One of the biggest factors in valuation of a law firm is what is often called “going concern.” This refers to how much cash the firm can be expected to generate for the new owner, assuming the former owner is no longer part of the firm. If client relationships are strongly bonded to the individual lawyer’s personality and not the firm, they are less likely to stick around during a transition. 3. … [Read more...]
Retirement Planning Strategies For Attorneys
Retirement Planning Strategies For Attorneys
You gave 7 years to law school, at least 25 years to building your law firm, and now the payoff is on the horizon. You can smell the salt from your favorite beach in the air, and you hope in the next 5 to 10 years to be spending your days lazily sipping something with a tiny umbrella in it. However, if you are like most attorneys, you still need a plan to help get you from being a successful … [Read more...]
4 Tips For Attorneys Who Want To Save On Taxes
4 Tips For Attorneys Who Want To Save On Taxes
Attorneys face unique challenges in tax planning and in reducing their tax burden each year. Most attorneys are high-income earners with accompanying higher tax bills, but attorneys also carry enormous amounts of debt (law school ain’t cheap) and have to save more for retirement to maintain the lifestyle they currently enjoy. To help you navigate these unique challenges, here are 3 tax-savings … [Read more...]
How Attorneys Can Catch Up For Retirement
How Attorneys Can Catch Up For Retirement
TV law shows are filled with beautiful people, melodramatic dialogue, and a montage of attorneys jumping out of their seats yelling, “Objection!” Cut to reality, and you’ll find long hours, payroll, and clients that haven’t paid. Having your own practice has its challenges but is just as rewarding. Getting caught up in the day-to-day of running a firm is easy, and you can lose sight of your own … [Read more...]
How Attorneys (And Others) Can Manage Irregular Income
How Attorneys (And Others) Can Manage Irregular Income
One of the unique challenges that attorneys face, particularly contingency-fee attorneys and law firm owners, is irregular income. If your income is irregular, life can feel like a constant cycle of “feast or famine.” You may go weeks or months without seeing much money come in, then, when you do win a big case, you experience a sudden cash windfall. This cycle is difficult to manage … [Read more...]
The Top 5 Financial and Retirement Planning Challenges Attorneys Face
The Top 5 Financial and Retirement Planning Challenges Attorneys Face
It seems that being an attorney has been romanticized by Hollywood and John Grisham. However, while the law can be a very rewarding career, it isn’t without challenges. In this article, we are going to look at the top 5 financial and retirement planning challenges that attorneys face. 1. Late Start It takes a while to earn a bachelor’s degree. Then you must get through law school and the bar … [Read more...]