Plumb Placements for 2024 Citywealth Magic Circle Awards

Written by

Plumb is proud to announce that we’ve placed in two categories for the 2024 Citywealth Magic Circle Awards:

  • Technology Innovators of the Year (Winner)
  • UNHW Private Client Services of the Year (Runner Up)

The Magic Circle Awards recognize the accomplishments of professionals and firms working with high-net-worth individuals and families. The awards are presented in London in front of an esteemed audience comprised of over 400 professionals representing over 140 diverse organizations.

Following a rigorous submission process, the submissions are assessed and judged by a panel of private wealth advisors. Online voting is also open to the public, and counts for 10% of the final award vote.

Our proprietary Plumb Bill Pay App is a big reason we have been included in these awards. To learn more about our services and our Plumb Bill Pay App, please watch this brief overview video and reach out to schedule a personal demo.

Plumb delivers financial peace of mind by assisting high-net-worth individuals and family offices know where their money is going, so their trusted advisors can effectively manage it. We work in partnership with their team — including wealth, CPA, and other advisors — to provide the highest quality of data and financial reporting to establish a holistic view of their assets and financial holdings. We’d love to help answer any questions you may have. Feel free to schedule time to speak with Anneke Stender, our EVP, at your convenience.

Digital Wallets and HNWI: Balancing Convenience with Security in Mobile Payments

Written by

For high-net-worth individuals (HNWIs), while convenience and saving time is valued highly, when it comes to managing their finances, security is one of the most important concerns. Digital wallets have emerged as a popular option for mobile payments, offering a blend of both convenience and security. However, for wealthy individuals, the question remains: do digital wallets offer the right balance of these two critical factors?

 

Let’s first define a digital wallet. According to Investopedia, a digital wallet is a financial application that allows you to store funds, make transactions, and track payment histories on devices like phones and tablets. So, think in terms of Apple Pay, Google Pay, CashApp, PayPal, Venmo, and Zelle – to name a few.

 

Digital wallets offer advantages that are particularly appealing to high-net-worth-individuals:

  • They allow users to store multiple payment methods in one secure location, eliminating the need to carry around a bulky wallet full of cards.
  • Payments can be made quickly and easily with just a tap or a click, streamlining the checkout process both online and in-store.
  • Many digital wallets offer features such as loyalty programs and bill pay, further simplifying financial management.

 

Despite the convenience they offer, digital wallets also raise security concerns for HNWIs. Some of these concerns include:

  • Data breaches: If a digital wallet provider is hacked, the financial information of its users could be compromised.
  • Malware: Malicious software can be used to steal data from digital wallets or even take control of them altogether.
  • Loss or theft of devices: If a high-net-worth individual’s phone or other device that stores their digital wallet is lost or stolen, their financial information could be at risk.

 

In light of these concerns, there are a number of steps that can be taken to mitigate the security risks associated with digital wallets:

  • Choose a reputable provider: Use a digital wallet from a well-established company with a strong track record of security.
  • Enable strong authentication: Use strong passwords, PINs, multi-factor authentication (MFA), or even biometric authentication (such as fingerprint or facial recognition) to secure your digital wallet.
  • Keep your software up to date: Make sure your phone and digital wallet app are always up to date with the latest security patches.
  • Monitor your transactions: Regularly review your digital wallet transactions for any suspicious activity.
  • Be cautious about public Wi-Fi: Avoid using public Wi-Fi to access your digital wallet, as this could make it easier for hackers to steal your information.

 

The Future of Digital Wallets for HNWIs

 

As digital wallet technology continues to evolve, we can expect to see even more features and security enhancements designed to address the concerns of HNWIs. However, the bad actors and fraud-perpetrators out there are also becoming more savvy and sophisticated making security vigilance a top priority for high-net-worth individuals and those who help manage their finances.

 

Digital wallets offer a convenient way for HNWIs to manage their finances. By taking appropriate precautions, HNWIs can minimize the risks and enjoy the benefits of this innovative technology.

 

5 Reasons Why Pricing Transparency Matters to High-Net-Worth Clients

Written by

A common misconception about affluent people is that they don’t worry about their expenses. On the contrary, not only do they worry about the entirety of their financial picture – costs and spending included – but many of them like to be intimately involved with the management and strategy surrounding their wealth. Perhaps most importantly, these clients need to feel that they can trust the people they work with to provide not only accurate and timely information, but also the security and confidentiality they require.

