COVID-19 Prompts Us to Update Planning Documents

The COVID-19 pandemic brought with it the sudden reality-check of our own incapacity and mortality. We all now pause to ask the rhetorical questions: Who possesses the authority to pull the plug if I am in an irreversible coma? Who handles my finances if I am in an extended hospital stay recovering from COVID-19? How […]

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2020 Review and 2021 Outlook

When we hosted 2020 outlook seminars last January, the coronavirus didn’t even make the “other risks” section of the presentation. By March, all bets were off and it was clear that our experience with the virus and the economic implications of containment efforts would get significantly worse before getting better. The shock to the economy […]

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Select, Develop, and Grow

Although it doesn’t show up on our balance sheet, at Greenleaf Trust our greatest asset is our team of talented people who we often refer to internally as “Greenleafians.” Our unique culture would not exist without them. And that is why we invest so much in their selection, development, and growth. We are a talent-based […]

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Planning Opportunities for a Biden-Harris Presidency

2020 has been the year of unprecedented actions and unknowns. The presidential election has followed suit in its unpredictability thus far. Joe Biden and Kamala Harris have been announced as winners of the 2020 election by the major news networks. As of today, the projected total electoral votes are 306 for Biden-Harris and 232 for […]

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Lifetime Versus Testamentary Gifts

We are in the midst of a traditional season of gifting and though it looks different, as do many things in 2020, we are still able to enjoy some of our favorite traditions and perhaps create a few new ones this year, as well. Often overlooked in our gift giving are the benefits and drawbacks […]

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Cost-of-Living Adjustments for 2021 to Retirement Plans and More

The Social Security Administration (SSA) announced key numbers that affect workers and retirees for 2021 – a substantial increase in the taxable wage base for workers and a minimal increase in benefits for retirees. The Social Security Wage Base, which is the maximum amount of earnings subject to Social Security tax, will rise 3.7% to […]

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Capital Gains Distributions: Ballast Amidst Uncertainty

The multiplicity of 2020 cataclysms notwithstanding, the year-end remittance of capital gain distributions by mutual funds is both predictable and well prepared for by the financial advisors at Greenleaf Trust. These distributions, which typically begin in late November and continue through mid-December, are nontraditional in the sense that fund investors can realize a tax liability […]

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Looking Forward to 2021

I thought the title to this month’s newsletter article appropriate mostly because we are all thinking it after a challenging 2020. We just finished up our annual strategic planning process which culminates with our Advance and company-wide Strategic Planning meeting. And, we have a lot to look forward to in 2021. Our Advance is an […]

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December 2020 Perspectives Newsletter

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Pondering the Post-Election Debt Markets

Greenleaf Trust has written and spoken a fair amount about the 2020 U.S. election. If you pay attention, you know that we do not advise speculating with your portfolio on the outcome. In his last article, our Director of Investment Research, Nick Juhle wrote: “Your investment objectives have a longer life than politicians and election […]

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November 2020 Perspectives Newsletter

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‘Tis the Season…

We are quickly approaching the end of 2020, and like most, frantically preparing for a season filled with friends, family, and festivities. This year might have a different twist, but the preparation likely remains the same. Like most Michiganders, it’s that time of year where we confirm our Amazon accounts are set-up for two-day shipping […]

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Giving Made Easy

The gift of a remainder interest in a personal residence or a farm to a charity entitles the donor to an immediate charitable income tax deduction which can be used of off-set taxable income, or keep the donor in a marginally lower income tax bracket. The Tax Code regulates the form and type of charitable […]

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Eliminating Tax Incentives for Retirement Plans

Late last year, the Setting Every Community Up for Retirement Enhancement (SECURE) Act made significant improvements in the U.S. retirement system. Along with certain provisions of the Coronavirus Aid, Relief, and Economic Security (CARES) Act in early 2020, we have welcomed many retirement plan legislative changes over the last 12 months. But it’s election time, […]

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Fork(s) in the Road for Europe

As a long-time friend of Greenleaf Trust specializing in foreign economic and financial markets, John Graham shares his global investment perspective as a guest contributor in this month’s Perspectives. John is a founding member of Rogge Global Partners headquartered in Great Britain and former head of JP Morgan’s Multicurrency Asset Management Practice in London. Historians, […]

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Greenleaf Cares

Consider these statistics from the recently released U.S. Census Bureau Household Pulse survey conducted in collaboration with multiple federal agencies. Data was collected between mid-August and mid-October: Nearly 37% of households have at least one adult that has substituted some or all of their typical in-person work for telework because of the coronavirus pandemic. Working […]

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The Coevolution of Greenleaf and Our Clients

Throughout Greenleaf Trust’s history, we have been privileged to serve clients who not only have high standards for financial and investment advice, but that also have strong personal commitments to their values and their communities. Historically, many of our clients did not view their purchasing and investing decisions as a primary means of expressing their […]

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Is Our Security Secure?

