Choosing the right Certified Public Accountant (CPA) and/or Trust and Estate (T&E) attorney is crucial for high-net-worth families. If your overarching goal is to manage wealth effectively and ensure financial security across generations—which for most families, it is—then working with highly-skilled and knowledgeable experts is simply a must.
There are certainly plenty of options—according to recent estimates, there are roughly 700,000 CPAs1 and over 200,000 estate attorneys2 in the U.S. today. A big marketplace with lots of choices is great on many levels, but it also creates obvious challenges for families in search of the ‘right fit.’ Your professional relationships need to be good communicators in addition to being proficient in tax planning, estate planning, risk management, succession planning, trust administration and more.
In short, there’s a lot at stake, making the process of finding a trusted advisor essential.
Before beginning the search for a CPA or T&E attorney, it is important for your family to define their specific requirements. High-net-worth families often have complex needs that may include:
- Tax Planning: Minimizing tax liabilities through strategic planning and compliance.
- Estate Planning: Structuring assets to ensure a smooth transition to heirs.
- Trust Management: Overseeing trusts to meet financial goals and legal requirements.
- Business Succession: Developing plans for transferring business ownership while managing cash flows and tax liabilities.
Understanding what services your family needs—and matching them with the scope of services provided by CPAs and T&E attorneys—is a good place to start in the vetting process. So, before I jump into the four steps families should take when hiring these trusted advisors, I think it’s important to outline the range of services CPAs and T&E attorneys provide high-net-worth families.
CPAs are obviously the tax experts. But when CPAs are part of a holistic planning process—i.e., when they work with your financial advisors to contribute their expertise to your broader wealth strategy—the services they provide run deeper.
CPAs help minimize tax liabilities, ensure compliance, provide business advisory (how to structure your business, sell it, distribute shares, etc.), estate and trust support and help optimize wealth transfer strategies. CPAs also assist with philanthropic planning, risk management and family governance, offering financial education and succession planning. Their expertise extends to international tax compliance, cash flow management and audit services, which can all contribute to a broader goal of protecting and growing your wealth.
Trust & Estate attorneys specialize in legal aspects of estate and trust management. They provide high-net-worth families with essential services to protect, manage and transfer wealth. While that description sounds much like what CPAs contribute, T&E attorneys ensure the plans are documented and secure. This work includes drafting wills, establishing trusts and developing comprehensive estate plans that minimize tax liabilities and ensure assets are distributed according to family wishes. On an ongoing basis, T&E attorneys are expected to navigate complex estate and gift tax laws, oversee trust administration and provide guidance on charitable giving strategies. Their expertise helps families achieve financial security, maintain privacy and ensure a smooth transition of wealth across generations while complying with legal requirements.
Once a family has clearly outlined their needs, it’s time to start the hiring process.
Step 1: Finding Potential Candidates
The best place to start, in my view, is by asking for referrals from trusted sources such as financial advisors, peers or legal professionals. If someone you trust has had a good experience with a CPA or a T&E attorney, there’s a good chance you will too.
A referral represents a solid lead for a family, but I would still recommend performing your own research and vetting with the candidates. That means checking online reviews and testimonials, verifying credentials and professional history and assessing their online presence, including their website and social media profiles.
Step 2: Evaluating Credentials and Experience
When narrowing down your choices, evaluating the credentials and experience of potential professionals is vital. Key aspects to consider include:
- Certifications and Licenses: Ensure that CPAs hold a valid CPA license and that attorneys are members of the relevant state bar associations. Verifying these credentials in your state of interest is critical.
- Specializations: Look for professionals with extensive experience in handling high-net-worth family needs, such as multi-generational wealth planning and high-value asset management.
- Track Record: Review their history of working with clients like your family by asking for references or case studies that demonstrate their expertise.
Step 3: Interviewing Potential Professionals
Before deciding, conducting interviews with shortlisted candidates helps assess their suitability. Prepare a list of key questions to ask, such as:
- What experience do you have working with high-net-worth families?
- What is your approach to wealth management and tax planning?
- Can you provide a clear breakdown of your fee structure and billing practices?
- How frequently do you communicate with clients, and through what channels?
It’s important to remember throughout this process that personal compatibility with your advisor is arguably as important as their professional qualifications. At the end of the day, you should trust them, and you should also feel comfortable discussing sensitive financial matters with them.
Step 4: Making Your Decision
I’ve seen some families opt for a trial period to assess performance before committing to a long-term relationship. That’s certainly an option to consider. Once the decision is made, formalizing the relationship through a clear agreement outlining expectations and responsibilities can help ensure a successful long-term partnership.
CPAs and T&E attorneys are there to help safeguard your wealth for generations to come. Keep that front of mind as you ultimately make your decision.
[1] Source: https://nasba.org/licensure/howmanycpas/
IMPORTANT DISCLOSURES
The information provided here is for general informational purposes only and should not be considered an individualized recommendation or personalized investment advice. In addition, information presented in this presentation is believed to be factual and up to date, but Newport Capital Group, LLC does not guarantee its accuracy and it should not be regarded as a complete analysis of the subjects discussed.
This presentation includes forward-looking statements and opinions, including descriptions of anticipated market changes and expectations of future activity. Forward-looking statements and opinions are inherently uncertain, and actual events or results may differ materially from those reflected in the forward-looking statements. In addition, all expressions of opinion are subject to change without notice in reaction to shifting market conditions. Therefore, undue reliance should not be placed on such forward-looking statements and opinions.
The tax and estate planning information offered by Newport Capital Group is general in nature. It is provided for informational purposes only and should not be construed as legal or tax advice. Always consult an attorney or tax professional regarding your specific legal or tax situation.
Past performance is no guarantee of future performance.