The Experienced Investor

Financial Planning Strategies

Profile Overview

The Experienced investor is typically 60+ years old, with a net worth of over 10 million dollars. This person is a disciplined investor that has put in years of steady conservative investments. Because they are either retired or approaching retirement, they focus on less risky passive investments that don’t require significant time. They work on projects or businesses they enjoy keeping their income and returns higher. These investors continue to nurture longtime tax and accounting relationships. The homes are almost always paid off or could be if they wanted to. Experienced investors continue to use personal corporations that hold investments. Retirement accounts continue to fund, and social security is delayed to maximize the benefit. These investors care less about a monthly budget but continue to use or to track assets. At this point, they have mastered the use of leverage, diversification, and passive income. It’s important to note that the investment income now covers all living expenses or continues to be reinvested if not needed. This level investor almost always has an abundance mindset valuing time, education, and helping others.

“Advice overview can go here…”

Suggested Plan

  1. Identify your emergency fund
  2. Pay off your mortgage.
  3. Aggressive investing (make it automatic- profits first principle).
    • Max out your HSA, 401K OR SEP IRA / SIMPLE IRA if you own a business
    • Take full advantage of any pension, profit-sharing, stock options.
    • Use Structured Notes or Municipal Bonds for guaranteed income
    • Max out your Traditional IRA (use the backdoor strategy for Roth conversion).
    • Brokerage account- Increase your monthly contribution. Decide if it’s time to continue using an index strategy, Robo advisor, or low fee financial advisor.  Note- Larger firms such as Morgan Stanley, Merrill Lynch, Goldman Sachs have access to exclusive alternative investments and more complex strategies.  example: Exchange fund, Covered call strategies, hedge funds
  4. Personal Corporation Strategy: Consult with your CPA and attorney about setting up a personal corporation to hold additional investments. Options could include:
    • Debt Financing- lend money to businesses, developers, builders, individuals
    • Equity in businesses
    • Real Estate
      • Direct commercial/residential portfolio
      • Passive- Crowdfunding equity or debt real estate deals
      • Land development
    • Alternative Investments
      • Private Equity funds
      • Hedge Funds
    • Consulting/Board work/ coaching
    • Websites / Blogs / Books

Please consult with your CPA or attorney before making specific investments.


  • Maximizing your income is the most important step to achieving millionaire status.
  • Hire a tax professional
  • Automate your investing- Step 3 needs to fund automatically. (pay yourself first)
  • Don’t try and time the market or pick individual stocks.
  • Invest in things you understand and start as young as possible. (compounding interest)
  • Decide between term or cash value life insurance
  • Set up your will and Living trusts (link)
  • Use the backdoor Roth IRA strategy.
  • Meet with an attorney and set up your living Will and Trusts.
  • Create an “If I die” spreadsheet – list of all accounts with points of contact.
  • Look into long term care insurance.
  • Doctors, dentists, attorneys- purchase your building as your practice caps out

Tax Strategies

At this stage, you must hire a tax expert who will do the following:

  • It is very important you hire a tax professional at this stage
  • Maximize your tax deductions/ deferrals. Basics include mortgage interest, property taxes, child tax credit, charitable contributions, 401K, HSA, FSA, 529, Municipal bonds, Roth IRA, IUL, energy. He/she will tell you if standard deductions or itemized deductions are better for the current year.
  • Donate appreciated stock to pay to tithe. (most churches accept this form of donation, and it will save you 24% on capital gains).
  • Consider opportunity zones or donor-advised fund, private foundation, a charitable trust.