President Trump and Vice President Biden have provided some direction on what changes they would like to see in the funding of Social Security, but they have largely avoided any substantive proposals. Regardless of which one is president come November, funding of the social program will need to be addressed. The issues surrounding Social Security, […]

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Inspiring Confidence in Retirement

“2020 marks the 100th anniversary of women’s right to vote in the U.S.,” says Catherine Collinson, president and CEO of the Transamerica Institute and the Transamerica Center for Retirement Studies. “Since then, women have made great strides in educational achievement and career opportunities. Despite this progress, they continue to be at greater risk than men […]

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Show you Care by Acting on the CARES Act

Given the growing needs of charitable organizations during this global health crisis, 2020 may present compelling planning opportunities to make immediate gifts of cash at a time when they are sorely needed. With the recently-enacted CARES Act, individuals may receive increased income tax benefits while helping charitable organizations. The CARES Act allows individuals who itemize […]

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Investing in Our Communities

I am happy to provide just a brief introduction to this article from our Executive Director of Development, Perry Wolfe, on investing in our communities. Rather than hear it from me, though, I wanted you to hear how important it is to Greenleaf Trust directly from him as he helps lead one of our community […]

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2020 Election Update

As the 2020 presidential and congressional elections come squarely into view, we offer our perspective on how best to navigate a likely period of intense news flow, market volatility, and at least some degree of uncertainty in the investment landscape. In this article, I will cover the state of the race – what we might […]

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October 2020 Perspectives Newsletter

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COVID-19 Highlights Need for Financial Literacy

COVID-19 has taken a lot from us; travel, impromptu in-person visits with family and friends and freedom to go to a concert, movie theatre or ball game with nary a thought. It has also made many of us anxious and fearful about today and our future and that of our families. While we are getting […]

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Please Remain Seated

It was the summer of 1985, and I had just graduated from high school. My Dad and I were headed to Cedar Point. We hadn’t been in years and this would be our last father daughter outing before I headed off to college. I couldn’t wait! I bragged to my friends that the first thing […]

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Adding Children’s Names to Assets – Don’t Do This Yourself

Parents will often add an adult child’s name to their bank accounts, home, and other assets, believing it will make it easier for the child to help them manage their finances and their property as they grow older. While this “do-it-yourself” approach is fairly common among aging parents, the truth is that adding your child’s […]

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Attaching a List of Tangible Personal Property to a Will

Many estate plans make use of a list that identifies items of tangible personal property that are to be allocated among designated beneficiaries on the owner’s death. The list is usually incorporated by reference into a Will or a Trust, such as: I may leave a list that is attached to this Will, and if […]

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Explaining $3.4 Trillion in About 1,000 Words

Where are we getting all this money? That’s the question I’ve heard over and over since COVID-19 caused the deepest recession since the 1930s. So far this year, Federal stimulus programs and lower tax receipts have increased the outstanding Federal debt by $3.4 trillion, from $23.2 to $26.6 trillion. In this article, I will try […]

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September 2020 Perspectives Newsletter

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The Importance of Cybersecurity in Today’s Digital Age

The internet is an amazing tool. It has provided us near instant access to a wealth of information at our fingertips. Not to mention, helping us to stay connected remotely during these unusual times. However, as more and more individuals do their banking, bill paying, shopping, etc., online, it also opens us up to greater […]

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Modern, Proactive Estate Planning For Today’s Families

The notion of a “traditional” family has certainly changed over time. The days of “Leave it to Beaver” are becoming less and less common. In fact, today, only about 35% of American families are comprised of a traditional heterosexual married couple with children. Apart from 35% that are labeled “traditional,” 31% are childless families and […]

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Life Insurance Needs Analysis

As we continue to navigate through these uncertain times, filled with new challenges and concerns, having a dynamic wealth management relationship with a professional advisor has never been more important. A good financial plan should cover every facet of financial planning including life insurance, which can be an important and foundational element to financial wellbeing. […]

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(Ir)rational Exuberance Redux?

