| Last week, I had the opportunity to visit our nation’s capital for LPL Financial’s Achieve conference in Washington, D.C. Achieve is an exclusive, invitation-only women’s leadership conference designed for top LPL women financial advisors. During the event, I had the privilege of visiting Capitol Hill with LPL Financials’ in-house Government Relations team and fellow advisors. We met with Members of Congress from both parties to advocate for key issues impacting the financial services industry.
Our message was focused on the importance of personalized financial advice and the critical role that financial professionals play in helping our clients save for the future. We also talked about LPL’s business model, which allows me to be a small-business owner who is embedded in our local community.
We focused on the following policy issues affecting our industry:
- Technology Modernization: Congress is considering a bill, the Improving Disclosure for Investors Act, which would reduce the amount of paper documents you receive in the mail.
- Extension of the Tax Cuts and Jobs Act (“TJCA”) of 2017: Provisions in TCJA begin sunsetting at the end of 2025, and Congress is beginning to consider which provisions to extend or make permanent. I know that many of you benefited from these tax cuts, which boosted incomes and stimulated the economy. Our group of financial professionals discussed the following provisions:
- Section 199A Pass-Through Deduction: This allows for S-Corps and other pass-through entities to deduct up to 20% of their income. Many small businesses have used this to strategically reinvest in the growth of their business. Unfortunately, financial professionals like me were excluded from taking advantage of the full deduction, so I advocated with Members of Congress for the rules to be expanded to include all industries, as well as to make the deduction permanent.
- Continued Increase in the Estate Tax Exemption: Under TCJA, the current lifetime estate tax exemption is doubled from its previous level to more than $13 million per person (inflation-adjusted each year). We asked Members of Congress to make this permanent because it enables families owning property, such as farms, or small businesses to transfer assets and wealth from generation to generation. We recognize that significant taxes can erase generations of hard work overnight and that the current doubling of the estate tax exemption has helped preserve decades of hard work to build wealth.
- Deductibility of Advisory Fees: Before TCJA, taxpayers were allowed to deduct expenses such as fees for investment advice, IRA custodial fees, and accounting costs necessary to produce or collect taxable income. I asked Members of Congress to restore this deduction to provide an additional incentive for individuals, like you, to seek personalized financial advice.
- Social Security: Preserving Social Security is at the top of Capitol Hill’s mind, and there has been a lot of talk about potential expiration and elimination. We discussed whether Congress has considered changes that would not be offensive to prolong social security.
We had meetings with the following Members of Congress or their staff:
- Rep. Claudia Tenney (R-NY-24)
- Rep. Brittany Pettersen (D-CO-07)
Tour of the US Capitol
After our meetings, we did a private tour of the United States Capitol building, guided by Majority Leader Steve Scalise’s (R-LA-01) Office. The tour included:
- The Capitol Crypt: The vaulted room beneath the rotunda with the “compass stone” in the floor that marks the center of Washington, DC.
- The Capitol Rotunda: The heart and symbolic center of the United States Capitol Building. Art and architecture weave together the national story.
- The Speaker’s Balcony: The balcony off the Speaker of the House’s office suites and overlooks the National Mall. It is the site of many inaugurations, including President-elect Trump’s in January 2025.
- The Lincoln Room: President Lincoln’s office in the Capitol off of Statuary Hall. The room includes a security bunker, which has signatures of many elected officials throughout our nation’s history.
- Statuary Hall: The original house chamber that is now devoted to statues from every state in our nation.
- House Floor Gallery: We sat in the gallery and watched floor proceedings in the House of Representatives.
I left feeling confident that my voice was heard, and that Members of Congress have a better understanding of how the retirement, tax, and financial services policies they develop can impact my ability to be a small business owner and financial professional. |