Nobody likes surprises when it comes to expenses, and high-net-worth individuals are no exception. These clients want to understand the pricing of services upfront. Providers will lose a lot of trust and credibility if they hide fees or sneak in any “gotcha” charges.

When reviewing pricing – and the value of the services you provide – with high-net-worth clients, it is crucial to be straightforward and open about any costs they might incur.

Here we list the top 5 reasons why pricing transparency matters to HNWI clients – and why it should matter to you.

Reason #1: Confidence

Pricing transparency helps build trust and confidence in the client and outsourced provider relationship by demonstrating openness and honesty. When clients understand what they are paying for and why, they are more likely to have faith in their advisors. This in turn can pave the way for a long and successful working relationship.

Reason #2: Clarity

Clarity is a vital aspect of any type of communication and with any relationship – especially one in which you are trying to build trust. When well-defined and transparent pricing information is provided, your clients (or prospective clients) will have a clear understanding of your costs so that they can better evaluate your services. There should be no hidden fees or surprises. When the cost of the services you charge for is clear, you help to eliminate any misunderstandings while strengthening your relationship with your clients.

Reason #3: Comparison

Part of evaluating any new service involves speaking with different providers and gaining an understanding of who they are, what they provide, and what value they offer. Without knowing precisely the cost of these services, it is impossible to compare the different options accurately. Additionally, providing context around industry standards and benchmarks related to your costs can be tremendously helpful. (Even if your costs are higher than the industry standard – this is your opportunity to explain why you charge a premium.)

Reason #4: Conflict {Avoidance}

Transparency in pricing can help mitigate conflicts of interest in the wealth management industry. When clients know how their advisors and service providers are compensated, they can better assess whether any recommendations are driven by their best interests and not by financial incentives. When advisors and service providers are transparent in their costs it can reduce the likelihood of any recommendations that benefit them more than their clients. It also brings peace of mind to the client knowing that their best interests are the only elements factored into proposals and suggestions.

Reason #5: Loyal Clients

Proving clear, transparent, and easily understood pricing to high-net-worth clients also contributes to the stability and longevity of these relationships. When clients feel that they are treated fairly and that their advisors and service providers are upfront about costs, they are more likely to remain loyal clients and refer their peers. (And who doesn’t love a solid referral?)

At the end of the day, high-net-worth clients would like to understand exactly what services will be provided and exactly what the cost will be. Being upfront and providing clarity in costs will help to establish a strong foundation of trust for a long-term, successful relationship.

Get the Financial Clarity and High-Touch Support You Need: Contact us at sales@thinkplumb.com to explore how Plumb’s expertise can elevate your bill pay and accounting experience. Let us tailor solutions to meet your unique financial goals, providing the clarity and specialized attention your wealth deserves.

 

Illuminating the Accounting of Art, Collectibles, and Luxury Assets

Written by

There are people who invest in stocks, bonds, mutual funds or real estate; and then there are people who invest in more unique assets. These assets can range from photographs and paintings to jewelry and classic cars. More often than not, this is born out of a true love for these items. That they may hold extraordinarily high values is just the cherry on top.

With Plumb’s decades of experience helping high-net-worth clients and their trusted advisors with their bill pay and accounting needs, we are very familiar with the best practices of the reporting and accounting requirements related to these special assets.

Here are some of the ways we work with clients and their luxury assets:

Art and Car Collections

  • It is recommended that clients that have art or classic car collections should itemize every piece or vehicle in the collection.
  • These items may also be held in separate entities – especially if clients do a lot of buying and selling. We may recommend the use of Sage Intacct to make use of their dimensions for ease of tracking. Otherwise, we can utilize subaccounts in QuickBooks.
  • If a client loans a piece or a collection to a museum, a loan agreement is needed, and we will help coordinate with the insurance company. The museum is responsible for the insurance of the piece(s) while it’s in their possession, and when returned, the insurance again needs to be updated.
  • If an appraisal is conducted, we will coordinate with the appraiser to receive the report on both the inventory and assigned values.

