Retirement Savings Plan through Tax Incentives: Insights View of Wealth Advisors

Abstract

Having financial knowledge and skills is crucial to enhance financial well-being and make prudent financial choices for future financial needs. All these can be accomplished by equipping individuals with the necessary assistance to manage their savings and expenditures effectively, make prudent investments, and borrow responsibly according their financial goal. The main objective of this study is to examine how wealth advisor employs tax benefits to promote retirement savings plan. For the purpose of this study, only tax benefits section has been analyzed where one open-ended question that was asked respondents to give their viewpoints on the roles played by wealth advisors on promoting retirement savings. Then, the open-ended responses were divided according to the appropriate theme to answer the research objectives. Based on thematic analysis, the main findings of study found mixed roles served by wealth advisors for boosting retirement savings using tax benefits. Furthermore, the study revealed that tax benefits were perceived as playing a crucial role in strategically planning a client's personal taxes by employing a suitable approach to minimize their final tax liability. Based on the results, possessing an understanding of tax laws and regulations, as well as being familiar with investment products that offer tax advantages, is the most crucial factor in promoting and sustaining a retirement savings plan. This implies that having knowledge of taxation among wealth advisors may incentivize them to provide responsible advice on how individuals should save for retirement.