Guiding clients to a yes

It’s often challenging for prospects and clients to understand the value we as financial advisors can offer them. Clients get overwhelmed and confused by charts, numbers and myriad financial choices. Part of our job, though, is to make it relatable for them.

This is one of my favorite ideas for simply explaining to clients how I can help them. I’ll tell a client, “I can help you earn from 4% to 5%. Would you like to earn it taxable, tax-deferred or tax-free?”

Then I go on to say, “Here’s what I mean by that. There only are three types of taxable environments — taxable now, tax-deferred (which means taxable later) or tax-free forever.” While they may not necessarily understand all the options, no client has ever asked for more taxable assets. Instead, they typically say something along the lines of, “I’d like to do the tax-free thing.”

And I love that answer. Now, I have permission to help them look at life insurance, annuities, Roth accounts, tax-free bonds and so forth.

So, see what happens when you tell clients, “I can get you 4% to 5% on your investments. I just need to know how you want to receive it: taxable, tax-deferred or tax-free.” 

Alan Kifer, of Scottsdale, Arizona, USA, is a 19-year MDRT member and a Top of the Table member. You can see more in his video in “Guiding clients to a yes.” You also can see more from Kifer in “Save thousands: Rent an office by the day.”

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