinated Investment and Financial Plan
Our team works to create a single investment plan that encompasses all of a client’s needs.
When developing an investment strategy and managing a portfolio, JAG includes compensation considerations for high-level and executive employees, retirement objectives, and larger planning needs.
Having one strategy instead of many ensures that a client’s financial portfolio is working effectively toward meeting their short- and long-term goals.
Adjust the Strategy as Your Career Changes
Portfolio management should be fluid, rather than stagnant. High-earning professionals and executives may face situations that may trigger a need to amend their investment strategy.
Career changes such as receiving a promotion, switching companies, or compensation changes can signal a financial change that may impact investment. Likewise, changes to tax laws, a large RSU vesting opportunity, or a major portfolio change may also necessitate a change to the investment plan.
We perform regular portfolio reviews at least quarterly to ensure that your financial portfolio is on track and to determine if any changes to your investment strategy are necessary.
Talk With a Financial Advisor Serving Frontenac, MO
If you are an executive or high-income professional with years of success under your belt, leading to substantial investments, employer equity, and increasingly interconnected financial decisions to be made, financial planning in Frontenac, MO, through JAG Capital Management can help bring all of those pieces into a coordinated strategy.
Our goal is to manage financial portfolios that deliver long-term performance results. Our strategies are designed to adapt and build portfolios that endure. We work with institutions, financial intermediaries, and private clients seeking customized strategies.
Contact a financial advisor from our team today.
Get Started with a Financial Advisor in Des Peres, MO
If you’re looking for a financial advisor in Des Peres, MO, or evaluating your current financial plan, JAG Capital Management offers investment management and financial planning services for individuals, families, and business owners.
Connect with a JAG advisor to discuss your financial priorities and planning needs.