Jewelry

  • Jewelry is not always itemized since most clients have a rider on their home policy up to a certain amount that can cover this type of asset. However, we recommend itemizing if clients have more valuable jewels or watches.
  • As with art or car collections, if the client requests an appraisal, we’ll receive the report directly from the appraiser.

At the end of the day, our goal is to accurately itemize these unique, luxury assets for insurance purposes, and they are tracked separately for accounting reasons. And our clients usually just want to ensure that they – and their children and grandchildren – can enjoy these magnificent possessions for a long time to come.

Take the Next Step Towards Financial Ease and Clarity: Contact us at sales@thinkplumb.com to discuss how our outsourced bill payment and accounting services can help you accurately itemize and report on your luxury assets. Your peace of mind is our priority.

 

 

Personal Financial Reports that Create Financial Clarity (Top 4)

Written by

Personal financial reports & insights that you need to make knowledgeable decisions about your wealth.

Plumb Family Office Accounting delivers financial peace of mind by providing personal financial reports with the highest quality of data to show a holistic view of personal wealth.  A typical Plumb client leads a busy life with complex financial undertakings, such as multiple investments, corporate entities, private equity, trusts, international exposure and collective properties.  In order to stay organized in their financial life, Plumb provides personal financial reports that reflect the multifaceted assets and financial holdings.

“The month-end personal financial reports that Plumb Family Office Accounting provides to my high-net-worth clients give a clear, aggregated picture of their current financial status and helps establish wealth preservation.” – Estate Attorney 

Plumb Family Office Accounting services are customized to meet the need of any situation from basic bookkeeping with bill pay to personal financial management and cash flow analysis.  Plumb works in partnership with their client’s personal financial team to streamline their efforts, giving them the backdrop to make better financial decisions.   Learn how Plumb Family Office Accounting works with Professional Advisors.

Plumb Family Office Accounting | Personal Reporting & Accounting Services:

  • Personal Financial Reporting & Analysis
  • Personal and Family Bill Pay
  • Cash Flow & Budget Management
  • Bank & Credit Card Reconciliation
  • Household Employee Payroll Services
  • Trust Accounting & Foundation Accounting
  • Personal Insurance Review & Coordination
  • Outsourced Personal/Executive Assistant Services

Personal Financial Reports & Analysis

Below are samples of the different types of personal financial reports that Plumb Family Office Accounting provides to their clients.  All the details of the report are collected per the 7-Step Process which is set-up at the beginning of the engagement. The main benefit of the personal financial reports is that they show consolidated and accurate numbers that reflect all the assets of the client.

Statement of Cash Flow:

The Statement of Cash Flow Report is a monthly snapshot of inflow and outflow of cash.  As a consolidated report listing all the cash coming in each month and what is being spent, it provides a big picture of overall cash position.  This personal financial report is helpful to execute the financial plans of the client and to be more disciplined with spending and saving, if necessary for retirement.

 

Net Worth Statement:

The Financial Recap or Net Worth Statement Report is a consolidated list of assets by asset class and shows a holistic view of all investments from month to month.  The change variants are explained and analyzed into further detail in the financial notes section of the personal financial reports.

 

Family Monthly Budget:

This report is for the affluent family or successful entrepreneur who wants to track against a budget.  Typically, the outline of the budget is put into place in the beginning of the year with the help of the client’s financial planner.  Plumb Family Office Accounting tracks against Expense categories and sums up the over/under variance.  By having this family budget report it allows for more efficient meetings with financial planning and focuses on year-to-date changes.

 

Vacation | Second Home Expenses:

Since most of Plumb Family Office Accounting clients own a second home or more, we’ve developed a Vacation Home Expense Report.  This is a cost analysis report on the typical recurring expenses that center on real estate on a monthly basis.  It shows any trends or spikes in expenses and helps to identify any issues and be proactive as to why they may be occurring.  For example, one client had a spike in their water bill for two months, and Plumb Family Office Accounting identified that there was a leak in their pool and had it fixed to lower their expenses.

 

Experience the Plumb Family Office Accounting Difference with Customized, Personal Financial Reports and Take Control of your Wealth



Personal Financial Reports – Related Posts:

 

 

Paperwork Relief after a Natural Disaster: Guidance on How to Start Managing the Chaos

Written by

4 Steps for Paperwork Relief:

After experiencing devastating natural disasters in the past weeks, those who were affected are trying to get back on track and find paperwork relief. Besides numerous other steps, victims need to document their losses and damages, checking their records and embracing lots of paperwork. Since various issues need to be managed in such times, any guidance can be helpful for getting things done. The following methods give an idea on how to reconstruct documents as a first step for claiming benefits and organizing financial records.

