Global Executive

Emily Suzuki, 51, CEO

Emily's Concern

Emily has been traveling the world throughout her career chasing the next opportunity. She has finally settled as the CEO of a software company. She would like to settle in the US and make it her home even though she plans to travel extensively. She recently received a Green Card for her immigration status. She wants to be compliant with regulators and avoid unnecessary taxes or unintentional violations of the tax code. She also would like to rely on an expert to get her financial life together and on a planning process for her future, maximizing wealth and minimize her taxes and avoiding unforeseen risks.

Primary Goals:

  • Put his financial life together in a cohesive and thoughtful plan.
  • Optimize taxes especially considering her immigration and traveling history, reduce when possible, and retain compliance in the US
  • Outsource wealth responsibilities to an expert
  • Devise a plan that optimizes her investments and benefits:
  • Profit sharing assets
  • Personal assets
  • Deferred compensation plan
  • Equity compensation (in the form of options, restricted stock units (RSU’s) and Performance-Based Restricted Stock Units (PSUs)) and employee stock purchase plan (ESPP)
  • Disability insurance
  • Life insurance
  • Health insurance
  • Directors and officer insurance
  • Property insurance.
  • Evaluate her stock concentration and create and implement an investment plan that removes the risks.
  • In case of an untimely death ensure her family can continue with their accustomed life and goals they have planned for themselves
  • Provide guidance on any transition to another employer
  • Educate and keep her compliant on International assets

Results Executed:

Wealth Enhancement and Tax Planning

  • Consolidated assets into a plan accounting for foreign exchange and asset location and transitioned those assets where needed specifically to avoid Passive Foreign Income (PFIC).
  • Removed stock concentration risk, when possible, and created one diversified portfolio across all accounts (reducing taxes) that attempted to maximize expected return and considered Emily's specific risks.
  • Created a foreign exchange plan to bring assets over to the US when made sense.
  • Reduced cost of investment
  • Evaluated Emily's family cash flow and reduced income, taking full advantage of her benefit programs to reduce taxes. Additionally, minimized taxes on equity transactions and harvested losses when possible.
  • Utilized a Health Savings Account to reduce current and future taxes.
  • Developed a Roth conversion planning strategy to reduce life time taxes.

Asset Protection and Estate Planning

  • Evaluated insurable risks both inside the benefits at her company and personally and, collaborated with Emily and other experts on the best policies and mitigation for her.
  • Evaluated uninsurable risks and collaborated with Emily and other experts on how to mitigate those risk in the form of legal structures and best practices.
  • Evaluated the protection and safety of assets, collaborated on costs and other approaches to protect the exposed assets.
  • Collaborated with other experts and created a foreign trust to take advantage of international tax laws on a specific move outside the US.
  • Evaluated estate wishes, including the care for Emily's family, and taxes, collaboratively developed a plan prior to bringing in an several estate attorney’s and tax attorneys with the appropriate experience, specialties and region to provide the expertise and execute the plan.
  • Developed a list of assets to be placed in each country and ensure they complied with the estate plan and ensured any non-US beneficiaries avoided unnecessary taxes.

Transition Planning

  • Created a compensation and benefits score card to compare to outside offers.
  • Reviewed non-compete clause and separation policies of his company to evaluate risks on new employment.
  • Reviewed negotiating approaches to consider when negotiating for a new position.
  • Reviewed planning and implications of the Heart Act (exit tax) and planning necessary based on if she decides to domicile outside the US


Note: The above case study is hypothetical and does not involve an actual Pacific Capital Works client. No portion of the content should be construed by a client or prospective client as a guarantee that he/she will experience the same or certain level of results or satisfaction if Pacific Capital Works is engaged to provide investment advisory services.

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