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Deep Dive into the TaxPlanIQ ROI Calculator: A Strategic Tax Planning Tool

May 7, 2024 TaxPlanIQ Support team

Navigating tax strategies can be a very complex task, but having the right tools at your disposal can greatly simplify the process and enhance the value of your strategic tax planning services. The Tax Planning ROI (Return on Investment) Calculator from TaxPlanIQ is an innovative tool that not only simplifies tax planning but also actively demonstrates the potential savings your clients could achieve. 

Here’s how this powerful feature can become a key asset in your business toolkit, helping you deliver exceptional value to your clients:


Tailored Tax Savings Forecasting in One Tax Planning Tool 

Every client is unique, and their financial goals are diverse. The ROI Calculator caters to this diversity by offering customizable forecasting that can be adjusted from three to ten years. This flexibility allows your clients to align their tax planning with their specific financial objectives, whether they're preparing for major investments, planning for retirement, etc. By integrating this tool into your service offerings, you can help clients plot a personalized financial course, making your services indispensable.


Clear Visualization of Potential Tax Savings in a Tax Planning Template 

The true power of the ROI Calculator lies in its ability to project tax savings based on various strategies. This not only clarifies the benefits of different tax planning approaches but also empowers you to make informed decisions for your clients. By inputting their current financial data and exploring different tax strategies, your clients can see a detailed breakdown of how much they could potentially save over the selected period. This clear, quantifiable insight can enhance client confidence and satisfaction with your services and thus, keep them happy and more likely to stay with you for a long time.


User-Friendly Experience & Easy to Understand Tax Planning Tool

In today's fast-paced world, ease of use is crucial for any tool. TaxPlanIQ has designed the ROI Calculator with a focus on user experience. The summary page is neatly organized and includes a table of contents for effortless navigation. This design ensures that your clients can easily access and understand their tax savings data without feeling overwhelmed by complexities. Offering such a straightforward tool can significantly improve the client experience, setting your firm apart from competitors. 

Tax ROI Calculator’s Adaptable Framework

As your clients' financial landscapes evolve, so too should your planning tools. The ROI Calculator's adaptable framework allows for updates and adjustments in response to changes in personal circumstances, market conditions, or tax laws. This capability ensures that the tool remains relevant and valuable, helping your clients continuously refine their strategies. By providing a tool that evolves with their needs, you reinforce your role as a proactive and responsive tax advisor.

For business owners like you looking to elevate their client services with cutting-edge financial tools, the Tax Planning ROI Calculator from TaxPlanIQ offers a comprehensive solution to tax planning complexities. 

Here, we break down the components of the ROI Calculator to showcase how it can be utilized to maximize tax savings for your clients.

Initial Year Savings:

  • Maximizing Pre-Tax Benefits: This feature helps clients optimize the use of pre-tax contributions through employer programs, effectively reducing taxable income.

  • Shifting Income to Kids: It allows for strategic income distribution, such as through family limited partnerships (FLPs) or gifts, avoiding the kiddie tax.

  • Hiring Kids in Business Ventures: Clients can explore the benefits of employing their children in a business they own, considering the children’s ages and roles to comply with tax rules.

  • Section 105 Out-of-Pocket Medical Reimbursement Plan: This plan enables self-employed individuals to deduct health expenses, thereby reducing their taxable income.

  • Planning for Tax Liability: It emphasizes the importance of proactive tax planning over reactive measures, helping to prevent unexpected tax bills.

  • Capital Stock Sales & Business Deductions: Clients are guided on maximizing tax impacts from sales of capital stocks with a financial planner and optimizing new business deductions like fixed assets and unreimbursed business expenses.

The tool also provides an estimate of the total tax savings for the first year, categorized as conservative to give a realistic projection.

2nd Year And Forward Increased Savings:

  • Carry-forward of Initial Year Changes: Benefits from the first year's tax strategies are carried forward, enhancing long-term savings.

  • Corp Management Company: This strategy involves using a corporate management company to achieve more efficient tax structuring.

  • Continued Income Shifting to Children: It allows the strategy of income shifting to be used continuously, enhancing savings as the business and family financial landscapes evolve.

An estimate for the second year and onward is provided, maintaining a conservative approach to ensure realistic tax planning.

Here’s a quick look at what the calculator looks like:

Your Investment in Our CPA Firm:

  • Onboarding/Implementation Fee: Covers the initial setup, including research, entity selection, and payroll setup.

  • Annual Subscription: The cost of the first year’s subscription to the executive package, which is usually facilitated through monthly payments.

  • Additional Costs: Noteworthy exclusions like state formation fees for LLCs and bookkeeping costs, which are determined based on specific client needs.

  • Existing Tax Prep Fees: Acknowledges fees already paid by the client, which are factored into the overall cost calculation to show the net increase in investment.

Projected Gains and Long-Term Benefits:

  • Immediate Financial Gains: Estimates the projected net tax savings by the end of the current year, showcasing the immediate benefits of the investment.

  • Long-Term Savings: Provides a conservative projection of the net tax savings over a 10-year period, emphasizing the enduring value of the strategic tax planning facilitated by the ROI Calculator.

All in all, the Tax Planning ROI Calculator from TaxPlanIQ isn’t just a functional tool – it’s a powerful ally that you can utilize to provide even more value to your clients at a much faster rate. With its personalized settings, detailed savings projections, easy navigation, and adaptability, it simplifies the tax planning process and helps you maximize your clients’ tax savings. 

So if you’re ready to take your tax business to the next level, TaxPlanIQ has 120+ strategies included and it allows you to upload 1040s, helps you build custom branded proposals and personalized tax plans, includes implementation steps, and MUCH more. 

Be sure to schedule your free demo today to explore TaxPlanIQ’s tax planning resources and tools designed to help you save your clients more money in taxes and add immense value. It's easier than you think, and we're here to help every step of the way.

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