1. Support by the IRS

For helping the victims, Internal Revenue Service (IRS) is providing support from reconstructing records to a variety of tax relief. Free tax return transcripts for taxpayers are available on IRS.gov or with the smartphone app IRS2Go  or via phone (800) 908-9946. The documents can give an overview of the information required to claim the offered benefits.

Extended tax deadlines can help to relieve stress and anxiety for those affected. Detailed information on paperwork relief can be found on the website of IRS or in the Disaster Resource Guide published by IRS.

2. Documentation and Records

For claiming benefits like tax relief or financial support, verifications and documentation of personal property or belongings are required to establish values. The following methods help to capture damages and losses:

  • Photos and videos right after the disaster can be used to verify ownership and record the extent of damages. Also lost belongings that are captured on pictures taken before the disaster help to verify.
  • Another possibility are online purchases, where invoices can be found in the buyers account on the website or in the emails.
  • Credit or debit card purchases will also help to give an overview on the bought property.
  • Service providers like financial institutions or contractors can also provide copies of necessary documents to verify costs or investments.

3. Auto Damage

If a vehicle was damaged, independent sources could help to estimate a realistic and fair value. Services can be found online, for example at Kelly Blue Book or National Automobile Dealers Association.

4. Insurance Coverage

Depending on the extent of coverage, insurances often take care of replacements and financial support. Especially real estate owners should check their insurance policies and the stated value to calculate a base figure for replacement.

How Plumb Family CFO can help

Paperwork can be overwhelming at such times of crisis, and starting is never easy. A good understanding of financial services, tax deadlines and accounting services help to fully realize losses and damages. You can obtain financial relief through insurance, tax deductions, and other sources. In case you do not have time to handle these issues, an experienced and reliable accountant is recommended.

Plumb Family CFO provides assistance and paperwork relief by collecting and organizing documents and financial records. Due to consistent communication and interaction with all of the client’s professional advisors, an overall view on accounting and financial documents can be provided. The services mentioned below show how Plumb can offer guidance, no matter if in good or in bad times.

 

Are you looking for paperwork relief?  Schedule a consultation to learn more.

Landing Page Contact Form

Plumb Family CFO Asks: Who’s Managing your Wealth?

Written by

A top priority for affluent families is managing wealth.

To make things clear, Plumb Family CFO does not provide services that manage wealth or advise on investment strategies. Plumb Family CFO works with their client’s personal financial team to provide an accurate view of wealth through consolidated reports and financial statements.  Consistent communication with the family’s professional advisers leverages their total expertise and provides a backdrop to make better financial decisions to sustain wealth.

family office services

In this article, written by Tony Robbins for MarketWatch, he gives his opinion on how to take charge of your money and managing wealth by knowing the difference between a financial adviser, broker-dealer and an independent registered investment adviser.  Go to Tony Robbins person website >> here

Managing Wealth: Considerations for Choosing a Financial Adviser

These statements are taken from a series of articles written by Tony Robbins who explains how to improve investment and personal-finance skills. Managing wealth is a complex topic and by knowing the answers to these questions it will help you learn the financial system better.

  1. What’s the difference between a Financial Adviser, Wealth Manager, or Investment Consultant vs. Registered Investment Adviser?
  2. Does the investment firm have an affiliation with a Broker-Dealer?
  3. Does the firm offer proprietary mutual funds or separately managed accounts?
  4. Does the firm receive any third-party compensation for recommending particular investments?
  5. Where is the money held?
  6. Does the firm offer any financial planning services beyond investment strategy or portfolio management?

Managing wealth can include various tasks outside of financial planning and investment.  This is where Plumb Family CFO can help by handling personal accounting services not provided by the client’s CPA or family office.  Read: “Top Ways that Plumb Family CFO Works with Trusted Advisers”

Plumb Family CFO Provides:

Gain Financial Peace of Mind with Plumb Family CFO.  For more information…

Landing Page Contact Form

Related Posts: