LifeYield Tax Harvesting
Scan all taxable and non-taxable accounts to instantly identify opportunities to harvest gains or losses.
Turn gains and losses into tax alpha
Keep your current technology
Don’t rip and replace anything. LifeYield Tax Harvesting can act as an overlay to your current technology to enhance it with modern tax harvesting capabilities.
Limit capital gains
Offset short-term or long-term capital gains by selling securities at a loss. Short-term is typically the priority, but LifeYield accounts for both.
Identify appreciated lots
Sell winning investments to realize capital gains. This can be used to find the most appreciated assets for gift giving or charitable donations.
Avoid wash sales
Typically done within taxable accounts only, LifeYield looks at all taxable and non-taxable accounts and identifies any potential wash sales.
The LifeYield Tax Harvesting API
The LifeYield Tax Harvesting engine looks across a client’s accounts and holdings and instantly identifies all opportunities to harvest gains and losses. It considers:
- Harvest direction: Although tax-loss harvesting to offset capital gains or income is the most common use case, tax-gain harvesting can be used to identify the most highly appreciated tax lots for gifting purposes or charitable donations.
- Holding period: Depending on each client’s current tax rates, it’s important to have a solution that can maximize tax harvesting across any time period – short-term, long-term or any term.
- Maximum gain or loss: Set a limit for the total gain or loss produced by security sales while keeping the total value of those sales as small as possible. This is best used when identifying how to offset a specific number of gains or losses.
- Maximum proceeds: Put a limit on the total value of all the sales suggested, regardless of gains or losses. It’s important to have this lever when the entire transaction needs to stay under a certain dollar amount.
- Avoiding wash sales: LifeYield looks at all taxable and non-taxable accounts and identifies any potential wash sales.
The LifeYield Technology Library
LifeYield Asset Location
Measures the tax efficiency of a household portfolio, provides next best actions for reducing tax drag, then quantifies the benefit in dollars.
LifeYield Multi-Account Rebalancing
Operates alongside your current rebalancing technology to incorporate multi-account tax harvesting and automated asset location optimization.
LifeYield Tax-Smart Withdrawals
Executes optimized withdrawals from multiple accounts by selling mislocated assets, minimizing drift and identifying opportunities to harvest losses.
LifeYield Tax Harvesting
Works with our asset location, rebalancing and withdrawal technology to scan all taxable and non-taxable accounts and instantly identify opportunities to harvest gains or losses.
LifeYield Social Security+TM
Identifies the optimal filing strategy for each client, then enables the transition to a full retirement income planning conversation with visual Income Layers.
LifeYield Retirement Income Sourcing
Integrates directly with your planning system to create personalized, tax-efficient decumulation strategies.
What the experts are saying
This technology gives a financial advisor a quicker, more efficient method to review a client’s multi-account portfolio and recommend strategies designed to help improve after-tax returns. LifeYield is an important addition to our suite of tools that help financial advisors better serve their clients.
Jed FinnCOO, Morgan Stanley
Combining Envestnet | Yodlee Analytics with LifeYield shows how data can be leveraged to convert business insights into quantifiable and actionable output.
Frank CoatesExecutive Managing Director, Envestnet | Yodlee Analytics
The Taxficient Score® is an incredibly impressive innovation in wealth management. It takes an extremely complicated and important subject and makes it easy for advisors to discuss with their clients.
Mark CasadyVestigo Ventures
Whenever we have been in a competitive situation and discuss our methodology of being tax efficient, we have been very successful securing those relationships. We started using LifeYield soon after we made our move to become independent. I can’t even imagine where our practice would be if we had this tool throughout our entire career.
Rick MidaCanopy Wealth Management
LifeYield helps us show our clients why we pay such close attention to taxes when structuring their portfolio. Clients are amazed how big of a difference it can make over the long run. Before LifeYield, it was much harder to estimate the potential tax savings and show those savings in an easy to understand way.
Steven ElwellChief Investment Officer and co-owner of Level Financial Advisors
By making it easy and cost effective for advisors to access leading technology solution providers such as LifeYield and the Taxficient Score®, we are able to further support their ability to manage and grow their businesses and provide even greater value in affiliation with LPL.
Andy KalbaughLPL Financial
I recently met with a retired CPA with a $1.1 Million in self-directed investment savings. LifeYield's technology quantified the benefit of asset location, illustrated a simple score that my team will work to improve. He's now agreed to be a long-term client.
George RallGER Loftin Wealth Advisors LLC
Communicating the value of tax planning has always been a challenge, until I discovered LifeYield. Using The Taxficient Score® with prospects and clients has changed my business.
Using LifeYield, James was able to show the prospect how to improve their 10-year expected return by 1.24% per year and achieve potential tax savings of $275,000 over the next ten years.
James LoftinGER Loftin Wealth Advisors LLC
The Taxficient ScoreTM gives me the ability to view my clients' portfolios in ways that other tools simply cannot by providing a holistic view of client assets and further equipping me to help them create better financial outcomes.
Robert L. Franner III, AMMS®An LPL Financial Advisor
It's inconceivable that taxes, the single largest drag to investing have been the elephant in the room for any discussion of investing for so long. LifeYield’s Taxficient Score® will prove to be a disruptor to the industry status quo bringing tax impact to the forefront where it rightfully belongs.
Len ReinhartWealthcare Capital Management
LifeYield can be a great eye opener because advisors don’t always provide guidance on how to manage for tax-smart asset location.
It’s an effective tool if the prospect has another advisor. LifeYield can be a great eye opener because advisors don’t always provide guidance on how to manage for tax-smart asset location.
Ryan C.CEO Mid-sized Investment Advisor