Welcome to the Financial Advisor Success Podcast, where you go behind the scenes with

financial planner, speaker, and consultant Michael Kitsis to hear stories of how leading

financial advisors navigated the inevitable challenges that arise on the path to success

and get insight from leading industry consultants about how to break through to the next

level in your advisory business. And now here's your host, Michael Kitsis. Welcome, everyone.

Welcome to the 491st episode of the Financial Advisor's Success podcast. My guest on today's

podcast is Patrick Lonnergan. Patrick is the founder of Vital Wealth, an RIA based in Clinton, Iowa that generates

$2.5 million in annual advisory fee revenue for approximately 100 client households.

What's unique about Patrick, though, is how his firm is able to charge its business owner

clients annual consulting fees north of $70,000 by offering tax planning strategies

that frequently save them hundreds of thousands of dollars. In this episode, we talk in depth

about how Patrick is able to offer his clients significant hard dollar tax savings by first

taking advantage of what he calls level one administrative and bookkeeping opportunities,

such as maximizing the QBI deduction

or choosing an optimal business structure, how Patrick then moves on to level two opportunities

where some investment is required on the part of the client, for example, defined

contribution and defined benefit retirement savings plans, and how Patrick also considers

level three strategies that combine sections of the tax

code to create tax efficiencies, for instance, by compliantly setting up a microcaptive insurance

company.

We also talk about how the tax saving strategies Patrick puts to use are particularly valuable

for entrepreneurs who can reinvest in their business, potentially generating profits that

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