In 1996, Fed Chairman Alan Greenspan famously coined the phrase “irrational exuberance” during his speech at the American Enterprise Institute. Chairman Greenspan attempted to warn of highly elevated market valuations, particularly across much of the technology sector. Investors not only ignored his warning, but also drove the NASDAQ up another 300% before peaking on March […]

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Working From Home Culture

I recently read an interesting article titled Microsoft Analyzed Data On Its Newly Remote Workforce in Harvard Business Review. The article described what Microsoft learned over the last four months when they studied how flexible and adaptable their work might or might not be, how collaboration and networks morph in remote settings, what agility looks […]

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August 2020 Perspectives Newsletter

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IRA Spouse Beneficiaries and the New Law

While IRAs are common, flexible vehicles for retirement savings and great planning tools, the beneficiary distribution rules are complicated, and became even more so with the passage of the SECURE Act in December. IRAs often represent a significant portion of a person’s investment portfolio; naming the beneficiary or beneficiaries is an important decision and worthy […]

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Disciplined Investing in Distressing Times

What a change three months can bring. Back in April, Greenleaf Trust released a special Perspectives newsletter edition to address the rising concerns around COVID-19 and its impact on the economy and markets. At that time, domestic equity markets (as measured by the S&P 500) had experienced a 34% decline from market peaks on February […]

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Supporting Your Community in Times of Crisis

You have your favorite charities and you know the areas of the community on which you wish to make an impact, but in times of crisis and emergency are you ready to pivot and provide support to those most affected by the crisis? Have you thought about whether or not you would want to pivot? […]

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New Department of Labor e-Disclosure Rules

Since 2002, plan sponsors have been able to electronically furnish plan information and notices in relation to qualified retirement plans; however, electronic distribution was only allowable if the employee gave consent to agree to receive electronic communications. Also, if an employer determined electronic distribution was allowable on the basis of all employees having access to […]

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Establishing a Donor Advised Fund

A donor advised fund is, in effect, a charitable savings account. A donor advised fund permits an individual donor to make a donation without choosing a specific charity at the time the gift. The transfer of cash or assets to the donor advised fund sponsor permits the donor to claim an immediate income tax charitable […]

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Interesting Times

When we hosted 2020 outlook seminars in early January, the now-ubiquitous coronavirus didn’t even make the “other risks” section of the presentation. Instead, we discussed a late-cycle, though firmly-footed economy and a year likely to be shaped by things like the presidential election, US/China trade, and monetary and fiscal policy moves. When we delivered our […]

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Diversity and Inclusion at Greenleaf Trust

As you have heard from our founder and Chairman, William D. Johnston, making progress on elimination of institutional racism is indeed hard work and Greenleaf Trust in values, mission and deed is committed to that essential progress. There cannot be any distance between the values we express and our actions as a collective company. We […]

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July 2020 Perspectives Newsletter

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Returning to the Office Safely

As the world begins to re-open and re-define what it looks like to return to some sense of “normal,” there are many factors to consider. From a federal, state and local level, information is rampant and quickly changing to mitigate the spread of COVID-19. One thing has remained the same throughout, a focus on keeping […]

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Volatility in the Equity Market and the Role of Bonds

After reaching a high on February 19, COVID-19 and the decline in oil prices drove selling pressure on the Standard & Poor’s 500, leading to a 34% decline by March 23. Actions taken by the Federal Reserve Board and spending programs by the federal government have helped this equity market index climb by almost 36% […]

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An Introduction to Delaware Quiet Trusts

Given the current state of our environment, many estate plans have been accelerated, which could include creating and transferring assets into an irrevocable trust to benefit family members. For several reasons, grantors may worry about beneficiaries becoming aware of a trust. Delaware may be a venue to alleviate grantors’ fears. Traditionally, when someone is interested […]

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Pandemic Reveals Financial Wellness Programs a Necessity

Financial wellness, and the need for employee financial wellness programs, has increasingly gained attention in the past decade. Pre-COVID-19, offering a financial wellness program to employees was considered a value-added benefit, but the coronavirus pandemic suggests it is now an urgent necessity with a major emphasis on emergency savings. Simply put, financial wellness is the […]

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Durable Powers of Attorneys — Time for Some Limits?

A durable power of attorney is an important part of any estate plan. With a durable power of attorney, an attorney-in-fact (agent) can manage an individual’s (principal) financial affairs without the need for a probate court appointed conservator when the principal is either unable, or incapable, of making decisions. While a durable power of attorney […]

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Crude Thoughts on Oil Investments

While certainly taking a backseat to the COVID-19 pandemic, oil markets have garnered their share of attention of late. Excess supply and lack of demand have driven prices down more than 60% year-to-date, at one point even turning negative. Recent volatility has caused many to ask about the level of energy exposure in their investment […]

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June 2020 Perspectives Newsletter

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