“Little ditty ‘bout Jack and Diane” – John Mellencamp
Jack is a Certified Public Accountant (CPA). He is a “numbers guy” and excels at execution upon his clients’ requests. He takes a more passive and siloed approach and believes his clients prefer to be left alone. Jack reaches out to them only a few times a year — mainly around tax season — to gather information he needs to do his job. Jack is a very accurate “historian” for his clients.
Diane is also a CPA. She engages with her clients many times throughout the calendar year, seeking out tax saving opportunities for her clients. She finds this strategy results in fewer “surprises” at tax time and greater value-add. Diane views herself as an active and inquisitive “consultant” to her clients, and a CPA of strong integrity.
There is no one-size-fits all answer to this question.
Many very good CPAs like Jack are siloed and more historian-like because that is the nature of their day-to-day work. As a result, they could be more reactive than proactive with their clients at times. Could Jack be all you really need in a CPA? Possibly. Could you be leaving financial opportunities on the table with a CPA like Jack who may tend to execute upon request and look backward versus forward? Absolutely.
At Modera Wealth Management, we prefer CPAs like Diane who are more consultative in their approach. Modera has teamed up well with CPAs like Diane who communicate with us when they anticipate changes in your income tax status or business activity.
As the quarterback of your overall financial plan, Modera Wealth Management and your CPA work best for you when marching down the field together. There are several examples of how using a CPA like Diane and her more consultative approach can help your entire financial team seamlessly identify and address changing events that pose both financial opportunities and risks to you:
A great consultative CPA like Diane can be worth her weight in gold. Whether it is for your own personal finances or the books of your growing business, a proactive CPA can be a key part of your financial team.
At Modera, we are always here to help you coordinate with your CPA and other professionals to ensure your team is anticipating and serving your needs for your future, rather than only reacting to your past. Please get in touch if you would like to start a conversation with us.
Modera Wealth Management, LLC (“Modera”) is an SEC-registered investment advisor with places of business in Massachusetts, New Jersey, Pennsylvania, North Carolina, Georgia and Florida. Modera may only transact business in those states in which it is registered or qualifies for an exemption or exclusion from registration requirements. SEC registration does not imply any level of skill or training. For information pertaining to our registration status, fees and services, please contact us or refer to the Investment Adviser Public Disclosure web site (www.adviserinfo.sec.gov) to obtain a copy of our disclosure statement set forth in Form ADV Part 2A. Please read the disclosure statement carefully before you invest or send money.
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